• 3 minutes Could Venezuela become a net oil importer?
  • 7 minutes Reuters: OPEC Ministers Agree In Principle On 1 Million Barrels Per Day Nominal Output Increase
  • 12 minutes Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf
  • 18 hours Could Venezuela become a net oil importer?
  • 10 hours Reuters: OPEC Ministers Agree In Principle On 1 Million Barrels Per Day Nominal Output Increase
  • 21 hours Tesla Closing a Dozen Solar Facilities in Nine States
  • 3 hours Oil prices going Up? NO!
  • 18 hours Gazprom Exports to EU Hit Record
  • 19 hours EU Leaders Set To Prolong Russia Sanctions Again
  • 17 hours Could oil demand collapse rapidly? Yup, sure could.
  • 11 hours Oil prices going down
  • 21 hours Why is permian oil "locked in" when refineries abound?
  • 17 hours Oil Buyers Club
  • 21 hours EVs Could Help Coal Demand
  • 9 hours Russia's Energy Minister says Oil Prices Balanced at $75, so Wants to Increase OPEC + Russia Oil by 1.5 mbpd
  • 1 day China’s Plastic Waste Ban Will Leave 111 Million Tons of Trash With Nowhere To Go
  • 1 day Saudi Arabia plans to physically cut off Qatar by moat, nuclear waste and military base
  • 4 hours Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf
  • 15 hours Saudi Arabia turns to solar
Alt Text

Why OPEC Won't Flood The Oil Market

Saudi Arabia and Russia are…

Alt Text

Uncertainty Looms Large Over Latin American Oil

While Venezuela is grabbing a…

Alt Text

Energy Efficiency Adds Value To Home Prices

A new study has suggested…

Editorial Dept

Editorial Dept

More Info

Trending Discussions

Global Energy Advisory 28th July 2017

Refinery

Nigeria, exempt from OPEC’s oil output cut deal, has agreed to stop ramping up its production once it hits 1.8 million barrels per day. A milestone that is nearing, with output hitting 1.733 million bpd in June, according to secondary sources. Secondary-source data is considered closer to reality than self-reported output from OPEC members. For June, for example, the head of the NNPC said that Nigeria was producing 2.2 million barrels per day.

Just days after the cap announcement helped lift international oil prices, a militant attack took down the Trans-Niger pipeline, cutting out 150,000 bpd in daily production. What the incident highlights yet again is that improvements in Nigeria’s oil output are far from consistent for the time being.

So, while the willingness to cap production at a certain level boosted optimism, it was only for a short while. The report of the militant attack and its consequences is likely to have more of an impact on prices unless headwinds such as Libya’s unbound production growth prevail. Libya announced that it isn’t planning to join any agreement to curb output until it reaches its target of 1.25 million barrels per day by the end of the year.

These headwinds have weakened recently amid four consecutive weeks of oil inventory draws in the U.S. and indications of a slow-down in production growth across the shale patch. This has served to prop up prices somewhat, aided by an announcement from Saudi Arabia…

To read the full article

Please sign up and become a premium OilPrice.com member to gain access to read the full article.

RegisterLogin

Trending Discussions





Oilprice - The No. 1 Source for Oil & Energy News