Goldman Sachs has slashed its oil price forecasts, citing rising OPEC+ supply and recession risks. Reuters reported on April 4 that Brent crude is now forecasted to average US$69 per barrel in 2024, down 5.5%, while WTI is projected at US$66, a 4.3% cut.
By 2026, Goldman expects Brent to fall further to US$62 and WTI to $59. Oil prices tumbled on Thursday, marking their steepest declines since 2022.
Stabroek Block profitable even if oil prices dropped by half | OilNOW
The drop followed U.S. President Donald Trump’s new tariffs on major economies and an unexpected decision by eight OPEC+ members to boost output in May.
Goldman Sachs said the rapid increase in supply reduced the chances of a price rebound in the short term. The bank also lowered its global oil demand growth forecast for 2024 from 900,000 barrels per day (bpd) to 600,000 bpd.
“We’re not worried” – Guyana VP on Trump’s new energy policies | OilNOW
Despite the downturn, Guyana’s oil sector remains resilient. Vice President Bharrat Jagdeo this week dismissed concerns that Trump’s energy policies could harm the country’s industry. ExxonMobil, which leads oil production in the Stabroek Block, operates six projects with low breakeven costs.
Bloomberg previously projected that Guyana’s offshore fields would stay profitable even if oil prices were halved. The country’s deepwater discoveries continue to position it as a key low-cost producer amid global price fluctuations.
