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 the Domestic VAT Reverse Charge in the UK

The Domestic VAT Reverse Charge has become a significant point of focus for businesses operating within specific UK industries, especially construction. Designed to reduce VAT fraud and improve transparency, this mechanism changes the way VAT is accounted for between suppliers and customers. If your business issues or receives VAT invoices, especially under the Construction Industry Scheme (CIS), it is important to understand how the Domestic VAT Reverse Charge works and how to apply it correctly. What is the Domestic VAT Reverse Charge? The Domestic VAT Reverse Charge is a compulsory VAT accounting measure that shifts the responsibility for reporting VAT from the supplier to the customer. Instead of the supplier charging VAT on an invoice, the customer accounts for both the output and input VAT on their own VAT return. This adjustment targets missing trader fraud and helps HMRC improve accuracy in VAT reporting. Although it mainly affects construction services, the reverse charge can ...
Post a Comment
Read more

Why Specialist Land Rover Servicing Matters

  Land Rover vehicles are built for performance, comfort and capability across a wide range of conditions. From advanced four wheel drive systems to complex electronics and suspension, they are engineered differently from many standard cars. Because of this, choosing specialist servicing is essential to keep your vehicle running reliably and safely. Here is why Land Rover specialist north Wales servicing really matters. Land Rovers Are Technically Complex Vehicles Modern Land Rovers use sophisticated systems that require in depth knowledge to diagnose and repair correctly. Air suspension, terrain response systems and advanced engine management all need specialist understanding. A general garage may not have the experience or equipment to identify issues accurately, which can lead to misdiagnosis or incomplete repairs. Specialist Diagnostics Make a Difference Independent Land Rover specialists invest in manufacturer level diagnostic equipment designed specifically for Land Rover ve...
Post a Comment
Read more

How Good Web Design Boosts SEO and User Engagement

  When it comes to your website, first impressions matter. A clean, user-friendly design doesn’t just make your site look good, it can dramatically improve SEO and keep visitors coming back. Here’s how investing in smart website designers north wales pays off for both search engines and real people. User Experience Is Key Search engines like Google care about user experience (UX), and so should you. A website that is easy to navigate, loads quickly, and looks appealing encourages visitors to stay longer. Pages that are simple to read, buttons that are easy to click, and a logical layout all reduce bounce rates and increase the time users spend on your site. The result? Google recognises your site as valuable, which can improve your rankings. Good web design is not just about aesthetics, it is about making your content accessible and enjoyable for visitors. Mobile-Friendly Design More than half of web traffic comes from mobile devices, and Google prioritises mobile-friendly sites. ...
Post a Comment
Read more