Oil price could reach $250 by next year, says AAA-rated manager

Citywire AAA-rated Nicolas Komilikis of Amiral Gestion believes it is incredibly unlikely that the oil price will go down and says $250 a barrel by next year is not beyond the realms of reason.

Contrary to the views of Dr Hendrik Leber of German boutique Acatis, who thinks there is a correction looming and that the oil price could fall to $50 in the next two years, and BlackRock CIO Bob Doll, Komilikis believes the oil price will remain high due to supply-side pressures and the strong depletion of oil reserves. ‘We need to fill the decrease that is coming from depletion. This is why production hasn’t increased since May 2005,’ he says.


Country by country it is difficult to see where the growth in production is going to come from,’ he says.

Komilikis manages the Sextant Autour du Monde and Sextant PEA funds alongside Dominique Fiere and AA-rated duo Francois Badelon and Julien Lepage, at Paris-based boutique Amiral Gestion. Alongside Badelon he also manages the Sextant Peak Oil fund, which was launched in January and aims to capitalise on the appreciation of oil, gas, coal, uranium and nuclear energy based on the premise that global oil demand will soon outstrip sustainable production capacity.

He highlights decreases in Norway and Mexico and is also wary that Russia, which he says has been one of the only growth areas among non-OPEC countries, may have reached its peak in terms of production.

Citywire