In the current situation, oil supplies in July rose by 570,000 b/d to an average 85.1 million b/d, even though the OPEC states trimmed their output by 100,000 b/d from June levels, the IEA said.

The IEA predicted that non-OPEC states would boost their production this year by 160,000 b/d to an average 51 million b/d. In 2010, their output was forecast to surge by 440,000 b/d to 51.4 million b/d.

OPEC states' output is now seen averaging 27.7 million b/d this year and 27.8 million b/d in 2010, the IEA predicted.