Oil rises 1% on settlement amid fears of supply shortages

[Pitcher]

Oil headed for a second weekly decline in London as OPEC members were set to clash on raising production at a meeting next week.

Brent crude slipped on Friday, on course for a 1.2 percent drop this week. Saudi Arabia's Oil Minister Khalid Al-Falih said it's " inevitable" the group will decide to boost output gradually when it meets on June 22, although Iran, Iraq and Venezuela oppose an increase. U.S. futures headed for a 1.5 percent weekly gain after nationwide stockpiles slumped the most since March, narrowing the gap between the American and European markers.

Both benchmarks have struggled to regain the highs of May after Saudi Arabia and Russia proposed relaxing output caps without consulting most fellow producers, and as U.S. President Donald Trump continued to criticize the Organization of Petroleum Exporting Countries for boosting prices. Meanwhile, two of Libya's biggest oil ports halted loading on Thursday after clashes erupted between rival forces, taking barrels off the market.

 

 

"Raising production seems to be certain at OPEC's meeting, the question is by how much," said Carsten Fritsch, an analyst at Commerzbank AG in Frankfurt.

https://www.chron.com/business/energy/article/Oil-set-for-loss-as-OPEC-supply-clash-looms-12996980.php

 

[yota691]

Oil falls on OPEC meeting

 

Arab and international Economy News _ Baghdad Oil prices fell today, more than two dollars after two of the largest producers of crude in the world that they may increase production at the OPEC meeting next week, while US exports are threatened by Chinese customs duties on crude oil and refined products. Saudi Arabia and Russia have already increased their crude production slightly and indicated they were ready to increase production at that meeting. Brent crude ended the day at $ 2.50, or 3.29 percent, at $ 73.44 a barrel. US WTI crude fell 1.83 dollars, or 2.74 percent, to settle at $ 65.06 a barrel. In subsequent trading on the settlement, US crude continued to fall to $ 2.25, or 3.4 percent, to $ 64.64 a barrel. Brent ended the week with more than 4 percent losses, while US crude fell 1.7 percent. After the official session of the oil market, China announced retaliatory tariffs on US products worth 50 billion dollars, in response to a series of drawings announced by US President Donald Trump earlier in the day. Some investors were surprised that the list of US products targeted by China, including crude oil and other energy products, would be subject to customs duties at a later date. Over the past six months, the United States has exported an average of 363,000 barrels per day of crude oil to China, along with Canada, the largest US buyer of crude. Number of Views 11   Date Added 16/06/2018

[yota691]

Russia: OPEC and other countries are considering raising output to 1.5 million b / d

Russia and Saudi Arabia have agreed to extend cooperation indefinitely

 

 16 June 2018 11:02 PM

MOSCOW (Reuters) - OPEC and non-OPEC members participating in a global production deal will consider increasing output by 1.5 million bpd in the third quarter alone, Russian news agencies quoted Russian Energy Minister Alexander Novak as saying .

Novak said Russia and Saudi Arabia had agreed to extend indefinite cooperation and would discuss the deal in Vienna next week, the Russian news agency Tass reported .

[yota691]

World markets await 3 economic events this week

 16 June 2018 08:35 PM
From - Noha Al-Nahhas:

Mubasher: The moment the oil market investors are waiting for is approaching, to answer the question that has puzzled many in the past, whether OPEC will raise production or not.

OPEC is holding its meeting this week to discuss a cut production agreement and announce its decision on its level.

A number of central banks around the world approve this week the interest rate, as the monetary policy meeting takes place in a number of countries including England, Mexico and Brazil.

BoE Meeting

The central bank in England will hold its monetary policy meeting on Thursday amid expectations that the interest rate will remain unchanged.

After a period of accelerated inflation in the UK, which followed the "bricast", forcing the central bank to raise interest rates for the first time since the global crisis, has returned to a slowdown again.

 

In April,  UK inflation slowed at a 13-month low of 2.4 percent year-on-year, from 2.5 percent in March.

There are also a number of emerging market central banks scheduled to announce interest rates this week including the central in Brazil, the Philippines and Thailand on Wednesday, and Mexico on Thursday.

Words of the heads of central banks

The European Central Bank (ECB) is organizing a two-day conference in Portugal on Tuesday, attended by heads of several central banks around the world.

He is scheduled to attend alongside the President of the European Central Bank, Jerome Powell, President of the Fed, and Haruhiko Kuroda, President of the Central Bank of Japan.

Last week, the ECB announced the end of its bond buying program in December.

The Fed also decided to raise the interest rate to a level of between 1.75% and 2%.

OPEC meeting

OPEC is organizing a meeting in Vienna on June 23 to discuss the oil market situation and review the cut-off agreement.

There are many expectations that the Organization will emerge from this meeting with the agreement to increase oil production, especially after the rise in prices.

The Russian Energy Ministry said the countries involved in the deal were planning to discuss possible changesin production cuts.

Saudi Arabia has also discussed with Opec allies and major producers outside its options to increase production, but the agreement on lift rates and timetable has not yet been reached.

.

[Pitcher]

Iran says Venezuela and Iraq will join it in blocking a proposal to increase oil production that’s backed by Saudi Arabia and Russia when OPEC and its allies meet in Vienna this week.

 

 

“Three OPEC founders are going to stop it,” Iran’s representative to the bloc Hossein Kazempour Ardebili said in comments to Bloomberg Sunday. “If the Kingdom of Saudi Arabia and Russia want to increase production, this requires unanimity. If the two want to act alone, that’s a breach of the cooperation agreement.”

 

 

Iran’s comments show that OPEC members are set to clash when they meet later this week in Vienna to discuss the proposal to end global output cuts. The historic 24-nation pact has succeeded in its goals of balancing oil markets and lifting crude prices, and the two biggest producers want a relaxation of quotas as soon as next month. But while Saudi Arabia and Russia are pumping below capacity, many countries in OPEC including Iran and Venezuela would struggle to raise output even if their quotas were increased.

 

 

Alexander Novak

Photographer: Akos Stiller/Bloomberg

OPEC and its allies could consider a production increase of as much as 1.5 million barrels a day, Russian Energy Minister Alexander Novak said on Thursday. That would be enough to offset the supply losses from Venezuela and Iran foreseen by the International Energy Agency. Saudi Arabia has been discussing different scenarios that would raise production by between 500,000 and 1 million barrels a day, according to people familiar with the matter.

 

 

Trump Pressure

The alliance is also facing pressure from outside. U.S. President Donald Trump has continued to criticize the Organization of Petroleum Exporting Countries on his Twitter account. Worried about the impact of gasoline prices on mid-term elections, the Trump administration is lobbying hard for a surge in production.

“We call upon our brothers in OPEC and Russia that we do not need to appease Trump, who sanctions two OPEC founders and also Russia,” Kazempour Ardebili said. “We are sovereign nations driven by our own responsibilities and values. The whole world has to stand against these arrogant attitudes -- and will.”

U.S. sanctions will contribute to Iran and Venezuela potentially losing almost 30 percent of their oil output next year, requiring extra supplies from the group’s Gulf members, the International Energy Agency said last week.

“No changes took place in market fundamentals, although” the U.S. Energy Information Administration and IEA “rushed to say differently,” Kazempour Ardebili said.

“The market is well-supplied, and OPEC should abide by its decision up to the end of the year,” he said. “I am confident many other OPEC members feel and act the same.”

 

https://www.bloomberg.com/news/articles/2018-06-17/iran-says-three-opec-members-to-veto-saudi-proposed-supply-boost

[Pitcher]

There is absolutely no doubt that the next Opec ministerial meeting this week will pit Saudi Arabia and its Gulf allies against Iraq, Iran and Venezuela, three founder members of the oil exporters organisation. Saudi Arabia has increased its production 140,000 barrels a day above its 10.058 MBD output ceiling in the pact the kingdom had brokered between the Opec, Russia and non-Opec oil producers. There has been a significant shift in Saudi oil policy since early May and the kingdom wants to increase output to bring down oil prices, probably in response to pressure from the Trump White House.

Saudi Arabia has always seen that oil price spirals that could cause global recession and decimate demand for its sole major export commodity. Russia has also increased its oil production in May to almost 11 million barrels a day, in response to pressure from the cash strapped oligarchs who run Lukoil, Rosneft and Gazprom Neft. If history is any guide, the kingdom's closest Opec allies, Kuwait and the UAE, will also increase output this summer.

I track the impact of the Saudi oil policy shift in real time on my Bloomberg screen. Net longs in the West Texas Intermediate crude contract have plunged by a third since their January peak. A similar pattern exists in the North Sea Brent futures contracts. Speculative money no longer expects oil prices to rise. If Russia, Saudi Arabia, Kuwait and the UAE supply one million extra barrels a day of crude oil to a market that faces no real shortages, the optimal strategy is to remain short oil with an $60 Brent crude target.

It is also rational for Iraq, Iran and Venezuela to protest Saudi Arabia's determination to engineer lower oil prices. Iraq exports 3.62 MBD of Basra Light and cannot easily expand production while Baghdad has not resolved all its political issues with the Kurdish regional enclave in Erbil. Iran and Venezuela cannot expand output due to US sanctions and chronic financial crises. The geopolitical fissures in the Opec will resurface in Vienna.

The 2014-16 oil crash was brutal in its sheer scale. Brent crude was $115 in June 2014, the month terrorists seized the Iraqi city of Mosul, and plunged to $28 by February 2016, when Saudi Arabia finally signalled its intention to resume playing its role as the Opec's "swing producer", the de facto central bank of oil. The kingdom then led a 1.8 MBD output cut with Russia and two dozen other oil producing countries worldwide. The harsh reality of the Opec is that climate change, electric cars and new gasoline engine technologies lead to a peak in consumption at the same time as the Permian Basin shale oil drillers turn to global export markets. This means the primary trend for crude oil is to fall since Opec supplies only a mere third of global demand. Unlike in the 1970s, the Opec is a price taker, not a price maker.

Saudi Arabia and Iraq, with the world's biggest long-life reserves and lowest lifting cost, will be in a competitive race to produce and export as many barrels as they possibly can before technology makes fossil fuel obsolete. Oil gluts, not oil shortages, have seen the swords of Damocles for oil producers ever since John D. Rockefeller created the Standard Oil trust in the late-1890s. International politics and the economics of drilling suggest a stable price is one that enables Saudi Arabia to finance its development plan and maintain its goodwill in Washington but also enables North America's 4,000-odd shale oil wildcatters and Big Oil to earn an economic profit. Economists estimate this stable, crude oil price at current prices is $50-$56 Brent.

This is the reason the smart money bets Brent will drop from its current $75 to $60 or lower by year end. This is the reason I ignore ostensible "bargains" in Wall Street oil and gas stocks.

With its vast reserves, low extraction costs and high spare capacity, Saudi Arabia will continue to remain the dominant power broker in the Opec and the international energy markets. However, it is no longer in Saudi Arabia's national interest to restrain output and act as a swing producer if shale, climate change and new electric car technologies is going to erode long-term demand for crude oil. In fact, the mathematics of Von Neumann's game theory suggests Saud Arabia, Iraq and Russia will all seek to produce and export as much as they can, to monetise reserves before demand for black gold shrinks over the next decade. As each nation in the Opec (and Ropec!) seeks to maximise revenue, the only credible scenario is a Darwinian battle for market share - a price war.

 

https://www.khaleejtimes.com/business/markets/a-look-at-saudi-arabia-and-the-new-economics-of-oil

 

[Butifldrm]

Saudi Arabia and Russia are taking a new decision to extend the (OPEC) agreement indefinitely

 

2018-06-16

 

NRT

MOSCOW (Reuters) - OPEC member states and non-OPEC members will consider increasing output by 1.5 million bpd in the third quarter of this year, Russian Energy Minister Alexander Novak said on Saturday .

Russia and Saudi Arabia have agreed to extend indefinite cooperation and will discuss the production visit agreement at the OPEC meeting in the Austrian capital of Vienna next week, the Russian news agency TASS quoted Novak as saying in a press statement on June 16, 2018 .

Novak said Russian President Vladimir Putin and Saudi Crown Prince Mohammed bin Salman had taken a "historic decision" to extend the OPEC agreement and countries outside the country indefinitely .

He added that "this process will take place on the basis of the existing, explaining that thenew agreement will not include precise rates for the volume of oil extraction, but will allow the parties to the signatories to make decisions about changing the current standards , if necessary , is required . " 

The Russian Energy Minister said that the issue of extension of the "OPEC +" for an unspecified time will be discussed at the next meeting of the States participating in the agreement in the Austrian capital Vienna on 22-23 June .

He said both Saudi Arabia and Russia would propose OPEC members to raise their oil production by 1.5 million barrels per day (bpd) in the third quarter of 2018 .

The "OPEC" for oil exporting countries and a number of countries collaborating with them and signed in late 2016 an agreement on reducing the joint volume of oil extraction B1,8 million barrels per day ( "OPEC '"), and 300 thousand of them were at the expense of Russia, it has entered into force Agreement early 2017 to be extended later twice .

R.

http://www.nrttv.com/Ar/News.aspx?id=1467&MapID=5

[yota691]

Three members, including Iraq, are blocking the proposal to increase oil production at the OPEC meeting

 

Monday 18 June 2018

 

 

Baghdad -  Iran said on Monday that three members, including Iraq, would block the proposal to increase oil production at the next OPEC meeting. " Venezuela and Iraq will join in blocking a proposal to increase oil production supported by Saudi Arabia and Russiawhen OPEC and its allies meet in Vienna this week  ," Bloomberg quoted Iran 's OPEC representative Hossein Kazempour Ardebili as saying . "The oil market is well supplied, and OPEC must abide by its decision" and we do not need to calm Trump, "Kazempour said.     "If Saudi Arabia and Russia want to increase production, this requires unanimity," Kazimpour said. "If the two want to work on their own, this is a breach of the cooperation agreement."  Iran's ratings show OPEC members will collide when they meet later this week in Vienna to discuss a proposal to end global production cuts.  The historic 24-nation agreement has succeeded in achieving its goals of balancing oil markets and raising crude prices, and the biggest oil producers want to ease the quota soon next month.  Russian Energy Minister Alexander Novak said on Thursday that OPEC and its allies might consider raising output by up to 1.5 million bpd. That would be enough to offset the supply losses from Venezuela and Iran that the International Energy Agency expects. The alliance is also under pressure from outside, with US President Donald Trump continuing to criticize the Organization of the Petroleum Exporting Countries (OPEC) on his Twitter account. Trump is concerned about the impact of gasoline prices on the midterm elections, and is pressing hard to increase production.  Iraq has rejected the idea of increasing production by Oil Minister Jabbar Ali al-Luaibi last week, saying that we have to exaggerate the need for the oil market to pump more oil at the present time, which could cause great damage to world markets.

[yota691]

Iran, Iraq, Venezuela oppose increasing oil production under the "OPEC +"

© REUTERS / Ramzi Boudina

 

09:13 18.06.2018(Updated 09:22 18.06.2018)

Iran's envoy to the Organization of Petroleum Exporting Countries, Hossein Kazempour Ardebili, said Iran, Iraq and Venezuela would veto a proposal to increase oil production under the OPEC + deal.

Moscow - Sputnik . Iran, as far as I know, Iraq and Venezuela will oppose increasing oil production under OPEC, "said Iran's delegate in an interview with Bloomberg. And it is certain that other members will agree with us in the opinion. "

© REUTERS / RAMZI BOUDINA

 

 

"If they want to work on their own, this is a violation of the cooperation agreement," Kazempour said, explaining that Saudi Arabia and Russia would not be able to make a single decision.

"There is no market shortage and Opec must stick to its decision until the end of the year," he said. "There have been no major changes in the oil market, the Energy Information Administration of the US Department of Energy and the International Energy Agency have hastened their conclusions on the market situation.

The Iranian delegate also called on all OPEC member states not to be dragged behind US President Donald Trump, who has imposed sanctions on OPEC member states - Iran, Venezuela and Russia.

OPEC and a number of non-OPEC members agreed at the end of 2016, in Vienna, to reduce their oil production by 1.8 million barrels per day from the level of October 2016, Russia is committed to 300 thousand barrels of them. The agreement entered into force early 2017 and has already been extended twice already, the latest to the end of 2018. Russian Energy Minister Alexander Novak said last week that Russia and Saudi Arabia support a gradual increase in oil production, OPEC countries could consider increasing production To 1.5 million barrels per day as part of the easing of the Vienna deal.

[yota691]

Oil prices fall amid fears of increased production of "OPEC"

- 6/18/2018 AM . 11:37:00 a.m.56 Number of readings

 

 

 

 

Khandan -

Oil prices fell on Monday amid fears of an increase in Opec production as well as an increase in the number of oil drilling rigs in the United States for the fourth consecutive week. 

Brent crude for August delivery fell 0.71 percent, or 52 cents, to $ 72.92 a barrel. 

US crude futures for July delivery fell 1.74 percent, or $ 1.13, to $ 63.93 a barrel. 

In its weekly report, Baker Hughes Energy Services reported that the total number of oil drilling rigs in the United States rose by one rig to 863 diggers in the week ending June 15. 

The world oil markets are waiting for the outcome of the producers meeting within the Organization of the Petroleum Exporting Countries (OPEC)

[DinarThug]

LINK

Oil prices fell to $ 72 a barrel

 

2018/6/18 16:26

 

Oil prices fell in today's trading amid fears of an increase in OPEC production as well as the number of oil drilling rigs active in the United States, for the fourth week in a row.

 

Last week, Baker Hughes Energy Services reported that the total number of oil drilling rigs in the United States rose by one to 863 in the week ending June 15.  Brent crude for August delivery fell 0.71 percent, or 52 cents, to $ 72.92 a barrel.  US crude futures for July delivery fell 1.74 percent, or $ 1.13, to $ 63.93 a barrel. 

The world oil markets are awaiting the outcome of a meeting of producers within the Organization of the Petroleum Exporting Countries (OPEC) and other independent Russian-led non-governmental organizations scheduled for this week in the Austrian capital Vienna.

[Butifldrm]

Iran's OPEC delegate: Iraq, Iran and Venezuela will not allow increased oil production

TEHRAN, June 18 (Xinhua) - Iran's OPEC delegate said on Monday that "three of OPEC's founders will veto a proposal to increase oil production under the Opec + agreement."

Abizaid Hussein Kazempour Ardebili, "Both Iraq and Venezuela and Iraq would oppose an increase of production because the increased oil production under OPEC 's agreement + requires a unanimous decision and that the three countries of the founders of OPEC will not allow it and the first of Iran, according to a scientific, Iraq and Venezuela, also oppose the increase in oil production In the framework of OPEC, "noting that" Saudi Arabia and Russia will not be able to take a single decision in this regard if they want to work on their own, this is a violation of the Cooperation Agreement and there is no shortage in the market and must adhere to OPEC decision until the end of the year, Significant changes in the oil market, the management of information Of the US Department of Energy and the International Energy Agency has Tjlta in their findings on the market situation and on all Member States of OPEC, + not getting dragged behind US President Donald Tram "imposed sanctions on the countries of institution OPEC is Iran, Venezuela and Russia." Ending AH

https://www.iraqpressagency.com/?p=276628

[Pitcher]

I played XEC today, up 4.86.   There were a number of Texas Permian Basin stocks that had nice up days. Diamondback, FANG was up 7 bucks, Concho, CXO was up 2.88 and many more were up 1-2 bucks   When I’m trading, the news doesn’t mean a thing.  I saw this yesterday and thought I would be shorting oil. A lot of the articles we read are written to get people thinking in a herd mentality, then the big boys go the direct opposite.  Devious.  I’ve learned their little tricks and trained myself to trade what I see not what I read or think

 

Whatever SA and Russia want will happen.  Iran is in no position to dictate anything.  We’ll see what happens, but I’m thinking oil will go higher throughout the year with small dips here and there.  Trump does not want higher oil prices and the Permian Basin drillers can keep prices from getting too crazy like 2008, at 140 per barrel.  

[yota691]

OPEC expects strong oil market and potential demand for increased production

 

OPEC logo

Arab and international Economy News Baghdad This week, an OPEC technical committee expected global oil demand to remain strong in the second half of 2018, indicating that the market could absorb more of the organization's output. OPEC meets on Friday to decide on production policy amid calls from major consumers such as the United States and China to lower oil prices and then support global growth by producing more crude. Saudi Arabia, the top producer of the Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC member Russia, has proposed a gradual reduction of production cuts, while OPEC members oppose Iran, Iraq, Venezuela and Algeria. Reuters quoted three OPEC sources as saying on Tuesday that the OPEC Economic Committee, a technical committee, met on Monday to review market forecasts and submit them to ministers later in the week. "If OPEC and its allies continue to produce at May levels, the market may be in deficit in the next six months," one source said. "The market outlook for the second half is strong," another source said. Some countries, including Algeria, Iran and Venezuela, said at the meeting they were still opposed to increased crude production, one source said. Views 7   Date Added 19/06/2018

 

[DinarThug]

Oil Continues To Rise After Volatile Trading

On June 19, 2018

 

Oil prices rose in volatile trading on Monday as market participants lowered their expectations of the Organization of the Petroleum Exporting Countries (OPEC) expected to increase production as investors weigh the impact of a trade dispute between the United States and China. 
US light crude <CLc1> hit a two-month low of $ 63.59 a barrel in early trade, but recovered after that and rose 79 cents to settle at $ 65.85 a barrel.

Brent crude jumped $ 1.90 to $ 75.34 a barrel.

The gap between US crude and Brent widened to $ 9.75 a barrel after it was tight on Friday. China has imposed customs duties on imports from the United States and has indicated plans to impose tariffs on crude imports.

According to Reuters, traders said, this could lead to an increase in quantities of US rock oil, which can not find buyers. They pointed out that while these quantities would eventually find their way to places other than China, prices could be under pressure.

OPEC and independent producers will meet in Vienna on June 22 to decide on production policy. Russia and Saudi Arabia are pushing for more supplies.

Brent hit a three-and-a-half-year high above $ 80 a barrel in May. But has since fallen on reports of an intention to increase production.

"The market has picked up on expectations that production increases will be less than 1.5 million barrels per day and between 300-600 thousand barrels a day," said Jenny McGillian, market research director at Tradeshow Energy in Stamford.

He added that disruption of supply in Venezuela and Libya also gave support to the market.

link

[DinarThug]

LINK

Goldman Sachs: Oil price will reach $ 80

 

 

18th June, 2018

"Goldman Sachs" bank predicted that the price of oil jumps back to $ 80 a barrel in the coming months, despite fears of increased OPEC production

In a report released Monday, the bank said the update on the supply-demand balance was continuing to signal a further decline in inventories in the second half of 2018, citing the US-based CNBC

He said he was still keeping his estimate of Brent crude at $ 82.50 per barrel during the summer

Members and non-Opec members meet in Vienna on Friday to discuss production developments, amid expectations of an agreement to increase supplies

On the level of estimates of increased oil production by OPEC, the US bank said it will raise production by one million barrels per day by the end of 2018, and by 500 thousand barrels per day in the first six months of 2019

The impact of those steps is likely to be offset by supply disruptions in Venezuela and Iran, she said

The oil market is still struggling with demand growth and rising unrest, which requires more production from OPEC and Russia, to avoid the depletion of stocks by the end of the year, she said

[yota691]

Video: OPEC members intend to increase production ... Iran threatens!

 

Tuesday 19 June

 

 

 

 

A new scenario could push OPEC member states to split and engage in complex disputes after some members intend to increase production by 300,000 to 600,000 bpd in the next few months.  Iran, Iraq and Venezuela will veto the proposal by Saudi Arabia and Russia to increase oil production at the OPEC meeting next week.     He pointed out that the objecting countries could stop the Saudi proposal supported by Russia, which is outside the membership of the OPEC because the proposal needs consensus of the member states, while the move was considered individually in violation of the agreement of the OPEC countries and independent producers. Moscow justified the proposal, saying that the world needs more oil in the last third of this year, which opens the way for mutual benefit between oil producing and importing countries. OPEC and its allies agreed to cut production by 1.8 million bpd by the end of this year, which contributed to the gradual recovery of oil prices. Members and non-members of the Organization are scheduled to meet on Monday in Vienna to assess the oil production reduction agreement and perhaps raise the issue of increased production.

[yota691]

GMT 17:28 2018 Althelaia June 19 : Last Updated

Friday and Saturday meetings are held inconclusive results

OPEC seeks sustainable stability in the crude market

Elaf journalists

• 
  OPEC seeks sustainable stability in the oil market

 

The major oil exporting countries aim to achieve sustainable stability in the crude market, as markets approach more than equilibrium, and OPEC seeks to avoid losing its influence to the growing oil quotas of some countries, through agreements to reach the desired balance in the world of oil.

Elaf: The Organization Petroleum Exporting Countries and its partners Friday and Saturday meetings inconclusive results, after heart the twenty four oil producing agreement these countries balance oil world over 18 months.

Agreement to increase quotas
exceeded US production of 14.9 million barrels per day in May, since the prosperity of the US oil extraction sector, according to the International Energy Agency, exceeded the production of Russia, which amounted to 11.35 million barrels per day, and Saudi Arabia, which amounted to 10.02 million barrels per day.

Data from the International Energy Agency, those issued by OPEC and the US Energy Information Agency differ, but all agree that these three countries alone can exceed 10 million barrels a day.

These countries are also followed by Canada with 4.76 million barrels per day, Iraq with 4.47 million, China with 3.83 million and Iran with 3.82 million barrels.

In order to avoid losing its influence to the growing US share of the oil market, the 14 OPEC countries agreed with 10 other producers to increase their market share from 40 to 50 percent.

Venezuela and Iran
Oil production levels are changing rapidly at the national level, as the oil industry requires constant pumping of investments to find new extraction fields. Thus Venezuela's output fell to 1.36 million barrels per day, more than one million barrels per day in two years.

Iran may face difficulties in financing exploration in new fields because of US sanctions.

Saudi Arabia 
On the export level, the gap seems less wide. According to OPEC's annual oil market report, Saudi Arabia exported 6.99 million bpd on average in 2017.

Russia's exports stood at 5.06 million barrels per day, followed by Iraq with 3.8 million barrels per day, Canada with 2.91 million bpd, the United Arab Emirates with 2.34 million bpd and Iran with 2.13 million bpd.

The United States exports 1.12 million barrels per day, a relatively small amount of oil relative to its huge production, because it benefits from very high domestic demand. But it remains the second largest importer in the world with 7.91 million bpd behind China, which imports 8.43 million bpd, followed by India, which imports 4.34 million bpd.

[Pitcher]

Blah blah blah, learn how to trade stocks and make money off these moves up or down. I played FANG today for over 3 bucks. Some of the folks on this board should invest in learning how to trade. There is money to be made every day. Yes it takes time but look how much time you spend doing nothing on this board. Don’t get me wrong, this board is informative and entertaining but while we wait for the Dinar to go international you could be learning how to trade world news and make a decent living. 

[Butifldrm]

Iran blames Trump for high oil prices ahead of OPEC meeting

by Josh Siegel

 | June 19, 2018 04:42 PM

 

Iran's oil minister, Bijan Zanganeh, said he doesn't expect OPEC and Russia to reach an agreement this week to boost oil production and lower prices.

(AP Photo/Ronald Zak)

 

SUBMIT

Iran's oil minister, Bijan Zanganeh, on Tuesday blamed President Trump's policies for rising oil prices, which have more than doubled since January 2017, when OPEC and Russia cut production by 1.8 million barrels a day.

“President Trump has created a difficulty for the oil market by imposing sanctions against two important founder members of OPEC, and now expects OPEC to change something for the better price in the market,” Zanganeh told reporters in Vienna ahead of Friday’s OPEC meeting.

Zanganeh added that he doesn't expect the Organization of the Petroleum Exporting Countries and Russia to reach an agreement this week to boost oil production and lower prices.

Policy Bosses: Jim Nussle, President and CEO of the Credit Union National Association

 

OPEC and Russia are considering a compromise agreement ahead of its meeting Friday to increase oil production by between 300,000 and 600,000 barrels per day, Bloomberg reported Monday.

Having less oil on the market drives up cost, while moving more into the market will reduce it.

The compromise is meant to entice Iran and Venezuela, which want to maintain current policy. Both those countries would struggle to raise output, as Tehran is facing renewed oil sanctions after the U.S. departed the Iran nuclear deal, and Venezuela is suffering from a political and financial crisis that has dramatically limited production there.

The Trump administration has pressured OPEC to boost production after 18 months of cuts because higher global oil prices have led to rising gasoline prices for American drivers.

Trump has tweeted twice in recent weeks that oil prices are too high, and has blamed OPEC and Russia’s production cut agreement for it. The administration has also reportedly communicated that directly to Saudi Arabia, the world’s top oil exporting country.

Russia, the world’s second-largest oil exporting country, has proposed a 1.5-million per barrel increase, much more than the proposed compromise.

Iran on Tuesday threatened to block a potential production increase agreement. Zanganeh told reporters he would snub planned talks between OPEC countries and Russia on Friday, and plans to leave Vienna beforehand.

“OPEC is not a political organization, and I believe it’s necessary for OPEC to support this idea that the oil market should be de-politicized and condemn any use of oil as a weapon or as a tool against some countries,” Zanganeh told reporters. “OPEC is not part of the Department of Energy of the United States.”

https://www.washingtonexaminer.com/policy/energy/iran-blames-trump-for-high-oil-prices-ahead-of-opec-meeting

[Pitcher]

I worked for Exxon in the 70’s. A gallon of regular was .37 a gallon. Enter OPEC and the rest is History.  Trump may have put sanctions on Iran but he’s not the reason for higher oil prices.  If we wanted to we could crush OPEC and every oil dependent economy country In the ME.  I’m so tired of these ME countries holding the world hostage for oil.  Iran is itching for a massive war in the ME. It’s almost time to let them have it, imo.

[10 YEARS LATER]

1 hour ago, Pitcher said:

Blah blah blah, learn how to trade stocks and make money off these moves up or down. I played FANG today for over 3 bucks. Some of the folks on this board should invest in learning how to trade. There is money to be made every day. Yes it takes time but look how much time you spend doing nothing on this board. Don’t get me wrong, this board is informative and entertaining but while we wait for the Dinar to go international you could be learning how to trade world news and make a decent living. 

 

Noted and Thanx . . . Continuing to diversify. 

[yota691]

Rising oil prices backed by Iran's oil minister ended the OPEC meeting without a deal on production

 

An Iranian oil field

Arab and international Economy News Baghdad Crude oil futures rose during the Asian session, shrugging off the rise of the US dollar index and stability from the highest in a year according to the inverse relationship between them after the comments of Iranian Oil Minister Bijan Zanganeh, which expressed the likelihood of the meeting of the Organization of Petroleum Exporting Countries expected on 22-23 June In Vienna without agreeing on a course for oil policy. US crude futures for July delivery rose 0.31% to $ 65.27 a barrel from $ 65.07 a barrel. Brent crude futures for August delivery rose 0.35% to 0.35% At $ 75.34 per barrel compared to the opening at $ 75.08 per barrel, while the dollar index rose 0.07% currently trading at levels of 95.08 compared to the opening at 95.01. Recent reports have pointed out that both Iran and Venezuela, as well as Algeria, oppose the proposal to increase oil production, which Russia and Saudi Arabia have adopted recently, which could lead to the failure to reach a joint agreement between the oil-exporting countries to increase production in Expected meeting of the Organization in Vienna. The failure to reach an agreement between the Organization of Petroleum Exporting Countries (OPEC) and its non-OPEC producer allies, led by Russia, could push Russia to withdraw from the 1.8 million barrels per day (bpd) global oil production cut by the end of this year and increase its output individually. Expectations that the potential production increase may range between 300 to 600 thousand barrels per day less than the initial forecast at one million barrels per day, knowing that Russian Energy Minister Alexander Novak said yesterday that his country's largest energy producer globally will propose an increase in production by 1.5 million barrels per day during the meeting of the Technical Committee of OPEC. Novak also said that global demand for oil is growing and markets are already recovering, so it would be logical to increase production during the third quarter of this year, adding that there will be another meeting next September to consider market reaction to potential increases. Views 32   Date Added 20/06/2018

[yota691]

Kuwaiti Oil Minister: There are no specific scenarios on the increase or decrease of production

Bakheet al-Rashidi, Kuwaiti oil minister

 

 20 June 2018 09:45 p

Kuwait - directly said Kuwait 's oil minister, on Tuesday, said that the countries of the Organization " OPEC" and other oil - producing countries will take the appropriate decision; to maintain oil market stability, at its meeting on Friday .

According to Kuna, Bakheet al-Rashidi added after his arrival in Vienna that OPEC and non-OPEC oil producers are not talking about price levels, but about production rates, in order to stabilize the market and prevent price fluctuations .

In response to a question about the rumors that OPEC and the rest of the producers are working at their ministerial meeting to raise production levels. In order to reduce prices, Al-Rashidi stressed that there are not yet specific visions on raising or reducing the production ceiling, adding that the appropriate decision will be taken in favor of producers and consumers and the stability of the market Global .

A technical committee of OPEC and independent producers, led by Russia, is to meet in Vienna on April 22-23 to review the developments in the world oil market, with the aim of restoring stability permanently to suit the interests of both producers and consumers .

OPEC members, Russia and other non-OPEC producers agreed to cut production rates from January 2017 to reduce stocks and support prices until the end of the year .

The oil minister will participate in the OPEC Energy Forum, which begins tomorrow in Vienna, and will last two days in the presence of OPEC oil ministers and other producers as well as experts in oil and economic affairs .

[yota691]

The seventh conference of producers in OPEC and Iraq confirms the maintenance of the same production

 

Wednesday 20 June

 

 

 

 

Alsumaria News / Baghdad announced that the Ministry of Oil, Wednesday, the start of the Seventh Conference of the producers in the Organization of Petroleum Exporting Countries , while confirming that Iraq with Alabakaaly current production. "The seventh conference of oil ministers in OPEC and outside OPEC started on the sidelines of the seventh ministerial meeting of producers in OPEC and non-OPEC producers under the slogan of oil - cooperation for a sustainable future,"  said the spokesman of the ministry Asim Jihad , stressing that "Iraq with To maintain the current production of oil without increasing production to maintain prices in the global market. "     Jihad added that "Iraq will provide a working paper to confirm the success of OPEC to maintain oil prices in the global market and the 2016 agreement in OPEC contributed to the return of stability and support oil prices in the global market," noting that "Iraq is working to be supportive of all members "He said.  Jihad said that "Iraqi Oil Minister Jabbar Ali al-Allaibi will hold meetings with the Saudi, Iranian and Algerian oil ministers and the Chairman of the Organization of the OPEC and the other ministers to discuss the issues of production and prices and Iraq is known for his position of consensus in support of all members of the Organization," explaining that " Outside to restore stability to the global oil market after the deterioration of prices. " The historic agreement in 2016, which includes 24 countries, succeeded in achieving its goals in balancing the oil markets and raising the price of crude after the production was reduced by one million and 800 thousand barrels per day. The largest oil producers want to increase production by one million and 500 thousand barrels per day during their meeting this week Next.  Iraq has rejected the idea of increasing production by Oil Minister Jabbar Ali al-Luaibi last week, saying that we have to exaggerate the need for the oil market to pump more oil at the present time, which could cause great damage to world markets.