Patrick Pouyanné, the CEO of French supermajor TotalEnergies, told RTL France radio that worldwide crude oil prices will remain high for a while as global oil demand continues to expand despite low new investment in production.
“I’ve no good news to deliver, oil prices will remain high,” he said.
Pouyanné also announced that from February 14, TotalEnergies will distribute “gas vouchers” worth $114 (100 euros) to lower-income clients in France to help them cope with rising energy costs.
Higher oil prices, which are presently trading at $90 per barrel, have exacerbated Europe’s energy crisis, which has seen gas and electricity costs rise, as well as consumer bills, in recent months.
Pouyanné’s prediction that oil prices will stay high is backed up by a slew of other industry leaders and analysts. An increasing number of investment banks are positive on oil due to tighter market balances and dwindling spare production capacity. Goldman Sachs, Bank of America, JP Morgan, and Morgan Stanley are among the major Wall Street firms that believe oil prices will approach $100 per barrel this year.