OPEC expects Brent oil to average $155 per barrel in 2040
OPEC raised its forecast for global oil demand next year and through the end of the decade, anticipating that cheaper crude will spur consumption even as economic growth slows.
The slowdown in investment should eventually help prices recover, even if at a slower rate than OPEC had expected previously.
OPEC baseline scenario sees crude rising to $60 per barrel in 2021 and $92 in 2040 in constant 2015 dollars ($65 and $155 in current prices).
The group assumes crude will average $40 a barrel in 2016, and it raised its projected price by $5 a barrel in each of the following years through 2020. Brent has averaged about $44 a barrel so far this year.
OPEC's basket of crude oils is assumed in the report at $65 in 2021. Last year, it was assumed to reach $80 by 2020.
The OPEC Basket is a weighted average of prices for petroleum blends produced by OPEC members.