Executives from oil and gas companies have shared their predictions for the future of West Texas Intermediate (WTI) crude oil prices, as part of the recent fourth-quarter Dallas Fed Energy Survey.
According to the survey, which included responses from 131 oil and gas firms, the average forecast for the WTI price at the end of 2025 is $71.13 per barrel. The highest projection stands at $100 per barrel, while the lowest is $53 per barrel. At the time of the survey, the spot price was recorded at $70.66 per barrel.
This question, however, was not part of the third-quarter survey, which asked executives to estimate the WTI price at the end of 2024. In that survey, 134 firms predicted an average price of $72.66 per barrel for 2024.
The latest Dallas Fed Energy Survey also inquired about expected prices at different time intervals. Respondents from 124 firms gave the following projections: $69 per barrel in six months, $71 per barrel in one year, $74 per barrel in two years, and $80 per barrel in five years.
In comparison, executives from 119 firms who participated in the third-quarter survey predicted WTI prices to be $73 per barrel in six months, $76 per barrel in one year, $81 per barrel in two years, and $87 per barrel in five years.
The survey also highlighted several comments from executives regarding oil prices. One exploration and production firm noted that “crude oil prices are headed down,” while another mentioned that their production had decreased due to increased costs and the expectation of lower prices.
An oil and gas support services firm commented on the role of international politics, saying, “As always, international politics play havoc with the price of oil … For now, oil seems to be stable, but that could change at any time.”
Another company warned that a significant drop in WTI prices below $65 per barrel could negatively impact the oilfield services sector, stating, “‘Drill, baby, drill’ will not be positive for the oilfield services space if WTI drops below $65 per barrel for a substantial period.”
Rigzone has reached out to the Trump transition team for comment on this statement, but has not yet received a response.
In related news, the U.S. Energy Information Administration (EIA) recently lowered its WTI price forecast for 2025. In its December Short-Term Energy Outlook (STEO), the EIA revised its projection for the WTI spot price, expecting it to average $69.12 per barrel in 2025, down from the previous forecast of $71.60 per barrel made in November. The EIA’s next STEO will be released on January 14.
The Dallas Fed Energy Survey is conducted quarterly, gathering insights from around 200 oil and gas companies based in the Eleventh District, which includes Texas, southern New Mexico, and northern Louisiana. These firms operate at regional, national, and international levels.
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