22 C
Georgetown
Thursday, November 26, 2020

Oil prices projected to hit $60-$80 per barrel by 2020

Must Read

Tullow says Suriname well campaign on schedule for Q1 2021

Preparations are on schedule for the first well targeted for 2021 by Tullow Oil in the highly prospective Suriname...

Guyana is now the destination of choice for oil and gas companies, investment chief says

Investors and governments from around the world have been discussing various opportunities with Guyanese authorities in recent months that...

Bulk of oil supply next 20 years will come from ‘advantaged barrels’ – Guyana now has over 9 billion

Whatever the pace of the energy transition, the world will still rely on oil and gas for much of its...
OilNOW
OilNow is an online-based Information and Resource Centre which serves to complement the work of all stakeholders in the oil and gas sector in Guyana.

There is clear consensus that oil prices will be in the $50-60 per barrel range this year, and within the $60-80 per barrel range in 2020, according to a new survey from Wood Mackenzie.

This projection bodes well for the industry in general, and new frontiers such as the South American country of Guyana, set to begin oil production by 2020. An estimated 2 billion barrels of high quality crude has been discovered by ExxonMobil and its partners 120 miles offshore the country.

At the upward price of $80 per barrel, this would give the crude discovered so far a value of approximately $160B.

The survey, which analyzed the responses of 170 industry professionals, revealed that priorities for 2017 are focused on protecting dividends and strengthening balance sheets.

Higher risk investments, such as deepwater projects, are being screened at higher hurdle rates by the industry, according to the report, which suggested that lower risk investments, like asset M&A, are most likely to be pursued by the sector.

“The industry is very cautious right now and risk appetite is low,” Martin Kelly, Wood Mackenzie’s head of corporate analysis, said in a statement sent to Rigzone.

Wood Mackenzie’s oil price prediction is in line with a recent poll conducted by Rigzone, which placed the price of Brent Crude Oil at around $60 per barrel by the end of the year.

Source: Rigzone, with additional reporting by OilNOW.

- Advertisement -

Latest News

Tullow says Suriname well campaign on schedule for Q1 2021

Preparations are on schedule for the first well targeted for 2021 by Tullow Oil in the highly prospective Suriname...

Maduro seeking meeting with T&T gov’t officials, report says

The Government of Venezuela has invited Trinidad and Tobago (T&T) Government officials to a meeting to discuss matters between the two countries, the Trinidad...

Bulk of oil supply next 20 years will come from ‘advantaged barrels’ – Guyana now has over 9 billion

Whatever the pace of the energy transition, the world will still rely on oil and gas for much of its energy needs until well beyond...

Guyana is now the destination of choice for oil and gas companies, investment chief says

Investors and governments from around the world have been discussing various opportunities with Guyanese authorities in recent months that could potentially see hundreds of...

Guyana’s President addresses Suriname’s National Assembly

Guyana’s President, Dr. Irfaan Ali delivered an address this week at the Extraordinary Session of the National Assembly of the Republic of Suriname on...

More Articles Like This