• 3 minutes Oil Price Could Fall To $30 If Global Deal Not Extended
  • 7 minutes Middle East on brink: Oil tankers attacked off Oman
  • 11 minutes Is $60/Bbl WTI still considered a break even for Shale Oil
  • 15 minutes CNN:America's oil boom will break more records this year. OPEC is stuck in retreat
  • 3 hours The Pope: "Climate change ... doomsday predictions can no longer be met with irony or disdain."
  • 18 mins Buy IELTS, IDP TOEFL, GMAT, ESOL, DEGREE, DIPLOMAS WhatsApp............+237(683)(483)(021)
  • 2 hours Greenpeace claims one oil rig is "pushing the world closer to a climate catastrophe"
  • 1 hour Hydrogen FTW... Some Day
  • 2 days Hormuz and surrounding waters: Energy Threats to the World: Oil, LNG, shipping markets digest new risks after Strait of Hormuz attack
  • 16 hours The Latest: Iranian FM Says US Cannot Expect To ‘Stay Safe’
  • 1 day Russia removes special military forces from Venezuela . . . . Maduro gone by September ? . . . Oil starts to flow ? Think so . .
  • 15 hours Emmissions up, renewables nowhere
  • 1 day Plants are Dying
  • 2 days The Magic and Wonders of US Shale Supply: Keeping energy price shock minimised: US oil supply keeping lid on prices despite global risks: IEA chief
  • 2 days We Are Better Than This
  • 2 days (Un)expectedly: UK Court Sets Assange U.S. Extradition Hearing For February 2020
  • 2 days Why Is America (Texas) Burning Millions of Dollars Per Day Of Natural Gas?
Alt Text

Oil Set For Worst Monthly Drop Since November

Oil prices continued to slide…

Alt Text

Oil Resilient Despite Trade Talk Failure

Oil prices fell and quickly…

Zainab Calcuttawala

Zainab Calcuttawala

Zainab Calcuttawala is an American journalist based in Morocco. She completed her undergraduate coursework at the University of Texas at Austin (Hook’em) and reports on…

More Info

Trending Discussions

IMF Predicts $55 Barrel Through 2018

Markets should expect oil to hover around $55 in 2017-2018, according to the International Monetary Fund’s World Economic Outlook, released on Tuesday.

Last year’s average barrel price was $42.84 per barrel, the report said, but this year the average should rise to $55.23. The 2018 price will be slightly lower, at $55.06 a barrel.

“Despite uncertainty about technological improvements and the recent OPEC agreement, rebalancing oil supply in line with demand accompanied by stable prices, will hinge on the prospects for unconventional sources,” the IMF said in the document.

The Organization of Petroleum Exporting Countries (OPEC) agreed to cut output by 1.2 million barrels in late November. The bloc is currently in the process of determining whether or not to extend the cuts, which would contribute to further market rebalancing. Eleven non-OPEC countries also participated in the cuts the first time around, and are expected to participate in the extension.

Regarding new technical capabilities in the oil and gas sector, the international financier said “annual oil demand growth, commonly projected at about 1.2 mbd, will be met by unconventional sources over the next few years, mainly through resources under development for deepwater and ultradeepwater oil, oil sands, and heavy and extra heavy oil.”

The report also acknowledged the effect of rising shale oil production from the United States since oil prices began their recovery this year.

“In the new normal for the oil market, shale oil production will be further stimulated by a moderate price increase,” the report said. “As a result, supply from shale will help somewhat tame the otherwise sharp upward swing in oil prices. Over the medium term, as prices increase further, technical improvements in unconventional oil recovery will be reactivated, which will eventually set off another price cycle.”

By Zainab Calcuttawala for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage

Trending Discussions


Leave a comment

Leave a comment





Oilprice - The No. 1 Source for Oil & Energy News