25-03-2025
Gunvor CEO Tornqvist does not see oil demand keeping up with supply growth
LAUSANNE, March 25 (Reuters) - Global commodity trader Gunvor's chief executive Torbjorn Tornqvist does not see oil demand keeping up with supply at current rates, he said in a keynote interview at the Financial Times Commodities Global Summit in Switzerland on Tuesday.
"We are gradually, slowly, moving into a slacker environment," he said at the summit in Lausanne.
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"If producers produce what they do today, the increases come as planned, we don't see demand catching up with that."
The Organisation of Petroleum Exporting Countries and allies (OPEC+) will likely stick to a plan to raise oil output for a second consecutive month in May, four sources told Reuters on Monday.
However, Tornqvist said that a backwardated market structure - where future prices are lower than those for prompt delivery - and a lack of oil in floating storage had helped to balance oil prices.
"Prices have been stuck in the range of low $70s, and that's probably a fair price," he said, but added that if there are no interferences to supply anywhere then prices could move a bit lower.
