• 4 minutes What If Canada Had Wind and Not Oilsands?
  • 8 minutes EU Confirms Trade Retaliation Measures vs. U.S. To Take Effect on June 22
  • 17 minutes Could oil demand collapse rapidly? Yup, sure could.
  • 8 hours Kaplan Says Rising Oil Prices Won't Hurt US Economy
  • 17 hours Tariffs to derail $83.7 Billion Chinese Investment in West Virginia
  • 2 hours Could oil demand collapse rapidly? Yup, sure could.
  • 3 hours U.S. Withdraws From U.N. Human Rights Council
  • 1 hour Saudi Arabia turns to solar
  • 17 hours EU Confirms Trade Retaliation Measures vs. U.S. To Take Effect on June 22
  • 1 hour "The Gasoline Car Is a Car With a Future"
  • 3 hours Gazprom Exports to EU Hit Record
  • 49 mins What If Canada Had Wind and Not Oilsands?
  • 3 hours OPEC Meeting Could End Without Decision - Irony Note Added from OPEC Children's Book
  • 21 hours North Korea, China Discuss 'True Peace', Denuclearization
  • 17 mins Russia's Energy Minister says Oil Prices Balanced at $75, so Wants to Increase OPEC + Russia Oil by 1.5 mbpd
  • 7 hours China’s Plastic Waste Ban Will Leave 111 Million Tons of Trash With Nowhere To Go
  • 21 hours WE Solutions plans to print cars
  • 1 day Hey Oil Bulls - How Long Till Increasing Oil Prices and Strengthening Dollar Start Killing Demand in Developing Countries?
  • 14 hours EVs Could Help Coal Demand
Alt Text

Saudi Aramco Looks To Double Refining Capacity

Saudi Aramco looks to almost…

Alt Text

The Oil Giant That Saw Its Cash Reserves Plunge 90%

India’s top oil exporter has…

Alt Text

Will Iran Pursue Relations With North Korea?

Some foreign policy analysts criticized…

Editorial Dept

Editorial Dept

More Info

Trending Discussions

Global Energy Advisory 8th September, 2017

Oil

OPEC Deal “Has No Impact” on Crude Oil Market

Russian Rosneft CEO Igor Sechin on Friday stated that the recent uptick in oil prices had nothing to do with curbing crude oil production among OPEC or non-OPEC countries; rather, he said, this is all about a weaker dollar. Taking this further, he stated that the OPEC deal has zero impact on the crude oil market.

"The Americans support their shale oil producers through dollar depreciation. I believe that the OPEC deal has no impact on the market, it is the dollar devaluation," Sechin said.

This comes ahead of OPEC’s next meeting in late November, when the group will decide whether to extend the production cut deal for another six months. While the U.S. dollar depreciation is boosting shale producers, for the Saudi’s extending this deal will come down to the planned IPO of giant Saudi Aramco. Sechin’s take? If this IPO goes through, the Saudis will be much more interested in higher oil prices, and it is this that will likely determine what happens in November.

Keeping an eye on this IPO is also key for playing the currency hedge game. A successful IPO will go a long way towards indicating that the Saudis are gaining ground in the reforms laid out in Vision 2030. Any considerations of a depeg of the Saudi Riyal from the dollar will most likely be based on this. Right now, our take is that a depeg isn’t going to happen any time soon.

Deals, Mergers & Acquisitions

•…

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