• 4 minutes What will the future hold for nations dependent on high oil prices.
  • 7 minutes Paris Is Burning Over Climate Change Taxes -- Is America Next?
  • 12 minutes OPEC Cuts Deep to Save Cartel
  • 15 minutes Venezuela continues to sink in misery
  • 2 mins End of EV Subsidies?
  • 54 mins Maersk's COO statment.
  • 5 hours Citi cuts Apple's price target
  • 6 hours Asian stocks down
  • 1 hour Japan Effectively Bans China’s Huawei, ZTE From Government Contracts, Joining U.S
  • 3 hours USGS Announces Largest Continuous Oil Assessment in Texas and New Mexico
  • 10 hours China Builds LNG Icebreaker
  • 4 hours GOODBYE FOREIGN OIL DEPENDENCE!!
  • 2 hours Oil prices may go up, but will be below $70 a barrel in FY19: Hindustan Petroleum Chairman
  • 11 hours Price Decline in Chinese Solar Panels
  • 12 hours EPA To Roll Back Carbon Rule On New Coal Plants
  • 3 hours Regular Gas dropped to $2.21 per gallon today
Alt Text

How To Play A Recovery In Oil Prices?

A realistic correction in the…

Alt Text

Aramco’s “Acquisition Hit List”

As Saudi Arabia prepares for…

Dave Forest

Dave Forest

Dave is Managing Geologist of the Pierce Points Daily E-Letter.

More Info

Trending Discussions

Here's Another Unexpected Source of Oil Supply

I wrote last week about how oil exports are coming back online in Libya. With the OPEC nation lining up its first shipments in 9 months.

News last week suggests that's not the only "new" crude supply coming to market. With another key producing nation seeing a big upsurge in export volumes.

That's Iran. Where local media quoted government officials as saying that exports have hit 1.2 million barrels per day.

This is a big increase for Iranian exports. Just 8 months ago, the nation was shipping only 700,000 barrels per day. Meaning exports have risen over 70% in a short period of time.

The increase has mainly come on the back of softening international sanctions. Brought about by the election of a more Western-friendly government. Which has given many crude buyers globally the confidence to once again begin sourcing Iranian oil.

Notably, current export levels are 20% higher than even the Iranian government had forecast. And these are expected to continue rising as the former pariah nation continues to normalize its relations with the world.

Observers in the oil market often forget that Iranian crude output has been hobbled since early 2012--a direct consequence of sanctions that kept out needed supplies and assistance. Between March and October 2012, the country's overall production fell by over 700,000 barrels per day.

That's meant a lot of supply has been lost to the global market over the past two years. A phenomenon that is now reversing.

Combined with potentially strengthening exports from places like Libya, this could mean a lot of new oil coming available to buyers. We'll see what effect all of this has on prices. At the very least, it's a good time to be cautious on new oil investments driven by international crude pricing.

Here's to the forgotten producers,

By Dave Forest




Back to homepage

Trending Discussions


Leave a comment

Leave a comment




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