West Texas Intermediate’s futures trade was actually in negative territory this week, which means traders were paying people to remove the oil.
Jay Young has worked and written in the petroleum industry since the early 1980s.
Young predicts that Brent crude prices will almost double by the end of the summer or early fall.
He said that fracking has flooded the US market with new oil, followed by OPEC and OPEC Plus countries that have put more oil there, further driving prices down. All of this has been exacerbated by the current collapse in demand.
He says that with Brent in the $ 20 a barrel range, many wells are closed and just won’t produce.