Oil producers face unprecedented challenge due to COVID-19: IEA

Oil rigs

The International Energy Agency (IEA) said, on Jan. 13, that oil producers face an "unprecedented" challenge to balance supply and demand due to COVID-19, Reuters reported.

According to the Paris-headquartered agency, factors including the pace and response to COVID-19 vaccines cloud the outlook for the oil market.

“Producers are grappling with huge uncertainty about where this goes from here,” said Tim Gould, head of energy supply outlooks and investment, IEA.

“That’s not just in terms of economic recovery but indicators we wouldn’t necessarily normally be looking at such as the levels of trust in different countries about vaccines,” he added.