Petronas Predicts $50-60 Crude

Malaysia’s state energy company Petroliam Nasional Berhad, or Petronas, forecast oil prices to be in the $50-60 range in its 2018-20 Activity Outlook report. “In our view, the oil price outlook will hover around $50s to $60s per barrel,” said Petronas in the report released on Monday. Oil at $100 a barrel was a “thing of the past”, it said, Reuters reported. “Currently, global oil demand is recorded at 98 million barrels per day and is expected to grow by 1.4 million barrels per day in 2018,” it added. Petronas last forecast that oil prices at $50 a barrel should be taken as the new norm, but it also said in its recent earnings announcement that it expects its overall yearend performance to be better than last year, indicating an improved view of the energy market. Petronas, like other oil majors, has taken a hit from lower oil prices in the past few years. Brent crude, though, has seen a recovery this year, trading above $63 a barrel on Monday and up nearly 12% for the year.