• 3 minutes Biden Seeks $2 Trillion Clean Energy And Infrastructure Spending Boost
  • 5 minutes While U.S. Pipelines Are Under Siege, China Streamlines Its Oil and Gas Network
  • 8 minutes Gazprom fails to exempt Nord Stream-2 from EU market rules
  • 1 hour The Truth about Chinese and Indian Engineering
  • 3 hours Trumpist lies about coronavirus too bad for Facebook - BANNED!
  • 58 mins China wields coronavirus to nationalize American-owned carmaker
  • 54 mins China's impending economic meltdown
  • 4 hours Why Oil could hit $100
  • 18 hours The World is Facing a Solar Panel Waste Problem
  • 11 hours Pompeo upsets China; oil & gas prices to fall
  • 3 hours Renewables Overtake Coal, But Lag Far Behind Oil And Natural Gas
  • 6 hours Brent above $45. Holding breath for $50??
  • 2 hours Open letter from Politico about US-russian relations
  • 1 day Sell Natural Gas Benefits to Grow the Market!
  • 2 days The Core Issue Of US Chaos..Finally disclosed
  • 1 day Trump Suggests Delaying Election Amid Fraud Claims
  • 2 days Rational analysis of CV19 from Harvard Medical School
Shale Productivity Is Reaching Its Limit

Shale Productivity Is Reaching Its Limit

Shale producers have been increasing…

A Worrying Sign For Two Major Oil Hotspots

A Worrying Sign For Two Major Oil Hotspots

Two of the world's most…

Oil Prices Could Break $50 In 2021

Oil Prices Could Break $50 In 2021

IHS Markits has raised its…

Editorial Dept

Editorial Dept

More Info

Premium Content

There Is Still Hope For Oil Prices

U.S. West Texas Intermediate and international benchmark Brent crude oil futures are likely to firm next week after OPEC and its allies agreed to a historic production cut agreement on Friday. The reason we’re not too enthusiastic about a major breakout to the upside or change in trend is because dealmakers hit a snag and we continue to look for demand destruction.

According to reports, and agreement to cut production between OPEC and its major friends, including Russia, hit a snag after Mexico refused to agree to its share of the cuts after a grueling nine-hour marathon meeting between the parties.

The other major players know as OPEC+ earlier in the day agreed to cuts that would take 10 million barrels per day offline as the coronavirus pandemic saps demand for crude.

“A statement released by OPEC following the meeting outlined details of the cuts but notes the measures “agreed by all the OPEC and non-OPEC oil-producing countries participating in the Declaration of Cooperation, with the exception of Mexico, and as a result, the agreement is conditional on the consent of Mexico.”

Apparently OPEC+ wants Mexico to cut production by 400,000 barrels per day, but Mexico will only agree to a 100,000 barrel per day reduction for the next two months.

I expect the parties to reach a compromise over the weekend so I’m sticking with my forecast for a firm opening on Monday. The news may be enough to underpin prices over the…





Leave a comment
  • Borhan on April 11 2020 said:
    good job

Leave a comment




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