EIA sees Brent oil prices rebounding to US$76/barrel in 2017

[NEW YORK] The price of Brent crude oil should rebound in the next year to about US$76 a barrel as consumption continues to increase in coming years, a key US energy agency said on Wednesday.

The US Energy Information Administration anticipates increased growth in fuel consumption, largely through growth in emerging economies in Asia, the Middle East and Africa, it said in an international outlook for the energy market.

This is the first EIA International Energy Outlook report since September 2014. The EIA said that due to the glut of supply, it expects the spread between US crude and Brent to remain between US$0 and US$10 a barrel.

The EIA said it expects liquids production to grow by 30.5 million barrels/day by 2040. It said world GDP growth should average 3.3 per cent in the next 25 years, largely due to stronger economic growth in emerging nations.

REUTERS