Global Crude Oil prices on Thursday 14th September 14, 2017, witnessed a nearly 2% growth following forecasts for stronger oil demand by the International Energy Agency (IEA).
According to Thursday’s early market report, Brent crude LCOc1 grew by 40 cents – selling at $55.56 a barrel after an 89 cents hike, or 1.6 percent the previous day. In addition, U.S. light crude CLc1 also went up by 40 cents – selling at $49.70 after a 2.2% gain yesterday - Wednesday.
On a quarterly basis, the Brent LCO prices appreciated by $10 a barrel over the last three (3) months – gradually averaging at its highest recorded so far this year – 2017, which is between $55 and $57.
Commenting on the development, an analyst at an international energy market consultancy firm - Petromatrix in Zug, Switzerland Olivier Jakob, said: “By breaking $55 a barrel, Brent is moving back to the price range of January/Februaryâ€.
Last month - August, IEA report raised its estimate of 2017 world oil demand growth to 1.6 million barrels per day (bpd) from 1.5 million bpd.
The agency noted in the report that the global oil surplus was rapidly reducing due to strong European and U.S. demand and a corresponding drop in production by OPEC and non-OPEC countries.
Also commenting on the development to the media, Forex.com analyst Fawad Razaqzada, Said, “Stronger demand and supply restrictions from OPEC and Russia are the main reasons for the oil price upsurgeâ€.
 In an effort to boost global Oil prices, the Organization of the Petroleum Exporting Countries (OPEC) and other producers, including Russia, agreed to cut production by at least 1.8 million bpd until March - 2018.
The news also raises positive signals in the Ghanaian economy, with government looking to foreign exchange earnings from crude oil as part of the potential sources of funding of its development programmes.