Oil prices will rise above $ 100 per barrel one day amid a decrease in its production and lower investment in the industry, The Wall Street Journal reported referring to experts' forecasts.
Trevor Woods, a chief investment officer of Ohio-based hedge fund Northern Trace Capital, noted that the pressure of underfunding will be very serious and it will be really difficult for some manufacturers to continue mining.
According to him, oil prices may rebound to $ 150 by 2025.
Other experts believe that the temporary closure of enterprises and the almost full paralysis of air transportation in the world amid the pandemic has already laid the trend for a general reduction in costs and low prices for hydrocarbons.
Analyst Christian Malek from JP Morgan Bank said oil production would decline by 5 million barrels per day or about 5% of the level before the pandemic. According to the expert, it will be necessary to invest an additional $ 625 billion by 2030 in order to meet demand.
He noted that oil prices can reach $ 100 in the next two years.
Richard Fullarton, a chief investment officer of London-based investment fund Matilda Capital Management sais he expects oil prices to rise above $ 100 a barrel by the end of 2020.