Здравствуйте. Вся информация этого сайта бесплатна. Вы можете сделать пожертвование и поддержать наше развитие. Спасибо.

Hello. All information of this site is free of charge. You can make a donation and support our development. Thank you.

2015-05-15 18:55:00

U.S. SHALE WILL BACK

U.S. SHALE WILL BACK

Like a fighter who goes down after being sucker-punched, US shale producers are staggering but have not given up. In one corner is Saudi Arabia, the king of OPEC, which has ramped up its production to near-record highs in an effort to retain global market share for crude oil. In the other corner is the US, which had declining oil production until independent producers figured out how to exact oil, natural gas, and gas liquids in large volumes from shale deposits. This revitalized domestic onshore oil and gas production in the US.

As Saudi Arabia pumps more and more crude, creating a glut in global supplies, US producers recently have begun to curtail oil production as prices plummeted. However, this doesn't appear to be fast enough for the Saudis, who appear to be maneuvering for a knockout blow against Uncle Sam. The cost of production for US shale producers is significantly higher than for conventional production in Saudi Arabia and in other OPEC countries, which gives those producers an advantage at a time of sagging oil prices.

On May 13, the International Energy Agency (IEA) released a report that confirms Saudi oil production is close to a record high. In its monthly report, the IEA noted that global energy demand was higher than expected, which should help ease the oil glut and keep prices from falling again. However, the agency said that the crude oil glut is extending into refined products, which could make the recent oil price recovery unsustainable.

The IEA remarked that, despite bullish signals in the US, the oil market's fundamentals still look "relatively loose." Global oil production exceeds demand by approximately 2 million barrels per day, or about 2%, following huge growth in US shale production and OPEC's decision last November not to slash output in an effort to keep prices at a high level. Market share seems to be a bigger concern for OPEC, particularly the Saudis.

"In the supposed standoff between OPEC and US light tight oil (LTO), LTO appears to have blinked," said the IEA. "Following months of cost cutting and a 60% plunge in the US rig count, the relentless rise in US supply seems to be finally abating."

Nevertheless, a recent increase in oil prices has given US producers a new attitude. Several LTO producers claim to have achieved significant reductions in production costs in recent weeks, which would make them more competitive, says the IEA. At the same time, producer hedging has increased as companies took advantage of the price rally to lock in profits.

The IEA says it sees no sign that OPEC intends to curb its output in the near term, saying that early indicators suggest the cartel will sustain rates at around 31 million bpd during May. In addition to Saudi Arabia, Kuwait and the United Arab Emirates have all raised their rig count and expanded their drilling programs.

OPEC production has now been above the cartel's self-imposed supply target of 30 million bpd for the 12th consecutive month, as the fight over oil market share continues. So far, neither side has indicated a willingness to capitulate.

ogfj.com

Tags: US, SAUDI, SHALE, OIL, PRICE

Chronicle:

U.S. SHALE WILL BACK
2018, June, 22, 13:10:00

THE LARGEST VENEZUELA'S OIL

U.S. EIA - Venezuela holds the largest oil reserves in the world, in large part because of the heavy oil reserves in the Orinoco Oil Basin. In addition to oil reserves, Venezuela has sizeable natural gas reserves, although the development of natural gas lags significantly behind that of oil. However, in the wake of political and economic instability in the country, crude oil production has dramatically decreased, reaching a multi-decades low in mid-2018.

U.S. SHALE WILL BACK
2018, June, 22, 13:05:00

U.S. DEFICIT UP FROM $116.1 BLN TO $124.1 BLN

U.S. BEA - The U.S. current-account deficit increased to $124.1 billion (preliminary) in the first quarter of 2018 from $116.1 billion (revised) in the fourth quarter of 2017, according to statistics released by the Bureau of Economic Analysis (BEA). The deficit was 2.5 percent of current-dollar gross domestic product (GDP) in the first quarter, up from 2.4 percent in the fourth quarter.

U.S. SHALE WILL BACK
2018, June, 22, 13:00:00

EUROPE'S NUCLEAR INVESTMENT : €50 BLN

WNN - There are 126 operational power reactors in 14 EU Member States, providing more than one-quarter of the bloc's total electricity production. In its Communication on the Nuclear Illustrative Program (PINC) published last year, the European Commission expects nuclear to maintain its significant role in Europe's energy mix up to 2050. This would require investment of some EUR40-50 billion (USD46-58 billion) in nuclear LTO by 2050.

U.S. SHALE WILL BACK
2018, June, 20, 13:15:00

OIL PRICE: ABOVE $75

REUTERS - Benchmark Brent crude LCOc1 was up 50 cents at $75.58 a barrel by 0835 GMT. U.S. light crude CLc1 was 50 cents higher at $65.57.

All Publications »