Surge in Saudi oil burn adds new demand twist - FT.com

Saudi Arabia is best known as the world’s largest oil producer and exporter and last month pumped 9.7m barrels a day, the second highest level in three decades, but the country could soon become one of the world’s top oil consumers.

The emergence of Saudi Arabia as an important consumer sets a critical new trend that could have profound implications for oil prices over the next few years. As the kingdom’s oil demand surges, the exportable surplus narrows, tightening global oil markets.

The country is on course to consume an average of 2.81m barrels a day of oil this year, making it the world’s sixth-largest oil consumer behind the US, China, Japan, India and Russia. On a per capita basis, its oil consumption is sky high. This year, its consumption is set to jump by 5.6 per cent, way above the global average of 1.4 per cent.

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