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China slowdown to have limited impact on oil demand - IEA

Friday, August 10, 2012 - 04:38

Aug. 10 - The International Energy Agency says the deceleration in China's economic boom is not likely to result in a sharp drop in energy use

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Sluggish economic growth is likely to restrict global -- them -- for the rest of this year and next Simon Says the International Energy Agency let's get to David find. Head of the oil markets division at the IEA -- you David I'm given. That dates are out of China just this week. How much worse as the month to month did you get a look at several months from now. Very good question. Our our view however think here's that. You're Chinese or amongst groups may have. Sort of his a low water mark if you like. We. Read -- from weaker economic assumptions and our projections this month with the Chinese GDP growth about run about 8%. I think Verisign and not. The Chinese Government will. Take measures. 2222. Key growth from dropping below source government -- to -- percent bombed. And perhaps therefore there's there's there's a 5250000. Browser they have of inherent growth in Chinese over a month so of course you could we go lower if unexpected things happened but we we we're we're not planning to occur before profit program. -- -- -- you David supplying is buying the firmness of the prize went back about 110. I mean I think. Has been the case for many months are we we're working -- he's awfully trigger aren't. Where the approval of own -- perfect which. You know weakening our macro economic conditions. Which provide. Feelings. And water are still a number of geopolitical issues swirling around not just Iran. Signs of you know issues on and in terms of Northern Iraq Nigeria Libya where production recovery seems -- stole. So you -- that's sort of tradeoff between those two factors when she's these these court import prices to also were also awfully termed as they are. Are you say it but overall supply group. Point three. What what what is the supply outlook look line can do we expect -- to come off. I mean our our view is that old Lou there's been a series of issues over the last eighteen months we think of Libya we can -- rom. And we think. Fairly chunky theories have Norman Spector supply disruptions. Nonetheless we've got momentum Olympics supply growing fairly badly. Particularly from North America and I'm like territorial. In in that region. So we -- looking forward over the next eighteen months the market. In our base case scenario looks reasonably well supplied but of course we've got the potential for -- -- economic. -- pleasant economic surprise is on the one sort geopolitical issues on the other. Did you did you expect the west to step up sanctions. On Iran and as it seemed their exports of are beginning to pick up now. Well that we are we we highlights from the report preliminary data for July insurers consumers. Our customers taking about a million barrels per day of Iranian crude that's about one and a half million. Prevailing levels. Are from last year talking of the -- seem to be fairly successful in not cents. We may see a bit of a bounds because some of the shipping insurance issues. That have been dealt with our view is that Iran will still struggle to sell about a million barrels per day in the second half of this year. It can't tell the world do without a rainy and Arnold get a -- Both so far Saudi Arabia and other producers have stepped in and helped fill the gap and we -- we're seeing growth. Particularly from the Americans in terms of nonopec producers. -- secure the gap is about a million or so or. Very nervous system can deal with its figures the Japanese significantly greater than a million -- I think we do we -- to our perhaps it just felt years. All right thanks as always David David find from the IEA do you keep up with a sound twits. -- -- incited. And join us throughout have a week Roy just today a snapshot of all the -- -- news among headlines I'm -- hopeful this is Royces.

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China slowdown to have limited impact on oil demand - IEA

Friday, August 10, 2012 - 04:38