Baku, Azerbaijan, Jan. 14
By Aygun Badalova - Trend:
U.S. Energy Information Administration (EIA) does not expect a significant recovery of oil prices on the global markets in 2015.
EIA forecasts that Brent crude oil prices will average $58 per barrell in 2015. In 2016 the average Brent price is forecasted at $75 per barrel.
Annual average West Texas Intermediate (WTI) price is expected to be $3 to $4 per barrel below Brent.
"December was the sixth consecutive month when monthly average Brent prices decreased, falling $17 per barrel from November to a monthly average of $62 per barrel, the lowest since May 2009," EIA's Short-Term Energy Outlook said.
EIA said the December price decline reflects a continued growth in the U.S. tight oil production, strong global supply, and weakening outlooks for the global economy and oil demand growth.
WTI futures contracts for April 2015 delivery, traded during the five-day period ending January 8, averaged $51 per barrel, establishing the lower and upper limits of the 95-percent confidence interval for the market's expectations of monthly average WTI prices in April 2015 at $34 per barrel and $76 per barrel, respectively, according to the EIA.
The 95-percent confidence interval for market expectations widens considerably over time, with lower and upper limits of $28 and $112 for prices in December 2015.
During electronic trading on the New York Mercantile Exchange on January 13, the WTI for February delivery decreased by $0.18 to $45.89 a barrel.
February Brent, which is the benchmark price for products in Europe and Asia, decreased by $0.84 to $46.59 a barrel on the London-based ICE Futures Europe exchange.
Aygun Badalova is Trend Agency's staff journalist, follow her on Twitter: @AygunBadalova