Global oil prices may rise to $120 in the second half of 2022, due to OPEC+ under-investments, Bloomberg reported citing a Rosneft executive.
“Today OPEC+ countries can’t increase production to the extent necessary to meet demand,” the Russian company’s Vice President for Commerce and Logistics, Otabek Karimov said.
“As a result, there is a very serious deficit of energy resources in the whole world today. Naturally, this cannot but affect the price,” he added.
As OPEC+ is gradually boosting supply, crude oil prices have climbed almost 60 percent to above $82 a barrel this year, as recovery boosts demand.
Karimov’s comments come following OPEC+ members' expectations that prices would decline, as the global market is to become oversupplied soon, and the International Energy Agency’s forecast that the end of the price rally is in sight.