OPEC cuts oil demand forecast for 2015 amid US shale boom

The Organization of the Petroleum Exporting Countries (OPEC) cut its 2015 forecast for oil demand amid the United States shale boom.

Global demand for oil from OPEC in 2015 will be less-than-expected because of weaker growth in consumption and the US shale boom, the cartel said on Wednesday, pointing to an increasing supply surplus in 2015.

In a monthly report, OPEC forecast that the demand for the group's oil will drop to 28.92 million barrels per day (bpd) in 2015, 2,80,000 bpd lower from its previous expectation.

The report follows OPEC's decision in November against cutting oil output despite plunging prices of the fuel, as top exporter Saudi Arabia urged fellow members to combat the US shale oil boom that has been eroding OPEC's market share.

(Reuters)