Friday, 20 Apr 2018
Business

Warned in the oil markets after hitting the Syrian regime and the rise of American drilling operations

Oil prices fell 1 per cent on the first day of global trade after the triple strike on Syria, while prices were under increasing pressure as drilling activities increased in the United States. Brent crude fell 1.14 percent to $ 71.75 a barrel, while US crude oil futures fell by 1.01 percent to $ 66.71 a barrel by 06:49 GMT. Traders said, “Asian markets began to deal cautiously after strikes on Syria.” “In the wake of the attack on Syria, oil prices have fallen slightly, but the impact seems limited and irreversible,” said Sucrit Vijayakar, director of energy consultancy Trevkata. “Investors are still concerned about the impact of a broader conflict in the Middle East,” ANZ said. US oil companies added seven oil refineries in the week ending April 13, bringing the total number of workstations to 815, according to Baker Hughes Energy Services. , The highest level since March 2015. Nevertheless, Brent is still more than 16 per cent above its 2018 low in February due to strong demand, conflicts and political tensions. US crude oil was up 0.3 percent on Friday, hitting a three-year high of $ 67.74 a barrel, and Brent crude rose 0.6 percent in its fifth straight daily gain. Last week, global oil prices rose 8.8 percent, the first weekly gain in the last three weeks, and the biggest weekly gain since November 2016, amid geopolitical tensions in the Middle East, and heightened concerns about disruption of supplies from the Gulf region Arab oil-rich. Thanks to high drilling activities in the United States, US production has jumped more than 25 percent since mid-2016 to a total of 10.53 million barrels per day, approaching the production of Russia’s largest oil producer of about 10.97 million barrels per day. In a related context, analysts stressed that the oil market in a positive development due to the continuing efforts of OPEC, “indicating that the trade tension may affect the growth rates of demand for oil. The fundamentals of the market in a positive development are continuing thanks to the positive cooperation among producers led by OPEC, noting that expectations are also good for demand growth, according to the International Energy Agency Will grow by about 1.5 million barrels per day this year. She pointed out that the trade tension between the United States and China raised concerns about economic growth and thus increased concern about its repercussions on the rate of growth of demand for crude oil, indicating that the growth of oil supply is following successive jumps due to US production, which is expected to grow this year by 1.3 Million barrels a day, but faces risks of another type, most notably the repeated disruption of pipelines with major markets such as Canada. Andre Gros, head of the Central Asia division of Germany’s MMA Energy Services, said the OPEC-led cut-off agreement, in cooperation with independent producers, had already exceeded the target. The high level of compliance confirms a cut in production to 163 percent in March from 138 in February. He said production cuts were becoming more influential because of Saudi Arabia’s voluntary curtailment of its production with the aim of quickly restoring market balance, the worsening economic crisis in Venezuela and frequent disruptions in Libya, Nigeria and Angola, favoring a more-than-expected approach to restoring full oil market equilibrium. Raw. “Geopolitical instability has become the predominant feature of the crude oil market in the light of the recent military actions against Syria that have not lasted long and the signs of interstate commercial warfare,” Gulmira Rezaeva, chief analyst at the Center for Strategic Energy Studies in Azerbaijan, told The Economist. United Nations and China. It is expected that the second half of this year will witness new mechanisms for cooperation between producers and the development of ways to deal with the market in a way that ensures stable balance and growth. Sustainable development. The International Energy Collective said that the average price of Brent crude is $ 63 a barrel this summer, about $ 12 a barrel higher than last summer’s average price, according to the International Energy Agency, which attributed the rise in crude oil prices In general, to coordinated production efforts for crude oil by producers led by the Organization of Petroleum Exporting Countries (OPEC). For gasoline, especially gasoline, high domestic consumption will boost gasoline productivity this summer, with the increase in gasoline production reaching about 170,000 barrels per day (bpd) compared to last summer’s level, the report said. The report quoted the International Energy Agency forecast that gasoline consumption in the United States for the summer of 2018 to 9.6 million barrels per day, a slight increase of 0.2 percent from last summer, expected to achieve a 1.2 percent increase in fuel efficiency. The international report suggested that drivers in the United States pay an average of $ 2.74 a gallon this summer for regular gasoline, which is the highest average price of gasoline in four years. Gasoline prices are often higher in the summer months as demand for gasoline rises due to the travel season in these months, the report said. OPEC Secretary-General Mohamed Barkindo said the oil industry had been subjected to unfair criticism, accusing it of damaging the environment. He said OPEC was keen to protect the environment, stressing that the oil industry that nurtured the current civilization would remain climate friendly. During his visit to India, Barkindo planted a tree on the fringes of the world’s oldest oil refineries and the first oil well in the remote northeastern corner of the country, which is the cradle of the oil industry in the Indian state of Assam. Dream development has been achieved. OPEC crude basket rose $ 69.29 a barrel on Friday, compared to $ 68.73 a barrel the previous day. The daily report of the Organization of Petroleum Exporting Countries (OPEC) said yesterday that the price of the basket, which includes the average prices of 14 tons of production of the member countries of the Organization achieved its fifth consecutive increase, and the basket earned about five dollars compared to the same day last week, $ 64.81 per barrel.

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