Goldman Sachs Group, Inc. has raised its forecast for 2009 for the price of Brent (North Sea) crude oil by 12%, to $50.20/barrel. The company attributes the rise to OPEC production cuts, slowing production in non-OPEC countries, and lower demand, which have forced prices back up.  If you have watched our own count of weekly rig counts, you know what is happening on the supply-side of the equation.  Goldman believes Brent crude will average “at least” $50-$60/barrel in the last six months of 2009. The company did not provide a forecast for the price of WTI, the benchmark US crude.

Paul Ausick
April 1, 2009