The global oil industry continues to look relatively tight in demand, the official says Tuesday.
We see a very tight oil market, but demand doesn't change very easily due to what OPEC has done. Jeremy Weir said at the FT Commodities Asian Summit.
During the global crude benchmark, Brent has recovered 60% since the start of the year, a trading value of 80 dollars a barrel at the world's highest level, a balance of power is lost in the pandemic, however the economies continue to grow from the crisis and rise.
The Organization of Petroleum Exporting Countries has a stable supply chain that doesn't continue to restrict production. The market structure called backwardation indicates high demand-skilled supply as long as the Oil Exporting Countries and allies continue to restrict exporting.
Many OPEC members probably can quickly grow supply, Weir said.
"I think people need to recognize that there's not a situation where you flick the switch and you add production."
"I think it's all of a question that's about oil prices on long-term basis, I think $100 + on oil... it's very possible."