Oil Prices Unlikely To Change Much In ‘98

Crude oil prices are likely to average about $18 a barrel next year barring major disruptions to supply, according to the United Nations World Economic Report.

Without disruptions “and assuming Iraq continues to export oil as in 1997, oil prices in 1998 are expected to remain within a range of $17 to $20 a barrel, averaging about $18 a barrel for the year,” the report said.

The forecast was based on the basket price for OPEC crude oils, which has averaged $18.80 a barrel so far this year and was pegged at $16.66 a barrel yesterday.

In comparison, crude oil futures on the New York Mercantile Exchange have averaged $20.71 a barrel so far this year and were recently $18.22 a barrel.