Big banks are rewriting plans. Oil will be even more expensive than they calculated – True

The British bank Barclays has revised its forecast for the price of North Sea Brent oil for this year and next, citing larger and persistent shortfalls in Russian oil supplies due to European Union sanctions. Citigroup also adjusted its oil price forecast, this time quarterly. TASR, SITA, Pravda, eko 06.06.2022 11:11 Photo: SITA / AP, Valentina Petrova Motorists not only in Slovakia, but throughout Europe feel an unpleasant increase in fuel prices. The former Czechoslovakia also experienced another energy shock: in January 1979, when the electricity system failed. Illustration photo. According to a Reuters report, Barclays said on Monday that it expects the average price of Brent oil to increase by USD 11 this year and by USD 23 per barrel (159 liters) next year. In both years, it assumes the price of oil at an average of USD 111 (EUR 103.45) per barrel. As for the US light oil WTI, Barclays calculates an average price of 108 USD / barrel in the same period. Barclays expects oil production in Russia to fall by 1.5 million barrels per day by the end of this year. At the same time, she added that she no longer counts on the normalization of stocks in the forecast period. According to the International Energy Agency (IEA), Europe was a destination for almost half of Russia’s exports of oil and oil products before Russia’s invasion of Ukraine. Read the interview Nafta Bartošovič, boss: We have discovered new gas deposits in Záhorie, also in the east. We are launching exploratory wells near Trnava The upward forecast was announced quarterly, the Citigroup bank also announced. It based its estimate on the fact that the increase in oil supplies from Iran to world markets was likely to be significantly delayed. The bank initially expected the end of sanctions against Iran to increase oil supplies to the market around the middle of this year. However, it now expects to release sanctions in the first quarter of next year. Citigroup therefore adjusted the price of Brent for the 2nd quarter to 113 USD / barrel. Compared to the previous estimate, this represents an increase of 14 USD / barrel.