• 20 mins India’s Reliance Boosts Export Refinery Capacity By 30%
  • 2 hours Nigeria Among Worst Performers In Electricity Supply
  • 8 hours ELN Attacks Another Colombian Pipeline As Ceasefire Ceases
  • 13 hours Shell Buys 43.8% Stake In Silicon Ranch Solar
  • 17 hours Saudis To Award Nuclear Power Contracts In December
  • 20 hours Shell Approves Its First North Sea Oil Project In Six Years
  • 21 hours China Unlikely To Maintain Record Oil Product Exports
  • 22 hours Australia Solar Power Additions Hit Record In 2017
  • 23 hours Morocco Prepares $4.6B Gas Project Tender
  • 1 day Iranian Oil Tanker Sinks After Second Explosion
  • 4 days Russia To Discuss Possible Exit From OPEC Deal
  • 4 days Iranian Oil Tanker Drifts Into Japanese Waters As Fires Rage On
  • 4 days Kenya Cuts Share Of Oil Revenues To Local Communities
  • 4 days IEA: $65-70 Oil Could Cause Surge In U.S. Shale Production
  • 4 days Russia’s Lukoil May Sell 20% In Oil Trader Litasco
  • 4 days Falling Chinese Oil Imports Weigh On Prices
  • 4 days Shell Considers Buying Dutch Green Energy Supplier
  • 5 days Wind And Solar Prices Continue To Fall
  • 5 days Residents Flee After Nigeria Gas Company Pipeline Explodes
  • 5 days Venezuela To Pre-Mine Petro For Release In 6-Weeks
  • 5 days Trump Says U.S. “Could Conceivably” Rejoin Paris Climate Accord
  • 5 days Saudis Shortlist New York, London, Hong Kong For Aramco IPO
  • 5 days Rigid EU Rules Makes ICE Move 245 Oil Futures Contracts To U.S.
  • 5 days Norway Reports Record Gas Sales To Europe In 2017
  • 5 days Trump’s Plan Makes 65 Billion BOE Available For Drilling
  • 6 days PetroChina’s Biggest Refinery Doubles Russian Pipeline Oil Intake
  • 6 days NYC Sues Five Oil Majors For Contributing To Climate Change
  • 6 days Saudi Aramco Looks To Secure $6B In Cheap Loans Before IPO
  • 6 days Shell Sells Stake In Iraqi Oil Field To Japan’s Itochu
  • 6 days Iranian Oil Tanker Explodes, Could Continue To Burn For A Month
  • 6 days Florida Gets An Oil Drilling Pass
  • 7 days Oil Prices Rise After API Reports Staggering Crude Oil Draw
  • 7 days Tesla Begins Mass Production Of Solar Shingles
  • 7 days EIA Boosts World Oil Demand Forecast For 2018 By 100,000 Bpd
  • 7 days Businessman Seeks Sale Of $5.2B Stake In Kazakhstan Oil Field
  • 7 days Exxon Accuses California Of Climate Change Hypocrisy
  • 7 days Norway’s Recovering Oil Industry Resumes Hiring
  • 7 days $2.3 Million Seized Following Singapore Oil Heist
  • 7 days China Nears 2016 Carbon Emissions Target
  • 8 days Oil Companies Respond Slow To New U.S. Lease Plan
Alt Text

A Rare High-Profile Utility Takeover

Dominion Energy, Virginia’s largest utility…

Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for the U.S.-based Divergente LLC consulting firm with over a decade of experience writing for news outlets such as iNVEZZ and…

More Info

The Single Biggest Oil Price Influencer In 2018

Iran

Geopolitical concerns will replace the OPEC/non-OPEC production cuts as the main driver of oil prices this year, according to 67 percent of 100 Middle East energy industry executives polled by research firm Gulf Intelligence.

Just as the OPEC cuts started to have a tangible effect on global oil inventories, the geopolitical risk premium returned to the oil market last year, first with the fallout from Kurdistan’s referendum and Iraq’s response to it, which pushed oil prices up on concerns over supply outages from the region.

Then the Saudi government’s purge spooked the markets, as well as the heightened tension between Saudi Arabia and Iran. North Korea’s belligerence and Venezuela’s economic collapse and near-default are also some of the geopolitical risks to watch for in 2018.

This year, oil prices made their strongest start to a year in four years, with both Brent and WTI trading at the beginning of the year above $60 a barrel for the first time since January 2014, amid protests in Iran and uncertainties over whether more U.S. sanctions on Tehran are on the way.

According to the survey by Middle East-energy-focused Gulf Intelligence, the majority of executives, or 51 percent, see the average price of Brent crude oil this year in the $60s, followed by 22 percent who expect Brent to average in the $70s, 21 percent in the $50s, and 6 percent in the $40s or lower. Related: OPEC Won’t Compensate For ‘Small’ Supply Outages

The highest share of executives, 34 percent, expects OPEC/non-OPEC compliance to the cuts to average just 70 percent in 2018. A total of 32 percent see compliance at 80 percent, while 100-percent compliance is the prediction of just 12 percent of executives surveyed.

Asked whether they expect Saudi Aramco’s initial public offering to go ahead in 2018 as planned, 59 percent of executives responded ‘yes’, while 41 percent are skeptical about the Saudi oil giant managing to pull off what is expected to be the world’s biggest IPO before the end of the year.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:




Back to homepage


Leave a comment

Leave a comment




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