Skip to main content

Oil and Gas Pricing Is Looking Positive for 2017/18

Oil and Gas Prices fell down to their worst in 10 years in 2016 which has led to speculation from banks, governments and petroleum companies alike as to when they will recover. It has been rather well documented across the internet about the reasoning for the fact that oil and gas prices had sunk to such significantly dire values throughout 2015 – and despite some recovery, the average price of a barrel of crude oil is still on the low side at around $40 USD per barrel – less than half of the 2014 peak.
As a result, Saudi Arabia’s GDP shrank by 1.8% in the second quarter of 2017 – with industries such as construction shrinking by 1.6% in a single quarter. The Saudi economy in itself is weakening by a significant margin, so the country is endeavouring to both overhaul the economy and increase capital spending in the Kingdom – by grappling with low oil prices and making it easier for businesses within to cope with economic reform.
Russia faces similar problems, and both Saudi Arabia and Russia have vowed to renew OPEC’s oil pact well into 2018, extending their oil production cuts in order to keep crude oil and gas prices the same. The changing economic landscape has meant that disaster beckons for both Saudi and Russia should they breach the OPEC agreement – and both countries have announced that deviating from OPEC’s production guidelines is not an option.
President Vladimir Putin has mentioned that Russia is open to extending OPEC cooperation until the end of 2018, and Saudi Arabia’s recent decision to plan share sales of state owned energy company Saudi Aramco indicates that they too will seek to not oversaturate the market with mass produced oil.

Oil and Gas Prices, which these statements, have started to climb again, with Brent Curves depicting that rising demand, as well as recent political tensions in the Middle East make oil and gas prices in particular set to only go up – which is excellent news for oil and gas production companies the world over.  

Comments

Post a Comment

Popular posts from this blog

Understanding Construction Insurance

Construction insurance North Wales , is made up of many different types of insurance depending on the level of cover needed for your business, however, there are three essential types of cover that you will need which includes, public liability, product liability and professional indemnity insurance. It is important to know the purpose of each type of insurance if you are a contractor so that you know that you have the correct insurance in place for your business. The last thing that you would want to do is fall short and be liable to claims that can set you back more than just money alone, when it could have been avoidable. Below is an outline of each type of construction insurance along with scenarios. Public liability insurance Public liability insurance covers you in the event that a member of the public is injured or damage is caused to them or the premises in which you are working. This may include the following: Injury. You are covered if someone makes a claim a...
Post a Comment
Read more

Why You Need a Family Law Solicitor During a Divorce

Are you considering getting a divorce? You may be feeling overwhelmed and unsure of where to turn for help. One of the most important decisions you can make during this time is to seek out the assistance of a family law solicitors chester. At family law solicitors Chester, we have the expertise and experience to help guide you through the process of a divorce. We understand that no two divorces are alike and will provide personalised advice and support tailored to your individual circumstances. In this blog post, we’ll explore why you need a north wales divorce solicitors during a divorce and how long the process can take. The Process of a Divorce Divorce can be an incredibly difficult and emotional process. The way a divorce is handled can vary significantly depending on the circumstances, but the basic steps are similar. Before embarking on the process, it’s important to understand exactly what is involved. The first step in getting a divorce is for one spouse to file a Petition fo...
Post a Comment
Read more

Why Get Company Formation Support For Your Business

Starting or running a business can be timely and a lot of work is required to ensure all areas are run smoothly. If you’re asking yourself where accountants Bangor near me are, you may be thinking about getting company formation support. So, why should you decide on getting this for your business? Let’s find out!  What Is Company Formation? To start with, let’s dive into what company formation actually is. Company formation is the process of starting a business and planning the steps that are involved in this - ticking off all the necessary stages involved in forming a company. A company formation agent can offer invaluable advice and provide a heap of continuous support during the process of building the business.  Efficiency  Getting company formation support will ensure smooth running of the practices that need to be taken. Today, most registrations and forms have been moved online and are now paperless. This will ensure that there is no chance of spilled tea or dog e...
Post a Comment
Read more