IEA: Iran, Venezuela oil output could slump by almost 30 percent due to US sanctions

In its latest oil forecast report, the International Energy Agency (IEA) highlights the following key points:

The economic environment in 2018, 2019 remains supportive for oil demand.

But risks are increasing.

Middle East OPEC members could raise oil output in "fairly short order" by 1.1 mil bpd in order to cover losses elsewhere.

Looked at the scenario where output losses from Venezuela, Iran could be 1.5 mil bpd by the end of 2019.

Iran, Venezuela could lose almost 30% of oil output in 2019 due to US sanctions and economic upheaval.

But new oil output from outside OPEC should be enough to cover growth in demand.