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.

2016-02-14 13:15:00

OIL ABOVE $55

OIL ABOVE $55

After testing a 12-year low, the price of oil simply has to go up.That's according to the chief executive officer of shipping and oil giant A.P. Moeller-Maersk A/S, who says 2015's average crude price of $54 a barrel is too low for the industry to produce enough oil to satisfy global demand.

"In order for the world to be supplied with oil, it's not enough that Saudi Arabia produces," Nils Smedegaard Andersen said in a phone interview on Wednesday. "The world will need oil from places where production costs are higher. And therefore we expect the price of oil must go up."

Brent crude, which cost about $115 a barrel less than two years ago, this year dipped below $30. The plunge has forced the industry, including Maersk's oil unit, to cut jobs. Crude traded at about $30.5 a barrel on Thursday.

"When the price was $110 a barrel we had a clear expectation that it would go down, but we certainly never imagined it at $30," Andersen said. "Exactly where the right price is depends on how much cost can be taken out of production. But the price definitely needs to be higher than the average of 2015."

Though the industry has scaled back, Andersen says his conglomerate wants to make oil acquisitions. Last year, Maersk agreed to buy some onshore assets from Africa Oil Corp. It didn't find any suitable targets in its favorite area, the North Sea. That turned out to be "lucky," given the subsequent decline in prices, Andersen said.

Estimates compiled by Bloomberg show analysts see a barrel of Brent costing about $49 in the first quarter of 2017. But then again, this time last year they thought oil would reach $55 a barrel in the first quarter of 2016.

"We are looking in general at what's on the market, but are obviously cautious in not buying something that's too expensive or which has a too short production life," Andersen said. "In the long term, we think that projects with break-even of $45 to $55 would make excellent transactions."

energynow.ca

-----

More: 

ROSNEFT: DEMAND WILL UP 

2016 OIL PRICE: $38 

OIL MARKET BALANCE 

OIL: BE BIGGER 

SHELL'S PRICES OPTIMISM

 

 

Tags: OIL, PRICES

Chronicle:

OIL ABOVE $55
2017, December, 18, 12:20:00

AUSTRALIA STOPS COAL

PLATTS - National Australia Bank announced Thursday it will no longer provide financing for new thermal coal projects.

OIL ABOVE $55
2017, December, 18, 12:15:00

EXXON - PETROBRAS ALLIANCE

Petrobras and ExxonMobil signed a memorandum of understanding regarding a strategic alliance to jointly identify and evaluate potential business opportunities.

OIL ABOVE $55
2017, December, 18, 12:10:00

EXXON BOUGHT MOZAMBIQUE

ExxonMobil Development Africa B.V. has acquired a 25 percent indirect interest in Mozambique’s gas-rich Area 4 block from Eni and assume responsibility for midstream operations.

OIL ABOVE $55
2017, December, 18, 12:05:00

U.S. RIGS DOWN 1 TO 930

U.S. Rig Count is down 1 rig from last week to 930, with oil rigs down 4 to 747, gas rigs up 3 to 183, and miscellaneous rigs unchanged. Canada Rig Count is up 19 rigs from last week to 238, with oil rigs up 22 to 134 and gas rigs down 3 to 104.

All Publications »