Oil Brent is projected to drop to $65/barrel in 2025 due to slow demand increase and rising supply. Global oil demand is expected to rise only by about 720,000 barrels/day, while supply could increase by up to 1.8 million barrels/day due to OPEC+ cuts. Upstream companies like PVD and PVS are expected to benefit from projects in Lot B and White Lion 2B, with profits projected to grow by 14% and 25% respectively in 2025. PVD will maintain high drilling rig utilization, while PVS will see strong revenue from a $1 billion EPC contract. Conversely, midstream companies like PLX and OIL will be affected by weak oil prices, likely reporting reduced profits. The LNG sector is also emphasized with power plant projects, but the shortfall in domestic LNG production is expected to last until Lot B begins operations in 2027.
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