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Iran Sees Oil Prices Falling to $90 a Barrel By Late March

Oil prices will likely fall to $90 a barrel by the end of the winter, Iran’s head of oil sales was quoted as saying Tuesday, countering views by other producers that expect prices to rebound. The remarks come after members of the Organization of the Petroleum Exporting Countries said in recent days they expect oil prices to rebound after it fell below $100 a barrel earlier this month. But in remarks carried by Iran’s oil ministry website Shana, Mohsen Ghamsari, the director at the National Iranian Oil Company in charge of international oil sales, said that "if the oil market only looks at supply and demand, the oil price will further decline in the global market." Though it has fallen in recent weeks, the Brent oil contract—the most widely traded in the world—has remained above $95 a barrel. But Mr. Ghamsari said "the oil price will likely fall to […]

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Abadi shakes up military leadership after Anbar massacre

Abadi shakes up military leadership after Anbar massacre Iraqi Prime Minister Haider al-Abadi (second from left) and Foreign Minister Ibrahim al-Jaafari (third from left) meeting with Arab leaders and U.S. President Barack Obama and advisors Sept. 23, 2014 in New York City ahead of the annual UN General Assembly. (SPENCER PLATT/Getty Images) Iraqi Prime Minister Haider al-Abadi has fired two top army officials and announced a significant change to the chain of command, after anti-government militants ambushed and killed dozens of Iraqi soldiers Sunday in Anbar province.The move to retire Joint Operations Commander Lt. Gen. Abboud Qanbar and Commander of Ground Forces Lt. Gen. Ali Ghaidan comes a day after Abadi issued "arrest warrants against regiment commanders who lacked due diligence in their performance of their duty in Saql… This content is for registered users. Please login to continue. If you are not a registered user, you may purchase […]

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OPEC Output-Target Cut Not Agreed Yet, U.A.E. Oil Minister Says

OPEC nations have yet to decide to cut their collective oil-production target, the United Arab Emirates’ energy minister said, days after the group’s chief suggested its 12 members may lower the ceiling in 2015. “It’s not a one-man decision,” Suhail Al Mazrouei told reporters today in Abu Dhabi . “It’s a decision by all the ministers when we meet.” The Organization of Petroleum Exporting Countries, supplier of about 40 percent of the world’s oil, will review its target of 30 million barrels a day when it meets next on Nov. 27 at its Vienna headquarters. The group may reduce its official daily limit by 500,000 barrels to 29.5 million next year, OPEC Secretary-General Abdalla El-Badri said Sept. 16. OPEC’s monthly report on Sept. 10 showed demand for its oil will decline to 29.2 million barrels a day in 2015 from 29.5 million this year. Brent crude , a global […]

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Saudi Refinery Hits Capacity as Total, Vitol See EU Slump

Saudi Arabia ’s newest oil refinery reached full capacity last month, adding to international competition that Total SA and Vitol SA said will force more European plants to close. The Satorp refinery, a venture between Total and Saudi Arabian Oil Co., processed crude at full capacity of 400,000 barrels a day on Aug. 1, Patrick Pouyanne, Total’s president of refining and chemicals, said at a conference in Brussels today. Europe ’s refineries are too small and not sophisticated enough to compete with new plants, Chris Bake, executive director at Vitol, the world’s largest oil trader, said at a separate conference in Fujairah, in the United Arab Emirates . “Rationalization is a necessity for Europe,” Pouyanne said at the Platts European Refining Summit. “We are facing a global overcapacity” and companies in Europe should close about 10 percent of refining capacity by 2020 because of falling domestic demand and rising […]

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Bentek Energy: ND Bakken Hit 1.2 Million b/d – Aug. 2014

ND Pump Jack Photo ND Pump Jack | Click to Enlarge Combined oil production from the Bakken and South Texas’ Eagle Ford Shale rose by more than 78,000 b/d in August 2014. That’s a 3.1% increase over July. Bakken oil prices are on the downward trend, and fell to the mid $80.00 per bbl mark around the first of September. Eagle Ford oil prices have been below $100.00 per barrel since the middle of August. Click Here to follow weekly updates on Bakken activity and commodities pricing on our site. According to Bentek Energy, increased production from shale will help keep storage levels at the Cushing, Oklahoma oil hub on pace with domestic refinery demand. Read more at bentekenergy.com

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Obama: U.S., China Must Lead on Climate Change Efforts

President Barack Obama speaks during the Climate Summit at the U.N. on Tuesday. REUTERS NEW YORK—President Barack Obama on Tuesday said the U.S. and China have a "special responsibility to lead" efforts to curb carbon greenhouse gas emissions, as he sought to enlist nations around the globe in efforts to combat climate change. "There is one issue that will define the contours of this century more dramatically than any other," Mr. Obama said at a United Nations climate summit in New York. "That is the urgent and growing threat of a changing climate." Mr. Obama told delegates the U.S. is ready to lead in a new set of global climate-change negotiations but urged major economies—including emerging economies—to get on board. "Nobody gets a pass," he said. In an afternoon address, Mr. Obama announced a set of limited measures Washington will take to address climate change abroad and to align […]

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China, not Russia, could shape Asia’s energy future, speakers say

WASHINGTON, DC, Sept. 23 09/23/2014 China apparently could be in a better position than Russia to directly influence future Asian oil and gas development and policies, speakers agreed during a Sept. 22 discussion at the Center for Strategic & International Studies . The $400 billion natural gas deal the two countries signed in May was significant, they agreed ( OGJ Online, May 21, 2014 ). “Both sides wanted it, but its economics are very hard,” said Edward C. Chow, a senior fellow in CSIS’s Energy and National Security Program. “They’ve been negotiating for 10 years to build a very long pipeline involving eastern fields which will be difficult to develop,” Chow said, adding, “The gas price when it reaches China’s border won’t be attractive.” Shoichi Itoh, a senior analyst at the Institute for Energy Economics in Tokyo, said, “The development of eastern Siberia and the Far East is Russia’s […]

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No hard landing yet in China

This photo taken on October 17, 2011 shows a worker monitoring the loading of containers on to a ship at the harbour in Qingdao, in northeast China’s Shandong province (STR/AFP/Getty Images)   © STR/AFP/Getty Images China’s economic rebalancing has been the main downside risk to global economic activity in 2014, and will probably remain so for the foreseeable future. The industrial production figures for August were the weakest seen since the 2008-09 recession, and they were followed by a statement from finance minister Lou Jiwei to the effect that there would be no change in economic policy “in response to one indicator”. This echoed Premier Li Keqiang’s recent speech at the summer Davos meetings, which indicated broad satisfaction with the overall thrust of policy. “Just like an arrow shot, there will be no turning back”, he promised. The possibility of a clash between a slowing economy and a Chinese […]

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Backwardation in Asian gasoline market firms sharply amid shrinking supply

Singapore (Platts)–24Sep2014/206 am EDT/606 GMT The backwardation in the FOB Singapore 92 RON gasoline market firmed sharply Tuesday, September 23, as concerns that replacement barrels in Asia could be limited going forward perked up sentiment, traders said Wednesday. The spread between FOB Singapore October and November 92 RON gasoline swaps widened 25 cents/barrel, or 27% day on day, to be assessed at $1.15/b Tuesday. The spread was last assessed at the same level on August 29 this year, data showed. In a backwardated market, the price for the distant delivery month is lower than the prompt delivery month and the firming of a backwardated curve could indicate rising demand and lower supply. Article continues below… Oilgram News brings you fast-breaking global petroleum and gas news on and including: Industry players, upstream and downstream markets, refineries, midstream transportation and financial reports Supply and demand trends, government actions, exploration and technology […]

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Obama called on to ban oil trains

WASHINGTON, Sept. 23 (UPI) — An environmental advocacy group said it wants President Barack Obama to use his authority to ban the type of rail cars tied to recent oil train derailments. Older rail cars designated DOT-111 carrying crude oil have been involved in a series of disastrous derailments, including the deadly incident in Lac-Megantic, Quebec in 2013. In mid-September, Earthjustice, ForestEthics and the Sierra Club filed a lawsuit against the Department of Transportation for not responding to a petition filed in July calling for a ban on shipping Bakken crude from North Dakota using DOT-111 cars. ForestEthics campaigner Matt Krogh said a recent report from the U.S. Governmental Accountability Office emphasized some of the risks associated with shipping oil by rail. "ForestEthics is asking the president to take the GAO report to heart, ban dangerous DOT-111 tanker cars, slow these trains, and protect the American public from the […]

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