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Low global oil price will not last: Expert

By Si Tingting and Li Jing (chinadaily.com.cn)
Updated: 2008-12-12 18:55

It is "abnormal" for the international price of crude oil to be running at the present low level of between $30 and $40, a situation that will not last for long, said Jia Chengzao, academician at the Chinese Academy of Sciences.

Jia, who is also president of the Chinese Petroleum Society, told a forum held in Beijing today that if the real economy recovers from the current sluggish situation, the international oil price will return to a normal level and will bring favorable prospects for the petrochemical industry.

Jia, who was formerly vice-president of PetroChina, the country's leading oil company, said that the reform of fuel oil tax and the domestic refined oil pricing mechanism will offer good opportunities for the company.

Jia said PetroChina has not been affected by the international oil price slump, but the company will suffer if the situation continues.