Beautiful Virgin Islands

Thursday, Jul 31, 2025

Oil likely to hit $100 as worries of supply disruptions, limited spare capacity rise

Oil likely to hit $100 as worries of supply disruptions, limited spare capacity rise

Oil prices are most likely heading towards $100 a barrel on Feb.22. as worries over supply disruptions mount at a time of increased demand.
"We are heading to a possible strong $100 market on a combination of limited supply options and threat of war, which possibly will destabilize other regions too," said Cyril Widdershoven, an energy, commodities and security advisor based in the Netherlands.

As fears of a supply shortage due to Russian aggression grew, the price of Brent crude oil futures contracts April delivery on London's ICE rose by 4.18 percent to $99.38 on Tuesday morning, the highest since 2014.

West Texas Intermediate rose as much as 4.4 percent to $94.65 a barrel.

Brent went back to $96 later in the day and WTI traded at $92, but the bullish sentiment is still there.

"The main reason for the current rise in prices is clear. Demand is still showing strong growth, inspired also by relaxation of COVID measures especially when the summer season is approaching. At the same time OPEC+ is underproducing due to production issues in many members of the group including Russia," Widdershoven told Arab News.

"There are worries in the market that spare production capacity is low or non existing as investments have been down in upstream for almost 10 years, which also limited the increased surge of shale oil," he added.

Oil has been trading at record highs in recent days due to concerns of possible disruptions in supply that may happen if Russia invades Ukraine.

However, Moscow repeatedly denied the possibility of a military incursion, giving hope that oil prices will stabilize.

Alongside this unprecedented rise in oil prices, Germany halted the Nord Stream 2 Baltic Sea gas pipeline project, which is considered Europe's most divisive energy project, worth $11 billion.

The Nord Stream 2 Baltic Sea gas pipeline project was designed to double the flow of Russian gas direct to Germany. Even though the project was completed in September 2021, it has been idle due to the non-receipt of certification by Germany and the EU.

Russia makes up for a third of Europe's natural gas production, and 10 percent of the global oil production. Oil prices could further fluctuate and rise in the coming days as a third of Russian gas supplies to Europe are traveling through Ukraine.
Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
Former Judge Charged After Drunk Driving Crash Kills Comedian in Brazil
Jeff Bezos hasn’t paid a dollar in taxes for decades. He makes billions and pays $0 in taxes, LEGALLY
China Increases Use of Exit Bans Amid Rising U.S. Tensions
IMF Upgrades Global Growth Forecast as Weaker Dollar Supports Outlook
Procter & Gamble to Raise U.S. Prices to Offset One‑Billion‑Dollar Tariff Cost
House Republicans Move to Defund OECD Over Global Tax Dispute
Botswana Seeks Controlling Stake in De Beers as Anglo American Prepares Exit
Trump Administration Proposes Repeal of Obama‑Era Endangerment Finding, Dismantling Regulatory Basis for CO₂ Emissions Limits
France Opens Criminal Investigation into X Over Algorithm Manipulation Allegations
A family has been arrested in the UK for displaying the British flag
Mel Gibson refuses to work with Robert De Niro, saying, "Keep that woke clown away from me."
Trump Steamrolls EU in Landmark Trade Win: US–EU Trade Deal Imposes 15% Tariff on European Imports
ChatGPT CEO Sam Altman says people share personal info with ChatGPT but don’t know chats can be used as court evidence in legal cases.
The British propaganda channel BBC News lies again.
Deputy attorney general's second day of meeting with Ghislaine Maxwell has concluded
Controversial March in Switzerland Features Men Dressed in Nazi Uniforms
Politics is a good business: Barack Obama’s Reported Net Worth Growth, 1990–2025
Thai Civilian Death Toll Rises to 12 in Cambodian Cross-Border Attacks
TSUNAMI: Trump Just Crossed the Rubicon—And There’s No Turning Back
Over 120 Criminal Cases Dismissed in Boston Amid Public Defender Shortage
UN's Top Court Declares Environmental Protection a Legal Obligation Under International Law
"Crazy Thing": OpenAI's Sam Altman Warns Of AI Voice Fraud Crisis In Banking
The Podcaster Who Accidentally Revealed He Earns Over $10 Million a Year
Trump Announces $550 Billion Japanese Investment and New Trade Agreements with Indonesia and the Philippines
US Treasury Secretary Calls for Institutional Review of Federal Reserve Amid AI‑Driven Growth Expectations
UK Government Considers Dropping Demand for Apple Encryption Backdoor
Severe Flooding in South Korea Claims Lives Amid Ongoing Rescue Operations
Japanese Man Discovers Family Connection Through DNA Testing After Decades of Separation
Russia Signals Openness to Ukraine Peace Talks Amid Escalating Drone Warfare
Switzerland Implements Ban on Mammography Screening
Japanese Prime Minister Vows to Stay After Coalition Loses Upper House Majority
Pogacar Extends Dominance with Stage Fifteen Triumph at Tour de France
CEO Resigns Amid Controversy Over Relationship with HR Executive
Man Dies After Being Pulled Into MRI Machine Due to Metal Chain in New York Clinic
NVIDIA Achieves $4 Trillion Valuation Amid AI Demand
US Revokes Visas of Brazilian Corrupted Judges Amid Fake Bolsonaro Investigation
U.S. Congress Approves Rescissions Act Cutting Federal Funding for NPR and PBS
North Korea Restricts Foreign Tourist Access to New Seaside Resort
Brazil's Supreme Court Imposes Radical Restrictions on Former President Bolsonaro
Centrist Criticism of von der Leyen Resurfaces as she Survives EU Confidence Vote
Judge Criticizes DOJ Over Secrecy in Dropping Charges Against Gang Leader
Apple Closes $16.5 Billion Tax Dispute With Ireland
Von der Leyen Faces Setback Over €2 Trillion EU Budget Proposal
UK and Germany Collaborate on Global Military Equipment Sales
Trump Plans Over 10% Tariffs on African and Caribbean Nations
Flying Taxi CEO Reclaims Billionaire Status After Stock Surge
Epstein Files Deepen Republican Party Divide
Zuckerberg Faces $8 Billion Privacy Lawsuit From Meta Shareholders
FIFA Pressured to Rethink World Cup Calendar Due to Climate Change
SpaceX Nears $400 Billion Valuation With New Share Sale
×