IEA urges Opec to sustain oil production to meet unexpected demand.

February 13, 2014 Oil 

FT: “Opec will need to sustain production at its current level of almost 30m barrels a day if badly depleted oil inventories in the developed world are to be rebuilt, according to the International Energy Agency.”
Read more

One more year of relative oil and gas stability before the storm?

December 30, 2013 Gas, Oil 

Chris Nelder on SmartPlanet: “At the end of 2012, I forecast that Brent Crude (the London benchmark price, which serves as a global proxy for oil prices) would average $105 per barrel (bbl) in 2013, and that West Texas Intermediate (WTI), the North American benchmark, would average $90 to 95/bbl.”
Read more

S Sudan loses 250k mbd and the talk is of global oil supply crisis.

FT: “The crisis in South Sudan, which has left hundreds dead, has started to hit global oil supplies, compounding the effects of production losses in Nigeria and Libya and putting upward pressure on prices. Africa has replaced the Middle East as the focus of concern over global oil supplies due to recent disruptions in the three petroleum-rich countries.” Read more

“The fall off in conventional oil production is real and scary.”

Eric Riguly in the Globe and Mail: “The “peak oil” theory has pretty much vanished, along with The Oil Drum, the bible of peak oil believers. Rest in peace.
Or turn in your grave, for the oil price charts tell a different story.” Read more

Why Canada’s oil sands look like a shaky investment: Carbon Tracker.

December 3, 2013 Oil 

Bloomberg: “A new study (PDF) examining the economics of Western Canada’s oil sands finds that even if the Keystone XL pipeline gets built, it’s unlikely that extracting the heavy, tar-like oil around Alberta will remain commercially viable over the next decade.” Read more

Four oil traders claim in court that BP, Shell and others fix oil spot market.

November 6, 2013 Climate, Finance, Oil 

Bloomberg: “Four longtime traders in the global oil market claim in a lawsuit that the prices for buying and selling crude are fixed – and that they can prove it.” Read more

Oil majors under pressure from investors to curb capex spending.

November 5, 2013 Finance, Oil 

FT: “For years, the global oil majors have been like Formula One cars, racing flat-out to grow. Investors now want them to take their foot off the pedal. Pressure has been building on them to curb their vast capital spending programmes and return more cash to shareholders. Those that do have seen their stock price rise.” Read more

China overtakes US as the world’s largest world oil importer.

October 9, 2013 Oil 

FT: “After decades as the world’s biggest market for the international oil trade, America is ceding that position, the US Energy Information Administration said this week. The implications for international relations and global security are profound.” Read more

Mexico hedges oil output at highest price on record.

September 18, 2013 Finance, Oil 

FT: “Mexico has hedged its oil production for the coming year at the highest price on record, in a striking indication of how stubbornly high oil prices continue to allow producing governments to finance growing budgets.” Read more

IHS: shale oil resources are vast outside the US – at high oil price.

September 17, 2013 Oil 

FT: “in countries such as Argentina, Russia and Algeria hold larger reserves than the regions at the heart of the US energy boom, and have the potential to make a significant contribution to global crude supplies in the next decade, according to new research.” Read more

New European law to clamp down on market price-rigging.

September 8, 2013 Finance, Gas, Oil 

Guardian: “Life bans on rogue traders and large company fines as Financial Conduct Authority and Ofgem launch investigations. The European parliament is expected this week to vote through tough new legislation that would allow Brussels – and London – to crack down much harder on rogue traders in financial and energy markets.” Read more

Libyan output falls, squeezing supplies of crude oil to refineries.

September 2, 2013 Oil 

FT: “While Syria may have stolen the headlines in the oil market last week, oil traders and refiners are paying closer attention to Libya. The north African country has seen oil output slashed from around 1.4m barrels a day to around 250,000, as ports and oilfields have been closed by striking workers and militias.” Read more

China to import >9 million barrels of oil a day by 2020: Wood Mackenzie.

August 20, 2013 Oil 

FT: Wood Mackenzie predicts China is on track to spend $500bn a year on crude oil imports by 2020: one of the most bullish forecasts yet of oil demand growth. Chinese net oil imports would rise to 9.2m barrels a day by 2020, they say. Read more

“Oil price held high by supply disruptions”: FT.

August 9, 2013 Oil 

FT: “This year was meant to mark a turning point for the oil market. An energy revolution that has been gathering pace in North America was expected to reduce the world’s dependence on crude oil from the Opec cartel of producers.” Read more

Oil companies may be stripped of physical oil trading, amid fixing fears.

August 5, 2013 Finance, Oil 

FT: “Two weeks (ago)the European Commission had swooped on offices across Europe in pursuit of any evidence of price fixing in oil markets.” Read more

FT Alphaville suspects artificial scarcity in the oil markets.

June 20, 2013 Oil 

Izabella Kaminski in the FT joins other analysts wondering why have buyers of oil this year been paying a premium for prompt delivery when supply has far outstripped demand.

UK MoD study flags imminent peak “easy” oil, and $500 oil by 2040.

June 4, 2013 Climate, Oil 

Guardian: A little-known Ministry of Defence (MoD) report published earlier this year warns that converging global trends will dramatically affect UK economic prosperity through to 2040.” Read more

Saudi minister: we do not plan to lift production before 2040.

April 30, 2013 Clean Energy, Nuclear, Oil 

FT: The Kingdom does not need to lift production in the next 30 years, given US shale and resurgent Iraqi output, says Ali Naimi, the country’s oil minister. Read more

IEA boss writes of legislative “threat” that “could turn US oil boom to bust.”

February 6, 2013 Gas, Oil 

Maria van der Hoeven in the FT: Thanks to fracking, “US crude oil production has increased by 1.3m barrels per day in the past two years, and the US Energy Information Administration forecasts that the US will produce a further 1.4m b/d by the end of 2014.” Fracked oil trades at a discount to international benchmarks, but there is a problem. Read more

Opec nets a trillion dollars on an average annual oil price of $111.

December 30, 2012 Oil 

FT: “With one trading day left before the year-end, Brent oil prices are on the point of seeing an average for the year of about $111.5 a barrel, higher than the previous all-time high set in 2011 of $110.9.”