Brent oil prices will fall below $70 per barrel next year RIA Novosti energy expert Kirill Rodionov.
According to him, after January 2025, the already difficult task of maintaining prices for oil exporting countries will become almost impossible.
“The oil market is on the verge of a new “fall wave” (downward – socialbites.ca), which will lead to a steady decline in prices below $70 per barrel,” Rodionov predicts.
According to the agreement plan, key OPEC+ participants (A group of states that are not members of the Organization of Petroleum Exporting Countries, but cooperate with the organization and among themselves in the fields of oil production and export)Russia, which includes the Russian Federation and Saudi Arabia, needs to increase its maximum oil production by 2.46 million barrels per day next year. At the same time, global oil demand is predicted to increase by 1.54 million barrels per day. In other words, the increase in supply from OPEC+ participants will exceed demand, which will put pressure on prices.
“If OPEC+ sticks to the given plan, prices will fall. “If OPEC+ countries revise quotas and “tighten their belts,” investors will understand that OPEC+ is trying to postpone the inevitable decision to increase quotas, which will lead to a decline in prices,” the expert said.
14 November International Energy Agency reportedRussia’s supply of oil products abroad has fallen to a four-year low: at the end of October, exports fell by 230 thousand barrels per day (b/d) to 2.48 million b/d, the minimum level supplied since July 2020 .
Previously in the West explained the scenarioIt has the power to halve oil prices.
What are you thinking?
Source: Gazeta
Ben Stock is a business analyst and writer for “Social Bites”. He offers insightful articles on the latest business news and developments, providing readers with a comprehensive understanding of the business world.