...

Moody’s expecting oil prices moving within $40-60 per barrel

Oil&Gas Materials 22 August 2016 19:17 (UTC +04:00)
The international ratings agency Moody’s Investors Service expects oil prices to remain low, moving within a $40-$60 per barrel range over the medium term.
Moody’s expecting oil prices moving within $40-60 per barrel

Baku, Azerbaijan, Aug. 22

By Azad Hasanli – Trend:

The international ratings agency Moody’s Investors Service expects oil prices to remain low, moving within a $40-$60 per barrel range over the medium term.

In June, Moody’s raised its nearer term oil price estimates for Brent crude to $40 per barrel in 2016 and $45 in 2017, according to the agency’s report.

“While we have revised upwards our near-term estimated prices for oil, our medium-term expectation of 'lower for longer' oil prices remains unchanged,” says Steffen Dyck, a senior credit officer at Moody’s.

The price for October futures of the North Sea Brent oil mix was $50.03 per barrel, while the price for September futures of WTI oil increased was $48.37 per barrel as of Aug. 22.

Analysts and experts have different opinions on the future prices of oil. Russia’s Energy Minister Alexander Novak believes that in 2017, oil market will return to balance and the period of low prices will end. Director of CNPC International Limited Relations Department Li Yueqiang, in turn, expects that the cost of a barrel of oil won’t reach $100 during the next 5-10 years. The restoration in oil prices complicates the development of unconventional energy production, according to Yueqiang.

Tags:
Latest

Latest