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2023 Oil Preview: Show Me the Barrels

Calgary, Alberta (January 10, 2023) — Enverus Intelligence Research (EIR), a subsidiary of Enverus, the most trusted energy-dedicated SaaS platform, has released its latest oil preview focused on drivers for oil prices in 2023, near-term global oil demand and supply, inflationary impacts and emerging market conditions.

EIR’s constructive view on oil prices is driven by an interplay of policy, investment and geopolitical drivers, which will keep global oil supply tight through 2023 and beyond, pinning oil prices toward the top end of the post-COVID-19 range.

“Looking forwards to 2023, we see more reasons to be bullish oil prices than bearish, with global oil supply constraints set to keep balances tight despite a pronounced global economic downturn,” said Bill Farren-Price, director of EIR. However, Farren-Price noted that high prices amid a spluttering global economy engender longer-term risks for oil, since counter-cyclical high prices could deepen and prolong an economic recession.

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Key takeaways from the report:

Oil supply tightness means EIR is bullish on prices heading into 2023, despite considerable economic headwinds that accompany a disjointed COVID-19 recovery, geopolitical crises and a historic tightening phase for G7 monetary policy. As of December, EIR forecasts Brent at $93/bbl in 1Q23, rising to $108 in 4Q23 (Appendix 1).

Sanctions on Russian oil exports will create a net loss to the market at a time when OPEC+ has pivoted toward supply management again. OPEC production capacity remains at historically low levels, giving limited scope to offset any unexpected loss of supply elsewhere. These three factors alone should ensure that oil prices gravitate toward the higher end of the post-COVID-19 range in 2023.

As U.S. oil supply growth establishes a lower trend around 0.5 MMbbl/d per year and the NOCAR (non-OPEC, Canada, America and Russia) supply wedge stays flat until mid-decade, it is hard to see how supply will meet some agencies’ more bullish estimates for demand growth in 2023 and the years beyond without oil prices higher than the current strip. Geopolitical risk in the Arabian Gulf and Central Asia compounds EIR’s view that supply risks remain to the downside.

Members of the media should contact Jon Haubert to schedule an interview with one of Enverus’ expert analysts.

About EnverusEnverus is the most trusted, energy-dedicated SaaS platform, offering real-time access to analytics, insights and benchmark cost and revenue data sourced from our partnerships to 98% of U.S. energy producers, and more than 35,000 suppliers. Our platform, with intelligent connections, drives more efficient production and distribution, capital allocation, renewable energy development, investment and sourcing, and our experienced industry experts support our customers through thought leadership, consulting and technology innovations. We provide intelligence across the energy ecosystem: renewables, oil and gas, financial institutions, and power and utilities, with more than 6,000 customers in 50 countries. Learn more at

About Enverus Intelligence ResearchEnverus Intelligence Research, Inc. is a subsidiary of Enverus and publishes energy-sector research that focuses on the oil and natural gas industries and broader energy topics including publicly traded and privately held oil, gas, midstream and other energy industry companies, basin studies (including characteristics, activity, infrastructure, etc.), commodity pricing forecasts, global macroeconomics and geopolitical matters. Enverus Intelligence Research, Inc. is registered with the U.S. Securities and Exchange Commission as a foreign investment adviser.

Media Contact: Jon Haubert | 303.396.5996The post 2023 Oil Preview: Show Me the Barrels first appeared on Enverus.
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