India's pandemic crisis will not kill long-term oil demand

According to a report from Oil Now on May 4, India has added more than 300,000 new cases of new coronary pneumonia every day in the past two weeks.

Malhotra, Director-General of the Federation of Indian Petroleum Industries (FIPI) said: "From the current situation, it may take several months for the epidemic in India to stabilize.

Indian Prime Minister Narendra Modi (Narendra Modi) urged state leaders to focus on the quarantine zone and use regional blockades as a last resort.

As India has been hit by a record number of new crown pneumonia cases, India’s oil demand in 2021 will increase by 400,000 barrels per day year-on-year, which is lower than the previous growth forecast of 440,000 barrels per day.

Analyst Chris Midgley believes, “With the recovery of global industrial activity, India will continue to benefit from a strong world economy.

As the world’s third-largest crude oil consumer and importer, as part of a long-term agreement with the Guyana government, India expressed interest in buying Guyana’s Liza crude oil, and cooperated with relevant departments and commercial entities to reach an agreement that is conducive to the import and export of crude oil.

This South American country will become a major oil producer in Latin America, and its output will exceed 1 million barrels per day by 2027.

It is worth mentioning that India’s oil and gas demand is expected to increase nearly three times, from 229 million tons in 2018 to 607 million tons in 2040.

　　Wang Jiajing excerpted and translated from Oil Now

　　The original text is as follows:

　　India's pandemic crisis won't kill long-term oil demand, Liza Crude still on country's radar

　　India has witnessed more than 300,000 new coronavirus cases per day for nearly two weeks in what is a growing humanitarian crisis that could see the outlook for oil consumption worsening in the short term, before rebounding later this year.

　　“Looking at the situation now, it could take a couple of months to stabilize,” Malhotra said.

　　Indian Prime Minister Narendra Modi has urged leaders of the various states to focus on micro containment zones and use lockdowns only as a last resort.

　　Analytics has said that India would witness a year-on-year oil demand growth of 400,000 b/d in 2021, revised down from an earlier growth estimate of 440,000 b/d, as the country grapples with record COVID-19 cases.

　　Chris Midgley,, said last week that those numbers could possibly be revised down by another 20,000 b/d, but any further revision would depend on how the situation develops over the next few weeks.

　　But Midgley added that India would continue to reap the benefits of a robust world economy as industrial activity picks up across the globe.

　　The world's third-largest crude consumer and importer has expressed interest in buying Guyana's Liza Crude as part of a long-term deal with the Guyanese government.

　　The South American country is positioned to become a major oil producer in the Latin America region with output set to surpass the 1 million barrels per day mark by 2027.

　　India's oil & gas demand is expected to increase nearly 3-fold from 229 million metric tons in 2018 to 607 million metric tons in 2040.