Alexey Belogoryev, Research and Development Director of the Institute for Energy and Finance, commented to TASS on the reasons and prospects for a decline in world oil prices.
According to Belogoryev, against the background of lower prices, many "alarmist" forecasts immediately appear. The expert noted that now the most popular scenario is a "soft landing" of Brent to $ 60 per barrel.
The OPEC+ countries last week decided to postpone the recovery of production, scheduled for October, until December. Belogoryev suggested that for now the alliance will take a pause to assess how the balance in the oil market is really developing in the fourth quarter and what will happen in 2025. At the same time, the expert drew attention to the fact that the OPEC+ countries have already "tightened their belts" too much, and it will be difficult for the alliance to propose new significant restrictions on oil production or exports."By itself, it is not something impossible, the script is quite working. We have seen much bigger price hikes in both directions on the oil market, but still, in my opinion, it is not yet basic. Obviously, there will be attempts to find a bottom below $65-70 per barrel. But I think the average monthly prices will stay above $70-75 per barrel," he said.
At the same time, he noted that the problems of China, which is still considered the engine of oil demand growth, are structural and long-term in nature.
"Global oil demand will continue to grow for quite a long time - maybe eight to ten years. But the growth rate, apparently, will be quite low and decaying, and we are already entering a period of this decline," the expert concluded.

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