US Energy Department lowers forecast for Brent oil price of in 2026 to $94.85 per barrel

MOSCOW, May 12. /TASS/. The US Department of Energy has slightly lowered its forecast for the average price of Brent crude oil in 2026 by 1.2%, to $94.85 per barrel from $96 per barrel, as follows from a report by the department's Energy Information Administration (EIA). According to the report, the average Brent crude oil price in 2027 will average $79.39 per barrel. The Department of Energy notes that production disruptions in the Middle East are leading to a significant reduction in oil inventories, particularly in May and June, limiting downward pressure on oil prices even after shipping through the Strait of Hormuz reopens. "Because this month we assume both a later reopening of the Strait of Hormuz and a longer recovery period for shut-in oil production, we forecast global oil inventories will decrease by 2.6 million b/d this year, compared with a 0.3 million b/d decrease in last month’s forecast," the report says.