Guest views are now limited to 12 pages. If you get an "Error" message, just sign in! If you need to create an account, click here.

Jump to content
  • CRYPTO REWARDS!

    Full endorsement on this opportunity - but it's limited, so get in while you can!

Oil rises 1% on settlement amid fears of supply shortages


Recommended Posts

The American Petroleum Institute (API) reported a build in crude oil inventory of 6.86 million barrels for the week ending April 19, coming in over analyst expectations of a 167,000-barrel drawdown.

Last week, the API reported a draw in crude oil of 3.096 millionbarrels. A day later, the EIA confirmed the draw with a report of a 1.4-million-barrel drop in inventory.  

 

 

Including this week’s data, the net build is now 11.30 million barrels for the 17-week reporting period so far this year, using API data.

1556052736-o_1d95vgv4c9m11227r4s14jc1he0


(Click to enlarge)

Oil prices ticked higher on Tuesday as the United States announced that it would not be extending any of the waivers that it had previously granted purchasers of Iranian oil. 

 

WTI was trading up on Tuesday before the data release at $66.15, up $0.60 (+0.92%) on the day at 1:03pm, also up week on week by more than $2 per barrel. The Brent benchmark was also trading up on the day at $74.21, up $0.17 (+0.23%) at that time. The Brent benchmark was up week on week by almost $3 per barrel.

 

The API this week reported a draw in gasoline inventories as well for week ending April 19 in the amount of 1.82 million barrels. Analysts estimated a draw in gasoline inventories of 333,000 barrels for the week.

 

Despite the bearish crude and gasoline builds, the API did, however, report a small draw to the amount of 865,000 barrels, largely in line with analyst predictions of 712,000 barrels.

 

The Cushing storage hub in Oklahoma saw a draw of almost 390,000 barrels according to the API.

 

US crude oil production as estimated by the Energy Information Administration showed that production for the week ending April 12—the latest information available—came in just off its all-time high, at 12.1 million bpd

 

The U.S. Energy Information Administration report on crude oil inventories is due to be released on Wednesday at 10:30a.m. EST.

By 4:42pm EST, WTI was trading up at $66.33 and Brent was trading up at $74.50.

By Julianne Geiger for Oilprice.com 

 

https://oilprice.com/Latest-Energy-News/World-News/Oil-Wobbles-After-API-Reports-Crude-Gasoline-Build.html

  • Thanks 1
  • Upvote 4
Link to comment
Share on other sites

3 minutes ago, Pitcher said:

The American Petroleum Institute (API) reported a build in crude oil inventory of 6.86 million barrels for the week ending April 19, coming in over analyst expectations of a 167,000-barrel drawdown.

Last week, the API reported a draw in crude oil of 3.096 millionbarrels. A day later, the EIA confirmed the draw with a report of a 1.4-million-barrel drop in inventory.  

 

 

Including this week’s data, the net build is now 11.30 million barrels for the 17-week reporting period so far this year, using API data.

1556052736-o_1d95vgv4c9m11227r4s14jc1he0


(Click to enlarge)

Oil prices ticked higher on Tuesday as the United States announced that it would not be extending any of the waivers that it had previously granted purchasers of Iranian oil. 

 

WTI was trading up on Tuesday before the data release at $66.15, up $0.60 (+0.92%) on the day at 1:03pm, also up week on week by more than $2 per barrel. The Brent benchmark was also trading up on the day at $74.21, up $0.17 (+0.23%) at that time. The Brent benchmark was up week on week by almost $3 per barrel.

 

The API this week reported a draw in gasoline inventories as well for week ending April 19 in the amount of 1.82 million barrels. Analysts estimated a draw in gasoline inventories of 333,000 barrels for the week.

 

Despite the bearish crude and gasoline builds, the API did, however, report a small draw to the amount of 865,000 barrels, largely in line with analyst predictions of 712,000 barrels.

 

The Cushing storage hub in Oklahoma saw a draw of almost 390,000 barrels according to the API.

 

US crude oil production as estimated by the Energy Information Administration showed that production for the week ending April 12—the latest information available—came in just off its all-time high, at 12.1 million bpd

 

The U.S. Energy Information Administration report on crude oil inventories is due to be released on Wednesday at 10:30a.m. EST.

By 4:42pm EST, WTI was trading up at $66.33 and Brent was trading up at $74.50.

By Julianne Geiger for Oilprice.com 

 

https://oilprice.com/Latest-Energy-News/World-News/Oil-Wobbles-After-API-Reports-Crude-Gasoline-Build.html

 

What in the name of beer and peanuts is the CBI waiting for then????

  • Upvote 5
Link to comment
Share on other sites

Why Goldman Sachs Believes Oil Won’t Go Higher

 Apr 23, 2019, 9:30 AM CDT

GS

Despite the somewhat sudden end of the U.S. sanction waivers for all Iranian oil buyers, Goldman Sachs doesn’t see oil prices rallyingmuch higher.

“While we acknowledge the near-term upside price risks, we reiterate our fundamentally derived Brent price trading range of $70-75 per barrel for the second quarter of 2019,” Reuters quoted the investment bank’s note from Monday.

 

 

Before the U.S. announcement on Monday that it would not be extending waivers to anyone after they expire in May, Goldman Sachs was one of the investment banks that don’t see oil prices reaching $80 a barrel as they did in Q3 last year because there’s only modest upside to price gains. 

After the announcement of the end of the waivers, which caught many analysts off guard, Goldman Sachs continues to believe that the upside is modest and that the upside price risk will just be seen in the near term.

Goldman continues to see limited upside because of the high uncertainty whether OPEC and its Russia-led non-OPEC allies will extend their production cut pact after June this year.

 

The U.S. “maximum pressure” to choke off all Iranian oil sales is making the OPEC+ pact even more vulnerable to break-up than before, because the U.S. appears certain that Saudi Arabia and the United Arab Emirates (UAE) will offset lost Iranian barrels.

 

Saudi Arabia, for its part, said that it “will be consulting closely with other producing countries and key oil consuming nations to ensure a well-balanced and stable oil market.”

On Monday and Tuesday, oil prices spiked on the news that the U.S. is exerting maximum pressure on Iran, with Brent Crude and WTI Crude rallying to near six-month highs.    

Barclays analysts see the end of the waivers potentially adding at least $5 a barrel to their current Brent Crude average forecast of $70 a barrel this year, but not impacting prices in the longer term.  

 

 

https://oilprice.com/Energy/Energy-General/Why-Goldman-Sachs-Believes-Oil-Wont-Go-Higher.html

  • Thanks 3
  • Upvote 3
Link to comment
Share on other sites

Tuesday، 23 April 2019 11:57 AM

Iraq, Saudi Arabia Prepared To Reverse Oil Production Cuts

 

https://www.thebaghdadpost.com/en/Story/38725/Iraq-Saudi-Arabia-Prepared-To-Reverse-Oil-Production-Cuts

 

Saudi Arabia is ready to start pumping more oil if the United States indeed ends the sanction waivers they granted eight Iranian oil importers last November, Reuters reports, citing a source that remained unnamed.
However, the source added that Riyadh will not rush into a reversal of the cuts. It will first examine the effect of the sanction waiver cancelation before it decides how to respond to it.
Saudi Arabia will not be alone in this, it seems. Soon after Reuters released its report on Riyadh’s plans, it followed up with a quote from a spokesman for Iraq’s oil ministry. The official said no single OPEC member should be allowed to make a unilateral decision on production changes while the OPEC+ deal is still in effect.
Asked whether OPEC’s second-largest producer was ready to start pumping more oil, the spokesman said “Iraq does not take a unilateral decision to compensate for a reduction in the oil market for any reason.”
Oil prices hit the highest since the start of the year on news that Washington will today announce a cancelation of the Iran sanction waivers that it granted to India, China, Japan, South Korea and a few smaller importers of Iranian crude oil. At the time of writing, Brent traded close to US$74 a barrel, with West Texas Intermediate at US$65.59 a barrel.
If the U.S. does cancel the waivers, Brent at US$75 and higher will no longer look like a distant and unlikely possibility. This means that OPEC+ will likely end its production cuts in June as originally planned and as Russia has hinted it would like to see happen.
This may mitigate rising oil prices, but it will sour relations between the U.S. on the one hand, and India and China on the other. The two Asian powerhouses are the largest importers of Iranian crude and both would be quite unwilling to pay a lot more for the oil they import.
China was quick to respond: a foreign ministry official said earlier today that Beijing has consistently opposed the unilateral U.S. sanctions against Tehran.
India followed: an unnamed source told Reuters New Delhi was hoping to secure permission from Washington to continue importing Iranian crude.

image.png

  • Thanks 1
  • Upvote 2
Link to comment
Share on other sites

Oil increases its gains .. OPEC will raise production if demand is available

image.jpg

 

Source:

  • DUBAI (Reuters)
History: 24 April 2019

Oil prices rose in yesterday's session, their highest level in six months, as US weekly inventory data awaited amid mounting concerns about a decline in global crude supplies due to US sanctions on Iran.

In terms of trading, NYMEX crude futures rose 1.46% to $ 66.51 a barrel. Brent crude futures were up 0.78% at $ 74.62 a barrel.

Opec producers and the oil sector said OPEC producers could increase production to offset any shortfall in crude supplies after the US decision to end exemptions for Iranian oil buyers, but they would initially monitor the situation to see if there was any real demand.

The dollar index, which tracks the performance of the greenback against a basket of major currencies, rose 0.44% to 97.71 points.

  • Thanks 2
  • Upvote 1
Link to comment
Share on other sites

5 hours ago, TexasMike1958 said:

 

What in the name of beer and peanuts is the CBI waiting for then????

 

 

Brent Crude closed today at $74.50.  WTI closed at over $66.  Does the CBI need an amday skywriter to tell them its time to pull the trigger???  If you wait for Parliament to do their thing, Yota will reach 200,000 posts first.  Just get this done  NOW......

  • Haha 3
  • Upvote 2
Link to comment
Share on other sites

  • yota691 changed the title to Oil falls under sufficient supplies despite sanctions on Iran
 
14764.jpg
 
  

 Arab and international


Economy News _ Baghdad

Oil prices fell on Wednesday, with signs that global markets are still receiving enough supplies, although prices jumped to a 2019 high this week as Washington sought tougher sanctions on Iran.

Brent crude futures were $ 74.24 a barrel, down 27 cents, or 0.4 percent, from the previous close.

WTI crude futures were $ 66.05 a barrel, down 25 cents, or 0.4 percent, from the previous settlement.

Crude oil prices rose for immediate delivery to the highest level in 2019 earlier in the week after the United States said on Monday it would end all exceptions to sanctions against Iran, requiring countries to halt oil imports from Tehran from May or face sanctions from Washington.

US sanctions on Iran's oil-exporting country were implemented in November 2018, but Washington allowed Iran's largest buyer of limited imports for six months.

With a sharp drop in Iran's oil exports as most countries comply with US pressure, Goldman Sachs and Barclays said this week that global crude markets are expected to see short-term shortfalls.

Despite the tight spot market, analysts say global oil markets are still receiving enough supplies thanks to abundant spare capacity from the Organization of the Petroleum Exporting Countries (OPEC), which is dominated by Middle Eastern countries, as well as Russia and the United States.

The International Energy Agency (IEA) said in a statement on Tuesday that markets were receiving sufficient supplies and that surplus capacity remained at comfortable levels.


Views 22   Date Added 24/04/2019

 
  • Thanks 1
  • Upvote 1
Link to comment
Share on other sites

13 hours ago, Pitcher said:

Why Goldman Sachs Believes Oil Won’t Go Higher

 Apr 23, 2019, 9:30 AM CDT

GS

Despite the somewhat sudden end of the U.S. sanction waivers for all Iranian oil buyers, Goldman Sachs doesn’t see oil prices rallyingmuch higher.

“While we acknowledge the near-term upside price risks, we reiterate our fundamentally derived Brent price trading range of $70-75 per barrel for the second quarter of 2019,” Reuters quoted the investment bank’s note from Monday.

 

 

Before the U.S. announcement on Monday that it would not be extending waivers to anyone after they expire in May, Goldman Sachs was one of the investment banks that don’t see oil prices reaching $80 a barrel as they did in Q3 last year because there’s only modest upside to price gains. 

After the announcement of the end of the waivers, which caught many analysts off guard, Goldman Sachs continues to believe that the upside is modest and that the upside price risk will just be seen in the near term.

Goldman continues to see limited upside because of the high uncertainty whether OPEC and its Russia-led non-OPEC allies will extend their production cut pact after June this year.

 

The U.S. “maximum pressure” to choke off all Iranian oil sales is making the OPEC+ pact even more vulnerable to break-up than before, because the U.S. appears certain that Saudi Arabia and the United Arab Emirates (UAE) will offset lost Iranian barrels.

 

Saudi Arabia, for its part, said that it “will be consulting closely with other producing countries and key oil consuming nations to ensure a well-balanced and stable oil market.”

On Monday and Tuesday, oil prices spiked on the news that the U.S. is exerting maximum pressure on Iran, with Brent Crude and WTI Crude rallying to near six-month highs.    

Barclays analysts see the end of the waivers potentially adding at least $5 a barrel to their current Brent Crude average forecast of $70 a barrel this year, but not impacting prices in the longer term.  

 

 

https://oilprice.com/Energy/Energy-General/Why-Goldman-Sachs-Believes-Oil-Wont-Go-Higher.html

 

My general stance with respect to GS is that anything they say is BS. Goldman Sachs is the notorious for lying and then doing the very thing they say won't happen.

 

I don't know if this means much but check out the price of sweet crude in Basra Iraq today.

 

Basra Light

76.32 +3.25%

https://oilprice.com/oil-price-charts

 
  • Thanks 1
  • Haha 1
Link to comment
Share on other sites

 
14775.jpg
 
  

 Arab and international


Economy News _ Baghdad

Saudi Arabia's crude production will remain within OPEC-led cuts, but Saudi Arabia's top oil exporter will meet the needs of its customers, Saudi Energy Minister Khalid al-Falih said on Wednesday.

"There will be very little change" in Saudi Arabia's oil production in May compared to the last two months, and Saudi Aramco's June allocation will be set within two weeks, Falih said.


Views 18   Date Added 04/24/2019

 
  • Thanks 1
  • Upvote 1
Link to comment
Share on other sites

 
14756.jpg
 
  

 Arab and international


Economy News _ Baghdad

US crude oil inventories rose more-than-expected last week, while gasoline inventories and inventories of distillates increased, US Petroleum Institute data showed.

Crude stocks rose 6.9 million barrels in the week ending April 19 to 459.6 million barrels, compared with analysts' forecasts for a 1.3 million barrel increase.

Crude inventories at the delivery center in Cushing, Oklahoma, fell 389,000 barrels, the institute said.

The Petroleum Institute data showed that the refinery consumption rates of crude increased 225 thousand barrels per day.

Gasoline inventories also increased by 2.2 million barrels, compared with analysts' forecasts in a Reuters poll that a million barrels would fall.

The data showed that distillate stocks, including diesel and heating oil, fell by 865,000 barrels, compared to expectations of a 1.2 million barrel decline.

US crude imports last week rose by 793,000 bpd to 7.4 million bpd.


Views 18   Date Added 04/24/2019

 
  • Thanks 1
  • Upvote 1
Link to comment
Share on other sites

11 minutes ago, ladyGrace'sDaddy said:

So they're purposely manipulating the price of oil. Who'da thunk it?:o

 The one thing this entire Affair has taught me over the years is it very little if nothing is unscripted. Everything in this world is manipulated.

Yes it is..... It’s a big club and we ain’t in it.................. yet!

 

 

  • Thanks 1
  • Upvote 2
Link to comment
Share on other sites

Oil Prices Crash As OPEC Prepares To Boost Supply

Apr 26, 2019, 2:00 PM CDT

Oil

Oil prices dipped on Friday as markets brace themselves for more OPEC supply following Trump’s decision not to extend the Iran sanctions waivers.

1556296847-o_1d9d8ahf21croeu91beavgldrs8

 

 

(Click to enlarge)

1556296868-o_1d9d8b7kospr1fe58s61u6ml5f8

(Click to enlarge)

1556296890-o_1d9d8bs4jpt1j5s11s1pfm1qoq8

 

 

(Click to enlarge)

1556296910-o_1d9d8cg2u5neci1vir17s4ahc8.

(Click to enlarge)

1556296926-o_1d9d8cvhe81e15uju7f1o8bepe8

(Click to enlarge)

1556296952-o_1d9d8dp8dhk01areobfeoskq38.

(Click to enlarge)

1556296968-o_1d9d8e9a61qf75l96f317mp85j8

(Click to enlarge)

Friday, April 26th, 2019

 

Oil prices fell sharply in early trading on Friday as the market reassessed the impact of U.S. sanctions on Iran. Analysts arguethat Iran may succeed in mitigating the impact, maintaining some degree of exports. Also, expectations of OPEC swinging into action are also on the rise. Oil prices fell nearly 2 percent on Friday.

Spare capacity in spotlight after Iran sanctions. While Saudi Arabia and the UAE have apparently indicated a willingness to offset Iranian disruptions, it would come at the expense of spare capacity. OPEC has about 3 mb/d of spare capacity, but Iran could lose nearly 1 mb/d if the U.S. succeeds. An outage elsewhere leaves little margin for error. “If you assume Iran exports don’t go to zero, and China continues to take some Iranian barrels, then yes the Gulf states should be able to replace them,” Olivier Jakob, managing director at consultants Petromatrix GmbH, said in a Bloomberg interview. “But you still come back to the fact that the spare capacity is gone.”

Poland and Germany suspend oil imports from Russia over quality concerns. Citing quality concerns, Germany and Poland temporarily suspended imports of oil from Russia. The suspension could have knock on legal effects, as buyers in Western Europe could open up lawsuits against Russian suppliers, Reuters reports.

Trump admin sides with Haftar. Bloomberg reports that President Trump indicated his support for the Libyan National Army’s (LNA) assault on Tripoli in a phone call with strongman Khalifa Haftar last week, reversing official U.S. policy of supporting the internationally-recognized government in Tripoli. Trump was apparently convinced to back Haftar after speaking with Egyptian President Abdel Fattah El-Sisi and Abu Dhabi Crown Prince Mohammed bin Zayed Al Nahyan, both of whom stressed Haftar’s importance in securing Libya’s oil fields.

Related: What’s Next For Algeria As Bouteflika Steps Down

China pulling back from Iran. Asian companies are beginning to pull back from Iran, fearing retaliation from U.S. sanctions, according to the Wall Street Journal. Iran had hoped that international companies, especially companies from China, would provide an economic lifeline after the U.S. withdrew from the nuclear deal. But many deals between Iran and China “are now dead in the water,” an adviser to a Chinese oil company in Iran told the WSJ. China may try to continue to import oil from Iran, defying U.S. sanctions, but Chinese companies are curtailing their exposure.

Musk: Tesla might need to raise cash. After two quarters of profits, Tesla (NASDAQ: TSLA) fell back into unprofitable territory in the first quarter. The EV manufacturer reported one of its worst losses in its history on Wednesday, and its available cash fell by more than 40 percent to $2.2 billion. Elon Musk suggested that the company may need to raise cash. Tesla reiterated its forecast of delivering 400,000 vehicles this year, and it hopes to return to profits in the third quarter.

Ford to invest $500 million in Tesla rival. Ford (NYSE: F) said it would invest $500 million in Rivian, an EV startup viewed as a Tesla rival. Rivian plans on manufacturing an electric pickup truck and SUV by the end of 2020. Amazon (NASDAQ: AMZN) invested $700 million in Rivian in February.

Anadarko subject of bidding warOccidental Petroleum (NYSE: OXY) lodged a rival bid for Anadarko Petroleum (NYSE: APC), hoping to edge out Chevron’s (NYSE: CVX). But Chevron may up the ante to ensure it wins out. Occidental is offering $76 per share to Anadarko shareholders, a deal that would be valued at about $57 billion. That tops Chevron’s offer of $65 per share, or $50 billion. Anadarko seems to prefer Chevron despite Occidental’s stronger offer, and analysts believe that Chevron will prevail.

Shell announces major discovery in Gulf of Mexico. Royal Dutch Shell (NYSE: RDS.A) announced a major deepwater discovery in the Gulf of Mexico on Wednesday. The so-called Blacktip prospect is the company’s second significant discovery in the Perdido Corridor.

Oil majors expected to post disappointing results. Lower oil prices, weak LNG prices, and lower refinery margins could put a dent in the profits of the oil majors when they report first quarter earnings, according to Reuters. “We’re not looking for a great first quarter for the group,” Blake Fernandez, senior research analyst with Piper Jaffray & Co’s Simmons Energy, told ReutersTotal SA (NYSE: TOT) reported adjusted net income of $2.76 billion, down 4.3 percent from a year ago, but still viewed as a strong result with rising cash flow and higher oil and gas production. ExxonMobil (NYSE: XOM) said its profits in the first quarter were 50 percent lower than a year earlier.

Trump to delay offshore oil expansion until after election. The Trump administration will delay its proposal to open up much of the U.S. coastline to offshore exploration until after the 2020 presidential election. Drilling is widely opposed along the East and West Coasts, including in Republican-controlled states. Most notably, the Republican Governor Ron DeSantis in the battleground state of Florida has indicated that Trump’s reelection could be put into jeopardy if he pushes forward on opening Florida’s waters for drilling.

Related: The Energy Solution That Could End The Border Wall Debate

Chevron struggling to restore operations in Venezuela.Chevron (NYSE: CVX) is struggling to return its Petropiar oil upgrader, its largest joint venture in Venezuela, back to normal operations following the widespread blackout on chronic electricity outages in the country. Production at the facility fell by half from February to March, according to Bloomberg. Venezuela’s oil production plunged to just 732,000 bpd in March, with more losses expected. “We estimate a loss of 400,000 barrels due to the economic and electricity crisis,” Reinaldo Quintero, president of the Venezuelan Oil Chamber, told Bloomberg.

Trump considers lifting Jones Act. Bloomberg reports that President Trump is considering waiving Jones Act rules that require ships traveling between American ports must be U.S.-flagged ships. Waivers would allow Puerto Rico and the U.S. Northeast to import LNG from foreign-flagged ships. Because there are no Jones Act-compliant ships capable of moving LNG, Puerto Rico and New England have had to import LNG from abroad at a higher cost rather than from other parts of the U.S.

 

https://oilprice.com/Energy/Energy-General/Oil-Prices-Crash-As-OPEC-Prepares-To-Boost-Supply.html

  • Upvote 2
Link to comment
Share on other sites

Oil Tanks After Trump Says He “Called Up” OPEC To Bring Gasoline Prices Down

By Tsvetana Paraskova - Apr 26, 2019, 11:00 AM CDT

Gasoline pump

U.S. President Donald Trump said on Friday that he “called up” OPEC and told the cartel that they have to bring gasoline prices down.

“The gasoline prices are coming down. I called up OPEC. I said, ’You’ve got to bring them down. You’ve got to bring them down’, and gasoline’s coming down,” CNBC quoted President Trump as telling reporters en route to an event in Indiana.

 

 

I wasn’t immediately clear what President Trump was referring to when he said that he had “called up” OPEC.

The U.S. president has often targeted OPEC on Twitter with direct calls on the producer group to “increase the flow of Oil” or to “take it easy” with the production cuts, because, President Trump says, “oil prices are too high.”

Earlier this week, when the U.S. announced that it was ending sanction waivers for all Iranian oil buyers when they expire early next month, President Trump tweeted, “Saudi Arabia and others in OPEC will more than make up the Oil Flow difference in our now Full Sanctions on Iranian Oil.”

 

“We have had extensive and productive discussions with Saudi Arabia, the United Arab Emirates, and other major producers to ease this transition and ensure sufficient supply,” U.S. Secretary of State Mike Pompeo said, announcing the end of the waivers.  Related: Why This Rally In Oil Won’t Last

 

 

Meanwhile, gasoline prices in the U.S. are on the rise. The national average as of April 26 is $2.883 per gallon of regular gasoline, up from yesterday’s average of $2.877, and $2.839 from a week earlier, according to AAA. A month ago, the national average was $2.648, and the year-ago average stood at $2.798.

Robust gas demand this spring and shrinking gasoline stocks are driving pump prices up, AAA said on Thursday.

“As a result, American motorists should expect increased pump prices as demand remains robust and stocks dwindle. Moreover, higher crude prices – due to OPEC and its partners 1.2 million b/d production reduction agreement and tighter U.S enforcement of its crude export sanctions on Iran – will likely drive pump prices higher this summer,” according to AAA. 

 

https://oilprice.com/Energy/Crude-Oil/Oil-Tanks-After-Trump-Says-He-Called-Up-OPEC-To-Bring-Gasoline-Prices-Down.html

  • Upvote 2
Link to comment
Share on other sites

Exxon, Chevron Earnings Slump On Weak Refining Margins

By Tsvetana Paraskova - Apr 26, 2019, 6:00 PM CDT News

U.S. supermajors ExxonMobil and Chevron reported on Friday lower Q1 earnings compared to a year ago, with profits squeezed by weak refining margins and volatile oil prices and Exxon badly missing on both earnings and revenues.

Both supermajors, however, reported higher upstream production, driven by increased production at the Permian—the key growth region for both companies.

Exxon posted earnings of US$2.4 billion for the first quarter of 2019, or US$0.55 per share assuming dilution—down by 50 percent compared to the first quarter of 2018 and down 61 percent from Q4 2018.

 

The US$0.55 per share earnings fell well below the analyst estimate of US$0.70 earnings per share by the Wall Street Journal.

Exxon’s upstream liquids production increased by 5 percent compared with the first quarter of 2018, driven by a nearly 140-percent jump in Permian unconventional growth.

However, downstream operations were hit by heavier refinery maintenance and “weak industry fuels margins from high gasoline inventory levels and narrowed North American crude differentials,” said Exxon, whose global downstream operations swung to a loss of US$256 million from a US$940-million profit in Q1 2018.

“Solid operating performance in the first quarter helped mitigate the impact of challenging Downstream and Chemical margin environments,” said Darren W. Woods, chairman and chief executive officer.

Earnings at Chevron also dropped due to weaker oil prices and weak refining and chemicals margins, but Chevron’s profit beat—albeit slightly—analyst estimates.

Chevron reported earnings of US$2.6 billion, or US$1.39 per share, for Q1 2019—down from US$3.6 billion, or US$1.90 per share in the first quarter of 2018—but still above the analyst estimate of US$1.30 per share. 

Chevron’s upstream production volumes increased by 7 percent annually, mostly due to the Permian and Wheatstone in Australia.

“First quarter earnings declined from a year ago, largely due to lower crude oil prices and weaker downstream and chemicals margins,” Chevron’s chairman and CEO Michael Wirth said.

After the release of the results, Exxon’s shares were down 2.85 percent while Chevron was down 1.52 percent at 2:01pm EDT on the NYSE on Friday.

 

https://oilprice.com/Latest-Energy-News/World-News/Exxon-Chevron-Earnings-Slump-On-Weak-Refining-Margins.html

  • Upvote 3
Link to comment
Share on other sites

  • yota691 changed the title to Oil falls 3% as Trump renews pressure on OPEC to cut crude prices
 
Saturday, April 27,
 
 
Search Bigger
 
 

BAGHDAD ( Reuters) -
Oil prices fell three percent after US President Donald Trump pressed the Organization of the Petroleum Exporting Countries (OPEC) again to increase its crude output. 

Brent crude futures closed down $ 2.73, or 3.67 percent, to settle at $ 71.62 a barrel. 

It fell US Brent crude contracts for West Texas Intermediate to $ 2.37, or 3.63 percent, to record at the settlement of $ 62.84 a barrel.

 


Oil contracts have surged more than 30 percent this year after OPEC and a few allied producers cut supplies by 1.2 million bpd and crude output in Venezuela and Iran fell due to US sanctions. 

Trump told reporters on Friday he had contacted OPEC and asked the Organization to cut oil prices.

  • Upvote 1
Link to comment
Share on other sites

 
14847.jpg
 
  

 Arab and international


Economy News _ Baghdad

KUWAIT: Kuwait's Oil Ministry said on Sunday that the market is currently balanced, pointing out that current crude prices of about $ 74 a barrel are fair. 
"Kuwait is committed to its agreed share in accordance with the production reduction agreement," al-Azabi said in remarks published by the Kuwaiti newspaper Al-Rai. 
"Crude prices are currently supported by geopolitical tensions in Libya, Venezuela and Nigeria, sanctions on Iran and a drop in US product stocks," he said. 


Views 10   Date Added 28/04/2019

 
  • Upvote 2
Link to comment
Share on other sites

 
9802.jpg
Oil pump in Texas. "Reuters"
  

 Arab and international


Economy News Baghdad

Oil prices fell on Monday after US President Donald Trump called on the Organization of the Petroleum Exporting Countries (OPEC) to increase output.

By 0039 GMT, Brent crude futures were $ 71.72 a barrel, down 43 cents, or 0.6 percent, from their latest close.

US crude <LCOc1> was $ 62.92 a barrel, down 38 cents, or 0.6 percent, from the previous settlement.

"Oil prices were affected after President Trump said he talked with Saudi Arabia about limiting the impact of the decline in Iranian oil exports by increasing production elsewhere," ANZD said on Monday.

Trump said on Friday he had called on Opec to cut prices. I called Opec and told you to cut it, "he told reporters.


Views 22   Date Added 29/04/2019

 
Link to comment
Share on other sites

  • yota691 changed the title to Oil fell 0.6 percent after Trump hit OPEC to boost output

Oil fell 0.6 percent after Trump hit OPEC to boost output

Economy | 08:34 - 29/04/2019

 
image
 
 

Follow - up - the balance of News 
Oil prices fell on Monday after US President Donald Trump called on the Organization of the Petroleum Exporting Countries (OPEC) to increase production. 
By 0039 GMT, Brent crude futures were $ 71.72 a barrel, down 43 cents, or 0.6 percent, from their latest close. 
US crude <LCOc1> was $ 62.92 a barrel, down 38 cents, or 0.6 percent, from the previous settlement. 
"The price of oil was affected after President Trump indicated he had spoken to Saudi Arabia about limiting the impact of lower Iranian oil exports by increasing production elsewhere," ANZ Bank said on Monday. 
Trump said on Friday he had called on Opec to cut prices. "Gasoline prices will fall. I called OPEC, and I told you to reduce it. "

  • Upvote 1
Link to comment
Share on other sites

  • yota691 changed the title to Oil prices rise to $ 72.25 a barrel

Oil prices rise to $ 72.25 a barrel

Economy | 10:48 - 30/04/2019

 
image
 
 

Follow-up on Mawazine News 
Oil prices on Tuesday offset early losses after Saudi Arabia said producers' agreement to cut output from January could be extended after June to cover the entire year. 
Announcement 
came the Saudi Energy Minister Khaled al - Faleh , despite statements by US President Donald Trump pressure to compensate for the lack of supply is expected to tighten US sanctions on Iran. 
At 0701 GMT, Brent crude futures were at $ 72.25 a barrel, up 21 cents, or 0.3 percent, from their latest close. 
US crude futures rose 17 cents, or 0.3 percent, from the previous close to $ 63.67 a barrel.
Prices were under pressure earlier on Tuesday after data from China's financial markets, including crude oil contracts, showed that Asia's biggest economy was still struggling to regain momentum.

  • Thanks 1
  • Upvote 1
Link to comment
Share on other sites

Al-Faleh: "OPEC +" want to extend the agreement .. and are ready to compensate for the shortage of Iranian oil

Al-Faleh: "OPEC +" want to extend the agreement .. and are ready to compensate for the shortage of Iranian oil
Saudi Energy Minister Khaled Al-Falih at a previous conference
 30 April 2019 11:52 p

RIYADH - Saudi Arabia's energy minister said there was "no need to worry about oil supplies in the market, especially since there is no shortage of them . "

"Most of the signatories of the OPEC agreement want to extend it," Khaled al-Falih told the Russian news agency Sputnik. "He did not realize that any of them wanted to get out of this agreement ."

"But this extension must be based on facts and studies for the second half of the year ."

"I think we will focus on the level of oil reserves trade and try to reduce them, guided by the production of oil in the world, and try to control through our agreement," OPEC + "perhaps from July to the end of the year .

"I do not have the slightest idea. I think Iran's oil exports can not always be seen. There is a lot of speculation about the real numbers for the present, and any figures will be real after sanctions are lifted, " he said.

US President Donald Trump has canceled all eight exceptions - China, India, Italy, Greece, Japan, South Korea, Taiwan and Turkey - to continue importing oil from Tehran without sanctions.

Al-Falih said that the level of oil production will be estimated at the OPEC + meetings, based on the size of the stock, in Saudi Arabia during May and in Vienna in June .

"Today, based on what I see and expect, I tend to think that there will be an agreement on the level of production (oil), it can remain the same, it can change a little bit up or down, I do not know. ) The market for a balance .We will make this decision in June, when we meet . "

The Saudi minister said that Saudi Arabia will meet all the needs of countries, which replace Iranian barrels with Saudi bramel, while adhering to the OPEC + agreement .

"After announcing the sanctions from the US side, we have made two points, first of all, we are meeting the needs of our customers, including those who are replacing Iranian barrels with the Saudi barrel. We are committed to meeting all these buyers' requests, but we will do so, In the OPEC + agreement . "

"We will not exceed the limit we took on OPEC + to meet the needs. As you know, by the end of May, we will be well below these limits. It is clear that our production is less than 10 million barrels per day and exports less than 7 million Barrels) until the end of May   . "

OPEC and its allies began cutting oil production by 1.2 million bpd in January to balance the oil market.

  • Thanks 1
  • Upvote 3
Link to comment
Share on other sites

  • yota691 changed the title to OPEC cuts oil production to lowest level in four years

OPEC cuts oil production to lowest level in four years

OPEC cuts oil production to lowest level in four years

 30 April 2019 08:46 PM
Direct:  said a recent survey that OPEC production fell to its lowest level in four years during April with a decline in supplies from Iran and Venezuela as a result of US sanctions.

A Reuters survey released on Tuesday showed production of the group's 14 members fell by 90,000 bpd this month to 30.23 million bpd, the lowest level since 2015.

The survey shows that Saudi Arabia and its Gulf allies are keeping more supply cuts than the Opec cut, ignoring US President Donald Trump's pressure to increase supply to lower oil prices.

OPEC and producers of crude from outside Russia, led by Russia, agreed to cut production levels by 1.2 million bpd from January to June at least.

The survey added that the level of compliance by the 11 OPEC members complying with the agreement was 132 percent in April compared to 145 percent in March, due to higher production in Nigeria and slight increases in Saudi Arabia and Iraq.

Iran recorded the largest drop in Opec supply this month at 150,000 barrels per day to its lowest daily level this year as a result of US sanctions, the agency said.

The survey pointed to a decline in oil production by Venezuela by 100 thousand barrels per day because of the impact of US sanctions on the state oil company "BPSA".

 
  • Upvote 1
Link to comment
Share on other sites

  • yota691 changed the title to Oil falls as US stocks grow amid a tense global market
 
14889.jpg
Texas oil digger. "Reuters"
  

 Arab and international


Economy News Baghdad

Oil prices fell on Wednesday after a report showed an increase in US crude stocks, but tensions remained in global markets as Venezuela's political crisis worsened, US sanctions on Iran tightened and OPEC supply cuts continued.

At 0652 GMT, Brent crude futures were at $ 71.52 a barrel, down 54 cents, or 0.8 percent, from their latest close.

US crude oil futures were down 66 cents, or 1 percent, at $ 63.25 a barrel.

The transactions are meager because the first May holidays are in many markets.
The US Petroleum Institute said Tuesday that US crude inventories increased 6.8 million barrels to 466.4 million barrels in the week ending April 26.

But the market's focus shifts towards the crisis in Venezuela's main oil producer, where President Nicolas Maduro and opposition leader Juan Guido face a confrontation. Many observers fear that this will lead to escalating violence and further disruption of crude supply.


Views 9   Date Added 01/05/2019

 
  • Thanks 1
  • Upvote 1
Link to comment
Share on other sites

  • yota691 changed the title to Oil rises 1% on settlement amid fears of supply shortages
  • TexasGranny locked this topic
Guest
This topic is now closed to further replies.
 Share

  • Recently Browsing   0 members

    • No registered users viewing this page.



×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.