tagged w/ Crude Oil
Take a look at this. While trying to create a cure of Cancer, came up with a method of burning Salt or even Sea Water, creating electricity.
This is a huge solution for the environment and could help maintain a fair amount of Fresh Water.Take a look at this. While trying to create a cure of Cancer, came up with a method of... more
OPEC ministers headed for Vienna on Monday to wrestle with the issue of falling oil prices, with analysts expecting them to agree to trim output to help keep crude above $100 a barrel.
The question facing OPEC, which is to hold a meeting Tuesday, is when, not if, to cut its oil production target as crude prices slide in the face of weakening global economic growth, analysts say.
Most observers expect the 13 nation cartel to agree to reduce its output informally before waiting until later, possibly at a scheduled gathering in Dec, to alter its official output target.
The informal cut will be achieved by members, mainly Saudi Arabia, agreeing to cut their excess production above their OPEC quota, which would remove oil from the market but not amount to a formal change in policy.
"Anyone that is overdoing their quota should respect it," Libya's OPEC representative, National Oil Corporation (NOC) chairman Shukri Ghanem, told AFP by telephone on Sunday. "The market is more than oversupplied it seems."
Under fierce pressure from the U.S, Saudi Arabia agreed in May and June to increase production to help calm the runaway crude market which reached a pinnacle on July 11, when crude struck $147 a barrel in New York.
Saudi Arabia, the world's biggest crude producer, is estimated to be producing about 700,000 barrels per day (bpd) above its quota.
The stakes are entirely different to the last time OPEC members met in March, when crude prices had broken through $100 a barrel and were on a steep upwards trajectory.
This time, oil prices are on the way down and approaching $100 a barrel - a level many members, above all the traditional price hawks of Iran and Venezuela, are keen to protect.
Economic conditions, which determine oil demand, have worsened considerably, with many European economies facing recession, the US struggling & fears growing about the emerging economies of Asia.
OPEC producers have to balance their desire for revenues from high oil prices against the danger that high prices could choke off feeble economic growth.
Analyst John Hall, who runs his own oil consultancy expects a cut in production via a crackdown on overproduction by Saudi Arabia.
"I think they'll hold up at where it is & reinforce targets. That'll bring the output number down," he told AFP.
He estimated that OPEC was pumping about a million bpd more than its output target of 29.67 million bpd, which includes new members Angola & Ecuador but excludes Iraq.
Ecuador's oil minister, whose nation is the smallest OPEC producer, said on Sunday an oil price of $110-120 per barrel was "reasonable" but he suggested OPEC should keep its output steady.
"I don't think there is a possibility of a cut to OPEC production levels in our opinion," he said as he arrived in Vienna. "The production levels are adequate."
On Monday, ministers from Algeria, Iran, Kuwait, Qatar and Venezuela are set to arrive and begin informal talks ahead of the policy meeting late on Tuesday.
The arrival time of Saudi Arabian Oil Minister Ali al-Nuaimi, the de facto leader of the group who is yet to comment on the meeting, is unknown.
The Washington-based energy consultancy PFC Energy believes support is growing for an outright cut to OPECs target despite the unpopularity of such a move in consumer countries where transport and heating costs are rising.
"The focus of debate among OPEC ministers gathering ... in Vienna will not be whether there is a need to cut crude oil production, but rather when," it said in a report.
If not on Tuesday, then a cut would be announced in December at the next OPEC meeting.
"Though Riyadh will not be bullied into agreeing to a production cut, the near consensus within the group that some reduction in volumes is needed ... raises the distinct possibility that the final communique in Vienna will announce an output reduction," PFC continued.
OPEC meets regularly to set its production policy, with each member assigned a quota or production target.
OPEC ministers headed for Vienna on Monday to wrestle with the issue of falling oil... more
David Cameron could not express more exactly how I feel about this incident.
David Cameron has branded Russia "a massive and dangerous bully" and urged the international community to stand up and condemn its action in Georgia.
He also called for Georgia's membership of Nato to be "speeded up".
The Tory leader told the BBC: "The only language that bullies understand is when someone stands up to them."
British Foreign Office Minister Jim Murphy has described Russian military action against Georgia as "deplorable" and urged it to stop its attacks.
He said Georgia had offered a ceasefire, but was finding it difficult to disengage from Russian forces in the breakaway South Ossetia region.
UK nationals have been advised not to travel to Georgia and those in the country have been urged to leave.
As fighting over the disputed region of South Ossetia threatens to spread more widely, Mr Cameron argued that Britain should be working with its European and Nato partners to make clear that Russia's actions were "completely unacceptable".
"What Russia has done here is used massive and disproportionate force. It's breached international law and it has violated Georgia's territorial integrity," he said.
"It has acted as a massive and dangerous bully and we can't allow this to go ahead without it being challenged.
"I think Georgia should be able to join Nato and the timetable, if anything, should be accelerated. If Georgia was a member of Nato, then obviously we would have greater leverage over Georgia."
Mr Cameron conceded that Georgia's decision to send troops into South Ossetia "was a bad strategy" but he warned that there were "very, very worrying consequences" if Europe did not speak with one voice that what Russia is doing "is wrong". David Cameron could not express more exactly how I feel about this incident. -----... more
"Georgia has today withdrawn its troops from the capital of South Ossetia, according to reports. The ceasefire came just hours after claims emerged Russian jets had bombed a vital pipeline that supplies oil to the West.
After a day of heightening international tensions, Georgian leaders claimed that the Baku-Tbilisi-Ceyhan pipeline, which transports oil from the Caspian Sea to Turkey, had been attacked."
In other words, this is the classic attacks that will trigger the price on crude. This affects the world economy and threatens the Development and food prices around the world.
These attacks will call for world powers to defend crude pipelines and deploy armed forces, these will ease the start of new war. "Georgia has today withdrawn its troops from the capital of South Ossetia,... more
Venezuelan President Hugo Chavez said on Sunday oil prices could hit $300 per barrel if U.S. oil company Exxon Mobil again freezes Venezuelan assets in a dispute over a nationalized oil project.
Exxon won court orders freezing $12 billion in assets held by Venezuelan state oil company PDVSA after the OPEC nation took over a multi-billion dollar oil project, heightening tensions with the United States and helping to raise oil prices.
A London court later overturned Exxon’s temporary asset freeze, but Chavez said the company could seek further action against Venezuela.
“If they freeze us there will be no more oil for the United States, and the price will go to $300,” Chavez said during a televised meeting with Caribbean and Central American leaders as part of an energy cooperation scheme called Petrocaribe.
Venezuelan President Hugo Chavez said on Sunday oil prices could hit $300 per barrel... more
George W Bush has lifted an executive ban on drilling for oil in most US coastal waters, and has urged lawmakers to follow suit.
He wants Congress to end its separate ban on drilling, in order to reduce US dependence on oil imports.
"Now the ball is squarely in Congress' court," he said, adding that it was "time for action". Bush added: "The American people are watching the numbers climb higher and higher at the pump and they're waiting to see what the Congress will do."
Environmentalists have reacted with alarm to Mr Bush's call, saying offshore drilling would take at least a decade to have any effect on oil supply and would exacerbate climate change. And congressional Democratic leaders oppose ending the drilling ban.
They point out that oil companies already have 68 million acres under government leases they can drill.
Republican John McCain is in favour of offshore oil drilling, whereas his Democratic rival, Barack Obama, opposes it.
George W Bush has lifted an executive ban on drilling for oil in most US coastal... more
Iranian state TV says the country is exploring a newly discovered oil field believed to contain more than 1 billion barrels of crude oil.
Iranian state TV says the country is exploring a newly discovered oil field believed... more
Crude oil rose more than $5 a barrel in the last hour of New York floor trading as prices breached a level that triggered computer-generated buying programs.
Great now computers are raising the cost of crude!
``The market is very volatile,'' said Adam Sieminski, Deutsche Bank's chief energy economist, in Washington. ``There was no big headline at the end of the day.'' Crude oil rose more than $5 a barrel in the last hour of New York floor trading as... more
Crude oil for August delivery closed at $136.04 a barrel on the New York Mercantile Exchange, down 3.8%, or $5.33, the biggest daily loss in value since March 19.
Earlier it slumped $6.23 to an intraday low of $135.14 a barrel. Crude has dropped $9.25 over two straight sessions.
Crude oil's Tuesday closing price was the lowest since June 25.
Crude oil for August delivery closed at $136.04 a barrel on the New York Mercantile... more
Oil's historic ascent from $100 to nearly $150 a barrel in just six months is lending weight to a far grimmer prediction: Crude could reach $200 a barrel by the end of the year.
Oil at that price would wreak deeper havoc on the world's airlines and automobile industries.
In the U.S., $200 crude would push the price of gasoline to well over $6 a gallon, causing commuters to alter their driving habits more sharply than they have already, while putting extreme strains on large sectors of the U.S. economy. In Europe, it would stir more political unrest and increase the clamor to cut the continent's stiff petrol taxes. In Asia, governments would be under pressure to cut fuel subsidies and risk a popular backlash.
U.S. benchmark crude prices leapt 3.6% last week, closing before the Independence Day holiday at a record $145.29 a barrel. Roughly halfway through the year, oil prices have soared 50% since Jan. 1 and have doubled since the same time last year. (Please see related article on page C8.)
Few oil watchers are now ready to bet that oil will hit $200 a barrel by New Year's Eve. But nearly all are wary of predicting how and when oil's upward stampede will be reversed.
What makes the market so unpredictable, analysts say, is that prices are being pushed by such a wide array of factors, while no single force has emerged with the power to throw them in reverse.
"Crude is going up," said Dave Pursell, an oil analyst at Tudor Pickering in Houston, "because there is nothing strong enough yet to push it down."
In Washington, deepening fears that oil prices will shoot still higher have stoked talk in Congress and within the Bush administration of using one of the last remaining cudgels to try to reverse the price rise: a sharp and sustained release of oil from the U.S. Strategic Petroleum Reserve.
Those discussions remain preliminary, though, while most senior administration officials remain opposed to such a move, because the oil stored in salt mines is meant for release in genuine supply emergencies.
The list of forces shoving prices upward is long: a weak dollar driving hot money into commodities; jitters over a possible military conflict with Iran; soaring costs and chronic project delays in the world's oil patch; concerns over scarce supplies and long-term production declines; and continued robust demand growth in much of the developing world.
For the rest of the story click link at top
Oil's historic ascent from $100 to nearly $150 a barrel in just six months is... more
The Dow plummeted more than 350 points Thursday afternoon as selling accelerated following a record surge in oil prices. All three indexes took a beating right out of the gate after Goldman Sachs downgraded two key Dow components, and two tech leaders disappointed investors.
The Dow Jones industrial average shed 358.41 points, or 3%, to close at 11,453.42. The last time the index was near that level was 21 months ago in September 2006.
The Dow lost more points Thursday than any other day in this year except for Feb. 5, when the indicator lost 370.03 points.
Oil touches $140 a barrel. Oil crossed $140 a barrel for the first time ever Thursday following reports that Libya may cut production and an OPEC official saying crude could hit $170 a barrel this summer. The dollar's decline against the euro added further upward pricing pressure.
The Dow plummeted more than 350 points Thursday afternoon as selling accelerated... more
U.S. investors ran for the exits as record high oil prices, profit warnings, and analyst downgrades added to worries of slower global growth.
The Dow tumbled 358 points, a loss of 3 percent, to 11,453.
The S&P 500 lost 38 points, or 2.9 percent, to 1,283.
The Nasdaq fell 79 points, or 3.3 percent, to 2,321.
Crude oil surged to a new high above $140 a barrel, but closed slightly below the new high.U.S. investors ran for the exits as record high oil prices, profit warnings, and... more
"There are currently 98 oil producing countries in the world, of which 64 are thought to have passed their geologically imposed production peak, and of those 60 are in terminal production decline."
It does not take a rocket scientist to realize that taking oil out of the earth's crust is not an never ending endeavor. Oil is not being made as we speak. What forests to be kpressurized into oil there were - have been. Millions of years from now, what we leave in the form of forests, will produce oil for whom ever may want to extract it tens of millions of years from now. In the meantime, it also is not at all surprizing that after 200 years of sucking crude we may have reached peak. And further, it makes no sense at all to continue in this path by drilling new wells in our few remaining places of oil opportunity for the short term advantage of filling our tanks and further polluting the environment. It is time to change. The higher and higher prices for oil are in this regard to our advantage as it will force us to change. Sooner would be better."There are currently 98 oil producing countries in the world, of which 64 are... more
"Americans should be celebrating rather than shuddering over the arrival of $4-a-gallon gasoline. We lived on cheap gas too long, failed to innovate and now face the consequences of competing for a finite resource amid fast-expanding global demand."
"Americans should be celebrating rather than shuddering over the arrival of... more
Crude-oil futures reached a new record high Tuesday as continued concerns over the balance of supply and demand and a forecast of $150 by the year's end from Texas oil man T. Boone Pickens helped to extend a winning streak in prices that have already climbed almost 3% in two sessions.
Crude for June delivery climbed as high as $129.45 a barrel on the New York Mercantile Exchange. It was last up $2.10 at $129.15. Prices reached an all-time high of $129.58 in electronic trading.
The June crude contract expires at the end of trading Tuesday. Contract expiration often adds volatility to the market and exaggerates the moves in prices.
The U.S. price for a gallon of regular gasoline climbed to another record of $3.80 Tuesday, according to AAA's Daily Fuel Gauge Report. That's up 8.9% from a month ago, and 19% above the year-ago price.
Crude-oil futures reached a new record high Tuesday as continued concerns over the... more
Venezuela's state oil company said Tuesday that it has stopped selling crude to Exxon Mobil Corp. in response to the U.S. oil company's drive to use the courts to seize billions of dollars in Venezuelan assets.
Exxon Mobil is locked in a dispute over the nationalization of its oil ventures in Venezuela that has led President Hugo Chavez to threaten to cut off all Venezuelan oil supplies to the United States.
Venezuela is currently the United States' fourth largest oil supplier.Venezuela's state oil company said Tuesday that it has stopped selling crude to... more
WASHINGTON, Nov. 27 Flush with petrodollars, oil-producing countries have embarked on a global shopping spree.
With a bold outlay of $7.5 billion, the Abu Dhabi Investment Authority is about to become one of the largest shareholders in Citigroup.
Experts estimate that oil-rich nations have a $4 trillion cache of petrodollar investments around the world. And with oil prices likely to remain in the stratosphere, that number could increase rapidly.
The decline in the dollar has also introduced new uncertainties into predicting petrodollar investment patterns. C. Fred Bergsten, director of the Peterson Institute of International Economics, said that while some countries in the gulf were trying to diversify their investments away from the dollar and into euros and pounds sterling, the Saudis were trying to quell that trend out of fear that the dollar will decline further and diminishing the value of their assets.
A measure of discord over the dollar was apparent at the OPEC meeting in Saudi Arabia this month. Iran and Venezuela, the two biggest political foes of the United States among the oil producers, complained that oil was being sold in a currency whose value was eroding by the day.
More Articles in Business »WASHINGTON, Nov. 27 Flush with petrodollars, oil-producing countries have embarked... more
HOUSTON/LONDON (Reuters) - A fatal explosion crippled the biggest pipeline supplying Canadian crude to U.S. Midwest refineries, shutting off more than 1 million barrels per day of imports to the world's biggest consumer.
The cause of the explosion on the Enbridge Pipeline system Wednesday that killed two employees was not immediately known. The U.S. Department of Homeland Security said there were no known links to terrorism related to the blast in Minnesota.
HOUSTON/LONDON (Reuters) - A fatal explosion crippled the biggest pipeline supplying... more
A serious fire has broken out on a North Sea oil platform. The 159 people on board are being evacuated as we speak. Reports are sketchy at the moment but read the story here..
A serious fire has broken out on a North Sea oil platform. The 159 people on board are... more