A quirk in global energy markets has created a stark geographic divide between the haves and the have nots, as a glut of natural gas in West Texas has produced negative prices while shortages loom over Europe and Asia amid the U.S. war on Iran.
Brent crude is seen averaging $85 per barrel this year, and West Texas Intermediate could see an average price of $79, Goldman Sachs commodity analysts said in a note released Sunday. They added that the supply loss from the crisis is going to peak at 17 million barrels daily.
Curious Minds Corner
Which company took over Alaska’s Prudhoe Bay oil fields in 2019?
Hilcorp acquired Prudhoe Bay from BP, the massive London-based multinational oil and gas company.