Texas billionaire T. Boone Pickens said Tuesday that oil
prices will rise above $100 a barrel by the end of 2010 as
the global economy recovers.
Oil prices in the $40 a barrel range are "not going
to be around much longer," Pickens told a gathering at
the James A. Baker III Institute for Public Policy at Rice
University in Houston.
Oil prices have tumbled from over $147 a barrel in July to
about $48 a barrel Tuesday as demand in the United States
and other developed countries slows due to the global economic
crisis.
By late 2010, Pickens sees a rebound in oil demand sparked
by a global recovery, pushing prices higher.
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If the U.S. continues to rely on imported oil for 70 percent
or more of its supply, prices could reach $200-$300 per barrel
in another decade, Pickens said.
As an investor, Pickens said he remains "on the sidelines,"
with just 10 percent of his BP Capital hedge fund invested
in energy. The fund lost $2 billion last year before shifting
to cash as energy prices and stocks declined.
