Crude Prices May Average $65-70 a Barrel This Year, Say Analysts

Falling prices likely to boost oil marketing companies' margins

- ARUNIMA BHARADWAJ

Crude oil prices are likely to average around $65-70 per barrel in the current year, with a potential to fall even lower in 2026 on weakening global demand and increase in supply, analysts say.

Crude oil prices have come down significantly recently, with Brent hovering around $60 per barrel on Monday. Prices declined as the Organization of the Petroleum Exporting Countries, led by Saudi Arabia, decided to increase output by another 411,000 barrels per day in June. The decision came a month after the grouping announced increasing production in May by the same amount. "Our projection is that crude prices may average $70 per barrel this year, which may decline and hover around $60 per barrel in 2026, but then OPEC will reduce supply correspondingly, which may result in prices bouncing back," said Manas Majumdar, partner and leader, oil and gas, PwC India.