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Bloomberg
Russia sees oil prices averaging $50 to $55 a barrel in 2021 as the development of Covid-19 vaccines spurs an economic recovery, said Energy Minister Alexander Novak.
That would be an improvement from this year and enough to cover Russia’s budget, but still well below pre-pandemic levels and too low for many of Moscow’s OPEC+ allies.
“Globally, big work on vaccination is being done†and the global economy is rebounding as countries
relax their restrictions, Novak said in a speech at the online Global Manufacturing and Industrialisation Summit. “Demand will be growing†even as uncertainties remain on the oil market, he said.
Brent crude, the international benchmark, has traded
near $45 for several months, rebounding from a deep slump after Russia and its allies in the Organization of Petroleum Exporting Countries made historic production cuts.
Novak did not rule out the possibility that prices could climb to $65 next year, as predicted by Goldman Sachs Group Inc, but he also warned against letting them rise too fast.