Brent price will average $40 a barrel in 2016 and $50 a barrel in 2017, according to the forecasts published in the U.S. Energy Information Administration's (EIA) Short-Term Energy Outlook (STEO).
WTI price will average $38.54 a barrel in 2016 and $47 a barrel in 2017, according to the EIA’s forecasts. The previously forecasted price was $56 per barrel in 2016 for Brent, and WTI price – at $51 a barrel in 2016.
Brent prices averaged $38 a barrel in December, a $6 a barrel decrease from November, and the lowest monthly average price since June 2004, according to the EIA’s estimates.
Brent crude oil prices averaged $52 a barrel in 2015, down $47 a barrel from the average in 2014, as growth in global liquids inventories put downward pressure on Brent prices throughout much of the year, according to EIA’s STEO.
EIA estimates that total U.S. crude oil production averaged 9.4 million barrels per day in 2015, and it is forecast to average 8.7 million barrels per day in 2016 and 8.5 million barrels per day in 2017.
Meanwhile, the price of oil has continued to fall on the world markets.
On the New York Stock Exchange NYMEX cost of the US Light crude oil decreased $0.69 to stand at $30.82. Price of the Brent crude oil at the London ICE fell $0.60 to trade at $31.16.
The Marketing and Economic Operations Department of SOCAR reported that the price of a barrel of Azeri Light crude oil decreased $0.89 to stand at $31.92 on the world markets.
Follow us on Twitter @AzerNewsAz