• 3 minutes Looming European Gas Crisis in Winter and North African Factor - a must read by Cyril Widdershoven
  • 7 minutes "Biden Targets Another US Pipeline For Shutdown After 'Begging' Saudis For More Oil" - Zero Hedge Monday Nov 8th
  • 12 minutes "UN-Backed Banker Alliance Announces “Green” Plan to Transform the Global Financial System" by Whitney Webb
  • 3 hours Microbes can provide sustainable hydrocarbons for the petrochemical industry
  • 3 hours Hunter Biden Helped China Gain Control of Cobalt Mines in Africa
  • 7 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 4 days Building A $2 Billion Subsea Solar Power Cable From Chile To China
  • 2 days Is anything ever sold at break-even ? There is a 100% markup on lipstick but Kuwait can't break-even.
  • 2 days Modest drop in oil price: SPRs vs US crude inventory build
  • 3 days 2019 - Attack on Saudi Oil Facilities.
  • 3 days Monday 9/13 - "High Natural Gas Prices Today Will Send U.S. Production Soaring Next Year" by Irina Slav
  • 4 days Ukrainian Maidan after 8 years
  • 5 days Peak oil - demand vs production
  • 5 days "How the CO2 shortage is impacting the food and drink sector" - Specialty Food Magazine
  • 5 days NordStream2
  • 6 days "Gold Set To Soar As Inflation Fears Mount" by Alex Kimani
Biden Threatens OPEC+ With Undisclosed Tools

Biden Threatens OPEC+ With Undisclosed "Tools"

President Biden replied this weekend…

Oil Set For Third Consecutive Week Of Losses

Oil Set For Third Consecutive Week Of Losses

Oil prices fell early on…

The Oil Price Rally Is Far From Over

The Oil Price Rally Is Far From Over

It seems that the oil…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Bank Of America Expects Fastest Oil Price Rise In 30 Years

Oil prices are set to rise by the fastest rate since the 1970s over the next three years, Bank of America said in a new report, joining the growing group of analysts forecasting a return of oil to three-digit territory.

The average price of Brent over the next five years, however, will be between $50 and $70 per barrel, according to the bank, as quoted by The National.

The bank also said OPEC+ might decide to reverse its production cuts now that Brent is trending above $60, but added that a slow return of U.S. shale to international markets might lead to an extension of the production cut agreement to make sure prices stay higher.

"We believe that slower shale growth and oil price stability will likely require a continuation of Opec+'s market management beyond April 2022," the bank's analysts said.

OPEC+ is meeting next week to discuss the progress of its agreement in an environment of much tighter supply, and expectations are that some members may push for a production increase. The increase, however, will be moderate, at 500,000 bpd, according to reports.

The last Joint Ministerial Monitoring Committee of OPEC+ met in the first week of February, and the meeting ended without many surprises. For the month of February, another 75,000 bpd was added to the quotas—65,000 bpd to Russia and 10,000 bpd to Kazakhstan. For the month of March, production quotas were eased again by the same amount, with the same distribution of the additions.

Russia is one of the extended cartel's members that will likely call for a further increase in production. Moscow has a tradition of budgeting for pessimistic oil prices, which increases the benefits from each additional dollar benchmarks gain. Saudi Arabia, on the other hand, might like to see much higher prices as its breakeven level, despite the lowest production costs in the world, remains quite high.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Henry Hewitt on February 25 2021 said:
    That is an interesting conclusion when it is more likely that demand for oil will fall faster in the next three years than it ever has, except perhaps from 1930 to 1932 or 1933.

    Clearly Buffett agrees with you, so one must pause before taking the other side of that trade. Still think the crafty veteran right-hander is wrong on this one.
  • Humphrey Dawson on March 02 2021 said:
    With such strong underlying fundamentals, and high demand, the only way is up for the oil industry. Most experts see this boom lasting 10 years or more.

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News