The oil market will face a supply shortage by the end of 2025 as the world fails to replace current crude reserves fast enough, Occidental CEO Vicki Hollub told CNBC on Monday.
For now, the market is oversupplied, which has held oil prices down despite the current conflict in the Middle East, Hollub said.
But the supply and demand outlook will flip by the end of 2025, Hollub said.
The forecast implies a supply deficit unless OPEC ditches current production cuts and boosts its own output.
Hollub told CNBC in December that Occidental expects WTI to average around $80 in 2024.
Persons:
Vicki Hollub, Hollub, CNBC's Tyler Mathisen, WTI, Brent
Organizations:
CNBC, Smead Investor Oasis Conference, West Texas Intermediate, Brent, Occidental, CNBC PRO
Locations:
Occidental, Phoenix, U.S, Brazil, Canada, Guyana, China, OPEC, WTI