A new government forecast predicts OPEC members will earn about $842 billion in oil export revenue this year, the most inflation-adjusted net oil export revenue for the group in 8 years.
The U.S. Energy Information Administration made the prediction, stating that OPEC nations collectively earned $992 billion back in 2014.
“Based on our forecasts for both OPEC liquids production and crude oil prices in the August Short-Term Energy Outlook (STEO), the 2022 OPEC revenues will be a nearly 50% increase from $570 billion in 2021,” stated the EIA on Tuesday.
The report said the revenue increase could be attributed to 2.3 million barrels per day (b/d) more liquids production this year and on higher crude oil prices. Crude oil prices had been generally increasing since late 2020, when global consumption began to outpace production, resulting in inventory draws.
However, prices further increased sharply following Russia’s full-scale invasion of Ukraine in February 2022 and have averaged more than $100 per barrel since then.
The full report is available on the EIA website.