Global Oil Demand Rebounds 4.5mbpd in February, says JODI

Global oil demand rose by more than 4.5 million barrels per day (mbpd) month-on-month in February after falling a month earlier, driven by growth in China, the US, Indonesia, the UK, and Japan, according to the latest update from the Joint Organizations Data Initiative (JODI).

Gasoline and fuel oil demand rose to record seasonal highs, while overall oil demand was marginally below year-ago levels.

Global crude oil production rose by 0.5 mbpd in February driven by higher production in China, and the UK. Notably, this month’s update did not include February oil data for Russia.

Global inventories of refined products fell by 3.1 mb while crude inventories climbed by 25 mb. However, total crude and product inventories remain 329 mb below the five-year average.

Global natural gas demand declined seasonally in February by 12.3 billion cubic metres (bcm).

EU+UK natural gas demand declined by 4.7 bcm and was about 16 percent below seasonal average levels. The region’s inventories declined by 9.3 bcm in February, slightly less than the seasonal average draw of 10.3 bcm. Inventories stood at 60 percent full at the end of the month.

Russian natural gas production declined by 5.8 bcm – in line with historical seasonal declines – and stood at a four-month low.

The JODI oil and gas databases were updated on Monday with more than 40 countries reporting data for the latest month of February 2023. A second update was issued on Tuesday with revised US data. The February data submissions account for over 60 percent of global oil demand and 50 percent of global crude production.

Oil February data highlights:

Saudi Arabia

Crude production fell by 3 kb/d to 10.45 mb/d.

Crude exports dropped by 203 kb/d to 7.46 mb/d.

Crude inventories rose by 6.3 mb and product inventories declined by 6.6 mb.

China

Crude production rose by 430 kb/d to 4.06 mb/d.

Crude imports rose by 1.06 mb/d to 10.99 mb/d.

Total product demand rose by 1.46 mb/d to 15.18 mb/d.

Product exports rose by 166 kb/d to 1.73 mb/d and were 729 kb/d above year-ago levels.

United States

Crude production fell by 0.18 mb/d to 12.28 mb/d and was up 0.93 mb/d from year ago levels.

Total product demand rose by 1.19 mb/d month-on-month to 20.73 mb/d.

Crude oil closing stocks rose by 19.2 mb and product closing stocks rose by 10.3 mb.

Natural Gas February data highlights:

Natural gas demand fell seasonally by 12.3 bcm in February.

Natural gas production fell by 11.7 bcm month-on-month, less than the seasonal average of 23.2 bcm. Russian gas production declined seasonally by 5.8 bcm.

EU+UK gas consumption fell by 4.7 bcm and was at a five-year seasonal low in February. Inventories fell by 9.3 bcm to stand 60 percent full at the end of the month.

Total gas inventories dropped by 20.4 bcm month-on-month, less than the seasonal average draw of 31.4 bcm.