Iran Oil Minister speaks and the World bows!

[onefast99]

Iran doesn't want to be a small player in the oil production industry they want a say and this morning in Vienna they got what everyone warned about, a chance to bring oil dependent nations to their knees. OPEC, once thought of as a huge controller of many nations economies including ours decided to cut production to bring the price of oil to a level where they can profit and profit big. OPEC is now back on the scene and it is indeed a four letter word this morning in many a household. How will the Russians react? Putin in a statement said he will not cut production but the damage is done and based on this we will see an increase of 4 cents to 11 cents per gallon beginning immediately. Great to see Obama put the Iranians back on the map!

[OntheRail]

Nuclear bomb construction takes allot cash. ...... as well as terrorist support. Guess they burned thru all those billions Obama sent them this year huh.

[onefast99]

Nuclear bomb construction takes allot cash. ...... as well as terrorist support. Guess they burned thru all those billions Obama sent them this year huh.Meanwhile Iran continues to send over terrorists to sabotage the Iraqi production facilities. Saudi Arabia continues to be a non player in all of this, boy have times changed!

[Tom]

Nuke the oil fields in Iran.
See how well they do selling camel poop as their main export.

The more oil that gets destroyed in the ME, the better off WE are.

[Saratoga_Mike]

Nuke the oil fields in Iran.
See how well they do selling camel poop as their main export.

The more oil that gets destroyed in the ME, the better off WE are.

And you aren't in the running for Sec of State? Doesn't make sense. :)

[Saratoga_Mike]

Iran doesn't want to be a small player in the oil production industry they want a say and this morning in Vienna they got what everyone warned about, a chance to bring oil dependent nations to their knees. OPEC, once thought of as a huge controller of many nations economies including ours decided to cut production to bring the price of oil to a level where they can profit and profit big. OPEC is now back on the scene and it is indeed a four letter word this morning in many a household. How will the Russians react? Putin in a statement said he will not cut production but the damage is done and based on this we will see an increase of 4 cents to 11 cents per gallon beginning immediately. Great to see Obama put the Iranians back on the map!

Most of the OPEC-related cut will come from Saudi Arabia, not Iran. It's comical that conservatives (not sure of your position on them, of course) continue to embrace the Saudis, while constantly bashing the Iranians. The Saudis leader -- via their support of Wahhabism -- are the greatest fomenters of terrorism in the world. Iran isn't even in the same zip code. And no I'm not praising Iran, just highlighting the real threat in the Middle East.

[Tom]

And you aren't in the running for Sec of State? Doesn't make sense. :)

Go figure!

But, imagine my confirmation hearing if I was! heh, heh, heh.

[dartman51]

Go figure!

But, imagine my confirmation hearing if I was! heh, heh, heh.

It would be epic. :lol: :lol:

[Tom]

It would be epic. :lol: :lol:

Word to the wise - PASS any offer for a Coke!:eek::cool:

[JustRalph]

Most of the OPEC-related cut will come from Saudi Arabia, not Iran. It's comical that conservatives (not sure of your position on them, of course) continue to embrace the Saudis, while constantly bashing the Iranians. The Saudis leader -- via their support of Wahhabism -- are the greatest fomenters of terrorism in the world. Iran isn't even in the same zip code. And no I'm not praising Iran, just highlighting the real threat in the Middle East.

Believe it or not, the wife and I were discussing the Saudi's, and Wahhabism just this morning. Spurred by a radio report on oil prices.

I don't think they are a threat. Unless you live or travel there. The last few years have also killed their economy. They are shrinking.......

[chadk66]

I think Trump knows all about the Saudi's situation

[Tom]

It's comical that conservatives (not sure of your position on them, of course) continue to embrace the Saudis, while constantly bashing the Iranians.


Does anyone really believe there is an difference???
The Sorries are no better than iran, maybe worse.
The best thing that could ever come out of SA is an EMPTY B52.

[fast4522]

Nuke the oil fields in Iran.
See how well they do selling camel poop as their main export.

The more oil that gets destroyed in the ME, the better off WE are.

Tommy there is no need whatsoever to pull the word "Nuke", don't expect our next President to position all of us as bad as the current one. The forty fifth President of these United States will I think unleash the power of our energy potential we have. We just have to give the guy a chance to try to correct all of the bogus mistakes of the last twenty five plus years. Both sides have had blunders to get us here at this point. The country has demanded a reset that more than anything wants solutions other than war. Folks like you and I need to stock the fridge with cold beer and high end steak that we can enjoy with the new success the next administration will have. Remember he is in it to win, and has promised we might get tired of winning all the time.

[Tom]

All Trump needs to know about Saudi Arabia.....

[chadk66]

Opec does not like the fact we found another huge oil reserve in TX. We are building our first new gas refinery in what thirty plus years? Our costs to drill have plummeted in the past two years, the keystone XL will now be built as well as the DAPL finished early next year. This all spells angst in opec

[_______]

Iran doesn't want to be a small player in the oil production industry they want a say and this morning in Vienna they got what everyone warned about, a chance to bring oil dependent nations to their knees. OPEC, once thought of as a huge controller of many nations economies including ours decided to cut production to bring the price of oil to a level where they can profit and profit big. OPEC is now back on the scene and it is indeed a four letter word this morning in many a household. How will the Russians react? Putin in a statement said he will not cut production but the damage is done and based on this we will see an increase of 4 cents to 11 cents per gallon beginning immediately. Great to see Obama put the Iranians back on the map!

Oil dependent nations weren't "on their knees" at $110/barrel in 2014 so I doubt a target price of $55-60/barrel will do the job now. That target range is possible only if there isn't the rampant cheating on output caps that occurred with every other OPEC production agreement in the past.

OPEC countries control a shrinking 42% of the world's oil supply. Production has been out of balance with demand not because of shrinking demand but because of exploding non-OPEC production. A higher price only guarentees that some of that non-OPEC production that became uneconomic at lower prices is again put into the market.

Someone else noted that production costs have dropped over the last two years. That's true and was largely driven by innovation in our shale sector.

42% of supply is important. Probably a little more than you'd think because it represents about 60% of oil that is traded internationally. But the kind of control over pricing that OPEC once had isn't there given new production sources here, in Russia, in Brazil, and elsewhere.

There is now a cap on how high prices can go. I wouldn't overly worry about OPEC.

[davew]

Opec does not like the fact we found another huge oil reserve in TX. We are building our first new gas refinery in what thirty plus years? Our costs to drill have plummeted in the past two years, the keystone XL will now be built as well as the DAPL finished early next year. This all spells angst in opec

I suspect the middle east realizes that Trump will help make USA a net exporter of oil products during the next few years. Trump also will probably just watch Arab / Arab conflicts rather than try to help.

[Clocker]

From Fortune magazine:
The oil price rally sparked by an OPEC-Russia deal to cut output is likely to be short-lived, say traders in Asia, because the agreement may only draw more supplies from storage tanks and more crude shipments from the United States.

And even without increased supplies from elsewhere, if the Organization of the Petroleum Exporting Countries (OPEC) and Russia do reduce production by 1.5 million barrels per day (bpd) as pledged, the cuts would not be deep enough to shrink a glut that began to build in mid-2014, traders said.

“The cut by OPEC will be largely offset by increases in U.S. production where the rig count has already increased,” said India Oil Corp’s Director of Finance A K Sharma.




http://fortune.com/2016/12/01/opec-oil-price-rally-output-supplies

[onefast99]

Oil dependent nations weren't "on their knees" at $110/barrel in 2014 so I doubt a target price of $55-60/barrel will do the job now. That target range is possible only if there isn't the rampant cheating on output caps that occurred with every other OPEC production agreement in the past.

OPEC countries control a shrinking 42% of the world's oil supply. Production has been out of balance with demand not because of shrinking demand but because of exploding non-OPEC production. A higher price only guarentees that some of that non-OPEC production that became uneconomic at lower prices is again put into the market.

Someone else noted that production costs have dropped over the last two years. That's true and was largely driven by innovation in our shale sector.

42% of supply is important. Probably a little more than you'd think because it represents about 60% of oil that is traded internationally. But the kind of control over pricing that OPEC once had isn't there given new production sources here, in Russia, in Brazil, and elsewhere.

There is now a cap on how high prices can go. I wouldn't overly worry about OPEC.There is also a security cost of $15 per barrel built in, that has increased 33% as ISIS has increased its threats to the oil producing countries over the past 5 years. OPEC as previously noted by me was dead and buried but since Iran came on line in June OPEC has seen an increase in global participation mostly due to the threat of US production.

[chadk66]

the problem the saudi's face is if they continue to squeeze the market much longer they could really put a hurting on the smaller opec nations. could even end opec as we know it