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4 hours ago, Butifldrm said:

Iraq Is New Oil King, Beats Saudis in Fastest Growing Market

by 
Dhwani Pandya
 and 
Debjit Chakraborty
June 14, 2017, 1:29 AM CDT June 14, 2017, 3:31 AM CDT
  • Iraq is top oil seller to India for third month: shipping data
  • Indian refinery upgrades, Iraq port overhaul boosts shipments

 

 

Thanks! Go get 'em Iraq!

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 Economy News Baghdad :

It showed the latest data agency Energy International (IEA) that Iraq doubled its exports of oil crude to the US United, against the reduction of Saudi exports to the same side by more than half .

She said the agency in a statement news received " Economy News , " a copy of it, that " Iraq pumped about 12 million barrels of crude in the days of the 13 first of the month of June this, which is what is considered to increase by 50 in percent compared to how long the same in April and May , the last two ."

From the point of another, he said the agency " Bloomberg " in a report on the subject, yesterday Wednesday, said Saudi Arabia is committed to the instructions of the Organization of countries exporting oil ( OPEC ) for reducing production, while not abide by Iraq literally .

It reported that eight tankers of oil left the port of Basra , heading to the US United, while preparing seven tankers other to move, and can be moving some of them also to the destination itself .

It showed data IAEA International also that Iraq has become a supplier first oil crude to India .

She said , " Bloomberg " that Iraq has become to achieve gains in the markets of major around the world .

 

Views 1171   Date Added 15/06/2017 - 18:40   Last updated 06/16/2017 - 12:40   No. Content 7946

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two hours ago
Last updated
12:11 PM
 
 
 
Follow - up / Tomorrow 's Press: 
Oil prices rose on Friday, but remained near the lowest level in six months continuously influenced by oversupply despite efforts, led by the "OPEC" to cut production and boost crude markets. 
By the time (06:45 GMT) reached the global Brent crude mix "Brent" in the futures of $ 47.31 a barrel, up 39 cents or 0.83% from the previous settlement price, while the total WTI US mediator in the futures of $ 44.71 a barrel, up 25 cents or 0.56%.
 
Traders said the slight increases were the result of a partial halt to exports in Libya. 
However , the already allocated the prices are still down about 13% since late May, when led by the "OPEC" top producers agreed on the extension of the cut production 1.8 million barrels a day for another nine months until the end of the first quarter of 2018. 
and contribute to increased US production, especially from companies exploration of shale oil in the weakness of the impact of cuts led by the "OPEC".
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With the rise in crude prices of Kazakhstan to comply with the global oil agreement

   
 

 
 

6/17/2017 0:00 
 
Capitals / Reuters 
energy minister said in Kazakhstan , Kanat Bozzombayev on Friday that his country will comply with the global agreement to cut oil production in June and July after an increase in production over three consecutive months. 
He Bozzombayev told reporters that the summer weather free will lead to a contraction of production in some of the largest fields that depend on the gas pump in the country. 
Oil prices rose on Friday but remained near the lowest level in six months continuously affected by oversupply despite efforts led by OPEC to cut production and boost crude markets. 
By 0656 GMT , the global London Brent crude futures stood at US $ 47.12 a barrel , up 20 cents , or 0.4 percent from the previous settlement price. 
The total crude West Texas Intermediate US futures to $ 44.56 a barrel , up 10 cents , or 0.2 percent. 
Traders said: The slight increases were the result of a partial halt potential exports in Libya. 
However , the already allocated the prices are still down about 13 percent since late May , when led by the Organization of Petroleum Exporting Countries "OPEC" top producers agreed to extend the work to cut production 1.8 million barrels a day for another nine months until the end of the first quarter of 2018. 
and contribute to increased US production especially from the exploration of shale oil companies in the weak impact of cuts led by the "OPEC". 
It also contributes to the high level of exports and production from Russia in the current supply glut.
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BAGHDAD / Tomorrow Press: 
Basra Oil Company confirmed on Saturday, its ability to raise daily oil exports, but it is committed to the decision of "OPEC" in reducing the export, as indicated Amadaha complete its projects extractive and raise their energies Alkhoznip both licensing rounds fields or effort fields the National.
 
The company said in a statement on the occasion of the anniversary of its founding, and received "Tomorrow Press" copy of it, " the company has been and continues to persevere to develop their capabilities, and in the darkest circumstances", pointing out that it "qualified to lead extraction, production, export and deservedly files, can also, raise the daily exports However , it is committed to the decision of the reduction in export rates. " 
He continued, " The company continues to complete its projects in the extractive and raise their energies Alkhoznip both licensing rounds fields or fields of national effort." 
The Oil Minister Ali Jabbar Hussein Allaibi, confirmed in (November 5) , the start of Iraq cut national production of crude oil procedures, in line with the Organization of Petroleum Exporting Countries "OPEC" decision. 
Iraq works with producers inside and outside OPEC to control the oil supply glut in the global oil market and achieve the required balance between supply and demand and to support oil prices during the next phase.
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2.14975266381637301557.jpg
Thu, 15 Jun 2017 11:37:18
 
 
 
 
Views: 196
 

Bloomberg revealed the British newspaper on Thursday that Iraq exported 12 million barrels of oil to the United States during the 13 days of this month , and that more than 50 percent over the same period in the past two months , April and May. 
The newspaper said that " the International Energy Agency revealed that Iraq does not comply fully with the commitments made by OPEC countries with regard to production cuts." 
For his part , said economic analyst Giovanni Snoopy in the USB Group Inc. " The fact that Iraq 's objection to parts of the production cut plan when implementing the agreement last November means that it is not surprising to see this increase in oil pumping operations." 
"The increases are expected to appear in Iraq 's exports to the United States on imports of the United States in late June , the current data." 
He noted that "eight tankers left Basra terminal for shipment was addressed to the United States , and there are seven other carriers did not know where their destination or they are related to the Egyptian Suez Canal to go from there to the United States." 
The ship tracking showed a decrease in the number of Saudi oil shipments to the United States with increased Iraqi shipments data. 

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IRAQ COULD BOOST OIL OUTPUT TO 5 MILLION BPD THIS YEAR
Iraq, June 17, 2017

If you thought Iraq’s plans to increase its oil production to 5 million bpd were rather pie-in-the-skyish, think again.

Iraq’s plans to increase its oil production capacity to 5 million barrels per day to be ready for the end of OPEC’s cuts is “not unrealistic”, principal upstream analyst at Wood Mackenzie, Ian Thom, told Bloomberg in an interview published on Thursday.

“From a production capacity point of view, the investment in a few of the southern fields is taking them closer to that number,” the analyst told Bloomberg.

He went on to add:

“They may be thinking ahead to the end of the nine-month period, when if they can demonstrate capacity of 5 million barrels, it may make for a different conversation with OPEC members.”

In March this year, Iraq’s Oil Minister Jabar al-Luaibi said that the country would have the output capacity of 5 million bpd in the second half this year.

“We achieved this great achievement of 4 million barrels per day ... middle of 2016, and now we have climbed up and we are reaching about 5 million barrels per day beginning of second half of this year,” al-Luaibi said in an interview with CNBC back then.

In a report on why Iraq’s production growth has underperformed in recent years, Wood Mackenzie said last month:

“Iraq undoubtedly has the large-scale low-cost oil resources in its southern fields to underpin production of over 10 million b/d. But the harsh technical service contract terms, and a myriad of technical, political and security factors have all conspired to subdue growth.”

OPEC’s second-largest producer, Iraq, was the last holdout to the initial deal for a collective cut of production, arguing for an exemption because of funds it needs to fight ISIS, and disputing the secondary sources that the cartel uses for tracking members’ production. Iraq agreed to the deal in the end, pledging to cut 210,000 bpd of its October 2016 production level and cap it at 4.351 million bpd. Since the output cuts began in January, Iraq has not fully complied with its quota of the cuts in any of the months covered under the deal. Its production last month even grew by 44,400 bpd over April, to 4.424 million bpd, making it one of the worst under-complying OPEC producers.

oilprice

 

http://iraqdailyjournal.com/story-z15465291

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one hour ago
Last updated
02:47 PM
 
496
Watch
 
 
 
Basra / Press tomorrow: 
confirmed a shipping source on Monday that Iraq 's oil exports from southern ports exceeded 3 million barrels of oil, indicating that the five oil tankers stand in the waiting waters of Iraq 's regional station in preparation for loading crude oil from the port of Basra.
 
The source said , "Tomorrow Press" that " the pumping rate of 137 thousand barrels of oil per hour through the southern fields to the Basra oil port and oil floats", as he emphasized that " the four giant oil tankers completed loaded with remained another five being loaded," explained that "Iraq 's oil exports from southern ports 3 million and 288 thousand barrels of oil per day. 
He added that" five oil tankers stand in the waiting waters of Iraq , the regional station and is ready to enter and load crude oil from the Basra oil port or dock on floating spm platforms phase. "
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Allaibi: optimistic about the actions of «OPEC» to cut production

   
 

 
 

6/20/2017 0:00 
 
BAGHDAD / Mohammed Ismail 
 expressed Oil Minister Abdul - Jabbar Allaibi, expressed optimism for the success of OPEC efforts to control oil prices in the global market policy, stressing at the same time to continue the decision to cut production depends on the commission of price control that will determine its position during the "OPEC" to be held conference next July. 
Allaibi said in a statement singled out the "morning": "We are optimistic about the policy of OPEC, especially in regard to Eduard control of oil prices in the global market, and we have a desire in coordination with them in this area according to a common vision, but to reconsider the decision to reduce production due to the Committee on price control pop - up for the organization, which is to be determined in a planned conference next July. " 
The minister added , "mentioned the Commission is estimated to need to discuss this file in the upcoming conference, which also determines to take such such decisions , " noting that "this whole thing depends on the evolution of events on the ground .. wait and the fate of the situation, and then we will see what can be done." 
He Allaibi "The summary of the problem of high oil prices in the global market, or fall, depends on several factors, including the subject of oil reserves, and there are high in that inventory of about 3 million barrels per day, as well as the US shale oil, and if production did not decline will certainly affect in prices, but if OPEC continues at this level, of Moazb work on reducing production; meanwhile , it will drop stock prices go up. " 
He denied the oil minister and the existence of any state to receive oil from Iraq in accordance with the principle of differentiation, saying: "There are no countries have this feature .. The Jordan stopped working agreement .. not currently differential." 
Asked about the first two funds to guarantee the right of future generations of oil, and another for the protection of the general budget of the fluctuation of prices? He replied: "These Shaanan are for the House of Representatives and the Ministers of Finance and the Ministry, and not the Ministry of Oil, which is part of the government, subject to its" Msttrda: "The contracts for the licensing rounds, wherein gaps, we are trying to backfilling work day and night; in order to reduce our negative impact." 
Allaibi promised rumor repeated by the street on primitive export routes and distribution as the allegations are inaccurate, adding , "our pursuit of the two methods Alhadittin globally the approved, refute those allegations, and are two ways Emails .. minutes by about 99 percent, which is based Aldhirah counters , " he said, adding that " the ministry is keen to keep up with scientific and practical developments in this area, and we hope to develop as well as in oil and our industries leave Bdaiatha compared to the level of 
 production. " 
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On 6/17/2017 at 11:07 PM, Wiljor said:

IRAQ COULD BOOST OIL OUTPUT TO 5 MILLION BPD THIS YEAR

5 million times 365 days a yr and that would be 1,825,000,000 as in trillion barrels a yr. 

And we've been at or near,"peak oil", since the 70s, :facepalm3:

The earth is a ball :wacko:

Donald Trump is the Antichrist :lmao:

And Obama is Jesus Christ :drunk:

And we all think we know what is going on :rake:

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Report: the commitment of States to cut oil production reached 106% in May

Report: the commitment of States to cut oil production reached 106% in May
Oil ended today's trading on a sharp decline to record "NYMEX" greater than 2% losses
 
 June 20, 2017 23:17

Direct: According to press report compliance by States from within and outside "OPEC" to extend the agreement to cut production by 106% over last May, at the highest levels of commitment.

It announced a source familiar with "Reuters", on Tuesday, that all producers to extend the commitment Batakkakah cut output ratio reached 106% during the month of May "commitment at the highest levels since the start of the Convention."

The source confirmed that the size of the commitment of Member States within the "OPEC" reached 108% during the month of May, while arrived from countries outside the organization to 100% during the same period.

The countries from inside and outside "OPEC" has agreed to extend a cut in oil production to March 2018 in the same amount of 1.8 million barrels per day levels, in an attempt to bring about a balance between supply and demand.

While increasing pressure on the price of oil as a result of increased supplies from Libya, Iraq, Iran and Nigeria, according to the monthly report of the "OPEC" for the month of last May.

Oil ended today's trading on a sharp decline to record "NYMEX" greater than 2% losses and ending trading below $ 44.

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https://www.bloomberg.com/gadfly/articles/2017-06-21/after-qatar-is-iraq-next-for-the-saudis

ENERGY

Julian Lee is an oil strategist for Bloomberg First Word. Previously he worked as a senior analyst at the Centre for Global Energy Studies.

 
June 21, 2017 10:35 AM EDT
 

Mohammed bin Salman's ascension as Crown Prince of Saudi Arabia could lead to a more assertive Saudi oil policy within OPEC, as the kingdom puts its own needs first. Expect Iraq to follow Qatar as its next target.

The elevation of the king's son is no surprise. Having already handed him the reins to guide the country forward, it would have been odd indeed if the king didn't ensure his son could continue his policies.

Prince Mohammed, or MbS as he is known widely, has already pursued a robust regional strategy and will probably intensify as his power grows. He's led a military campaign against Iran-backed Houthi rebels in Yemen and, more recently, has been central to the isolation of neighboring Qatar.

In oil, Saudi Arabia has already shown itself willing to pursue its own interests over those of its neighbors. Two oil fields shared with Kuwait, with a combined daily production capacity of some 500,000 barrels, have been shut since late 2014 and early 2015 and show no sign of being reopened, despite repeated statements from the Kuwaiti side that their restart is imminent.

Oil Under MbS
While Mohammed bin Salman has been responsible for oil policy, prices have struggled
Source: Bloomberg
 
 

Saudi Aramco, the state-owned oil company, says the shutdown of the offshore Khafji field was triggered by environmental concerns, but some in Kuwait see the prolonged closure as payback for the emirate's unwillingness to supply troops in Yemen.

Sanctions on Qatar result from claims that the emirate has been funding terrorist groups and is too close to Iran. Qatar denies these allegations and is still waiting for a list of specific Saudi demands. It sees the sanctions -- which include restrictions on tankers carrying Qatari oil and gas -- as an attempt to undermine its independent position on big regional issues, or even to bring about regime change.

Saudi regional policy under Prince Mohammed has been characterized by a far harder stance against Iran and its spreading influence. That's unlikely to change.

There's another big country falling under Tehran's sway: Iraq. Iran-backed militias, along with Kurdish counterparts, have been at the forefront of driving back Islamic insurgents in the country. Bilateral Iraqi-Iranian trade has increased every year since 2003, according to a report in the Tehran Times.

By chance, Iraq is also the OPEC member that's most exceeding its agreed crude output target. That puts it in line for stronger criticism from Saudi Arabia as oil prices languish near levels not seen since the group adopted its output target back in November.

IRAQ'S OVER-PRODUCTION
 

OPEC's overall compliance with the production limits is better than for any similar deal in its history, but that's largely down to Saudi cutting much more deeply than agreed. That willingness to bear more of the burden probably won't persist, particularly if we eventually start to see a more balanced market and higher prices.

Even the tensions in the Middle East, which would usually send oil prices rocketing, have had little impact so far. A more aggressive Riyadh might well see traders starting to price the political risk again. Even more so if Iraq becomes the next Qatar.

This column does not necessarily reflect the opinion of Bloomberg LP and its owners.

 

To contact the author of this story:
Julian Lee in London at jlee1627@bloomberg.net

To contact the editor responsible for this story:
James Boxell at jboxell@bloomberg.net

Edited by Wiljor
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Question is, will Quater be removed from the GCC, and will Iraq be granted GCC membership?  GCC member States want their own unified currency.

Edited by southbeach
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06/22/2017 (00:01 pm)   -   Number of readings: 156   -   Issue (3956)
 
 
British consulting firm: Iraq is able to achieve its goal to expand its oil production capacity



 translation / Hamid Ahmed 
 

 According to Wood Foundation Mackenzie Wood Mackenzie British research and consulting in the field of energy, the ambition of Iraq to promote energy oil production to reach a record rate of up to 5 million barrels per day, is "not unrealistic" at a time when the country is preparing for the post - reduction processing rates deadline that It recommended by the Organization of Petroleum Exporting Countries . 

Iraq seeks , according to officials in the oil ministry 's statements, to reach oil reserves to 170 billion over the next two years, calling for Korean companies to invest in oil infrastructure projects and construction of oil tankers. 
Said Wood Mackenzie Global Foundation , which is based in Edinburgh in the UK - based, that Iraq, who worked on the rehabilitation of its oil industry facilities after years of war, has vowed to continue to expand production capacity at a time when the highly respected Organization of Petroleum Exporting Countries ( OPEC ) agreement whereby the reduction of its production until next April. 
According to the consultancy it says, the country wants to be ready until the end of the date of the agreement or to put pressure on its partners in OPEC to give him the freedom of non - compliance with the agreement of the reduction if it decided to take the organization to extend production cuts deadline for another term option. 
It was Iraq, which is the second largest oil producer in OPEC, has agreed in November last, to participate in the reductions of production agreement to put an end to the glut of world market oil with equipment and improving oil prices, stressing at the same time, he deserves to be excluded from the reduction being works to improve the economic situation as well as waging war against al Daesh. 
In the same context, trade sources said on Wednesday that Iraq sold four million barrels of Basra crude through a tender in the DME, including the first sale at all of the heavy crude Basra through this platform. 
They said that, the Iraqi Oil Marketing Company (SOMO) has sold a shipment of Basra crude heavy premium $ 1.18 a barrel for the official selling price, shipment of Basra light crude at a premium of 22 cents above the selling price Alsm.oabulg the size of each shipment of two million barrels for loading during the period between 26 and 28 August, the price and bonuses lower than previous deals for shipments load August and also less than a tender last month. According to the International Energy Agency, Iraq was hesitant before supporting a further extension of the agreement for the reduction of nine months ending on May 25, and that he had carried out nearly half of its commitment to Ptkulaisat production this year. 
Said Ian Tom, chief analyst of oil production in the "Wood Mackenzie" Foundation in an interview with Bloomberg News Energy "taking into account the capacity of Iraq production, the ongoing investments to develop some oil fields in the south , making it closer to achieving this production rate. 
The Tom said "at that, Iraq may think ahead of the end date of the period of downsizing extended to nine months, when Masikon able to review its capacity to produce 5 million barrels per day, it may resort to a different dialogue with OPEC members. The Iraqi Prime Minister Haider al - Abadi, said that in 05/16/2017, Iraq is committed to reducing oil production to reduce the surplus in the world market, as it will support the extension of production reduced in line with any decision taken by the "OPEC" organization. 
It agreed the Organization of Petroleum Exporting Countries "OPEC", on 25-March 2017, to extend a cut in oil production for an additional nine months. 
Saudi Arabia, the largest producer of oil in OPEC, had made it clear that the organization is ready to even longer periods shrink if the current measures to reduce the surplus oil equipment in the global oil market rate fail. 
According to information obtained by Bloomberg, Iraq was pumping in December , 4.6 million barrels per day, before entering the date of the application of OPEC 's agreement to cut output into force. 
Says oil analyst Tom of "Wood Mackenzie" consultancy that the ongoing development operations in the West Qurna oil fields 1 and Hlvaip and Zubair may go to Iraq more "towards achieving the desired production of 5 million barrels per day ceiling." According to Foundation Wood Mackenzie Wood Mackenzie British Consultancy and energy research, trying to reach production rates of more than 5 million barrels per day, may face more challenges. Says Tom, there are different factors that inhibit multiple barriers to try to achieve this, ranging from the presence of limited amounts of equipment for the purposes of water injection for the sustainability of the oil pressure of the warehouse, to the terms of "very harsh" contracts that frustrate the desire of companies to invest. 
Tom says, it is at a time when there is a program to drill 30 oil wells in the Majnoon field, the obstacles in the oil processing facilities will hinder this growth. 
The preliminary information for the program oil loading, was shown in ( the tenth of May last 2016), Iraq 's intention to strengthen the southern oilfields exports during this June, to three million and 470 thousand barrels per day, in number more than a hundred thousand barrels, "standard rate" achieved in November 2015 of Basra crude, indicating that it may expose Alsnov disparate so crude price pressures in the Asian market. 
Foundation Wood Mackenzie is a global British research group and energy consultancy, minerals and mining, internationally renowned for the supply of comprehensive data services written analysis and advisory recommendations. 
About / Bloomberg   

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The global economy is witnessing fluctuations in the market

   
 

 
 

6/24/2017 0:00 
 
Despite the rise in oil prices after falling 
capitals / follow - up to the morning of the 
world economy has witnessed several important events during trading last week, which included the relative recovery of oil prices after a wave of strong losses during the past few days. 
Global equity markets also recorded a mixed performance with investors went to the markets of safe - haven assets, and anticipation of economic and political data. Was the price of oil rose on Friday , recouping some of the sharp losses suffered earlier in the week , but crude is still heading to record the biggest drop in the first half of any year since 20 years , despite the current production cuts. 
By 0647 GMT , the global London Brent crude futures stood at 45.33 dollars a barrel , up 11 cents , or 0.2 percent from the previous closing price. 
The increased crude West Texas Intermediate US futures nine cents , or 0.2 percent , to $ 42.83 a barrel. 
Oil prices have fallen about 20 percent since the beginning of the year , despite efforts by the Organization of the Petroleum Exporting Countries "OPEC" led to the production cut of 1.8 million barrels per day since last January. 
This is the weakest performance of oil in the first half of any year since 1997 , when increased production has led the Asian financial crisis to sharp declines in crude prices. 
Prices are still down about 15 percent , also since extended "OPEC" on May 25 , the work of production cuts until the end of the 
first quarter of 2018 rather than the expiration of the agreement the cut end of the month. 
And futures contracts for agricultural commodities prices in the US stock market fell significantly, amid speculation a decline of inflation rates in the advanced economies. 
Also it saw the currency "Alaatriom" electronic sharp decline exceeded the rate of 99 percent earlier, before recovering to normal levels. 
The currency fell from the price level of $ 319 to 10 cents in just a few moments through "JD AX" special electronic trading platform currencies, before they regain their levels before the sudden drop. 
The officials pointed out the trading platform that stop - loss orders caused the decline did not last more than a few seconds before the return of the currency to its natural level. 
So the index "Nicky" record of Japanese stocks rose slightly at the end of trading on the Tokyo Stock Exchange on Friday. 
The benchmark index 0.11 percent to close at 20132.67 points, while the broader TOPIX index rose 0.06 percent range to finish on Friday at 1611.34 points , 
as Britain 's leading stocks continued their performance weaker than the performance of the rest of the European markets on Friday , affected by the weakness associated with primary commodity stocks. 
The index came down Britain 's Financial Times 100 0.5 percent due to weak mining stocks and oil companies as well as shares of big companies that earn dollar revenue. 
While the stock has recovered much of the losses suffered in the wake of the referendum , but the dollar value of British equities are still weaker than its counterpart in Europe and elsewhere where reduced blur sterling from foreign investors appetite prospects. 
Stokes index fell 50 European leadership contributed 0.1 percent as French and Italian banks ' gains have contributed to the reduction of losses.
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Iraq, June 24, 2017 

Iraq’s ambition to boost oil-output capacity to a record 5mn bpd is “not unrealistic” as the country prepares for the end of OPEC-mandated supply limits, according to analysts.

Iraq, which has been rehabilitating its oil industry after years of conflict, has vowed to keep expanding capacity while respecting an Organisation of Petroleum Exporting Countries’ accord that will limit its production until next April.

The country wants to be ready for either the end of that deal, or to press its OPEC partners for some leeway if the group chooses to further prolong output curbs. OPEC’s second-biggest producer reluctantly agreed in November to participate in production cuts to end a global oil glut, arguing it deserved to be exempt while reviving its economy and battling Islamic State insurgents.

Iraq also hesitated before backing a nine-month extension of the accord finalised on 25 May, and has only made about half its pledged output curbs this year, according to the International Energy Agency.

businessnews

 

http://iraqdailyjournal.com/story-z15502708

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ENERGY

Julian Lee is an oil strategist for Bloomberg First Word. Previously he worked as a senior analyst at the Centre for Global Energy Studies.

 
 
June 25, 2017 3:00 AM EDT
 

It may be too soon to write OPEC's obituary, but the oil producer club appears in urgent need of late-life care. It shows little understanding of where it is, how it got there or where it's going. While it still manages to collect new members here and there, its core group looks more fragile than at any point in nearly 30 years.

The historic output agreements, put together so painstakingly last year, are failing. Nearly 12 months of shuttle diplomacy culminated in two deals that would see 22 countries cut production by nearly 1.8 million barrels a day. Implementation has been better than for any previous output cut, with compliance put at 106 percent in May. A resounding success? Hardly.

We're now in the final month of those deals and oil prices are lower than when they were agreed. Not only have producers sacrificed volume, but they earn less for each barrel they do produce.

Nothing Gained
Crude has fallen back below levels last seen before OPEC's November output deal
Source: Bloomberg
Note: Brent crude
 

The recent extension of the deals just leaves output restraint in place for another nine months, the best response OPEC could muster. Deeper cuts were barely mentioned. Assertions to do "whatever it takes" ring hollow.

Indeed, there's no appetite for the big cuts that would demand real sacrifices in countries such as Russia, where normal seasonal factors helped it lower production in the first half of the year. Just sticking to current output levels could be difficult for the rest of 2017: early maintenance work has helped several OPEC members meet their targets but that can't continue. Then there's the problem of recovering output from Libya and Nigeria, both exempt from the cuts.

The malaise runs much deeper, though. Beneath a veneer of unity, rifts are developing among core Middle East members. The Saudi-led confrontation with Qatar could create the most serious split since Iraq invaded Kuwait in 1990. As I wrote last week, Iraq might be in Mohammed bin Salman's sights next, as Iran's influence there grows and Baghdad lags the rest in implementing output cuts.

IRAQ'S OVER-PRODUCTION
 

As if the internal failings weren't enough, OPEC seems to have lost touch with reality. Ministers say higher prices are needed to pay for investment in future production capacity, issuing dire warnings of a future supply crunch. They said the same thing to justify prices soaring above $100 a barrel in 2008. It wasn't true then, and it may not be true now.

The oil industry has responded to the price slump by slashing costs. Projects that needed $100 crude to break even have magically been redesigned to be profitable at half that level.

OPEC has completely misjudged the North American shale industry and seems not to understand how it is still evolving rapidly. It's a little like trying to explain the internet to my 85-year-old mother, or my 12-year-old daughter trying to explain social media to me. As consultant Morten Frisch tells me, drilling horizontal sidetracks from abandoned wells in the Permian Basin is yielding a 91 percent internal rate of return on a $7 million investment and delivering 1,500 barrels a day of crude. He predicts large production increases from vertical wells in previously produced areas in the Permian.

Having failed to use the good times to invest for a future of low oil prices, OPEC is facing a crisis of old age. It is falling apart internally, confounded by the world and increasingly irrelevant.

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Black Gold climbs with the fall of the dollar

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Black Gold climbs with the fall of the dollar

 

26-06-2017 11:51 AM

 

Euphrates -

 

Oil prices rose Monday as a result of the dollar 's decline, but increased drilling activities in the United States raised fears of continued oversupply in the market , despite some efforts producers to cut production. 

Futures prices rose for crude 'Brent' by 45 cents or 0.99% to $ 45.99 a barrel. The futures contracts for crude prices rallied US West Texas Intermediate by 43 cents (0.43%) to $ 43.44 a barrel. 

The US dollar index remained low against a basket of currencies amid dwindling expectations that the lifting of the US Federal Reserve Board interest rates again later in the year. 

The dollar 's decline leads to make oil cheaper for traders who use other currencies. 

Oil prices have fallen since late May, after the Organization of OPEC agreement and some producers to extend the agreement to cut production until the end of next March, about 13%.

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History of edits:: 2017/6/26 13:30 • 42 times readable
Rise of Iraq's oil exports to Spain
{Baghdad: Euphrates News} government data showed on Monday that Spain's imports of crude oil rose nearly one percent on an annual basis last April to 5.32 million tons recorded Saudi Arabia, Iraqi and Algerian cargo largest increases in percentage.
She said the body was concerned with strategic energy reserves in Spain in monthly published by " The Middle East region has become the largest supplier of Spain in April for the first time since January 2012." 
The shipments fell from OPEC countries, which agreed to cut production this year, 4.4 percent to 2.538 million tons. 
But Saudi Arabia 's imports rose 63.5 percent to 682 thousand tons of Iraqi imports jumped 243 percent to 495 thousand tons while Algerian shipments climbed 220 percent to 96 thousand tons. 
And increased imports from non - OPEC 5.9 percent to 2.785 million tons. 
Between January and April 's total imports from Spain , 1.1 percent of crude oil rose to 21.66 million Tun.anthy
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Next month .. Istanbul hosts oil and gas officials in the world

economy

 Since 06/25/2017 14:22 am (Baghdad time)

7%20.jpg

Balances News - Follow-up

It hosts the Turkish city of Istanbul Session 22 of the Conference of the World Petroleum, which heads the management boards of major international oil companies participate in it, on the tenth of July next.

Chaired this session, Mark McCollum, Chief Executive Officer of Weatherford, and involving both Stephen Greenlee head of exploration and production at Total, and Arnaud Broljk, vice president of the company "Stiooal", and other senior officials of the petroleum industry.

It is expected to participate officials competitive ideas related to the industry and its impact on the environment, it will also be discussed the issue of the decline in world oil prices, and so economic consequences.

It is noteworthy that the conference, titled "Bridges to our future energy", will continue until July 13, at the Istanbul Convention Center, according to the statement of the World Petroleum Congress.

It is expected to bring together the conference, which is held every three years in a different city, more than 5 thousand people, including ministers and high-level officials from 29 countries Aadidh.anthy

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OPEC oil price rises as production cuts continues

June 27 2017 12:06 PM
OPEC oil price rises as production cuts continues
OPEC oil price rises as production cuts continues

 

The price of OPEC basket of fourteen crude stood at $43.14 a barrel on Monday, compared with $43.02 the previous Friday, according to OPEC Secretariat calculations on Tuesday. 

In May 2017, OPEC and its allies decided to extend the production cut for nine months to first-quarter 2018. Compliance to the first cut was surprisingly high; therefore, a decent level of compliance for the second cut period is expected.

The production cut deals are expected to mitigate the global oil supply glut to a certain degree. As a result, OPEC production in 2017 is expected to drop by 600,000 bbl/d. 

However, the recovery of the US shale production, along with production growth from Iran, Libya and Nigeria, will cancel off part of the cut efforts. 

In addition, since the cut is not likely to continue through 2018, it is expected that most of the OPEC countries would ramp up production starting from 2018 to compensate the impact of production cut.

Production from non-OPEC countries will start to slowly recover in 2017, mainly driven by strong shale production in the US facilitated by the recovering oil price. 

Newly completed oil sands projects in Canada and presalt plays in Brazil will also play roles in the turnaround.

The OPEC Reference Basket of Crudes (ORB) is made up of the following: Saharan Blend (Algeria), Girassol (Angola), Oriente (Ecuador), Zafiro (Equatorial Guinea), Rabi Light (Gabon), Iran Heavy (Iran), Basra Light (Iraq), Kuwait Export (Kuwait), Es Sider (Libya), Bonny Light (Nigeria), Qatar Marine (Qatar), Arab Light (Saudi Arabia), Murban (UAE) and Merey (Venezuela).

 

http://www.thebaghdadpost.com/en/story/13605/OPEC-oil-price-rises-as-production-cuts-continues

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