Iran's OPEC governor has predicted oil prices to pass $80 a barrel by the end of the year amid signs of recovery in the global economy, reported PressTV.
Mohammad Ali Khatibi says "optimistic signs in the oil market" and "news over revival of the global economy" would push oil prices to reach $80 a barrel by January.
The comment came as US sweet oil for September delivery jumped 63 cents to $70.08 a barrel, while London Brent crude increased 70 cents to $72.40 a barrel on Monday.
A Reuters report says positive Chinese economic data and gains in equities helped boost prices in the market.
Khatibi went on to say that seasonal demand for oil will increase in the fourth quarter of the year to 29.1 million barrels per day (bpd).
"Oil will be traded $75 per barrel for winter deliver and $80 a barrel in the next year," he said.
On Friday, Khatibi noted that the Organization of Petroleum Exporting Countries (OPEC) is unlikely to cut output further if crude prices remain between $60 and $70 a barrel.
He said, however, that some OPEC members may call for more production cuts in the group's September meeting if oil prices drop.
OPEC has cut its total output by 4.2 million bpd in several stages since September last year to prevent falling oil prices, producing 24.8 million bpd as of January 2009.
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