08/02/2015
94% of the, "Baker Hughes" rigs stopped working
Analysts Oil prices will continue to rise backed down US rock
Oilsspecialistspredicted thatcrude oilcontinues togainsin global marketsthis weekafter he begana new phase ofpriceimprovement, scoringBrentbiggestgainintwo weeksto him17 years ago.
Thespecialiststhat someoilrigsin the United Statesstopand freezesomemajor companies toits expansion plansinvestmentwerethe main reason forthe return ofpricestorise,tothemiddle of lastweek sawthe announcement ofthe arrival ofstocksto record levels, which ledto a decline inemergencybefore pricesresumeriseIt's priceis expected tocontinueto improvein the coming weeks.
He explainedfor "economic",Ahmed Alsadi thatoiland businessmanwho lives inVienna,thepriceis likely torisegraduallyto compensate forpreviouslossesafterit reached themaximumlevelsto decline,indicating that theworld oil priceshas madecontinuousgains duringthe last ten daysbut stoppedslightlyWednesdaylastafterthe EIAreport, whichshoweda record highforoilstocksto total413.1 millionbarrels,is the highestlevelof USstockssince thecompilation ofweeklydatasince 1982.
Ahmed Alsadiadded thatthe factors drivingthe risestronger than thefactors that drivetodeclineif thehigh proportion ofstocksand a strike byoil refineriesworkersin the United Statesare pushingto lower prices, theshrinkingplatformsand reducingcorporate investmentand the declineof shaleproduction andgetpricestobottom's pricepaidmore stronglyin the direction ofthe rise ofprices, whichisexpectedfor the next period, but thatwill not preventsome temporaryhiccupsfrom happening.
He saidthatmodifyingproduction and investmentpolicies of thecompanieswill continue to bea factorprominentand influentialisthe largestin the market,adding that thesuccession ofthe Declaration ofthe big oil companiesto reducecapital expendituressupportingprices, asannouncedthis week,the giantoil company, "BP,"the Britishthat theywould cutspendingcapitalof 13 percent to$ 20 billionin2015, and lastweekannounced that"Chevron"Americancut capitalspending13 percentto$ 35 billion.
Heexplained that theoversupplyexperienced bythe market over thepast few monthswasdue tothe accelerated paceof shaleproductionin the United States,whichaccountsconfused themarketandledtosharp declinescausedextensive damageto the interests ofproducersinOPECand outside.
He addedthat the market isfalling, as expected,will correctitselfandproducerswill come outthe weak and theowners ofthe high costof productionsowe will findpricesrise againas soon asthe Declaration ofBaker HughesInc.that94oilrigsstopped workingin the United Statesby 7 percent.
Hepointed out that thecontinuation ofthe strikeworkersin ninemajorrefineriesin the United Stateshas had alargeimpact on thestabilityand the level ofprices inthe marketin the largestcountry offuel-efficientin the world,wherehestoppedthe production ofabout64 per cent offuel productionin the United States.
For his part,for "economic",RalphValtmanspecialistat the AmericancompanyExpro,thatthere are goodsignsfor the possibility ofimproved demandin the coming period, whichwill lead tounexpectedpricehikes,especially in themajor consumingcountries in the worldand the largestChina and Japan.
ValtmanHe addedthat priceshasgradual improvementto nearly$ 65 a barrelbythe middle of thisyear due toshrinkingproductionin parallel with thegrowth in demand,noting that China isthe largestconsumer of oilin the worldadopted thenew stimulusmeasures to boosteconomic growth,whichboostedexpectations ofhigher demand foroil.
Valtmanexplained that "OPEC"countries, led bySaudi Arabia and Kuwaitrelies ona flexiblesellingpolicies andembarked ona gooddiscounts,referringto Saudi Arabia's decisionto cutthe price of crudeexporterto Asiatoits lowest levelin 14 years.
Valtmanpointed out that "OPEC"abandoned itsearliergoalsof maintaininga certain level ofpricesin the interests ofthe most powerfulideaandthe most effectivewhichmaintainmarket sharesafter itfound itin front ofa mutationofthe growingproductionof shaleandrockfrom theoutside"OPEC",where hebecamethose countriescontrolmoretwo-thirds ofglobal production.
Valtmanreported that ina goodandflexible frameworkin dealingwith the market, they shouldexplain thedecision, "Aramco"to reduce thesale oflight crudeto Asiaby 90centsthroughMarch(March)in return forsubmission toEuropeincreased by70cents tobe lowerby $2.30per barrelAverageforOman and Dubai crude.
He explainedfor "economic",ValentinBominovRussiananalyst,thatMoscowis also facingeconomic difficultiesdue to the dropin oil prices, but thesedifficulties are alsoextended tothe European Unionand alleconomic partners.
HeBominov saidaboutthe announcement bythe company "Wintershall"GermanenergythatWestern sanctionsagainstRussiahurtEuropeas well,ashas hurtRussiaand led to thecurrent economic downturnin Moscow andEuropeas a result ofshrinkingtrade and investmentprogramsof the EuropeanRussianeconomic cooperation,afterRussiabecameimportingless,whattrimmedEuropean exports.
Hesaidthat prices arecorrect itselfandrecurrentlyrising, but theRussianeconomy depends onhighoil pricesevenbounces back, which ledto the adoption ofdiminishedreliance oncrude oil,economic programsandexpanding intopetroleum productsand petrochemicalsas amore profitableandcan achievefastand growingRussian economyprofits.
He stressedthatthe importancethat pricesrecoverquicklyevenless thanthedifficultiesof the Russian economy,pointing out that thepricesat a levelof between45 and50 dollars a barrelare notprofitable,pointing out thatwhat happenedfrom thecontractioninUSoil productionwill help tocorrectthe market situation,especially aftercontinuation ofthe withdrawalandstopoil shaleproducerswhichin the interest ofreducing thegap between supply anddemand,whereit is known thatexcess supplyup totwo millionbarrels per day.
He saidRussiananalyst,it is clear thata lotofcompanieswillreducetheir investment programssharply,stressing that theinvestmentdeclinein the short termwill be reflectedon offerin the market andas a result,priceswill return tohigherwithout a doubt,pointing out thatitisa correctionto puta troubledhitthe marketover thepast few monthshas ledto a lack ofbalance between supply anddemandandtopaymorethanthe pricecollapses.
He calledthe Russiananalyst,the need forcooperation among allproducers andconsumers toremoveturmoilin the marketto stabilizeandprotect the interests ofthe international economyand to ensure therights of all partieswithoutthatinfringeon the otherparty.
