China 2005 Oil Demand Growth To Hit 11% -PFC Energy

LONDON (Dow Jones)–A leading energy consultancy predicts China’s demand
for oil will grow by 700,000 barrels a day in 2005 – double the rate predicted
by the International Energy Agency.
10-20 15:24: China 2005 Oil Demand Growth To Hit 11% -PFC Energy

LONDON (Dow Jones)–A leading energy consultancy predicts China’s demand
for oil will grow by 700,000 barrels a day in 2005 – double the rate predicted
by the International Energy Agency.
PFC Energy says in a report released Wednesday continued economic growth,
a reliance on oil for power and greater use of cars, planes and trucks will
outstrip government efforts to cutback reliance on oil.
That implies markets will remain tight. China has been a major driver of
the boom in oil demand that has stretched producers to the limit, sending
prices soaring above $50 in New York.
PFC’s figures contrast sharply with those released last week by the IEA,
energy adviser to 26 industrialized countries. The IEA downgraded its forecast
for world oil demand growth in 2005, saying high oil prices were going to cut
back China’s appetite for oil.
The IEA said China’s oil demand growth would be only 5.5% or 360,000
barrels a day next year, compared to PFC Energy’s projected 11% growth.
That, coupled with a similar forecast from the Organization of Petroleum
Exporting Countries, put pressure on oil prices early this week.
-By Shai Oster, Dow Jones Newswires; +44-20-7842-9357;
shai.oster@dowjones.com

(END) Dow Jones Newswires
10-20-04 1824ET- – 06 24 PM EDT 10-20-04
10/20 5:24p