Seeking Alpha (October 28)
“Benchmark crude oil futures fell Monday in their largest one-day decline in more than two years after Israel’s weekend strikes on Iran avoided energy facilities and ease worries of a wider war that could disrupt global supplies… Analysts said the lack of strikes on oil or nuclear facilities leaves the door open for both sides to de-escalate the conflict.”
Tags: Analysts, Benchmark, Crude oil, De-escalate, Decline, Disrupt, Energy facilities, Futures, Iran, Israel, Nuclear, Oil, Strikes, Wider war
New York Times (August 30)
“The world is well stocked with oil…. Demand continues to grow, but production seems likely to keep pace.” This is one reason “the market seems surprisingly calm” given “the degree of political turmoil not only in Libya but in the Middle East.” The other reason is China. After accounting for “roughly half of consumption increases in the last two decades,” China is no longer driving consumption. The nation’s shift to EVs could even “lead to drops in demand there for diesel this year and for gasoline in 2025.”
Tags: 2025, Calm, China, Consumption, Demand, Diesel, EVs, Gasoline, Libya, Middle East, Oil, Political turmoil, Production, Well stocked, World
Wall Street Journal (April 27)
Exxon and Chevron “are still printing big profits, but their postpandemic run of record earnings is slowing down.” After gyrating with Russia’s invasion of Ukraine, “oil-and-gas supplies have largely stabilized… and analysts say companies such as Exxon—the western world’s largest oil refiner—will have to prove it can keep costs down and production up if the benefits of external market forces continue to ebb.”
Tags: Analysts, Chevron, Costs, Earnings, Exxon, Gas, Gyrating, Invasion, Oil, Postpandemic, Production, Profits, Record, Refiner, Russia, Stabilized, Supply, Ukraine
New York Times (December 4)
The temperature is rising at COP28 as “climate concerns boil over.” Sultan Ahmed al Jaber lit the fuse with “contentious comments” that expressed “skepticism about the world’s ability to halt a rise in global temperatures by reducing the use of hydrocarbons.” Since the oil executive and Emirati politician is “presiding over the COP28 climate summit,” the remarks are “casting fresh doubts over the U.A.E.’s commitment to addressing the climate crisis.”
Tags: Al Jaber, Climate summit, Concerns, Contentious, COP28, Crisis, Doubts, Hydrocarbons, Oil, Politician, Rise, Skepticism, Sultan, Temperatures, U.A.E
Oilprice.com (October 24)
OPEC recently forecast “that demand for oil is going to continue rising at least until 2045.” In contrast, the just released Energy Outlook from the International Energy Agency forecasts that “demand for oil, natural gas, and coal is set to peak before 2030, which undermines the case for increasing investment in fossil fuels…. While the agency does admit that investment in fossil fuels will remain necessary, it claims the growth era is over.”
Tags: 2030, 2045, Coal, Demand, Energy Outlook, Forecast, Fossil fuels, Growth era, IEC, Investment, Natural gas, Oil, OPEC, Over, Peak
New York Times (October 24)
“To oil analysts and investors, Chevron’s $53 billion takeover of Hess confirmed that there’s a new cycle of consolidation in the industry, coming less than two weeks after Exxon Mobil’s $59.5 billion bid for Pioneer Natural Resources.” In spite of “pressure from climate-minded policymakers, investors and activists to embrace greener energy,” the majors are “instead focusing on getting bigger. That could create a larger gap in the industry between those who have the firepower and freedom to buy rivals, and those who, because of politics or finances, do not.”
Tags: Activists, Analysts, Chevron, Climate-minded, Consolidation, Exxon Mobil, Firepower, Freedom, Greener energy, Hess, Investors, Majors, Oil, Pioneer, Policymakers
New York Times (August 13)
“Across the country, a profound shift is taking place that is nearly invisible to most Americans. The nation that burned coal, oil and gas for more than a century to become the richest economy on the planet, as well as historically the most polluting, is rapidly shifting away from fossil fuels.” The energy transition is further along in other places like Europe, but “the United States is catching up, and globally, change is happening at a pace that is surprising even the experts who track it closely.”
Tags: Coal, Economy, Energy transition, Europe, Fossil fuels, Gas, Invisible, Oil, Pace, Planet, Polluting, Profound shift, Richest, Surprising, U.S.
OilPrice.com (March 7)
There is scant “spare oil production capacity globally.” This mostly lies with Saudi Arabia and the United Arab Emirates. U.S. shale firms “are expected to raise oil production this year compared to 2022,” but might surprise on “the downside due to supply chain and labor bottlenecks, cost inflation, and the industry’s strategy to reward shareholders and pay down debts instead of taking on more debts to boost output.”
Tags: 2022, Cost inflation, Debts, Downside, Labor, Oil, Production capacity, Saudi Arabia, Shale, Shareholders, Supply chain, U.S., UAE
Bloomberg (March 5)
China’s reopening “means Chinese oil consumption is poised to hit a record this year. Daily demand will reach an all-time high of 16 million barrels a day,” and looks increasingly likely to tip the price back above $100 a barrel amid tight supply.
Tags: 100, 16 mmb/d, China, Consumption, Demand, Oil, Poised, Price, Record, Reopening, Tight supply, Tip
Market Insider (September 30)
“Japan and Korea have dumped billions of dollars into the foreign exchange market to prop up” their currencies. Nevertheless, “the dollar has surged 26% against the yen and has risen 21% versus the won.” The yen and won are hardly unique. “Both developed and emerging market economies, have slumped against the dollar,” but both currencies “have also been hurt by trade deficit concerns” as their “economies are importers of oil.”
Tags: Currencies, Developed, Dollars, Economies, Emerging, Forex, Importers, Japan, Korea, Market, Oil, Prop up, Slumped, Surged, Trade deficit, Won, Yen
