EIA Chief Sees High Oil Prices for 2-3 Yrs, Eyes Chinese Demand

Crude oil prices are likely to remain high at about $50 per barrel for two to three years before going down in the longer term, but uncertainty about China’s growing demand may change the short-term outlook, a top U.S. energy research official says.

Guy Caruso, administrator of the U.S. Energy Department Energy Information Agency, told Kyodo News in an interview that higher oil and energy prices will have a “dampening effect” on global economic growth although the impact has not yet been visible.

“I would say, we don’t expect $50 oil to stay over the long term, but will stay over the next two to three years,” he said.