Top Five Factors Affecting Oil Prices In 2015
As we ring in the New Year, let’s take stock of where we are at with the oil markets.
Obama Kicks The Oil Industry While They Are Down
With retail gasoline prices safely below $3 per gallon, there is a much smaller downside for executive agencies slapping new rules on the energy industry.
Saudi Facing Largest Deficit In Its History
The nearly 50 percent plunge in the price of oil during the past six months is expected to leave oil-rich Saudi Arabia with its first budget deficit since 2011 and the largest in its history.
Iraq Could Be Oil Market Linchpin
Global economic growth over the next several decades is predicated on continued growth in oil supplies. But meeting long-term supply needs will hinge heavily on one country in particular.
OPEC Ministers Decry Price War Conspiracy Theories
OPEC members seem to be making a point of explaining the decision to maintain production levels at a relatively high rate, making sure that any blame goes not to them but to outside producers who they say aren’t playing fair.
Putin: Battered, Bruised But Not Broken
In what was perhaps the most anticipated edition of his annual press conference yet, Russian president Vladimir Putin certainly delivered. But how much can we extract from the three-hour event that may provide insight on global energy markets in 2015? Quite a lot in fact.
Low Oil Prices Killing Off Fuel Subsidies
Instead of letting fuel prices fall, several countries are taking advantage of lower oil prices by scrapping fuel subsidies.
More To Ruble’s Collapse Than Meets The Eye
The ruble’s collapse follows a similar – though by no means as extreme – slump in oil prices. Still, the Russian economy’s troubles are deeper than that and President Vladimir Putin will be hard-pressed to find an easy out.
Sanctions, Oil Prices Push Russia Into Currency Crisis
As oil prices show no sign of recovery, Russia is facing a sudden and acute currency crisis.
OPEC Denies Price War, Shows Faith In Markets
OPEC Secretary-General Abdullah al-Badri is urging the cartel’s 12 members to maintain production and exploration despite a lower demand for oil.
Iran Leaders Say US Not Only Target Of Suspected Saudi Oil Price War
To many observers, OPEC’s refusal to cut production and thus shore up oil prices was the beginning of a price war with the United States. Now Iran’s president is saying that Riyadh, through OPEC, is also using “treachery” to harm the economies of fellow oil-producing Muslim states in the Middle East.
Big Oil Slashing Spending Amid Low Prices
Oil prices continue to slide in mid-December, slumping towards another key threshold of $60 per barrel. Many oil companies are beginning to pare back capital expenditures, reconsidering pouring billions of dollars into expensive projects that may or may not be profitable in the current environment.
Oil Price Tumbles After OPEC Releases 2015 Forecast
The demand for oil in 2015 will drop to its lowest level since 2002 because of an oversupply of crude and stagnant economies in China and Europe, according to OPEC’s latest forecast. And that’s just one of several sour estimates.
Oil Price Drop Not Affecting US Drilling
The drop in oil prices caused by a supply glut hasn’t daunted US drillers. Oil companies are still drilling in the United States at the highest rate in more than 30 years even as demand in China and Europe sags.
Ukraine Sends Russia Huge Advance Payment For Gas
Ukraine’s Naftogaz has sent $378.22 million to Russia as advance payment for natural gas supplies, which should lead to the resumption of shipments that were suspended nearly six months ago in a dispute over the prices Moscow had set for the fuel and debts Kiev owed for previous shipments.
Saudis Cut Oil Prices Again In Bid To Maintain Market Share
Saudi Arabia may have led the move to keep OPEC’s crude production high and thereby keep prices low, but that doesn’t mean it isn’t concerned about keeping its share of the global oil market.
US Shale Under Pressure From More Than Just Low Prices
Hydraulic fracturing, or fracking, has come full circle in Denton, Texas after a controversial ban on the practice entered into effect on Tuesday. The ban, while incomplete, gives strength to what is a growing anti-fracking movement in the United States.
Chevron, Statoil Announce First Oil Strike In New Gulf Of Mexico Field
Two multinational energy giants, Chevron Corp. of the United States and Norway’s Statoil, have begun extracting oil and gas from the large Jack and St. Malo fields in US waters of the Gulf of Mexico.
Could Falling Oil Prices Spark A Financial Crisis?
The oil and gas boom in the United States was made possible by the extensive credit afforded to drillers. But junk bonds pay high yields because they are high risk, and with oil prices dipping below $70 per barrel, companies that offered junk bonds may not have the revenue to pay back bond holders, potentially leading to steep losses in the coming weeks and months.
As Excitement Builds in the Montney, Companies Seek More Infrastructure
What does it take to build up a new region for oil and gas development? Obviously, the resources have to be in place and economically recoverable. But it is not as easy as just sticking a drill into the ground and pumping out oil and gas.