• 6 minutes WTI @ 67.50, charts show $62.50 next
  • 11 minutes Saudi Fund Wants to Take Tesla Private?
  • 17 minutes Why hydrogen economics is does not work
  • 4 hours Starvation, horror in Venezuela
  • 3 mins The EU Loses The Principles On Which It Was Built
  • 39 mins Desperate Call or... Erdogan Says Turkey Will Boycott U.S. Electronics
  • 3 hours Crude Price going to $62.50
  • 4 hours WSJ *still* refuses to acknowledge U.S. Shale Oil industry's horrible economics and debts
  • 20 hours Anyone Worried About the Lira Dragging EVERYTHING Else Down?
  • 13 hours Chinese EV Startup Nio Files for $1.8 billion IPO
  • 24 hours Oil prices---Tug of War: Sanctions vs. Trade War
  • 1 day Correlation does not equal causation, but they do tend to tango on occasion
  • 1 day WTI @ 69.33 headed for $70s - $80s end of August
  • 24 hours Russia retaliate: Our Response to U.S. Sanctions Will Be Precise And Painful
  • 1 day California Solar Mandate Based on False Facts
  • 1 day Monsanto hit by $289 Million for cancerous weedkiller
Alt Text

The Next Big Energy Standoff Will Happen Here

With incredible estimates of undiscovered…

Alt Text

Canada Frees Itself From Saudi Oil Imports

Political differences have created a…

Alt Text

Who Profits From Iran’s Oil Major Exodus?

As sanctions on Iran move…

Editorial Dept

Editorial Dept

More Info

Trending Discussions

Global Energy Advisory – 10th July 2015

Geopolitics

This week we turn our attention to Saudi Arabia, where a number of things are coalescing to further change the oil price environment and the wider geopolitical picture.

First, we note that Saudi Arabia is becoming increasingly desperate to retain its crude oil market share, and this is leading to some interesting deals with India and Russia. For India, the Saudis are offering to ship crude using their own tankers to Indian refineries, which would cut the costs significantly for India. Essentially, this is how it gets around discounting its crude selling price. Some say that using Saudi ships to transport crude to India would shave up to 30 cents off a barrel. The point of this is to secure market share at a time when Asian buyers are looking for better deals in a global glut.

Then we have a pending Saudi deal with the Russians. This is important also because Russia has now officially surpassed Saudi Arabia to become China’s top crude supplier in this battle to capture market share. But it’s not oil that the Saudi’s are dealing with Russia—for obvious reasons. Saudi Arabia has signed a deal to invest up to $10 billion in oil rival Russia, in the fields of agriculture, medicine, logistics, retail and real estate. So while the Saudis are busy trying to secure oil market share, the Russians are busy trying to make up for hits they’ve taken from Western sanctions. This has produced a fair amount of dramatic talk about…

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