By Zoila Palma: The global oil market is set to face a significant surplus in the first quarter of 2026, the International Energy Agency informed today, as strong supply growth continues to outweigh geopolitical risks.
In its monthly oil report, the IEA projected that global oil supply will exceed demand by 4.25 million barrels per day during the quarter, equivalent to about 4% of world demand and larger than many other forecasts.
Oil prices have nevertheless risen about 6% since the start of the year amid concerns over possible supply disruptions linked to geopolitical tensions, Reuters report.
Brent crude was trading at $65.02 a barrel on Wednesday, slightly higher on the day.
Recent events include the U.S. capture of Venezuelan President Nicolás Maduro and calls for investment to revive Venezuela’s oil sector, although supplies from the country have been disrupted in the short term.
Threats of U.S. strikes on Iran, along with drone attacks and technical problems in Kazakhstan, have also raised concerns about reduced output.
Despite those risks, the IEA said excess supply has so far provided a buffer for the market. It noted that, barring major disruptions in Iran or Venezuela or further production cuts elsewhere, the surplus is likely to re-emerge in early 2026. The agency added that current “bloated balances” have helped keep prices in check, even as geopolitical uncertainty persists.
The post International News: International Energy Agency warns of large oil surplus in early 2026 despite Geopolitical risks appeared first on Belize News and Opinion on www.breakingbelizenews.com.
By Zoila Palma: The global oil market is set to face a significant surplus in the first quarter of 2026, the International Energy Agency informed today, as strong supply growth continues to outweigh geopolitical risks. In its monthly oil report, the IEA projected that global oil supply will exceed demand by 4.25 million barrels per
The post International News: International Energy Agency warns of large oil surplus in early 2026 despite Geopolitical risks appeared first on Belize News and Opinion on www.breakingbelizenews.com.
