*Saudis, Russia, Iraq & Nigeria Up Production - Additional ~1.2M Barrels/Day* - GoHaynesvilleShale.com2024-03-28T13:13:28Zhttps://gohaynesvilleshale.com/forum/topics/saudis-russia-iraq-nigeria-up-production-additional-1-2m-barrels?commentId=2117179%3AComment%3A3893582&feed=yes&xn_auth=noFor more rebuttal to Mr. Hamm…tag:gohaynesvilleshale.com,2020-03-12:2117179:Comment:38935922020-03-12T18:53:53.378ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>For more rebuttal to Mr. Hamm, see this Main Page discussion.</p>
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<p><a href="https://gohaynesvilleshale.com/forum/topics/fracking-needs-a-shakeout-not-a-bailout" target="_blank">https://gohaynesvilleshale.com/forum/topics/fracking-needs-a-shakeout-not-a-bailout</a></p>
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<p>For more rebuttal to Mr. Hamm, see this Main Page discussion.</p>
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<p><a href="https://gohaynesvilleshale.com/forum/topics/fracking-needs-a-shakeout-not-a-bailout" target="_blank">https://gohaynesvilleshale.com/forum/topics/fracking-needs-a-shakeout-not-a-bailout</a></p>
<p></p> Department of Commerce will n…tag:gohaynesvilleshale.com,2020-03-12:2117179:Comment:38935822020-03-12T15:59:58.623ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>Department of Commerce will not do squat. Harold is spinning his wheels. I don't think it will serve to take his mind off the oil glut or COVID-19. Department of Energy may put out sound bites but they know that this is the free market and Saudi Arabia and Russia don't give a flip what they say. Nor will the rest of the world who will no doubt enjoy the cheap oil while it lasts.</p>
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<p>Department of Commerce will not do squat. Harold is spinning his wheels. I don't think it will serve to take his mind off the oil glut or COVID-19. Department of Energy may put out sound bites but they know that this is the free market and Saudi Arabia and Russia don't give a flip what they say. Nor will the rest of the world who will no doubt enjoy the cheap oil while it lasts.</p>
<p></p> Shale Tycoon Seeks U.S. Dumpi…tag:gohaynesvilleshale.com,2020-03-12:2117179:Comment:38935132020-03-12T15:14:10.076Zphoenixhttps://gohaynesvilleshale.com/profile/phoenix80
<h1 class="entry-title">Shale Tycoon Seeks U.S. Dumping Probe Into Saudi Oil Flood</h1>
<div class="entry-meta">March 12, 2020 EnergyNow</div>
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<div class="entry-content"><h1><span style="font-size: 16px;">By Kevin Crowley and Alix Steel</span></h1>
<div class="news--published-info"> Mar 11, 2020</div>
<span class="article--attribution">(Bloomberg) </span>Shale billionaire Harold Hamm intends to file a complaint with the U.S. Department of Commerce against Saudi Arabia for “illegal” dumping of…</div>
<h1 class="entry-title">Shale Tycoon Seeks U.S. Dumping Probe Into Saudi Oil Flood</h1>
<div class="entry-meta">March 12, 2020 EnergyNow</div>
<br />
<div class="entry-content"><h1><span style="font-size: 16px;">By Kevin Crowley and Alix Steel</span></h1>
<div class="news--published-info"> Mar 11, 2020</div>
<span class="article--attribution">(Bloomberg) </span>Shale billionaire Harold Hamm intends to file a complaint with the U.S. Department of Commerce against Saudi Arabia for “illegal” dumping of crude that sent oil prices into a tailspin earlier this week.The Continental Resources Inc. founder will begin an investigation with an industry trade group, the Domestic Energy Producers’ Alliance, he said in an interview with Bloomberg TV. The Department of Commerce would have 20 days to accept it and could rule on it within 60 days, he said.<br />
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<p>Saudi Arabia “has moved to essentially flood the market with crude oil” with “express intent to grab more market share,” Hamm said. “It’s illegal to do that.”</p>
<p>Hamm, who has acted as an informal sounding board to U.S. President Donald Trump on energy policy, said he hasn’t spoken to the president and the industry group is acting alone. Representatives of the Commerce Department, headed up by Secretary Wilbur Ross, didn’t immediately respond to emailed requests for comment.</p>
<p>“If they’re found guilty of dumping as we believe now they obviously are, if they’re found guilty of that, there could be countervailing duty to place upon all their imports to this country,” Hamm said. “That would be a drastic good measure that should be done.”</p>
<p>The U.S. shale oil industry is reeling from Saudi Arabia and Russia’s decision to ramp up production in a price war that sent crude plunging to the $30-a-barrel range, a level not seen in four years. With heavy debts, many explorers are operating at a loss at current prices and are being forced to cut rigs and production. That will harm America’s energy security, according to Hamm.</p>
<p>In recent days, the Trump administration has been considering a series of moves that would help aid the shale industry through the price slump, according to people familiar with the matter. They include buying oil for the government’s strategic reserve, lowering royalty rates for fossil fuels extracted from federal land and low-interest loans to aid producers. But such moves would likely be bitterly opposed in Congress, by both Democrats and Republicans.</p>
<p>“We’re not asking for a handout, we want a level playing field,” he said. “These people are taking advantage of a pandemic, this coronavirus, to try and wipe us out. That’s what’s going on.”</p>
<p>Earlier this week, the Department of Energy slammed Saudi Arabia and Russia’s price war.</p>
<p>“These attempts by state actors to manipulate and shock oil markets reinforce the importance of the role of the <span id="89d8d108-63ce-11ea-b58e-308d99722a50">United States</span> as a reliable energy supplier to partners and allies around the world,” it said in a statement.</p>
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</div> When sanctions piled on sanct…tag:gohaynesvilleshale.com,2020-03-11:2117179:Comment:38933292020-03-11T19:15:52.952ZAaron Moakhttps://gohaynesvilleshale.com/profile/AaronMoak
<p>When sanctions piled on sanctions, by American administrations, tried to wreck economies there was little outcry. Time for American Zombies to taste the game, huh? I am sure some will try to parse American sanctions directed at Russia, China, and Iran. It was and is an act of provocation. Some consider it an act of war. Well, either way, our “friends” The House of Saud and our bogeyman Putin are enjoying the whines and whimpers.</p>
<p>When sanctions piled on sanctions, by American administrations, tried to wreck economies there was little outcry. Time for American Zombies to taste the game, huh? I am sure some will try to parse American sanctions directed at Russia, China, and Iran. It was and is an act of provocation. Some consider it an act of war. Well, either way, our “friends” The House of Saud and our bogeyman Putin are enjoying the whines and whimpers.</p> Saudi Arabia doubles down on…tag:gohaynesvilleshale.com,2020-03-11:2117179:Comment:38932172020-03-11T16:14:09.956ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p><strong>Saudi Arabia doubles down on threat to flood the oil market</strong></p>
<p>By <a href="https://www.cnn.com/profiles/mark-thompson" rel="nofollow">Mark Thompson</a>, <a href="https://edition.cnn.com/business" rel="nofollow">CNN Business</a> cnn.com Wed March 11, 2020</p>
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<p><span style="font-size: 14pt;"><em>Emphasis added is my own.</em></span></p>
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<p><em>London (CNN Business)</em>Oil prices are falling again Wednesday after Saudi Arabia doubled-down on its threat…</p>
<p><strong>Saudi Arabia doubles down on threat to flood the oil market</strong></p>
<p>By <a rel="nofollow" href="https://www.cnn.com/profiles/mark-thompson">Mark Thompson</a>, <a rel="nofollow" href="https://edition.cnn.com/business">CNN Business</a> cnn.com Wed March 11, 2020</p>
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<p><span style="font-size: 14pt;"><em>Emphasis added is my own.</em></span></p>
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<p><em>London (CNN Business)</em>Oil prices are falling again Wednesday after Saudi Arabia doubled-down on its threat to flood the world with millions more barrels of crude despite the coronavirus <a rel="nofollow" href="https://edition.cnn.com/2020/03/04/business/oil-prices-opec/index.html">shock to global energy demand</a>.</p>
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<p>Just a day after confirming that it would jack up production by about <strong>2.5 million barrels per day starting April 1</strong>, state producer <a rel="nofollow" href="https://edition.cnn.com/2019/12/12/investing/saudi-aramco-2-trillion/index.html">Saudi Aramco</a> said it <strong>would increase its "maximum sustainable" production capacity by 1 million barrels to 13 million per day.</strong> In other words, the Saudis are digging in for a <a rel="nofollow" href="http://www.cnn.com/2020/03/10/business/russia-us-shale-oil-putin-opec/index.html">war of attrition</a>.</p>
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<p>"As this does not affect production in the short term, we believe this does not impact short term prices much, but could influence sentiment negatively, which explains the modest price decline today," said Bjoernar Tonhaugen, head of oil markets at Rystad Energy.</p>
<p>Saudi Arabia had signaled its intention to go all-out for market share over the weekend after the <a rel="nofollow" href="https://edition.cnn.com/2020/03/08/investing/oil-prices-crash-opec-russia-saudi-arabia/index.html">acrimonious collapse of an alliance with Russia</a> that had restrained oil supply in recent years, keeping a floor under prices.</p>
<p>Brent crude futures, the global oil benchmark, and US oil were both trading about 3% lower on Wednesday. Brent prices have fallen by about 28% since Thursday, and 48% since a peak in early January.</p>
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<p>OPEC, led by Saudi Arabia, had proposed additional production cuts through the end of 2020 but Russia refused to agree and warned it would produce as it pleases from next month in a bid to recover market share lost to US shale companies in recent years.</p>
<p>The falling out has opened the door to a free-for-all fight for customers just as the oil industry faces its biggest challenge since the global financial crisis. The coronavirus epidemic is destroying demand for fuel as air travel slumps and as efforts to contain the spread of the disease force businesses to close, at least temporarily.</p>
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<p><strong>Saudi Arabia told its preferred customers over the weekend that it would cut its official selling prices by $6 to $8 a barrel.</strong> <strong>Other members of OPEC are now piling in. ADNOC, the UAE's state oil producer, said Wednesday it was ready to supply 4 million barrels per day in April, up from about 3 million at present.</strong></p>
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<p>"In addition, we will accelerate our planned five million barrels per day capacity target," it said in a statement. It had been aiming to hit that target by 2030.</p>
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<p>Russia shows no sign of blinking in the standoff with its erstwhile OPEC allies, as it sees an opportunity to undercut American energy dominance. The United States has supplanted Russia as the world's biggest oil producer thanks to the recent shale boom.</p>
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<p>"Saudi Arabia announced that it had reduced the prices ... announced the increase in oil production. We believe that in these conditions this is probably not the best option," Russian energy minister Alexander Novak told state media on Wednesday. "It would be right to keep the production at the levels achieved in the first quarter."</p>
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<p>Now, the energy meltdown threatens to cause a repeat of the 2014-2016 crash that bankrupted dozens of oil and gas companies and caused hundreds of thousands of layoffs.</p>
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<p>It could also seriously damage countries such as Iraq, Angola, Nigeria and Algeria at a time of mounting concern about the health of the global economy because of coronavirus.</p>
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<p>Fatih Birol, head of the International Energy Agency, told CNN Business on Tuesday that producers should stop playing "Russian roulette" with the oil market because it could have "grave consequences."</p>
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<p><strong>"The only thing I would hope, that in the oil markets, common sense will prevail and all the actors behave responsibly as the world is facing major challenges today,"</strong> he told CNN Business' Richard Quest. <strong>"Weak economy and the coronavirus is a problem for all of us. If they don't do it, the citizens of this world will not forget it."</strong></p>
<p> </p> 10-4, thanks.
tag:gohaynesvilleshale.com,2020-03-11:2117179:Comment:38930512020-03-11T13:12:38.039ZJHHhttps://gohaynesvilleshale.com/profile/JackHodges
<p>10-4, thanks.</p>
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<p>10-4, thanks.</p>
<p></p> I don't think Mr. Ham meant i…tag:gohaynesvilleshale.com,2020-03-10:2117179:Comment:38929532020-03-10T19:36:51.392ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>I don't think Mr. Ham meant illegal if he may have said it. I think Mr. Ham is providing an opinion that imports would not be profitable vs. domestic barrels considering transportation costs and any tariffs. This would be a general statement that does not take into account that refiners will always be importing some heavy crude since the US no longer makes enough. Oil from unconventional basins is light. In fact in some cases so light that is more properly classified as condensate…</p>
<p>I don't think Mr. Ham meant illegal if he may have said it. I think Mr. Ham is providing an opinion that imports would not be profitable vs. domestic barrels considering transportation costs and any tariffs. This would be a general statement that does not take into account that refiners will always be importing some heavy crude since the US no longer makes enough. Oil from unconventional basins is light. In fact in some cases so light that is more properly classified as condensate (liquid at surface pressures and temps) than oil. It is ill suited to the range of products that refiners make.</p>
<p></p> I understand, Skip, but since…tag:gohaynesvilleshale.com,2020-03-10:2117179:Comment:38931592020-03-10T19:35:05.312ZAaron Moakhttps://gohaynesvilleshale.com/profile/AaronMoak
<p>I understand, Skip, but since the current administration is proposing a stimulus for the shale sector we should know the realm of politics and industry/economy have merged. I think it could hasten anti fracking sentiment. Just an observation</p>
<p>I understand, Skip, but since the current administration is proposing a stimulus for the shale sector we should know the realm of politics and industry/economy have merged. I think it could hasten anti fracking sentiment. Just an observation</p> Aaron, although I do not disa…tag:gohaynesvilleshale.com,2020-03-10:2117179:Comment:38929492020-03-10T19:29:00.206ZSkip Peel - Mineral Consultanthttps://gohaynesvilleshale.com/profile/ilandman
<p>Aaron, although I do not disagree with your comment Keith likes to keep political replies limited to the Politics Group for the obvious reason that it can impact the more rational discussions on topics that the majority of members find of relevance. My reason for posting this particular article is to highlight that some OPEC members are responding to Saudi Arabia and Russia by following suit and dumping more low cost supply into the market. Maybe they figure the more intense the pain, the…</p>
<p>Aaron, although I do not disagree with your comment Keith likes to keep political replies limited to the Politics Group for the obvious reason that it can impact the more rational discussions on topics that the majority of members find of relevance. My reason for posting this particular article is to highlight that some OPEC members are responding to Saudi Arabia and Russia by following suit and dumping more low cost supply into the market. Maybe they figure the more intense the pain, the shorter the price war will last. If this goes on for more than a couple of weeks, the fall out here in the US will be a huge drag on the economy regardless of ones political views.</p>
<p></p> Skip: I think I heard Harold…tag:gohaynesvilleshale.com,2020-03-10:2117179:Comment:38929462020-03-10T19:24:53.357ZJHHhttps://gohaynesvilleshale.com/profile/JackHodges
<p>Skip: I think I heard Harold Hamm of Continental Oil say on one of the business channels that if oil reaches a certain price per barrel it would be illegal to import. I think he said $30 or maybe $35 per barrel. is that correct? Of course I may have heard it wrong too.</p>
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<p>Skip: I think I heard Harold Hamm of Continental Oil say on one of the business channels that if oil reaches a certain price per barrel it would be illegal to import. I think he said $30 or maybe $35 per barrel. is that correct? Of course I may have heard it wrong too.</p>
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