30 minutes ago“Oil and gas prices may remain high by September”
Periskopi(an hour ago)
(an hour ago)Americans should expect high oil and gas prices by the end of summer, even if Hormuz Strait reopens soon, Rapidan Energy President Bob McNally said today, writes CNN.
“Amortizers from which the global oil market has benefited in March, April and May are starting to wear out”, he warned during a performance on the “Thisis Week” ABC News show.
One of these amortizers is the US strategic reserve, which is rapidly drying through global disruptions of the war-related oil supply in Iran. The supply was lowered by 7.9 million more barrels between May 29th and June 5th, according to the Energy Information Administration.
Details remain unclear whether a peace agreement with Iran will be signed, though President Donald Trump had signalled that an agreement would be finalised by Sunday.
McNally noted that <x0fta will flow” if the US and Iran reach an agreement that will stay in place. Otherwise, oil prices could go up in the middle of the range of over $100 dollars per barrel and gas prices in the United States, which have steadily dropped in recent weeks, could reach a new $5 billion track record.
The average national price of gasoline fell to $4.07 for gallons Sunday, according to the AAA.
High prices have decreased somewhat since they climbed over $100 a barrel in March. Brant, the global standard of reference, was shut down at $82.25 on Friday, while American oil was shut down at $84.29 (U.S.) at a drop of 0.4% and 0.7% respectively.
The restoration of the Hormuz Strait, through which about one fifth of the world's oil flow passes, is considered crucial to ending the largest oil supply break in history. McNally stressed that more than a billion barrels of oil have been lost because of the war.
