Wednesday, July 11, 2018

OPEC Members Open Their Oil Taps To Tame Prices And To Be Ready To Replace Iranian Oil Exports

OPEC in June agreed to hike output in order to bring prices down

CNBC: OPEC's oil output jumps in June as Saudi Arabia opens the taps to tame crude prices

* Saudi Arabia's oil production jumped by nearly 500,000 barrels per day in June as it aims to put more supply into the market to tame the cost of crude.
* Output from OPEC was up 173,000 bpd as the 15-member producer group prepares to lift production caps in place since 2017.
* OPEC forecast that global oil demand will cross 100 million bpd for the first time in 2019, but warned trade tensions could negatively impact the market.

Saudi Arabia hiked its oil output in June to the highest level since the end of 2016, as it aims to cool the market after crude prices recently rose to 3½-year highs.

The jump in Saudi supplies shows the world's top crude exporter is making good on its recent vows to tame oil prices. The kingdom has faced pressure from big crude importers like China and India, as well as President Donald Trump, who worry about negative economic impacts from rising fuel costs.

The increase also comes as OPEC forecast global oil demand will surpass 100 million barrels per day (bpd) next year.

Read more ....

WNU Editor: Libya has resumed its oil exports .... Libya's NOC to resume oil exports from eastern terminals (Al Jazeera). And Canada's Suncor, after shutting down a 350,000 barrel/day facility due to an electrical fire, will be back online in the following weeks, thereby bringing even more oil to the markets. Russia's oil export numbers have not been released yet, but I will not be surprised if their oil export numbers have also increased since last month.

2 comments:

Anonymous said...

OK if Iran gets pressed harder, their currency will fail.. then people have no choice but go on the streets.. there will be blood shed internally for sure.. and likely Iran will have to enforce its "external enemy" (to some extent true, because clearly there's another trade war/embargo going on).. Iranian leadership might have no choice but fight back somehow, and in that case they will get slapped so bad it will make John McCain healthy again.. this (mini war?) in turn (as per earlier posts here) will have negative effect on China, as oil prices might jump.. that's the theory.. in reality no one knows what will happen. This is like 4-D chess, and Iran being Iran I imagine they will actually go super hardcore and have likely acquired a nuke from somewhere a few years back and will try to use it.. so now there's several fronts open with regard to nukes.. North Korea could nuke San Francisco, and certainly Iran would love to do that too (but, ideologues they are, so they will go for Washington, or perhaps NYC).. on top of all this China has major advantages to win if either Iran or North Korea succeed.. it's getting hairy

Anonymous said...

Trumps May 2017 to the Arab Summit keeps paying dividends. No apologies either, just agreements about common interests such as keeping Iran from overrunning all those Arab states, the US withdrawing from the Iran deal, the Arabs helping with adequate supply.

Seems pretty common sense, right?