Oil price could hit $60 this summer, says UAE minister

31 May 2016

Crude prices have increased by 30 per cent since the start of the year

The UAE economy minister has forecast that crude prices could hit $60 a barrel this summer, after closing at a six-month high of nearly $50 a barrel last week.

“It’s possible for oil prices to reach $60 a barrel or more during this summer” as demand increases in the US, UAE Economy Minister Sultan bin Saeed al-Mansoori told reporters at a conference in Abu Dhabi on 30 May.

The Brent crude price has not spent a sustained period above $60 a barrel since June 2015, when it started a decline to a 12-year low of $27 a barrel at the start of this year.

Prices have been boosted by the start of the US driving season and drops in output in Nigeria, Venezuela and Canada.

Decision-makers from oil producers’ group Opec are set to meet in Vienna on 2 June to discuss the continued low oil prices, but few analysts expect any agreements on cutting output.

Stay informed when you are on the move

All MEED subscribers have free access to the MEED app. Download it today, available on Apple and Android devices

A MEED Subscription...

Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.

Get Notifications