Seeing as it's OPEC who sets the price - whose most influential of members took offence to Harper's support for Mount Hermon Red - I can't see Canadian oil reaping a winfall any time soon
US oil settles at $49.63 a barrel; up more than 8% for the week
- Thread starter B00Mer
- Start date
OPEC influences the global price via what they are prepared to do (futures) contracts on... They don't directly set Canada's prices as if they were less valuable than the US, North Sea, Mexico, etc.
Their opinion of Harper has bupkiss to do with the issue
Their opinion of Harper has bupkiss to do with the issue
Why Oil Is Tumbling: Oil Hedges Were Just Rolled Over
Wwith oil volatility surging in recent months, oil producers needed to take advantage of a rally, technical or otherwise, and an oil vol lull to reestablish hedges, even if it meant at far lower prices than recent benchmarks. This is precisely what happened in the past week following one of the most torrid surges in the price of oil seen in recent years.
End result: oil has tumbled, as suddenly the specter of even greater production at lower prices is all too real, and one which will force Saudi Arabia to pump even more to put the higher-cost producers, those who just lowered their production costs indefinitely, out of business.
In other words: the race to the proverbial bottom, which Saudi seemed to be winning, has just been reset.
Oil has to be kept cheap. It's the only effective move against Russia and Putin barring open war. DB
Wwith oil volatility surging in recent months, oil producers needed to take advantage of a rally, technical or otherwise, and an oil vol lull to reestablish hedges, even if it meant at far lower prices than recent benchmarks. This is precisely what happened in the past week following one of the most torrid surges in the price of oil seen in recent years. End result: oil has tumbled, as suddenly the specter of even greater production at lower prices is all too real, and one which will force Saudi Arabia to pump even more to put the higher-cost producers, those who just lowered their production costs indefinitely, out of business.
In other words: the race to the proverbial bottom, which Saudi seemed to be winning, has just been reset.
Oil has to be kept cheap. It's the only effective move against Russia and Putin barring open war. DB
I'm extremely comfortable as is... Now is a fine time to shop for production
The only people hedging at this low price are major, vertically integrated oil companies that have refining capacity and own production.
Precisely... Now that you understand that geopolitics is a major variable in this current pricing environment, you can appreciate that the price will 'right' itself once the political ends has been achieved
If you were as comfortable as you BS you are, you would discuss things in a rational manner rather than shouting over, calling down and denying like one who's had a few too many Captain Morgans
I am comfortable with the way things are, one of the big reasons for this is based on my having a strong understanding of the sector.
... And yes, it is an excellent time to shop for production, all you need to do is open your eyes to what's going on. Last week Suncor made a hostile bid to take over Canadian Oilsands (corp) for roughly $4.5 billion... Does this sound like the doom 'n gloom that you want to believe?
That said, get off your high horse and make an attempt to discuss rather than the veiled sermonizing that is evident in your pseudo rants
Asia is the new Canadian X frontier. They need our tech, tight *** enviro regs and reputation to get the global investment needed.
In the mean time upping production on domestic light and heavy conventional with completions and EOR are the hot ticket.
In the mean time upping production on domestic light and heavy conventional with completions and EOR are the hot ticket.
think i'll have another smokie scotch..ardbeg...no capt moragn for me tahnks...usually drink that cane sugar stuff from haitai or guatemala...much better & flavor & taste....but oil biz in western canada...ho humm...might be time to re-institute the NEP...after all the provinces cant be trusted to look after their own natural resources...just like back then ho humm we'll have to see what happens when Persain oil makes it back on to world stage in afew months...then what...oil will fall to what 10$...then what we do pump more oil! ha!!!...never ending drive to the bottom....think'ill have another scotch...no ice....
Utterly impossible... Ya see, Wolfie says that everything goes through OPEC and therefore everything you said does not exist
Like i said befor time to re-institute the natioNal energy program ( NEP)...provinces ( ALBERTA) unfit to look after their natural resources....
Stick to tending your potato crop and leave the important work to the adults m'kay?
So Mongolia doesn't want or need Canada's tech, environmental expertise or stellar reputation in natural resources? Is that why they were first inline to sign the trade deal with Arabs? On wait that was us they just eagerly signed with!!!
I guess so. I'm just a mineral junkie forever chasing the vein. I know bupkis of this other industry.
Canadians aren't smart enough to be leaders in cheap, green, profitable, sustainable resource extraction of any kind.
Canadians aren't smart enough to be leaders in cheap, green, profitable, sustainable resource extraction of any kind.
I'll wager that OPEC sets the price for green, renewable energy too.... OPEC and the Illuminati that is
Therein lies your failure. If you're going to tell me how to think or reply to that which you can only wish I said so you'd have something to counter, there's no point talking and you're just a time wasting troll. Do try and keep up....
Now do you have anything to counter my guesstimate that OPEC nations are angry with Harper support for Israel or not. Yeah - I know, I said it in the name of an Israeli wine - but that would require thought on your part to figure out - an unlikely event
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