BAKU, Azerbaijan, February 11. Brent crude is expected to average $77 per barrel in early 2025 before falling to $72 by December, said the U.S. Energy Information Administration (EIA) in its recent outlook, Trend reports.
Furthermore, the average price is projected at $74 per barrel for 2025 and $66 per barrel in 2026.
Brent crude oil prices averaged $79 per barrel in January, up $5 from December, driven by new sanctions on Russian oil shipments. However, prices gradually declined as concerns over weak global demand and oversupply resurfaced, with Brent starting February at around $76 per barrel.
The EIA does not anticipate major disruptions to global oil supply from recent U.S. tariffs on China or potential trade shifts due to sanctions on Russia. While the latest sanctions are expected to slightly reduce Russia’s oil production, they will primarily alter global trade flows rather than impact overall supply.
OPEC+ production cuts are projected to reduce global oil inventories by 0.5 mb/d in the first quarter of 2025, but inventories are expected to rise once the group increases output starting in April. The EIA forecasts a buildup of 0.9 mb/d in the second half of 2025 and 1 mb/d in 2026, leading to a decline in oil prices.