For Elon Musk's Plan To Check Press Credibility, A Flood Of Support
Salah: It would be a 'dream' to win Champions League
Donald Trump Pardons Boxer Jack Johnson, Thanks to Stallone!
Uber ends self-driving tests in Arizona after fatal crash
PHL eyeing oil from non-Opec countries
Oil output to expand faster than demand in 2018: IEA
20 June 2017, 04:53 | Austin Hogan
Oil prices dipped early on Friday and were not far off six-months lows as an ongoing supply overhang weighed on markets despite an OPEC-led effort to cut production and prop up prices. As chart 1 alongside shows, break-even prices for USA shale oil regions have dropped substantially over 2013-2016.
The upshot of all of this is as obvious as it will be disheartening to petrostates: the oil market will swing further into oversupply next year. Both benchmarks notched a weekly loss exceeding 1.6 percent.
"Libya and Nigeria have brought more oil online and that's really hindering" OPEC's efforts, said Tariq Zahir, crude trader and managing member at Tyche Capital Advisors in NY.
US stockpiles have dwindled 9 in 10 weeks, failing to support oil futures because of the slow pace of declines.
The IEA said yesterday it expected growth in non-Opec supply to be higher next year than growth in overall global demand.
"Our first look at 2018 suggests that United States crude production will grow year-on-year. but such is the dynamism of this extraordinary, very diverse industry it is possible that growth will be faster", the report said. "It's a huge resource, it's changed everything", said Gary N Ross, global head of oil at energy analysts Pira, of U.S. shale. This is according to new data from the Energy Information Administration, who said that U.S. crude stocks, in particular, fell by a far lower amount than they expected. OPEC also revised down its forecast for non-OPEC oil supply growth this year by 110,000 bpd to 58.14 million bpd.
This implies that crude oil price, which stood at $48.27 per barrel, last week, would increase to $51 per barrel or more, signalling a good omen for Nigeria, which depends on crude oil for its fiscal responsibilities.
Rising U.S. oil output, particularly from shale drillers, is contributing to the ineffectiveness of the OPEC-led cuts, according to Reuters. For OECD inventories to return to the normalized levels, OPEC needs to drain by 34 million barrels a month or 1 million barrels for the next 10 months.
Crude output from OPEC nations rose by 290,000 bpd in May to a 2017 high of 32.08 million barrels per day, according to the EIA.
The U.S. Energy Information Administration report on oil inventories is due this week on Wednesday at 10:30 a.m. EDT.
Israel Says Officer Stabbed, 3 Attackers Shot in Jerusalem
Following the attacks, the Israeli government took a number of punitive measures against Palestinian residents in the West Bank. Hamas terrorist activities, including a barrage of rockets on southern Israel in 2014, have led to three armed conflicts.
Russian Federation wins 2-0 in Confed Cup
Russian Federation began their Confederations Cup campaign in flawless fashion with a 2-0 win over New Zealand on Saturday night. Russia , a record low 63rd in FIFA's world rankings, face Portugal on Wednesday while New Zealand play Mexico the same day.
Tapwrit Wears Down Irish War Cry to Win Belmont Stakes
Tapwrit finished sixth in the 20-horse Derby after encountering traffic in what Pletcher described as "a sneaky good" race. The two weeks between the Kentucky Derby Presented by Yum! "We still have time, so we will give him the best care we can".
Eight Afghan guards of United States base shot dead by Gunmen
Wahida Shahkar said the guards were attacked on their way to work at Bagram airfield, the main USA military base in Afghanistan . The US is expected to increase military deployment in the country to help Afghan forces contain the Taliban's rising offensive.
Australian air strikes in Syria halted
Daraa is where Syria's crisis first broke out in March 2011 as an uprising against President Bashar Assad's government. The Syrian government said the truce was part of national reconciliation efforts.
No offer received for Ronaldo, says Real boss
The current Ballon d'Or holder, at 32-years-old, has made public that he is not content at the Bernabeu and could seek to depart. He is now with the Portugal side at the Confederations Cup and his future plans will likely become clearer after its conclusion.