Oil Spikes as US Delays Tariffs On Chinese Goods
Oil prices continued to rally on Tuesday, this time on reports that the United States has decided to delay the next round of tariffs that were to be imposed on Chinese goods. The delay gives hope to a skittish market that the trade war really won’t go on forever. Tuesday is the fourth straight day of gains for the oil prices—the previous gain helped along by Saudi Arabia’s chat with other OPEC producers about what additional steps the group could take to stanch the price bleed that sought to undermine not only Saudi Arabia’s budget which relies heavily on oil, but its much-anticipated public listing of its crown jewel, Saudi Aramco. Click here to read more from OilPrice.com.
Guyana may not be ready for its pending oil riches, but ExxonMobil is
This tiny nation on the north coast of South America is about to become the world’s newest petrostate—and potentially the richest. In 2015, ExxonMobil made what one of its executives described as a “fairy tale” discovery in the vast Stabroek exploration block off the Guyanese coast. Since then, it’s found so much oil that by the mid-2020s Guyana, with a population of about 778,000, will probably produce more crude per citizen than any other country. Click here to read more from World Oil.
Russia, Iran, others debate how to split Caspian oil riches
Five countries bordering the energy-rich Caspian Sea met Monday at an economic forum hosted by Turkmenistan in a bid to agree on how to divide the region’s oil wealth. Last year, the leaders of Russia, Iran, Azerbaijan, Turkmenistan and Kazakhstan signed a convention aimed at ending decades-long uncertainty over exploitation of its resources. The agreement establishes rules for declaring each country’s territorial waters and fishing zones, but the issue of dividing seabed that contains rich oil and gas fields is subject to further negotiations. Click here to read more from ABC News.
Oil Needs to Fall Below $20 to Compete With Green Alternatives
Wind and solar power can produce seven times more useful energy for cars, dollar for dollar, than gasoline with oil prices near current levels, according to BNP Paribas SA. Oil will have to fall to $9-$10 a barrel in the long-term in order for gasoline cars to remain competitive with clean-powered electric vehicles, and to $17-$19 a barrel for diesel, Mark Lewis, global head of sustainability research at BNP’s asset management unit, said in a research report. Click here to read more from Bloomberg.