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An oil CEO says crude prices could surge 90% to $70 by fall because US firms have 'over-cut production'

FILE PHOTO: The sun sets behind an oil pump outside Saint-Fiacre, near Paris, France September 17, 2019. REUTERS/Christian Hartmann Reuters
  • West Texas Intermediate could explode 90% from current levels and reach as high as $70 a barrel by fall this year, according to the CEO of oil drilling company Canary. 
  • Dan Eberhart told Markets Insider US oil producers will see a "mini-supply shock" in Autumn as they have "over-cut production." 
  • The OPEC is meeting on Thursday to discuss extending production cuts, although there are reports the meeting will be postponed.
  • Eberhart doesn't think any extension will help support prices, as OPEC members had only a 74% compliance rate on cuts in May, according to a Reuters survey. 
  • Eberhart expects OPEC's compliance with cuts to fall further to about 50%. 
  • Track price of oil live on Markets Insider. 
  • Visit Business Insider's homepage for more stories.
The CEO of an oil drilling company thinks the US oil market is headed for a "mini-supply shock" with US oil prices braced to rise over 90% to $70 a barrel by the fall as the US has "over-cut production."
Dan Eberhart, chief executive of Canary Drilling Services told Markets Insider: "When US production numbers comes out, we are going to find out the US producers have cut more production than they needed to so there is going to be a mini supply shock for the US oil market."See the rest of the story at Business Insider
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* This article was originally published here Press Release Distribution


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