Follow us:
  • Facebook
  • Twitter
  • Google+
  • AppStore
  • RSS
Azernews.Az
Wednesday January 27 2021
  • Latest
  • Nation
  • World
  • Business
  • Oil & Gas
  • Armenian Aggression
  • Nagorno-karabakh conflict
  • Editorial
  • Analysis
  • Lifestyle
  • Events
  • Healthcare
  • Culture
  • Sports
  • Travel
Home
  • Home
  • Nation
  • World
  • Business
  • Oil & Gas
  • Armenian Aggression
  • Nagorno-karabakh conflict
  • Editorial
  • Analysis
  • Lifestyle
  • Events
  • Healthcare
  • Culture
  • Sports
  • Travel

Oil prices climbs up to new highs

9 June 2016 14:40 (UTC+04:00)
1 959

By Fatma Babayeva

An upward trend is being observed in global oil prices this week as Brent prices climbed to new highs since last summer.

On June 8, price of Brent contracts hit above $52 a barrel and on Tuesday, $51 a barrel.

August futures of Brent crude were traded at $52.72 per barrel on June 9, [2:15 am] in London ICE, which is 0.4 percent increase compared to its price on June 7.

Meanwhile, July futures of WTI crude oil rose by 0.59 percent to $51.53 per barrel on June 9 [2:15 am].

A barrel of Azeri Light crude cost to $51.48 by experiencing $0.76 increase on June 8.

OPEC’s oil basket was sold at a relatively lower price - $46.54 a barrel.

In the meantime, a fall was reported in the U.S oil inventories this week, which was the third weekly drop in a row.

U.S. crude stocks dipped by 3.23 million barrels to 532.5 million barrels last week according to the date from the U.S. Energy Information Administration (EIA).

Weak dollar had a positive impact on crude prices during recent month as well.

Additionally, wildfires in Canada, one of the largest oil sand holders in the world, cut about one million barrels a day of oil supply to the market. Moreover, Africa’s biggest oil producer Nigeria still suffers from unrest within the country which negatively affected its oil production which hit bottom of last three decades (1.45 million barrels a day in May).

Some experts believe that these declines will boost rebalancing of the market and resolve oil glut issue. Some even make bullish forecasts on oil prices to up to $70 in 2016-2017.

Nevertheless, several energy specialists say that once more supplies come back to the market from Canada, Nigeria and Libya, the price will go down again. However, it will take some time for sure.

Moreover, the number of oil rigs returned to operation in the U.S. as oil prices amount to $50 a barrel now.

Iran also strives to bring its oil exports to the pre sanctions level of 2.2 million barrels a day by the end of this summer in the longest. Current oil output of Iran equals to 3.82 million barrels per day compared to 4 million barrels a day before sanctions imposed.

EIA expects global oil demand to rise to 95.26 million barrel per day in 2016 and 96.73 million barrels per day in 2017, the agency noted in its short-term energy outlook.

Global oil demand in 2015 amounted to 93.81 million barrels per day, according to EIA. In the first quarter of 2016, this figure totaled to 94.22 million barrels per day. For the second quarter of the current year, the demand is expected to reach 95.1 million barrels a day.

EIA projects global oil demand to surge to 97.45 million barrels a day in the third quarter of 2017.

In addition, the agency forecasted Brent oil prices to average $43 a barrel in 2016 and $52 a barrel in 2017.

Recently, the World Bank (WB) projected a decline on oil prices in the market in 2016. This plunge will be replaced by the rise in 2017, according to the bank’s latest global economic prospects report.

The average oil price for the current year was forecasted by the WB at $41 per barrel.

In addition, the bank expects oil prices to make up $50 per barrel in 2017.

In mid May, the U.S. bank Goldman Sachs lowered its U.S. crude price outlook for 2017 to $52.50 from $57.50 per barrel as it said markets would return to surplus by the first quarter of 2017.

Furthermore, after failure of OPEC’s Vienna meeting, Capital Economics retains its end-2016 forecast at $45 a barrel for Brent, a few dollars lower than current prices, rising to $60 only 12 months later.

---

Fatma Babayeva is AzerNews’ staff journalist, follow her on Twitter: @Fatma_Babayeva

Follow us on Twitter @AzerNewsAz

  • #WORLD BANK
  • #RISE
  • #$52
  • #OPEC OIL BASKET'S PRICE
  • #US ENERGY INFORMATION ADMINISTRATION (EIA)
  • #INCREASE
  • #BRENT
  • #WTI
  • #OIL PRICE
  • #AZERI LIGHT

Related News

EIA increases forecast for Azerbaijan’s oil production volume in 2021

EIA increases forecast for Azerbaijan’s oil production volume in 2021

14 January 14:45
EIA changes forecast for volume of Azerbaijan's oil production in 2021

EIA changes forecast for volume of Azerbaijan's oil production in 2021

10 December 2020 17:41
Azerbaijan sends 160,000 tons of oil to Belarus in Nov-Dec

Azerbaijan sends 160,000 tons of oil to Belarus in Nov-Dec

9 December 2020 17:27
EIA changes forecast for volume of Azerbaijan's oil production in 2021

EIA changes forecast for volume of Azerbaijan's oil production in 2021

12 November 2020 16:24
EIA forecasts stable oil production in Azerbaijan

EIA forecasts stable oil production in Azerbaijan

11 September 2020 11:10
EIA grades Azerbaijan's oil production volume as stable

EIA grades Azerbaijan's oil production volume as stable

12 August 2020 12:49
EIA changes forecast for volume of Azerbaijan's oil production

EIA changes forecast for volume of Azerbaijan's oil production

8 July 2020 14:36
Oil prices fall further on virus fears, U.S. crude stock build

Oil prices fall further on virus fears, U.S. crude stock build

25 June 2020 10:23
Oil prices slides as U.S. crude stockpile growth heightens oversupply fears

Oil prices slides as U.S. crude stockpile growth heightens oversupply fears

24 June 2020 12:01
Oil prices seesaw after Navarro walks back comment saying U.S.-China trade deal was 'over'

Oil prices seesaw after Navarro walks back comment saying U.S.-China trade deal was 'over'

23 June 2020 15:16
  • Latest
  • Popular
14:18 • Azerbaijan achieves high performance in sugar beet production - Minister of Agriculture
13:50 • Azerbaijan appoints special presidential representative in liberated Shusha
13:40 • Azerbaijan prioritizes support to Karabakh war veterans, martyr families
13:39 • Body of Azerbaijani sailor killed near Nigeria delivered to Azerbaijan [PHOTO/VIDEO]
13:20 • Azerbaijan shows footage from Goyarchinveyselli village of Jabrayil district [PHOTO/VIDEO]
13:01 • National film named best in Bangladesh [VIDEO]
12:50 • Currency rates for Jan.27
12:49 • Miri Yusif to give charity concert to support martyr families
12:21 • National futsal team to face Slovakia and Greece [PHOTO]
12:15 • SOCAR to open petrol stations in Karabakh
12:00 • PACE rejects Armenia’s request on progress of monitoring procedure
11:43 • Anglo Asian Mining to pay out dividends for 2020
11:20 • Minister: Share of non-oil sector in Azerbaijan’s GDP exceeds 70 pct
11:14 • Azerbaijan's Ecology Ministry talks development of entrepreneurship
11:00 • Russian envoy summoned over MP’s anti-Azerbaijani remarks
10:45 • Demining of Azerbaijan's liberated lands continues [VIDEO]
10:30 • Azerbaijan shows footage from Gubadly district's Damirchilar village [PHOTO/VIDEO]
10:15 • FIG cancels Artistic Gymnastics World Cup in Baku
10:00 • AzerGold attracts $109.7m to Azerbaijan's economy in 2020
26 January 20:00 • Russia and Iran open to discuss Karabakh issue
26 January 20:00 • Russia and Iran open to discuss Karabakh issue
26 January 19:44 • Access Bank eyes creating bank branches in Azerbaijani lands liberated from occupation
26 January 17:00 • Some 27 engineering troops servicemen killed in Karabakh war
26 January 19:36 • Armenian Armed Forces blew up bridges, destroyed roads retreating during second Karabakh War
26 January 19:43 • Clearing of mines, unexploded ordnance continuing in liberated Fuzuli district [PHOTO/VIDEO]
26 January 15:38 • Carpet Museum to host international conference
26 January 19:05 • Turkish investments in Azerbaijan's Karabakh to favor opening new jobs - expert
26 January 17:54 • Senior officers unveil details of demining operations in liberated lands
26 January 16:00 • Azerbaijan and ICESCO. New partnership prospects.
26 January 15:19 • Azerbaijan Georgia’s main bitumen supplier in 2020
26 January 14:50 • Azerbaijan-Belarus trade turnover soars in 2020
26 January 18:16 • Colonel talks restored and built roads in liberated lands of Azerbaijan
26 January 16:43 • Number of killed soldiers given to Armenian side by Azerbaijan disclosed
26 January 18:57 • Prices for Azerbaijani oil revealed
26 January 18:00 • Thousands of hectares of cultivatable lands demined in Azerbaijan's liberated districts
10:15 • FIG cancels Artistic Gymnastics World Cup in Baku
26 January 18:33 • Tax exemptions on wheat imports, sales may be extended in Azerbaijan
26 January 18:44 • Azerbaijan Airlines increases flights number on Baku-Nakhchivan route
26 January 14:28 • President Aliyev receives French Minister [PHOTO]
26 January 17:15 • Sale of gold, silver in Azerbaijan may become tax-free
See more
AzerNews Newspaper
AzerNews
  • Facebook
  • Twitter
  • Google+
  • RSS

Information

About us Contacts Advertising Azernews In Print

News Archive

© 2021 AzerNews. All rights reserved