Global oil demand is estimated to rise in the fourth quarter of 2022 to around 101.1 million barrels per day, reflecting an increase of 1.6% compared to the previous quarter, according to the World Oil Outlook report by OPEC.

The report further states that demand from the rest of the world increased by 3.9% to reach approximately 54.9 million barrels per day, while demand from the Organization for Economic Cooperation and Development (OECD) countries decreased by 1% to reach around 46.2 million barrels per day.

The report also projects a rise in global oil demand during the first quarter of 2023 to reach around 101.3 million barrels per day, with demand from the rest of the world expected to increase to around 55.4 million barrels per day, while demand from the OECD countries is expected to decrease to around 45.9 million barrels per day.

Furthermore, the report notes that US shale oil production is expected to increase by 108,000 barrels per day in February 2023 compared to the previous month, reaching 9.059 million barrels per day, and is expected to increase further in March and April 2023 to reach 9.214 million barrels per day.

In another development, the number of active oil rigs decreased by 6 rigs in February 2023 to reach 693 rigs.

Despite the ongoing COVID-19 pandemic, the global economy is showing signs of recovery, leading to increased demand for oil. The rollout of vaccines, stimulus packages, and an overall increase in economic activity have resulted in a more optimistic outlook for the oil industry.

Additionally, the recent agreement between OPEC+ to gradually increase oil production over the coming months has helped to stabilize oil prices.