US, WASHINGTON (ORDO NEWS) — Naguib Sawiris, chairman and CEO of Orascom Investment Holding, told CNBC in an interview that the fall in oil prices was a “calculated attempt” to kill the US shale industry.
According to the businessman, having unleashed a “price war” with Russia, Riyadh correctly assessed the long-term prospects.
At the same time, Saviris noted that even if the OPEC + deal had not been broken in March this year, oil prices would still have gone down due to a sharp decline in consumption, although, of course, there would not have been a fall to the critical level that was observed.
“I think it was calculated,” the businessman said. “I think they knew that this was supposed to happen, and they still wanted to do it, because after they eliminate the competitor, the price will rise above $ 50 or $ 60.
Therefore, I really believe that in 18 months, oil will reach $ 100.”
Meanwhile, while the oil market comes to life, fueled by hopes to remove the restrictions associated with the fight against coronavirus in Europe, and accordingly the restoration of demand.
The North Sea Brent mix is trading at around $ 30 per barrel, the US WTI – at $ 24 per barrel.
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