MOSCOW (Sputnik) – The effect from an oil production freeze agreement by a number of countries will be limited in bringing the balance back to world markets, the International Energy Agency said Thursday.
"If there is to be a production freeze, rather than a cut, the impact on physical oil supplies will be limited," the IEA said in a monthly report.
Oil prices plummeted from $115 per barrel in mid-2014 to $41.24 per barrel for WTI Crude and $43.66 per barrel for Brent as of early Thursday.
The Paris-based intergovernmental organization lowered its demand forecast by 1.2 million barrels a day to 95.9 million barrels a day this year. In 2015, global demand for crude saw a growth of 1.8 million barrels per day.
Projected production among non-members of the Organization of the Petroleum Exporting Countries (OPEC) held steady in March at 57 million barrels a day, the IEA added. OPEC members extracted around 32,47 million barrels a day that month, a 90,000 bpd drop behind disruptions in Nigeria, Iraq and the United Arab Emirates.
