Russian expert forecasts oil production in Azerbaijan

22 November 2019 16:44 (UTC+04:00)

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It is not worth expecting serious changes in oil prices By the beginning of 2020, Ekaterina Grushevenko, an expert at the Energy Center of Skolkovo Moscow School of Management, told Trend Nov. 18.

Grushevenko was commenting on the forecasts of global oil prices.

"The price range at the beginning of 2020 is expected to be around $60-$65 per barrel," the expert said.

Grushevenko noted that there are a number of factors affecting the decline in oil prices.

"One of these factors is the slowdown in economic growth, mainly due to trade disagreements between the US and China, and as a result, a slowdown in demand growth," the expert added. "The decrease in oil prices is also affected by the increase in US oil production, as well as its export to foreign markets. In addition to growth in US production, we see an increase in oil production in Brazil, and a significant increase in production is expected soon in Guyana, a new oil-producing region."

Grushevenko also drew attention to the factors affecting the increase in oil prices - the limitation of OPEC+ production, lack of transport capacity in the US, an excess of light oil in the market, and International Maritime Organization norms, due to which demand for medium distillates is growing.

"As for oil production in Azerbaijan, we don’t expect major changes, either. Oil production will remain at the level of 740,000 barrels per day," the expert added.

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