MOSCOW, Apr 1 (PRIME) -- The world faced the largest energy crisis in recent history in March, while its peak is expected in April–June, Dmitry Marinchenko, senior director of the natural resources and commodities group at Fitch Ratings, told PRIME on Wednesday.
“The second quarter will be the most difficult – demand will continue to fall due to quarantine, which covers an increasing number of countries. The situation will be aggravated by increased production in Saudi Arabia and other OPEC states – after Moscow’s refusal to reduce production Riyadh is declaring its determination to increase its market share,” Marinchenko said.
“Due to the large-scale overproduction of oil, storage facilities around the world can be filled to the limit, and some producers will have to reduce production – this is the largest energy crisis in recent history,” he said.
Marinchenko expects that oil prices may begin to recover only in the third quarter if the global epidemiological situation improves.
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