The Strategist

Vitol expects oil prices to rise to $100 in second half of 2022

02/27/2023 - 13:45

According to Vitol Group CEO Russell Hardy, oil prices could hit $90-100 per barrel in the second half of the year.

"It's anticipated that demand will increase to record levels in the second part of the year. The possibility of higher prices in the $90-100 range in the second part of the year seems plausible," said Mr. Hardy.

Brent prices have been ranging between $83 and $84 per barrel since the beginning of the year.

As demand for the majority of oil products surpassed pre-pandemic levels, Mr. Hardy forecasted that oil stock levels would start to decline in a few months. The rise in air travel has increased demand in especially for jet fuel.

The crisis in Ukraine and the sanctions against Russia, according to Mr. Hardy, have caused some logistical challenges, but stocks in Europe are at a comfortable level.