Boone: We'll see $60 for oil before we see $40

T. Boone Pickens appeared on CNBC today and predicted oil prices would rise to $75 by the end of 2009 “and then, if the world’s economy recovers” go up from there.

He reiterated his position that the world oil production is now capped at 85 million barrels a day. When the economy was at full steam “we were using 87 million barrels a day,” Boone said. “If the economies recover then oil prices will go right back up” due to supply and demand.

Boone talked about the Monthly Oil Import Numbers he has been releasing each month since December. “In February we imported 62 percent of our oil,” he reported. “That percentage was 66 percent in December and 67 percent in January. We spent $13 billion on foreign oil in February,” Boone said. “That is $328,000 per hour sent to foreign governments.”

Pickens predicted that oil prices are steadily rising because “OPEC needs the money” to fund their internal programs. “I’ll predict that you’ll see 60 [dollars per barrel] before you see 40.”

Pickens was speaking at the ECOnomics conference in California which was sponsored by the Wall Street Journal.

To see the CNBC coverage of Boone’s interview and watch the clip, click HERE.

— The Pickens Team