Oil prices go and stay above $80 per barrel for a while

IEA (International Energy Agency) and Saudi Arabia oil prices will go and stay above $80 per barrel as output from Venezuela and Iran drops.

Saudi Arabia lifted output by 70,000 barrels a day to 10.42 million last month. This is short of the 11 million barrels per day that they promised.

Venezuela could drop from 1.2 million to 1 million barrels a day.

Iranian production has already fallen to the lowest since July 2016, at 3.63 million barrels a day. Iran’s oil production was at 4.4 to 4.5 million barrels per day. Iran oil exports have dropped 35% since April. In the first half of August, Iran’s oil exports fell from 2.32 million bpd to 1.68 million bpd.

Russia, Saudi Arabia and other Gulf members of OPEC promised to bolster production by about 1 million barrels a day but only part of the production increase is happening.

85 thoughts on “Oil prices go and stay above $80 per barrel for a while”

  1. And frackers who have drilled wells in the past two years can clear a profit at $25/barrel. So the margins on $80/barrel is Yuuuuge (as The Donald would say).What’s the premium Asia is paying for oil on top of the global $80 price now? They pay like $110 or something?Sucks to be China.

    Reply
  2. So the margins on $80/barrel” Not to mention that they will lock in these prices for years as fracking costs decrease. Sustained high oil prices cause a huge investment in future production capacity. We will head back to adding one million barrels per day of production.

    Reply
  3. I’m sure that 20 years from now we will power everything with 4th gen molten salt reactors but until then lets rake in the $$$ and thank fracking.

    Reply
  4. And frackers who have drilled wells in the past two years can clear a profit at $25/barrel. So the margins on $80/barrel is Yuuuuge (as The Donald would say). What’s the premium Asia is paying for oil on top of the global $80 price now? They pay like $110 or something? Sucks to be China.

    Reply
  5. So the margins on $80/barrel””Not to mention that they will lock in these prices for years as fracking costs decrease. Sustained high oil prices cause a huge investment in future production capacity. We will head back to adding one million barrels per day of production.”””

    Reply
  6. I’m sure that 20 years from now we will power everything with 4th gen molten salt reactors but until then lets rake in the $$$ and thank fracking.

    Reply
  7. Everywhere I’ve read said that they EXEMPTED the LNG imports (quietly). Where did you see that they are imposing tariffs on them?

    Reply
  8. Everywhere I’ve read said that they EXEMPTED the LNG imports (quietly). Where did you see that they are imposing tariffs on them?

    Reply
  9. Good with high oil prices because it drives production of synthetic fuels that in modern engines release cleaner exhaust gases than the air they enter. All energy can with coal and hydrogen convert into synthetic fuels, neither coal nor hydrogen is a shortage. Motorized solar ovns can produce hydrogen for those belonging to the green religion, for us others are mass production of nuclear reactors that take hydrogen from water and coal from the earth’s crust or combustion best. Further more fracking cheaper, less environmental impacting and reaching higher recovery rates. An oil price of around $ 100 / barrel for five years would make oil never more sellable for over $ 40 / barrels. Technology always wins over policy and drives economy. Many believe that policy drives economy, which drives technology development. Exceptions are war and some space industry. Good luck having high oilprices in the long run.

    Reply
  10. Questions spring to mind: Why are Russia and the Arabs not increasing oil production? Iran we know is under sanction. Venezuela we are told is too useless to even keep their their wells working. (“More hopeless than the Arabs or Nigerians”. That’s not what you want written in your CV) But what about the others? Surely they would want to grab some money now while oil is still valuable? Is this one of those OPEC cartel things where everyone cuts production 5% and the price goes up 20% for a net increase in income? If so, then we’ve seen this repeatedly fall apart time and time again over the last 50 years, as one by one each producer starts to cheat just a little bit. Plus this time there is a time limit on how well it works because, as everyone else points out this stimulates US production. Might also stimulate fracking to spread to other countries. And also pushes things like EV sales and the turnover to newer more efficient ICVs. (At least the Arabs were able to bribe the authorities into introducing enough new rules to stamp out the spread of super-efficient diesel cars. That’s one win for them.)

    Reply
  11. Good with high oil prices because it drives production of synthetic fuels that in modern engines release cleaner exhaust gases than the air they enter. All energy can with coal and hydrogen convert into synthetic fuels neither coal nor hydrogen is a shortage. Motorized solar ovns can produce hydrogen for those belonging to the green religion for us others are mass production of nuclear reactors that take hydrogen from water and coal from the earth’s crust or combustion best. Further more fracking cheaper less environmental impacting and reaching higher recovery rates. An oil price of around $ 100 / barrel for five years would make oil never more sellable for over $ 40 / barrels.Technology always wins over policy and drives economy. Many believe that policy drives economy which drives technology development. Exceptions are war and some space industry.Good luck having high oilprices in the long run.

    Reply
  12. Questions spring to mind: Why are Russia and the Arabs not increasing oil production? Iran we know is under sanction. Venezuela we are told is too useless to even keep their their wells working. (More hopeless than the Arabs or Nigerians””. That’s not what you want written in your CV)But what about the others? Surely they would want to grab some money now while oil is still valuable? Is this one of those OPEC cartel things where everyone cuts production 5{22800fc54956079738b58e74e4dcd846757aa319aad70fcf90c97a58f3119a12} and the price goes up 20{22800fc54956079738b58e74e4dcd846757aa319aad70fcf90c97a58f3119a12} for a net increase in income? If so”” then we’ve seen this repeatedly fall apart time and time again over the last 50 years as one by one each producer starts to cheat just a little bit. Plus this time there is a time limit on how well it works because”” as everyone else points out this stimulates US production. Might also stimulate fracking to spread to other countries. And also pushes things like EV sales and the turnover to newer more efficient ICVs. (At least the Arabs were able to bribe the authorities into introducing enough new rules to stamp out the spread of super-efficient diesel cars. That’s one win for them.)”””

    Reply
  13. Other than Venezuela why are the other countries having problems raising their oil production especially Saudi Arabia? Oil price picture is complicated. You have rising demand by China and India and slowing production coupled with EV and hybrid cars. There is probable a band for oil price where it will oscillated from the low to the high of this band.

    Reply
  14. Other than Venezuela why are the other countries having problems raising their oil production especially Saudi Arabia? Oil price picture is complicated. You have rising demand by China and India and slowing production coupled with EV and hybrid cars. There is probable a band for oil price where it will oscillated from the low to the high of this band.

    Reply
  15. Other than Venezuela why are the other countries having problems raising their oil production especially Saudi Arabia? Oil price picture is complicated. You have rising demand by China and India and slowing production coupled with EV and hybrid cars. There is probable a band for oil price where it will oscillated from the low to the high of this band.

    Reply
  16. Other than Venezuela why are the other countries having problems raising their oil production especially Saudi Arabia? Oil price picture is complicated. You have rising demand by China and India and slowing production coupled with EV and hybrid cars. There is probable a band for oil price where it will oscillated from the low to the high of this band.

    Reply
  17. Good with high oil prices because it drives production of synthetic fuels that in modern engines release cleaner exhaust gases than the air they enter. All energy can with coal and hydrogen convert into synthetic fuels, neither coal nor hydrogen is a shortage. Motorized solar ovns can produce hydrogen for those belonging to the green religion, for us others are mass production of nuclear reactors that take hydrogen from water and coal from the earth’s crust or combustion best. Further more fracking cheaper, less environmental impacting and reaching higher recovery rates. An oil price of around $ 100 / barrel for five years would make oil never more sellable for over $ 40 / barrels. Technology always wins over policy and drives economy. Many believe that policy drives economy, which drives technology development. Exceptions are war and some space industry. Good luck having high oilprices in the long run.

    Reply
  18. Good with high oil prices because it drives production of synthetic fuels that in modern engines release cleaner exhaust gases than the air they enter. All energy can with coal and hydrogen convert into synthetic fuels neither coal nor hydrogen is a shortage. Motorized solar ovns can produce hydrogen for those belonging to the green religion for us others are mass production of nuclear reactors that take hydrogen from water and coal from the earth’s crust or combustion best. Further more fracking cheaper less environmental impacting and reaching higher recovery rates. An oil price of around $ 100 / barrel for five years would make oil never more sellable for over $ 40 / barrels.Technology always wins over policy and drives economy. Many believe that policy drives economy which drives technology development. Exceptions are war and some space industry.Good luck having high oilprices in the long run.

    Reply
  19. Other than Venezuela why are the other countries having problems raising their oil production especially Saudi Arabia?

    Oil price picture is complicated. You have rising demand by China and India and slowing production coupled with EV and hybrid cars. There is probable a band for oil price where it will oscillated from the low to the high of this band.

    Reply
  20. Questions spring to mind: Why are Russia and the Arabs not increasing oil production? Iran we know is under sanction. Venezuela we are told is too useless to even keep their their wells working. (“More hopeless than the Arabs or Nigerians”. That’s not what you want written in your CV) But what about the others? Surely they would want to grab some money now while oil is still valuable? Is this one of those OPEC cartel things where everyone cuts production 5% and the price goes up 20% for a net increase in income? If so, then we’ve seen this repeatedly fall apart time and time again over the last 50 years, as one by one each producer starts to cheat just a little bit. Plus this time there is a time limit on how well it works because, as everyone else points out this stimulates US production. Might also stimulate fracking to spread to other countries. And also pushes things like EV sales and the turnover to newer more efficient ICVs. (At least the Arabs were able to bribe the authorities into introducing enough new rules to stamp out the spread of super-efficient diesel cars. That’s one win for them.)

    Reply
  21. Questions spring to mind: Why are Russia and the Arabs not increasing oil production? Iran we know is under sanction. Venezuela we are told is too useless to even keep their their wells working. (More hopeless than the Arabs or Nigerians””. That’s not what you want written in your CV)But what about the others? Surely they would want to grab some money now while oil is still valuable? Is this one of those OPEC cartel things where everyone cuts production 5{22800fc54956079738b58e74e4dcd846757aa319aad70fcf90c97a58f3119a12} and the price goes up 20{22800fc54956079738b58e74e4dcd846757aa319aad70fcf90c97a58f3119a12} for a net increase in income? If so”” then we’ve seen this repeatedly fall apart time and time again over the last 50 years as one by one each producer starts to cheat just a little bit. Plus this time there is a time limit on how well it works because”” as everyone else points out this stimulates US production. Might also stimulate fracking to spread to other countries. And also pushes things like EV sales and the turnover to newer more efficient ICVs. (At least the Arabs were able to bribe the authorities into introducing enough new rules to stamp out the spread of super-efficient diesel cars. That’s one win for them.)”””

    Reply
  22. Everywhere I’ve read said that they EXEMPTED the LNG imports (quietly). Where did you see that they are imposing tariffs on them?

    Reply
  23. Everywhere I’ve read said that they EXEMPTED the LNG imports (quietly). Where did you see that they are imposing tariffs on them?

    Reply
  24. So the margins on $80/barrel” Not to mention that they will lock in these prices for years as fracking costs decrease. Sustained high oil prices cause a huge investment in future production capacity. We will head back to adding one million barrels per day of production.

    Reply
  25. So the margins on $80/barrel””Not to mention that they will lock in these prices for years as fracking costs decrease. Sustained high oil prices cause a huge investment in future production capacity. We will head back to adding one million barrels per day of production.”””

    Reply
  26. I’m sure that 20 years from now we will power everything with 4th gen molten salt reactors but until then lets rake in the $$$ and thank fracking.

    Reply
  27. I’m sure that 20 years from now we will power everything with 4th gen molten salt reactors but until then lets rake in the $$$ and thank fracking.

    Reply
  28. And frackers who have drilled wells in the past two years can clear a profit at $25/barrel. So the margins on $80/barrel is Yuuuuge (as The Donald would say). What’s the premium Asia is paying for oil on top of the global $80 price now? They pay like $110 or something? Sucks to be China.

    Reply
  29. And frackers who have drilled wells in the past two years can clear a profit at $25/barrel. So the margins on $80/barrel is Yuuuuge (as The Donald would say).What’s the premium Asia is paying for oil on top of the global $80 price now? They pay like $110 or something?Sucks to be China.

    Reply
  30. Good with high oil prices because it drives production of synthetic fuels that in modern engines release cleaner exhaust gases than the air they enter.

    All energy can with coal and hydrogen convert into synthetic fuels, neither coal nor hydrogen is a shortage.

    Motorized solar ovns can produce hydrogen for those belonging to the green religion, for us others are mass production of nuclear reactors that take hydrogen from water and coal from the earth’s crust or combustion best.

    Further more fracking cheaper, less environmental impacting and reaching higher recovery rates.

    An oil price of around $ 100 / barrel for five years would make oil never more sellable for over $ 40 / barrels.

    Technology always wins over policy and drives economy. Many believe that policy drives economy, which drives technology development. Exceptions are war and some space industry.

    Good luck having high oilprices in the long run.

    Reply
  31. Questions spring to mind: Why are Russia and the Arabs not increasing oil production?

    Iran we know is under sanction. Venezuela we are told is too useless to even keep their their wells working. (“More hopeless than the Arabs or Nigerians”. That’s not what you want written in your CV)

    But what about the others? Surely they would want to grab some money now while oil is still valuable?

    Is this one of those OPEC cartel things where everyone cuts production 5% and the price goes up 20% for a net increase in income?

    If so, then we’ve seen this repeatedly fall apart time and time again over the last 50 years, as one by one each producer starts to cheat just a little bit.

    Plus this time there is a time limit on how well it works because, as everyone else points out this stimulates US production. Might also stimulate fracking to spread to other countries. And also pushes things like EV sales and the turnover to newer more efficient ICVs.

    (At least the Arabs were able to bribe the authorities into introducing enough new rules to stamp out the spread of super-efficient diesel cars. That’s one win for them.)

    Reply
  32. “So the margins on $80/barrel”

    Not to mention that they will lock in these prices for years as fracking costs decrease. Sustained high oil prices cause a huge investment in future production capacity. We will head back to adding one million barrels per day of production.

    Reply
  33. And frackers who have drilled wells in the past two years can clear a profit at $25/barrel. So the margins on $80/barrel is Yuuuuge (as The Donald would say).

    What’s the premium Asia is paying for oil on top of the global $80 price now? They pay like $110 or something?

    Sucks to be China.

    Reply

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