On Friday, oil prices climbed above $85 a barrel for the first time in three years, owing to expectations of a supply shortage in the coming months, as rising gas and coal prices encourage people to switch to oil-based products.

At 0930 GMT, Brent crude futures were up 80 cents, or 0.95%, to $84.80 per barrel. Front-month prices, which hit an all-time high of $85.10 earlier this week, are projected to rise for the sixth week in a row, with a 3% increase expected this week. WTI crude futures in the United States also increased 73 cents, or 0.9%, to $82.04 a barrel. The contract is expected to gain 3.3% this week, marking the ninth consecutive week of gains.

According to analysts, OECD oil reserves have plummeted to their lowest level since 2015. With the recovery from the Covid-19 pandemic, demand has increased, with a boost from industry switching from expensive gas and coal to fuel oil and diesel for power.

In a nature, a Senior Analyst at Oanda, Jeffrey Halley, said: “The fact that Asian markets are content to chase prices higher at weekly highs, instead of lurking on price dips, is a strong signal that energy demand remains robust.”