A new study by OPEC predicts oil prices could stay in the $70-80 a barrel range for the next 10 years, according to a report expected to be presented at the International Energy Forum next week in Cancun, Mexico.
More than 60 countries will be represented at the IEF meeting on March 30th and 31st. The government of Mexico, along with Germany and Kuwait, are hosting the conference.
Reuters says the study is also expected to blame market speculation and the global economic crisis for oil price volatility.
The IEF conference will also include discussions about energy security, development and exploration, environment issues and strengthening dialogue between countries.
OPEC ministers inclusing Saudi Arabia’s H.E. Ali Ibrahim Al-Naimi and Iran’s H.E. Masoud Mir-Kazemi, along with non-OPEC Ministers from Brazil, Panama and Russia will attend the meeting. Daniel Poneman, the Deputy Secretary of Energy, will represent the United States.
Also attending will be executives from the major players in the oil industry. Exxon Mobil’s Rex Tillerson, ConocoPhillips John Austin Carrig, Royal Dutch Shell’s Peter Voser and Total’s Christophe de Margerie are among the CEOs confirmed to participate in a joint session with energy ministers.
Since the last time the IEF met in 2008, the price of oil has been on a wild ride. In July 2008, crude prices pushed to levels of $150 per barrel, only to slip as low as $40 in January 2009.
Now, as oil hovers around $80 per barrel, ministers face the challenge of assessing future demand for oil as the world pushes towards alternative energy sources.
Look for reports from the IEF from CNBC's Carl Quintanilla on Tuesday, March 30.