In the short term, oil prices of around $US67 per barrel are likely, and prices can be expected to rise significantly in the longer term as supply grows tighter and demand continues to rise, analyst Peter Strachan told the South East Asia Australia Offshore Conference (SEAAOC) in Darwin.
But beyond 2012, it was unlikely that oil production would keep pace with nominal demand growth, he said.
"After 2010, the oil price is set to rise in real terms," he said.  Over the past 15 years, oil producers have failed to replace global oil and peak global oil production appears to be approaching within a decade, according to Strachan. Powerpoint presentation and notes