Saudi Arabia did, in fact, reduce oil production in July following preliminary reports last week, despite its agreement to raise output, following recent OPEC/NOPEC meetings. Secondary sources reported that Saudi Arabia cut oil production by 53,000 barrels per day (bpd) to 10.4 mln bpd.
However, overall, OPEC's oil output rose by 41,000 barrels per day to 32.3 mln bpd in July.
Non-OPEC oil supply in 2018 was revised up by 73 tb/d from the previous MOMR to average 59.62 mb/d, representing an increase of 2.08 mln bpd year/year. The main reason for this upward revision was an adjustment for the Chinese supply forecast due to the higher-than-expected oil output in 1H18.
In 2018, oil demand growth is anticipated to increase by 1.64 mb/d, 20 tb/d lower than last month's projections, mainly due to weaker-than-expected oil demand data from Latin America and the Middle East in the second quarter of 2018.
Total oil demand is anticipated to reach 98.83 mln bpd. For 2019, world oil demand is forecast to grow by 1.43 mln bpd, also some 20 tb/d lower than last month's assessment.
Total world consumption is anticipated to reach 100.26 mln bpd. 2018, demand for OPEC crude is expected at 32.9 mln bpd, 0.6 mln bpd lower than the 2017 level. In 2019, demand for OPEC crude is forecast at 32 mln bpd, around 0.8 mln bpd lower than the 2018 level.