IEF Secretary General predicted oil prices to rise above $80 per barrel


The cost of oil will rise above $80 per barrel in the second half of this year on the back of rising demand in China and India, as well as reducing production and reserves in some countries. About it writes CNBC with reference to the Secretary General of the International Energy Forum (IEF) Joseph McMoneagle.

According to him, the demand for oil quickly rose to pre-wind levels, but certain difficulties arose with the increase in supply.

“Therefore, in the second half of this year, we will have serious problems on the supply side, which does not keep up with [за спросом]As a result, we will see a corresponding price reaction,” said McMoneagle.

According to him, additional demand for oil in China and India will be about 2 million barrels per day. Asked if prices could rise to $100 per barrel, McMoneagle explained that prices had already reached $80 and now they could only go up.

“There will be a much sharper reduction in inventories, which will be a clear sign for the markets of increased demand. Prices will react to this,” he said.

According to McMoneagle, in the event of a sharp increase in oil prices, the countries of the OPEC + agreement can increase production in order to stabilize the situation on the markets.

Brent oil futures closed on July 21 at $80.89 per barrel, according to the ICE Intercontinental Exchange. At the end of June, this brand of oil was traded at $75.41 per barrel.

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