Opec’s 2012 heyday when the group’s combined oil export revenues totaled $1.13 trillion are but a distant memory. Ever since the steep late-2014 oil price fall, the group’s annual oil earnings have remained trapped below $700bn, and they seem set to fall well below $350bn this year (see chart). Not since 2003 have the group’s collective coffers looked so bare.
Things can turn around quickly, but with global oil demand forecast to remain below pre Covid-19 pandemic levels into 2022, a return towards the previous era of abundance looks some way off. Lower for longer remains the mantra. (CONTINUED - 880 WORDS)