U.S. sanctions on Iran’s energy industry, when they come into effect in November, could potentially drive oil prices above $100 per barrel, according to an industry expert.
U.S. West Texas Intermediate crude oil futures traded at about $68 per barrel on Tuesday, while Brent crude futures sat at nearly $78.
“If there was not that set of sanctions, I think prices would go to $70 or even a little bit lower. But now the sanctions threat is real and less than two months in front of us, that will transform the market into much higher prices,” Fereidun Fesharaki, founder and chairman of consultancy FACTS Global Energy, told CNBC’s Akiko Fujita at the CLSA Investors’ Forum in Hong Kong.
