ConocoPhillips Predicts Oil Prices Near $70 and Rising Demand

ConocoPhillips CEO Ryan Lance forecasts that oil prices may stabilize near $70 per barrel, with the mid-cycle price of West Texas Intermediate (WTI) crude projected between $65 and $70. Speaking at the Energy Intelligence Forum in London, Lance noted that the global oil market has remained resilient despite recent geopolitical tensions, particularly in the Middle East.

Lance anticipates that U.S. oil production could surpass 14 million barrels per day, possibly reaching up to 14.5 million barrels daily, if current price levels are sustained. This growth potential underscores the strong link between crude oil prices and the expansion of U.S. supply, with higher prices making more projects economically viable and encouraging new investments in exploration and production.

On the demand side, Lance estimates that global oil demand may not fully recover until 2028 or 2029. However, he believes that demand will continue to rise beyond that point, raising questions about the availability of additional supply to meet future growth. ConocoPhillips is focusing its investments on upstream activities, prioritizing exploration and production over midstream transportation and storage.

The company’s strategy reflects an expectation that oil will remain a key part of the global energy mix, with prices finding a floor near $70 per barrel and demand resuming growth in the coming years. This outlook highlights the industry’s need to develop new sources of conventional production to meet future market needs.