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Tue 29 Sep 2015 12:32 PM

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Global energy chief expects $45 oil "for a long time"

Executive director of the International Energy Agency says low price is causing oil companies big problems

Global energy chief expects $45 oil "for a long time"

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."

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