Executive director of the International Energy Agency says low price is causing oil companies big problems
The executive director of the International Energy Agency, Fatih Birol, expects the price of crude oil to stay at around $45 a barrel "for a long time", he said in a newspaper interview published on Tuesday.
When asked by Austrian newspaper Kurier whether prices would ever exceed $100 a barrel again, Birol said: "I can only say that the oil price will remain low for some quarters."
"Forty five dollars a barrel will remain the price for a long time," he was quoted as saying.
Benchmark Brent crude futures were unchanged at $47.34 a barrel at 0615 GMT, while WTI crude futures were down 2 cents at $44.41 per barrel.
"Cheap oil is causing oil companies big problems," Birol said. "This year, they have reduced their investments by a fifth. Never in the history of these companies has there been an annual reduction as strong as this year."For all the latest energy and oil news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.