Eni CEO: If the Middle East conflict continues, the oil market may break through the current range in early 2027

Claudio Descalzi, CEO of Italy's state-controlled Eni Group, stated that if the Middle East conflict persists, the global oil market will most likely break through the current range of approximately $80 to $100 per barrel by the first quarter of 2027 at the latest, pushing up inflation and reducing energy demand.

In an interview published by *Il Sole 24 Ore* on Saturday, Descalzi said that the release of strategic reserves has so far helped keep crude oil prices roughly within that range, but this strategy is facing increasing risks as global reserves are limited. "The long-term solution is to enhance energy security by diversifying supply sources and routes," he said.

Descalzi noted that due to disruptions related to the Iran war that broke out at the end of February, global oil inventories have been declining by an average of 3.8 million barrels per day, accelerating to an average of 4.6 million barrels per day in May. He said countries should focus on producers in North Africa, Sub-Saharan Africa, Latin America, and Southeast Asia while reducing reliance on controlled sea lanes. (Jinshi)