IMF warns of global inflation: the poor will pay the price

[yota691]

Iraq announces its position on OPEC decisions after the European ban on Russian oil

• Time: 05/31/2022 15:13:54
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• Reading: 390 times

  

{Economic: Al Furat News} Iraq issued its position on the decision of the Organization of Petroleum Exporting Countries in the oil agreement and the agreement on the shares of member states in the global market.

The National Oil Marketing Company (SOMO) said that "Iraq is committed to the decisions of OPEC."

Iraq's announcement comes after  European Union leaders agreed on a plan to ban more than two-thirds of Russian oil imports.

The embargo will affect oil that reaches EU countries by sea, not via the pipeline, after opposition from Hungary. 

European Council President Charles Michel said the deal cut off a "huge source of funding" for Russia's war machine. He added that he was applying "maximum pressure on Russia to end the war."

The European decision led to a jump in crude oil prices, as it exceeded $124 a barrel on Tuesday.

 

[yota691]

 

Europe deals a blow to Russian oil and expected annual losses of 10 billion dollars

 2022-05-31 01:50

 

Shafak News/ After several discussions, European Union leaders agreed on a partial ban on Russian oil imports to the union countries in an attempt to pressure Russia's financial resources due to its invasion of Ukraine.

"The sanctions will prevent purchases of crude oil and petroleum products from Russia that are delivered to member states by sea, but will include a temporary exemption for pipeline crude," European Council President Charles Michel said late Monday at a summit in Brussels.

"This will cover more than two-thirds of oil imports from Russia, cutting off a huge source of financing the war machine," Michel added, "the maximum pressure on Russia to end the war."

Expectations indicate that Russia will lose about 10 billion dollars annually from oil export revenues with the European Union imposing a ban on shipments, according to some analysts’ estimates, due to the fact that Russia will be forced to sell its crude at a lower price to the countries of the Asian region, where it is actually trading at a price About $34 per barrel lower than the price of Brent crude futures contracts.

[yota691]

Iraq moves to supply the European market with oil

Somo

 

energy
   

Economy News - Baghdad
The Oil Marketing Company (SOMO) revealed, on Tuesday, that France approached the possibility of Iraq to supply the European market with oil

The company's general manager, Alaa Al-Yasiri, said during his hosting of the Parliamentary Oil, Gas and Natural Resources Committee, according to a statement reported by the official news agency, that "SOMO is the only company responsible for exporting oil and importing its derivatives," explaining that "the marketing company is a middle link between the Ministry of Oil." and the beneficiaries of the oil.

He stressed, "The approach of the French authorities concerned with the possibility of Iraq supplying the European market with oil."

He added that "Iraq is committed to the decisions of OPEC," stressing "his company's interest in Indian and Chinese government oil companies because it deals with a long-term contract and the company cannot lose its customers."

He pointed out that "the targets of Iraqi crude oil are oil refineries," expressing "his hope that the Parliamentary Energy Committee will support the company's work."

 

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Added 05/31/2022 - 3:53 PM

Update 05/31/2022 - 4:15 PM

[6ly410]

iraq moves to supply european market with oil

economy agency news - iraq moves to supply european market with oil (economy-news.net)sumo   

 

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economy news - baghdad

oil marketing company (somo) on tuesday revealed france's approach to the possibility of iraq supplying oil to the european market

"sumo is the only company responsible for exporting oil and importing its derivatives," said alaa al-yasiri, general manager of the company, while hosting the parliamentary oil, gas and natural resources committee, according to a statement quoted by the official news agency.

"the french authorities are approaching the possibility of iraq supplying oil to the european market," he said.

"iraq is committed to opec's decisions," he said, stressing his company's interest in indian and chinese state oil companies because it deals on a long-term contract and the company cannot lose its customers.

"the target of iraqi crude oil is oil refineries," he said, adding that he hoped the parliamentary energy committee would support the company's work.

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Add 2022/05/31 - 3:53 PM

Updated 2022/06/01 - 12:33 AM

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[6ly410]

oil expert explains the effects of the european embargo on russian oil on opec quotas

•  time: 2022/05/31 16:37:30
•  
• oil expert explains effects of european ban on russian oil on opec quotas - euphrates news (alforatnews.iq)

  

oil expert hamza al-jawahiri explained the effects of the european oil embargo on opec quotas.

the useful acronym. in the important news you find it on al-furat news channel on talkram to subscribe click here

"russia is part of opec plus and there are commitments between opec, russia and other countries, opec cannot exceed the quotas of countries," al-jawahiri told the times news.
"the amount the world consumes daily, regardless of the russian oil embargo, is about 100 million barrels, and there is a possibility that russian oil will take other routes," he said.
"russian oil, such as being sold to another allied country and being exported to the market, russia is now selling oil at a discount of up to 20 percent
, and iraq has issued its position on opec's decision to agree on the shares of member states in the world market," he said.
"iraq is committed to opec's decisions," said the national oil marketing company somo.
iraq's announcement follows a plan by eu leaders to ban more than two-thirds of russia's oil imports.
the oil embargo will be brokered that reaches eu countries by sea, not through the pipeline, after opposition from hungary.
the president of the european council, charles michel, said the agreement cut off a "huge source of funding" for the russian war machine. he added that he was exerting "maximum pressure on russia to end the war".
the european decision led to a jump in crude oil prices, surpassing 124 dollars a barrel on tuesday.

from: raghad dahham

 

[yota691]

Baghdad conquers Paris: It is possible to supply the European market with Iraqi oil

2022.05.31 - 20:01

 

Baghdad - people  

The Iraqi Oil Marketing Company "SOMO" announced, on Tuesday, that it approached the French authorities concerned with oil marketing, about the possibility of Iraq supplying the European market with oil.  

  

  

The Media Department of the House of Representatives stated in a statement, of which “Nass” received a copy, (May 31, 2022), that “the Oil, Gas and Natural Resources Committee, headed by Representative Yahya Al-Ithawi, President of Al-Sun and his two deputies, Ali Al-Machkoor and Nehru Mahmoud, in the presence of the ladies and gentlemen members of the committee, hosted the general manager of the marketing company.” Oil (SOMO) and the advanced cadre in the company to see its work.”  

During the hosting, which was held at its headquarters, the committee affirmed its "full support for the Oil Marketing Company to improve its reality, noting the importance of providing the committee with details of the company's work and knowing its capabilities to export oil," noting "knowing the target parties for Iraqi crude oil."  

The committee demanded "to know that there is sufficient production for Iraq outside OPEC, and inquired about the coordination mechanism between the Oil Marketing Company and OPEC."  

The statement indicated that "General Director of the Oil Marketing Company (SOMO) Alaa Al-Yasiri confirmed that his only Iraqi company for the export of oil and the import of its derivatives, explaining that the company is a middle link between the Ministry of Oil and the parties benefiting from oil," pointing out that "the company approached the French authorities concerned with marketing Oil is Iraq's ability to supply the European market with oil."  

The Director General of the Oil Marketing Company added, "Iraq is committed to the decisions of OPEC, stressing his company's interest in the Indian and Chinese government oil companies, because they are dealing with a long-term contract and the company cannot lose its customers," noting that "the targets of Iraqi crude oil are the oil refineries, hoping to support the Committee." For the work of the company and its doors are open to the ladies and gentlemen members of the committee to visit it at any time.

[yota691]

Before the OPEC Plus meeting today, Saudi Arabia is preparing to fill the Russian vacuum and increase its oil production

• Time: 02/06/2022 10:43:28
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• Reading: 455 times

  

{Economic: Al Furat News} American media revealed, today, Thursday, that Saudi Arabia is ready to raise its oil production in the event that Russia reduces it on its part due to Western economic sanctions.

And the American newspaper "Financial Times", quoting private sources, reported that "Saudi Arabia has indicated to Western allies that it is ready to increase oil production if Russian production drops significantly due to sanctions."

The newspaper added, "According to Saudi Arabia, there is no longer enough oil in the market, which contributes to the rise in prices, but there is no real shortage so far."
And the sources continued to the newspaper: “An immediate increase in production in Saudi Arabia and the UAE was discussed, which can be announced at the OPEC + meeting on Thursday, but no final decisions have been taken yet.”
On Tuesday, the leaders of the European Union reached an agreement on the sixth package of anti-Russian sanctions, against the background of the continuation of the special military operation carried out by the Russian armed forces in Ukraine since last February 24.
The new package of sanctions includes reducing Russian oil imports by 90 percent by the end of this year; With a temporary exception for oil coming through the Druzhba pipeline, which passes through eastern Ukraine.
The new restrictive measures also included targeting three Russian banks by disconnecting them from the SWIFT system, including Sberbank, banning three Russian TV channels from broadcasting in the European Union; In addition to individual penalties.
the scientist

[yota691]

Awaiting the results of the OPEC + meeting .. Oil contracts reduce its losses

• Time: 02/06/2022 15:22:43
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• Reading: 143 times

  

{Economic: Al Furat News} Oil prices fluctuated with anticipation of what will be announced at the meeting of the OPEC + alliance, which is expected to determine production policy.

Oil trimmed its losses after the Brent and US crude contracts fell in previous trading by about 2.4 percent to 113.5 and 112.5 dollars a barrel, respectively.

In yesterday's trading upon settlement, Brent crude reached $116.29 a barrel, an increase of 69 cents, or 0.6%, while US West Texas Intermediate crude rose 59 cents, or 0.5%, to $115.26 a barrel.

European Union leaders agreed in principle on Monday to gradually reduce Russian oil imports by 75 percent for now and 90 percent by the end of this year, in the bloc's toughest sanctions against Moscow to date since the Ukraine crisis.

However, experts doubt the ability to reach these percentages of abandoning Russian oil, in light of the difficulty of alternative options at the present time.

Sanctions on crude oil will be implemented within six months and on refined products over eight months. The embargo excludes pipeline oil from Russia as a concession to Hungary and two other landlocked countries in central Europe.

In China, a strict lockdown to contain the COVID-19 virus ended in Shanghai after two months, leading to expectations of increased demand for fuel.

OPEC+ includes members of the Organization of the Petroleum Exporting Countries (OPEC) and its allies led by Russia (OPEC+). The group is scheduled to meet Thursday to set production policy. Sources said that a technical committee in OPEC + reduced its forecast for the oil market surplus in 2022 by 500,000 barrels per day to 1.4 million barrels per day.

[6ly410]

 

[yota691]

Oil rises as US inventories fall despite OPEC + production increase

2022.06.03 - 08:24

 

Baghdad - people   

The Organization of the Petroleum Exporting Countries (OPEC) and its oil-producing allies agreed on Thursday to raise production in July and August by a larger-than-expected amount as the Russia-Ukraine war wreaked havoc on global energy markets.  

  

 

Brent crude futures rose 1.1% to $117.61 a barrel upon settlement, and West Texas crude rose 1.4 percent to $116.87.  

  

On the other hand, OPEC+ agreed to increase production by 648,000 barrels per day in both July and August, precipitating the end of the historic production cuts implemented by OPEC+ during the Corona pandemic.  

  

The group was slowly returning nearly 10 million barrels per day, which it agreed to withdraw from the market in April, 2020.  

  

In recent months, production has risen by between 400,000 and 432,000 barrels per day each month.  

  

The decision comes as the world grapples with rising energy prices, and governments, including the Biden administration, have called on producers to increase production in an effort to rein in oil.  

  

White House press secretary Karen-Jean-Pierre said the administration welcomes the OPEC+ announcement.  

  

US government data showed that US crude oil and fuel stocks fell last week, with demand continuing to outpace supply, and with commercial crude stocks declining even as more strategic reserves entered the market.  

And US crude oil inventories fell 5.1 million barrels, compared with analysts' expectations in a Reuters poll for a decline of 1.3 million barrels.  

  

European Union leaders agreed on Monday to ban 90% of Russian crude by the end of the year as part of the bloc's sixth package of sanctions since the war in late February.  

  

Last March, crude hit its highest level since 2008 and held steady above $100, and the rapid rise is a major contributor to the decades-old high inflation rates seen across economies.  

  

The national average gallon of gasoline in the United States on Thursday hit another record high of $4.71.  

  

The next meeting of OPEC and its allies will be on June 30.  

[6ly410]

After the new "OPEC +" agreement, the White House praises Iraq's role

Thursday 02, June 2022 18:44 | economicNumber of readings: 597بعد اتفاق "اوبك+" الجديد.. البيت الأبيض يشيد بدور العراق (ninanews-com.translate.goog)

 

Baghdad / NINA / - The oil-producing countries of "OPEC +" announced today, Thursday, a new increase, greater than expected, in their production this summer, in an attempt to limit the rise in prices since the beginning of the Russian-Ukrainian war.

In a statement after the meeting of OPEC members, the White House praised the role of "Iraq, Saudi Arabia, the United Arab Emirates and Kuwait, in achieving consensus in OPEC +."

The coalition of representatives of the 13 member countries of the Organization of Petroleum Exporting Countries (OPEC) and their 10 partners (OPEC), stated that all agreed to “adjust July production by an increase of 648,000 barrels per day,” compared to 432,000 barrels identified in the previous months, stressing the importance of Market stability and equilibrium.

The OPEC + group agreed, at its meeting on Thursday, to increase oil production by 648,000 barrels per day in July, and by a similar amount in August. This increase exceeds the previous monthly increases of 432,000 barrels per day.

The group, consisting of 23 countries, including Russia, had agreed to add 432,000 barrels per day steadily every month, according to a roadmap to gradually restore production cuts that were imposed in the midst of the recession due to the pandemic in 2020. / End 8
 

[6ly410]

 

[yota691]

Why can't the world give up on Russian oil?

articles
Ahmed Sabah Abdullah
   

Russian oil exports decreased by one million barrels from their quota in the OPEC + agreement for the month of May, while Europe decided to ban the import of Russian oil at the end of this year, amid speculation that a large percentage of its oil exports will decline. Despite this, I do not think that Russian oil exports will decrease by more than one million barrels per day. On the contrary, I expect that the decline will decrease because the global economy cannot dispense with Russian oil. What remains in OPEC’s production capabilities is 700 dads to Saudi Arabia and another 500 dads of storage Saudi Arabia is near consuming markets, with his upcoming visit to Saudi Arabia, Biden is trying to persuade them to pump it for 180 days, in addition to the Emirates, which have the possibility of increasing 900 Abi and Kuwait up to 140 Abi, so the total will not exceed 1.

 

The main reason for the inability to dispense with Russian oil is that this is the worst and longest crisis in the global economy since the Great Depression of 1929, which led to the rise of Nazism and the outbreak of World War II. The world economy shrank by 3.5%.6% in 2020, while the growth that followed was artificial due to fake money pumped into the global economy, so we find that inflation today is reaching record levels. The Ukraine crisis prolonged the economic stagnation and delayed the recovery of the global economy after the pandemic. The economic situation for the year 2008-2009, this is much worse and longer, so Westerners realize that the global economy is not capable of further escalation, they turn a blind eye to selling Russian oil and gas far in Asia, and with the prospect of Iran returning to the nuclear agreement to return a million barrels of oil is blocked An Iranian addition to the markets, in addition to the West’s abstention from any investments in the Venezuelan oil and gas sector, so we find that the lack of oil that powers the global transport sector will keep the global economy in stagnation and inflation by 2023, and the stagnation of the fall will cause the Democrats to lose their control of the Senate and the House of Representatives, which restricts President Biden on the issuance of any legislation appropriate to his policy, Cheap oil in the time of Trump no longer exists because of Biden's policies that restricted investment in oil around the world and stopped work on the Alberta-Pennsylvania pipeline, which had reached its final stages to deliver about one million barrels of Canadian shale oil to American refineries.

 

Biden's liberal policies distanced him from his traditional allies in the Arab Gulf, and this is what made their response slow and their strong commitment to the OPEC + agreement.

 

 Chinese companies may, through their investments around the world, be able to add more oil to the global market because they are not subject to carbon taxes, are not restricted by environmental legislation and are satisfied with little profits.

 

As for the Iraqi oil sector, we hope by the fall it will return to the level of production before the pandemic by adding 300 abi in addition to reduce the consumption of old and ineffective filter units to pump another 100-200 abi for export while we rely on cheap Iranian gasoline whose price is close to crude oil.

 

 

 

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Added 06/04/2022 - 12:45 PM

Update 06/04/2022 - 5:25 PM

[yota691]

Bloomberg: Russia earns $800 million a day from oil and gas

2022.06.04 - 20:00

 

Baghdad - people  

Bloomberg reported on Thursday that it expects gains from Russian oil and gas sales to total $285 billion this year, a 20% increase from last year's $235.6 billion in oil and gas profits.  

 

  

The agency said Russia was still earning profits from oil and gas exports, despite Western sanctions.  

Despite the tough sanctions, Russia could still earn $800 million a day in oil and gas revenues this year amid rising energy prices, the agency reported.  

The Russian attack on Ukraine enters its 100th day, Friday, June 3, with the absence of a clear horizon for an end to the fighting.  

With oil prices rising by nearly 50% this year, Russia's fiscal coffers have strengthened and reached their highest levels in 13 years.  

Much of the windfall can be traced back to the EU, due to the bloc's dependence on Russian energy.  

Europe is Russia's main customer  

The European Union gets 40% of its natural gas needs from Russia and is struggling to get rid of the fuel dependence, while some EU countries - including Germany, Europe's largest economy - are highly dependent on the product.  

Overall, Europe is a major buyer of Russian energy products, accounting for about 50 percent of the country's crude oil exports and 75 percent of its natural gas exports in 2021, according to the Energy Information Agency.  

In the first two months of Russia's attack on Ukraine, which began on February 24, the European Union allocated €39 billion to Russian fossil fuels, which represents 70 percent of the country's exports. This made the conglomerate "by far" the largest buyer of Russian fossil fuels.  

Germany was the largest single buyer, spending 8.3 billion euros on imports, while the Netherlands was the second largest buyer from the European Union, spending 6 billion euros. Italy came in third place with purchases amounting to 4.3 billion euros.  

  

Alternatives to Russian energy  

In its report, the committee said that sanctions imposed on Russia over the attack on Ukraine were "undermined by the continued import of fossil fuels from Russia, especially to the European Union."  

"Exports of fossil fuels are a major factor in strengthening Russia's military buildup and its brutal aggression against Ukraine," she added.  

The research organization acknowledged the European Union's efforts to set new targets for clean energy, as the union weaned itself from Russian energy, but added that this would not be an immediate solution.  

"These steps will provide an alternative to Russian fossil fuels over the next few years, but will not have a material impact on Russia's fossil fuel export earnings in the short term," the Center for Research on Energy and Clean Air said.  

German Economy Minister Robert Habeck said in a press release on March 25 that Germany will wean itself off Russian gas by 2024.  

  

"Arabic Boost"  

[yota691]

New pressures on the European gas market

Economy

2022-06-03 | 07:16

 

 

809 views

 

The cost of shipping liquefied natural gas (LNG) by tanker has risen to a 10-year high on the back of Western sanctions against Russia, the Financial Times reported today.

According to investment firm Clarksons Platou Securities, the cost of shipping an LNG tanker is now $120,000 a day, up 50 percent from last year.

This will constitute new pressures on the European gas market, as the European Union is working to increase the import of liquefied gas via tankers.

 

 

The newspaper pointed out that prices rose sharply after the European Union said that it intends to reduce its dependence on Russian gas by two-thirds by the end of 2022 and import an additional 50 billion cubic meters of liquefied natural gas.

She also noted that the world's largest traders are scrambling to find tankers to transport LNG before winter arrives, as sanctions against Russia have led to changes in the world's energy routes.

[yota691]

SOMO: Positive responses from foreign companies to increase Iraqi oil sales in Europe

National Oil Marketing Company "SOMO"

 June 22, 2022 12:52 PM

Mubasher: The National Oil Marketing Company (SOMO), affiliated to the Ministry of Oil, announced today, Wednesday, a movement to increase Iraqi oil sales in the European market, while indicating Iraq's ability to cover the needs of this market.

The director of the company, Alaa Khader Al-Yasiri, told the Iraqi News Agency (INA), that "SOMO has effective oil supply contracts with European companies with a total quantity of about 600 thousand barrels per day of Basra Medium, Basra Heavy and Kirkuk crude oil."

And he indicated that "these companies have a total liquidation capacity of about 60% of the total liquidation capacity in the continent of Europe." 

He added that "Sumo Company is constantly searching for available opportunities for marketing and approaching European companies that do not have contracts with them," noting that "it has recently received a number of positive responses from some companies that may lead to new contracts and lead to an increase in Iraqi oil sales in the European market." . 

He pointed out that "Iraq is able to cover the European market," noting that "the current situation in this market requires companies to find suitable oils that are not subject to international sanctions, as Basra crude oil is one of those suitable oils."

He added, "The acidic average of Basra oil can feed European refineries, despite the difference in some quality specifications from the oils consumed in those refineries currently, which to some extent constitutes an obstacle to European buyers' complete dependence on Iraqi oil." 

He stressed, "In terms of the level of demand for crude oil in the European market, the total quantities received for this market of medium-sour oils reached the limits of (2.5) million barrels per day, and in light of the political tensions that afflict Europe, which may affect the supply of crude oil in the market." The European Union may have a deficit of up to one million barrels per day of medium-acid crude oil, and this is an opportunity for Iraqi oil away from the Asian market, as it is a promising market in the long term, which achieves a greater return for the Iraqi round and ensures the stability of demand for Iraqi oils. 

Al-Yasiri pointed out that "Iraq is committed to the decisions of the Organization of the Petroleum Exporting Countries, which always aims to strive for the stability of global oil markets and the balance of supply and demand," noting that "any quantities that are allocated to a specific market are within the agreed production ceiling." 

And he indicated that "the Oil Marketing Company adopts a mechanism for the official price announced for all markets in selling quantities of oil, and this price is determined for each market and for each type of oil on a monthly basis according to the data and variables of the global oil markets, and this is a continuous context in which to work."

[yota691]

Sumo: We received positive responses from European companies to import Iraqi oil

energy
   

Economy News-Baghdad
Today, Wednesday, the National Oil Marketing Company (SOMO) of the Ministry of Oil announced a movement to increase Iraqi oil sales in the European market, while indicating Iraq's ability to cover the needs of this market.

The director of the company, Alaa Khader Al-Yasiri, told the Iraqi News Agency, "SOMO has valid contracts for oil supply with European companies with a total quantity of about 600,000 barrels per day of Basra Medium, Basra Heavy and Kirkuk crude oil," noting that "these companies possess liquidation capacities. A total of about 60% of the total liquidation capacity in the continent of Europe.”

He added that "Sumo Company is constantly searching for available opportunities for marketing and approaching European companies that do not have contracts with them," noting that "it has recently received a number of positive responses from some companies that may lead to new contracts and lead to an increase in Iraqi oil sales in the European market." .

He pointed out that "Iraq is able to cover the European market," noting that "the current situation in this market requires companies to find suitable oils that are not subject to international sanctions, as Basra crude oil is one of those suitable oils."

He added, "The acidic average of Basra oil can feed European refineries, despite the difference in some quality specifications from the oils consumed in those refineries currently, which to some extent constitutes an obstacle to European buyers' complete dependence on Iraqi oil."

He stressed, "In terms of the level of demand for crude oil in the European market, the total quantities received for this market of medium-sour oils reached the limits of (2.5) million barrels per day, and in light of the political tensions that afflict Europe, which may affect the supply of crude oil in the market." The European Union may have a deficit of up to one million barrels per day of medium-sour crude oil, and this is an opportunity for Iraqi oil away from the Asian market, as it is a promising market in the long term, which achieves a greater return for the Iraqi round and ensures the stability of demand for Iraqi oils.

Al-Yasiri pointed out that "Iraq is committed to the decisions of the Organization of the Petroleum Exporting Countries, which always aims to strive for the stability of global oil markets and the balance of supply and demand," noting that "any quantities that are allocated to a specific market are within the agreed production ceiling."

And he indicated that "the Oil Marketing Company adopts a mechanism for the official price announced for all markets in selling quantities of oil, and this price is determined for each market and for each type of oil on a monthly basis according to the data and variables of the global oil markets, and this is a continuous context in which to work."

 

 

 

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Added 06/22/22 - 1:13 PM

Update 06/22/22 2022 - 5:30 PM

[yota691]

 

To compensate for the shortfall, Iraq is heading towards European markets with its oil

 2022-06-30 05:00

 

Shafaq News/ The Iraqi oil expert Hamza Al-Jawahiri confirmed on Thursday that Iraq is heading for its oil towards European markets to compensate for the shortage in it.

Al-Jawahiri told Shafaq News Agency, "Europe's ban of Russian oil from its markets led to a shortage, with the latter heading to Asian markets and selling its oil at cheap prices, and therefore Iraq may lose part of its oil export in Asian markets."

Al-Jawahiri added, "Iraq will compensate for the oil that it will lose in the Asian markets by exporting it to Europe, especially if we know that the latter is currently seeking to compensate for the shortage of energy from the OPEC countries," noting that "Iraq will not find it difficult to export oil to European countries according to the specified prices." globally". 

Russia has exported its oil at cheap prices to Asian markets, especially Chinese and Indian, after the embargo announced by the European Union countries on Russian oil imports, which threatens the future exports of Iraq and Saudi Arabia to Asian markets.

[yota691]

 

An American bank warns of a “catastrophic scenario”: the price of a barrel of oil is $380

 

 2022-07-02 03:39

 

Shafaq News/ Analysts of the famous investment bank "JP Morgan" warned of what he described as a "disastrous scenario" in which global oil prices may reach $380 a barrel if US and European sanctions push Russia to "implement retaliatory cuts in crude production."

 

The Group of Seven is working on a complex mechanism to limit the price of Russian oil in an attempt to tighten the screws on the high revenues that Moscow achieves in conjunction with its military operation to protect Donbass.

 

However, US bank analysts said: "Given Moscow's strong financial position, the nation could cut daily crude production by 5 million barrels without excessively hurting the economy."

 

In this case, for most of the world, the results could be catastrophic, as reducing daily supplies by 3 million barrels would raise the prices of the benchmark “Brent” crude to $190, while the worst-case scenario of 5 million barrels could mean $380 per barrel, according to Analysts.

 

"The most obvious and likely risk with a price cap (for Russian oil) is that Russia may choose not to participate and instead retaliate by cutting exports," the analysts wrote.

 

The bank's analysts added that the Russian government is likely to "retaliate" by cutting production as a way to harm the West, noting that pressures in the global oil market are currently "in Russia's favor."

 

On Thursday, Russian Deputy Prime Minister Alexander Novak considered that the West's idea of capping the price of Russian oil is another political decision that will lead to market disruption and increase prices.

Novak said that “one example of such policy decisions that harm consumers in Europe could be the ban on Russian coal, where the European Union’s decision, in the end, led to a rise in coal prices, because against the background of the increased use of coal plants, there was a shortage of raw material itself in the market.

[HowieC]

Russia announces 70 banks joining a new financial system away from "SWIFT"

The Central Bank of Moscow confirms that financial conditions are "difficult", but the share of the Chinese yuan is rising

(The Independent Arabia and agencies)  Friday July 1, 2022 3:29
    

The Russian system for exchanging messages between banks is able to act as an alternative to the "SWIFT" system (Reuters)

 

 

The Russian Central Bank announced that 70 foreign banks from 12 countries have joined the alternative Russian trading system for the global " Swift " network . The President of the Bank, Elvira Nabiullina, said that the Russian Central Bank will not disclose the list of these banks due to the fear of these banks that they will be affected by Western sanctions, for their dealings with the Russian financial system in light of the continued imposition of more sanctions by the European Union and the United States of America .

 

She noted that "the Central Bank of the Russian Federation adheres to the policy of floating the ruble exchange rate even in changing conditions, and attempts to achieve the exchange rate that was before will make it artificial." "The managed exchange rate of the ruble will lead to a decrease in the independence of the monetary policy of the Russian Federation," she added.

 

She stated, "When we begin to manage the exchange rate, of course, the independence of monetary policy sharply decreases, that is, we are tied to the currencies of foreign countries. We are forced, with the regulated exchange rate, to synchronize monetary policy with the policies of countries linked to their currencies." She stressed that the share of the Chinese yuan in the Russian economy is increasing.

 

She pointed out that the Russian system for exchanging messages between banks "SBFS" is able to work as an alternative to the global "SWIFT" system. "We have also developed the internal financial infrastructure, and it will work smoothly, we have an SPFS dispatch system that can replace SWIFT within the country, and external participants can connect to it," she added.

 

When was the alternative Russian network for "Swift" created?

 

Russia created SPFS in 2014, when the United States threatened to expel Russia from SWIFT through sanctions. This system is an acronym for Financial Message Transfer System, and it drafts and processes standard formats for electronic banking messages or UFEBS documents and MT files as well.

 

SPFS has integrated security measures that slow down its transactions and increase its financial costs as well. The regime carried out its first successful transaction in 2017, and now has more than 400 financial institutions in its network, and Russia is seeking to include its allies in this system. According to the Russian Central Bank, 20 percent of domestic transfers are currently made through SPFS, but message volume is limited and operations are limited to weekday hours.

 

SWIFT is an acronym for Association for Global Interbank Financial Telecommunication, a company based in Brussels, and therefore subject to Belgian and European law. Founded in 1973, the company is one of the largest banking and financial correspondent networks, providing bank settlements between financial institutions around the world.

 

A few days ago, the 27 European Union countries agreed at a summit in Brussels to exclude Sberbank, the largest bank in Russia, from the SWIFT system for international money transfers. This came as part of a sixth package of European sanctions against Moscow over its military operation in Ukraine.

 

The Russian financial sector is facing difficult conditions

 

As part of her statements, the head of the Russian Central Bank revealed that the financial infrastructure of her country is working without malfunctions. She pointed out that the Russian system for exchanging messages between banks "SBFS" is able to work as an alternative to the global "SWIFT" system. But she reiterated that the Russian financial system and economy are facing a difficult situation, and the Central Bank will use any necessary solutions in this situation. "Our financial system and economy are now facing a very difficult situation, and the Bank of Russia will be very flexible in its approach to using any necessary tools," she added.

 

This comes as Western pressures and calls are growing to stop Russia's use of the "SWIFT" system, a global messaging system between banks to facilitate transfers and payments. Western countries have adopted a new package of sanctions against Russia in response to the war on Ukraine, including the exclusion of a number of Russian banks from the international banking system "SWIFT". The move is expected to further isolate Russia from the international financial system.

 

Freezing assets worth $330 billion

 

In the context of Western sanctions, the United States of America and its allies have announced the freezing of Russian assets worth $330 billion since the start of the Russian-Ukrainian war. According to the US Treasury, Western allies have frozen $30 billion in assets owned by Russian wealthy or elites who are subject to sanctions.

They also froze about $300 billion from the Russian Central Bank, according to a statement issued by the Western Allies' Action Unit responsible for tracking the assets of Russian elites. Also, at least five luxury yachts and real estate owned or controlled by Russian nationals were seized and sanctioned.

 

Earlier, Russian Finance Minister Anton Siluanov announced that the volume of gold and foreign exchange reserves of the Russian Central Bank, which was frozen due to Western sanctions, is about 300 billion dollars. He said, "That's about half of the reserves that we had. We have total reserves of about 640 billion dollars, and about 300 billion of them are now in a state where we can't use them."

 

He stressed that Russia will not abandon its sovereign debt obligations, but will pay them in rubles until Western countries reverse the freezing of their gold and foreign exchange reserves, noting that this is a "completely fair" matter in the current circumstances. 

He noted that the West is pressuring China to limit Russia's access to its yuan reserves, expressing his belief that "our partnership with China will continue to allow us not only to maintain the cooperation that we have achieved, but also to develop it in conditions in which Western markets are closed (in front of us)." He stressed that Russia has enough funds to guarantee the production of goods and conduct the necessary financial transactions, warning that sanctions against Russia will rebound later on those who impose them.

 

https://www.independentarabia.com/node/347326/اقتصاد/أخبار-وتقارير-اقتصادية/روسيا-تعلن-انضمام-70-بنكا-لنظام-مالي-جديد-بعيدا-عن-سويفت?fbclid=IwAR2Lun4NCKukMvAWpOyDcO58BD3IHQMSp7fUiHzOfPs79RujdcvjCNCRFf8

 

[yota691]

POSTED ON 2022-07-04 BY SOTALIRAQ

The largest US bank: Oil prices will jump to $ 380 a barrel

 New York: Bloomberg

 

Analysts, "JP Morgan", the largest bank in the United States of America, warned that oil prices may jump to $ 380 a barrel, if US and European sanctions push Russia to retaliate cuts in crude production.

This comes as the Group of Seven countries is working on a complex mechanism to set a price ceiling for Russian oil in an attempt to "tighten the screws" on Moscow.

"Given Moscow's strong financial position, Russia can reduce daily crude oil production by 5 million barrels without excessively harming its economy, which could lead to disastrous results for most countries in the world," the bank's analysts stated.

Analysts wrote that “a 3 million barrel daily supply cut would push the prices of London benchmark crude to $190, while the worst-case scenario, a 5 million barrel cut, could push oil to $380.”

And they added, “The most obvious and likely risk with a price cap is that Russia may choose not to export its production and instead retaliate by cutting the price.”

its exports.

[yota691]

The largest US bank: Oil prices will jump to $ 380 a barrel

Monday 04 July 2022 190

 

 New York: Bloomberg

 

Analysts of "JP Morgan", the largest bank in the United States of America, warned that oil prices may jump to $ 380 a barrel, if US and European sanctions push Russia to retaliate cuts in crude production.

This comes as the Group of Seven countries is working on a complex mechanism to set a price ceiling for Russian oil in an attempt to "tighten the screws" on Moscow.

"Given Moscow's strong financial position, Russia can reduce daily crude oil production by 5 million barrels without excessively hurting its economy, which could lead to disastrous results for most countries in the world," the bank's analysts said.

Analysts wrote that "a reduction of 3 million barrels of daily supply would raise the prices of London benchmark crude to $190, while the worst-case scenario, a cut of 5 million barrels, could push oil to $380."

They added, “The most obvious and likely risk with a price cap is that Russia may choose not to export its production and instead retaliate by cutting the price.” 

its exports.

[Officiallytook]

Do it now!!! But I mean I can wait til about Oct but then it's crunch time

[yota691]

Putin warns of "serious consequences" for the global energy market

• Time: 07/08/2022 18:02:06
•  
• Reading: 1,079 times

  

{International: Al Furat News} Russian President Vladimir Putin warned that the West's continued use of the sanctions policy could lead to dire consequences for the global energy market.

"The restrictions of sanctions on Russia cause more harm to those countries that impose them. The continued use of the sanctions policy can lead to more severe, without exaggeration - even catastrophic - consequences for the global energy market," Putin said at a meeting with members of the Russian government.

Putin also set the task for Russian energy companies to be ready for the oil embargo in the EU sanctions package.

[yota691]

A senior US official: Oil may reach $140 unless this proposal is imposed

• Time: 07/12/2022 09:32:30
•  
• Reading: 1,209 times

  

{Economist: Al Furat News} A senior official at the US Treasury confirmed that the global price of oil may rise 40% to about $ 140 a barrel if a proposed ceiling for the price of Russian crude is not imposed, in addition to exemptions from sanctions that allow shipments at less than this price.

The official said that US Treasury Secretary Janet Yellen will discuss imposing the proposed price cap with Japanese Finance Minister Shunichi Suzuki when they meet today.

The official stated that the goal is to set the price at a level that covers the cost of Russia's production, so that Moscow is incentivized to continue exporting oil, but not at prices high enough to allow it to finance its war against Ukraine, according to "Reuters".

The official pointed out that Japanese officials expressed concern about imposing a very low price ceiling, but they did not reject a possible price range between 40 and 60 dollars per barrel.