Crescent Petroleum’s chief executive told oil prices in 2019 may sit around $60 to $80 a barrel as the energy market is volatile.
Speaking at the World Economic Forum (WEF) in Davos, Majid Jafar, CEO of the United Arab Emirates-based oil and natural gas producer, said prices were prone to huge fluctuations, and prediction of oil prices had never been this tough ever.
He said, “(Prices are) the most volatile in 30 years, that’s partly because of certain tweets but also because there isn’t much spare capacity and that’s where you see volatility. ”
Jafar said that he was optimistic about the trade situation between the United States and China and he expects a breakthrough real soon. He also said that the global economy is still growing pretty well. He said these things should provide a decent base for oil prices across the 2019 calendar year.
He said, “It will be in this $60 to $80 range. It will be volatile, but $90 is more likely than $40. ”
It should be reported here that on Thursday oil prices steadied over the fears of the global economic outlook checked any price rises coming from a U.S. threat of sanctions on OPEC member Venezuela.
Brent crude futures were traded at $60.99 a barrel as per the latest data while U.S. West Texas Intermediate futures sat at $52.72.