Brent seen plunging to $ 45 in 2018 - Vitol

Speaking at the Oil & Money conference in London late-Wednesday, Ian Taylor, Chief Executive Officer at Vitol Group, the world’s largest oil trader, noted that he sees Brent oil prices tumbling more-than 20% in 2018.

Key Quotes:

There’s currently a consensus in the industry that prices will go higher, but that such an unanimity “can be dangerous.”

“We are all expecting a little bit of tightening to come through because we all see demand growing next year at a pretty good rate, we all expect OPEC to hold together and we expect probably the capital discipline to [remain in place].”

“So it’s guaranteed we are all going to be wrong. And I think there’s a chance oil could fall closer to $40 than $50, because I think there’s still one more big surge coming from U.S., which will knock prices down.”