GO
Loading...

Oil Prices Could Remain High All Summer, Energy Analyst Says

Monday, 2 Apr 2007 | 10:19 AM ET
Oil Barrels
Oil Barrels

David Kirsch, market intelligence service manager for PFC Energy, told CNBC’s “Squawk Box” that he expects oil to trade at $65 to $70 a barrel throughout the summer.

He said preliminary indications of a framework for resolving the standoff between Iran and Great Britain over the recent seizure of 15 English sailors have eased prices a little, but a strike could shut down Nigerian oil production and send prices higher.

“We’re seeing a buildup of tensions within Iraq and at UN Security Council,” Kirsch said Monday. “I think this underscores the rift between the West and Iran. Incidents like this could continue to bubble up in the coming weeks and months.”

Oil & Iran
Crude prices are pulling back slightly this morning, but tensions with Iran are not backing down. David Kirsch, PFC Energy analyst, shares his oil outlook with CNBC's Carl Quintanilla.

Kirsch said the scheduled April 21 presidential election in Nigeria could be cancelled. Not enough ballots have been printed and Adebayo Adefarati of the Alliance for Democracy party, an opposition candidate, recently died.

If the current president declares a state of emergency and cancels the balloting, this could lead to a nationwide general strike or a strike by oil workers that will halt production, Kirsch said.

Featured

Contact Squawk Box

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    › Learn More
  • Showtimes

    U.S.
    Weekdays 6a ET
    EMEA
    Weekdays 13:00 CET
    Asia
    Weekdays 18:00 SIN/HK
    Australia
    Weekdays 20:00 SYD
    New Zealand
    Weekdays 22:00 NZ
  • Joe Kernen is co-anchor of "Squawk Box," CNBC's signature morning program.

  • Becky Quick is co-anchor of "Squawk Box," CNBC's signature morning program. She's also a columnist for Fortune.

  • Andrew Ross Sorkin is a co-anchor of "Squawk Box," a financial columnist for "The New York Times" and the editor-at-large of NYT's DealBook.