Oil to hit $200 a barrel despite rising supply

Qatar’s energy minister is the latest Middle Eastern expert to predict fuel prices will hit new records

Qatar, the resources-rich nation, has added its voice to warnings that the price of oil will hit $200 a barrel despite record levels of production among Gulf countries last month.

Qatar’s energy minister, Abdullah bin Hamad al-Attiyah’s comments echoed those of Opec’s president, Chakib Khelil, who said on Monday that economic factors could drive oil to $200.


The oil price reached nearly $120 at the start of the week and analysts are concerned that an influx of investment money from speculators could push it higher. The price eased to $115 today but is still up more than 20 per cent this year.

Prices have increased despite falling demand in the US and increased supply in the Gulf. The United Arab Emirates pumped its largest ever quantity of oil in February at 2.716 million barrels a day, up from 2.700 the month before. Kuwait and Qatar also pumped record amounts and Iran was at maximum output.

Times of London