On January 16, CNPC Economics & Technology Research Institute issued Development Report on Domestic and Foreign Oil and Gas Industry, according to which in 2018 China effectively curbed the downward trend of crude oil output, and made a new progress in establishing the natural gas supply guarantee system. Average price of Brent crude futures was up 31% YoY to US$71.69 per barrel, while that of WTI crude futures was up 27.6% YoY to US$64.9 per barrel. The increases stimulated the oil and gas industry.

The year 2019 is key for China to reform oil and gas system, for domestic oil and gas firms to realize high-quality but low-cost development and for the nation to win in Sino-US gaming. China will continue to improve market system in 2019. International geopolitics will become more complicated. Hence, the oil and gas market has to face more uncertainties. Average price of Brent crude futures is forecast to decrease to US$60-65 per barrel.