• 4 minutes Is $60/Bbl WTI still considered a break even for Shale Oil
  • 7 minutes Oil Price Editorial: Beware Of Saudi Oil Tanker Sabotage Stories
  • 11 minutes Mueller Report Brings Into Focus Obama's Attempted Coup Against Trump
  • 15 minutes Wonders of Shale- Gas,bringing investments and jobs to the US
  • 14 hours Apartheid Is Still There: Post-apartheid South Africa Is World’s Most Unequal Country
  • 6 hours Visualizing How Much Oil Is In An Electric Vehicle (Hint: a heckuva lot)
  • 16 mins Theresa May to Step Down
  • 7 hours Look at the LONGER TERM bigger picture of international oil & gas. Ignore temporary hiccups.
  • 40 mins Total nonsense in climate debate
  • 18 hours IRAN makes threats, rattles sabre . . . . U.S. makes threats, rattles sabre . . . . IRAQ steps up and plays the mediator. THIS ALLOWS BOTH SIDES TO "SAVE FACE". Then serious negotiations start.
  • 17 hours Evil Awakens: Fascist Symbols And Rhetoric On Rise In Italian EU Vote
  • 20 hours Will Canada drop Liberals, vote in Conservatives?
  • 21 hours Trump needs to educate US companies and citizens on Chinese Communist Party and People's Liberation Army. This is real ECONOMIC WARFARE. To understand Chinese warfare read General Sun Tzu's "Art of War" . . . written 500 B.C.
  • 21 hours Canada's Uncivil Oil War : 78% of Voters Cite *Energy* as the Top Issue
  • 13 hours Australian Voters Reject 'Climate Change' Politicians
  • 4 hours Why is Strait of Hormuz the World's Most Important Oil Artery
  • 17 hours Apple Boycott in China
Alt Text

How To Play A Recovery In Oil Prices?

A realistic correction in the…

Alt Text

What The Market Is Overlooking In The Occidental Deal

Occidental Petroleum has caught a…

Dave Forest

Dave Forest

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

More Info

Trending Discussions

This Country's Collapse Is Making It More Attractive

Commodities are notoriously cyclical. There's a saying that when things look awful in a sector, the industry is getting ready to turn to the good.

The same can be true of nations.

Sometimes a government has to go through hard times when it comes to outside investment. To make them realize how much they really need outside capital.

This seems to be the case in the petroleum sector of one country particularly these days: India.

The Indian Ministry of Petroleum & Natural Gas announced several key changes last week as part of its upcoming NELP licensing round. Making the petroleum sector here a lot more palatable for incoming players.

For one, the Ministry will now allow developers to explore for all hydrocarbon resources on a given property. That may sound like a logical step, but it hasn't been the case in the past. Previously, bidders were forced to declare whether they were seeking oil or gas--and even detail on any special targets like coal-bed methane (CBM) or shale drilling.

If a driller then discovered oil on a gas block, they were out of luck. It couldn't be developed. Likewise if you found a meaty CBM gas resource on a project licensed for conventional production.

The other critical regulatory change that's afoot relates to pricing. With indications being the government will allow a doubling of India's current natural gas price, to $8.40 per mmbtu.

That would be a major boon to gas producers in the country. It would also represent the second major natgas price hike within the last year. A sign the government is committed to creating a sustainable business environment for producers.

With these measures in place, the upcoming NELP bid round may generate a lot more buzz than previously expected. A number of high profile oil firms have been pulling out of India lately due to frustration with the regulatory regime. The government appears to be trying to reverse that trend--and prevent a full-scale collapse in a sector that had been pushed to the brink.

Might be time for another look.

Here's to the dark before the dawn,

By. Dave Forest




Download The Free Oilprice App Today

Back to homepage

Trending Discussions


Leave a comment

Leave a comment




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