(Energy Analytics Institute, 22.Aug.2022) — Research Lead Hamid M. Al Sadoon and and Research Fellow Julio Arboleda with the King Abdullah Petroleum Studies and Research Center (KAPSARC) recently wrote in a research report that the “unprecedented oil price collapse of April 2020, in the wake of a fall of more than 20 million barrels per day in oil demand, forced producers to reduce their production levels rapidly.”
“However, oil demand has recovered quickly, causing experts to have concerns about energy supply issues in an industry that does not have the flexibility to increase supply quickly. These factors are leading authorities to reconsider their strategies regarding oil and gas stockpiling, spare capacity, or even a ban on fuel exports, among other measures,” the authors said.
By Aaron Simonsky. © Energy Analytics Institute (EAI). All Rights Reserved.