The world oil demand in 2007 is estimated to grow by 1.2 million barrels per day (bpd) or 1.5 percent, said the Organization of Petroleum Exporting Countries (OPEC) in its latest monthly report yesterday.

The cartel said the world demand in 2007 is expected to stand at 85.37 million bpd, in line with its previous monthly report.

"Warm weather kept demand for winter fuels mild; however, the late arrival of winter helped the light heavy spread to firm," said OPEC.

Meanwhile, according to the new assessment, the global market demand for OPEC oil in 2007 is estimated to average at 30.25 million bpd, a slight drop of 0.15 million bpd compared with 2006.

It revised its world economic growth estimation for 2007 to 4.6 percent, a slight move upward of 0.1 percentage point compared with its last monthly forecast, as the US gross domestic product registered a higher-than-expected rise of 3.5 percent in the fourth quarter of 2006 indicating consumer resilience and rising exports.

Last month, due to the unusually warm winter, daily crude oil prices dropped to US$47.92 on Jan.17, the lowest in 20 months.

However, "a cold snap in the US Northeast in the latter part of January and early February" pushed the daily crude oil prices up to US$53.70 on Feb. 14, said OPEC.
Moreover, the cartel believed that "revived geopolitical tensions" were also a main factor that caused crude oil prices to rebound.