Outlook is for $57 oil prices by year-end
Crude prices have rebounded significantly after falling to 13-year lows of around $26 a barrel in February 2016.
Crude prices are expected to continue following that path — even if it’s not a straight line — in 2017, according to Stratas Advisors, a Hart Energy company.
John Paisie, Stratas’ executive vice president, told those gathered Wednesday at Midland Country Club for Hart Energy’s Special Briefing: Permian Outlook, that prices should end the year at about $57 a barrel.
“Shale production could rise about 700,000 barrels” and not harm the market, Paisie said.
Other reasons for the decline include a record number of long positions in the market, bearish words from members of the Organization of Petroleum Exporting Countries, record levels of crude inventories and lagging demand in the U.S., specifically for gasoline.
Written by Mella McEwen for MySanAntonio.com