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The collapse in world oilprices in the second half of 2014 will have only a moderate impact on the fast-developing low-carbon transition in the world electricity system, according to research firm Bloomberg New Energy Finance. However, the slump in the Brent crude price per barrel from $112.36 on 30 June to $61.60
World petroleum and other liquid fuels consumption will increase 38% by 2040, spurred by increased demand in the developing Asia and Middle East, according to the Reference Case projections in International Energy Outlook 2014 ( IEO2014 ), released by the US Energy Information Administration (EIA). oil sands, either diluted or upgraded).
It may be difficult to look beyond the current pricing environment for oil, but the depletion of low-cost reserves and the increasing inability to find major new discoveries ensures a future of expensive oil. Total global investment in oil and gas exploration grew rapidly over the last 15 years.
The impact of rising oilprices on North American light tight oil (LTO) production is said to be a “Catch 22”, the title of Joseph Heller’s popular 1961 novel set in WWII. Too many analysts continue to believe drilling and service has the same problem with rising oilprices. by David Yager for Oilprice.com.
Predicting and diagnosing the trajectory of oilprices has become something of a cottage industry in the past year. But along with all of the excess crude flowing from the oil patch, there is also an abundance of market indicators that while important, tend to produce a lot of noise that makes any accurate estimate nearly impossible.
Lest we be too quick to forget whence we came, America is now 9-months into lower gasoline prices, which started their swoon the week of June 30, 2015 from a lofty national average just under $3.70, tumbling almost every subsequent week before bottoming and bouncing from $2.02 quota, with oil already allocated away from the U.S.,
Conventional oil and gas discoveries during the past three years are at the lowest levels in seven decades and a significant rebound is not expected, according to a new report by global business information provider IHS Markit. —Keith King, senior advisor at IHS Markit and a lead author of the IHS Markit E&P trends analysis.
OPEC says that $10 trillion worth of investment will need to flow into oil and gas through 2040 in order to meet the world’s energy needs. The OPEC published its World Oil Outlook 2015 (WOO) in late December, which struck a much more pessimistic note on the state of oil markets than in the past.
The total number of natural gas refueling stations globally will reach almost 39,300 locations by 2026, according to a new report from Navigant Research. Since late 2014, the production of crude oil has outpaced demand, triggering a sustained collapse in world oilprices, which have remained mostly below $50 per barrel.
Those claiming that oil will continue to fall from here and remain low for evermore, however, are flying in the face of both history and common sense. The question we should be asking ourselves is not if oilprices will recover, but when they will. Supply alone, however, doesn’t determine price.
Natural gas is the fastest-growing fossil fuel, as global supplies of tight gas, shale gas, and coalbed methane increase. The Brent crude oil spot price averaged $112 per barrel in 2012, and EIA’s July 2013 Short-Term Energy Outlook projects averages of $105 per barrel in 2013 and $100 per barrel in 2014.
In their analysis, the authors examined the effect of 5 factors on EDV deployment: crude oil and natural gasprices; a federal CO 2 policy; a federal renewable portfolio standard (RPS); and EDV battery cost. No EDV deployment occurs with high battery costs, low oilprices, and no CO 2 policy.
with a commercial, 1,000 barrel-per-day (bpd) Gas-to-Liquids (GTL) plant to be located at its Karns City, Pennsylvania facility. Calumet intends to provide the majority, if not all of the funding for this project, and to start production in the second half of 2014.
Among their findings were: RFS2 is satisfied at extreme oilprices (at least $215/barrel). This oilprice encourages biofuel use in the RFS2 timeframe, but not in the long run. The simulation evolves the LDV parc, stepping through 2050, although most of the analysis in the paper focuses on simulations through 2022.
Back when the onslaught began, which I mark as Thanksgiving Day 2014—when OPEC declined to cut—Wall Street began talking of shale as being a switch; as in you can turn it on and off. Back in the good old days—2012 or so—a single stage on a shale job was being priced at $125,000 or more. That’s underwater.
Oil and gas companies have had a tough time over the past year trying to weather the storm of falling oilprices. Drilling oil and gas wells requires a lot of money. For companies that have seen their revenues vanish because of collapsing oilprices, access to credit is obviously critically important.
The current plunge in oilprices will likely negatively affect plug-in and hybrid vehicle sales in the short term; automakers such as BMW are already warning of lower sales of plug-in vehicles given the market context. Anticipated price of oil and forecast plug-in sales. Lux on the price of oil.
The first commercial-scale facilities with a potential production capacity of 1 million gallons will likely come online in the 2014 to 2016 window, Pike forecasts, although construction delays, a lack of capital, and lingering investment risk could potentially obstruct growth. the Synthetic Genomics Inc. and Exxon Mobil Corp.
The MTOMR is the last in a series of medium-term forecasts that the IEA devotes to each of the four main primary energy sources: oil, gas, coal and renewable energy. Demand from non-OECD economies is forecast to overtake that in the OECD as early as 2014. But it also highlights elevated supply and demand risks.
Between January 2016 and March 2017, oil production in the Permian Basin increased in all but three months, even as domestic crude oilprices fell. As production in other regions fell throughout most of 2015 and 2016, the Permian provided a growing share of US crude oil production.
Simply put, the world has too much oil at the moment which has resulted in the reduction of price levels from approximately $100 to $50 a barrel, and OPEC (as well as US shale producers) has a major role to play in this supply glut. Nigeria is Africa''s largest oil producer and among the top 5 global exporters of LNG.
Global oil and gas companies are increasingly facing an uphill battle as global warming policies are taking their toll. Most analysts and market watchers are focusing on peak oil demand scenarios, but the reality could be much darker. The latter is partly caused by “global warming constraints” and lower oilprices in general.
Release of the Proposed Final Program, along with the accompanying Final Programmatic Environmental Impact Statement, is one of the final steps in a multi-year process that was initiated in June 2014 to develop a final offshore leasing program for 2017-2022. Areas off the Atlantic coast are not included in this program.
In 5 of the 10 cities for which EIA collects weekly retail price data, gasoline prices exceeded $3.00/gal Rising crude oilprices and high levels of gasoline demand contributed to rising gasoline prices from January through May. gal at least once in 2018. per gallon between October and December.
Oil companies continue to get burned by low oilprices, but the pain is bleeding over into the financial industry. Major banks are suffering huge losses from both directly backing some struggling oil companies, but also from buying high-yield debt that is now going sour. by Nick Cunningham of Oilprice.com.
The party is over for tight oil. Despite brash statements by US producers and misleading analysis by Raymond James, low oilprices are killing tight oil companies. Reports this week from IEA and EIA paint a bleak picture for oilprices as the world production surplus continues. percent in August 2015.
This year, shale output forecasts combine with OPEC’s production cuts, geopolitical factors, and unexpected outages to further complicate supply/demand and oilprice forecasts by Wall Street’s major investment banks. Beyond 2017, the impact of a collapse in longer-cycle conventional investment over 2014-16 begins to be felt.
The Annual Energy Outlook 2015 (AEO2015) released today by the US Energy Information Administration (EIA) projects that US energy imports and exports will come into balance—a first since the 1950s—because of continued oil and natural gas production growth and slow growth in energy demand. With greater U.S.
Vertimass originally licensed the technology from Oak Ridge National Laboratory (ORNL) in 2014. Increased oilprices or current production incentives make Vertimass fuel cost competitive, and CADO-derived hydrocarbon blendstocks pass on greenhouse gas emission reductions of the ethanol feedstock. Earlier post.).
Reflecting slow growth in travel and accelerated vehicle efficiency improvements, US light-duty vehicle (LDV, cars and light trucks) energy use will decline sharply between 2012 and 2040, according to the US Energy Information Administration’s (EIA’s) Annual Energy Outlook 2014 (AEO2014) Reference case released today. per year, from 21.5
Argentina offers one of the few places on earth where oil companies are not suffering from the full force of the collapse in prices. Argentina regulates oilprices, a policy originally intended to insulate the public from the whims of the market, protecting people from triple-digit crude prices.
However, the new forecast represents a slowing of future oil sands production growth compared to the predictions of last year’s forecast. According to CAPP’s 2014 Crude Oil Forecast, Markets and Transportation , total Canadian crude oil production will increase to 6.4 CAPP does not forecast oilprices.
The report, which covers US airlines in domestic operations in 2014, highlights a continuing gap in the carbon intensity of US carriers, and comes as the International Civil Aviation Organization (ICAO) meets in Montreal to debate proposals that will serve as the basis for future US regulation. from 2013 to 2014. Earlier post.)
Many oil companies had trimmed their budgets heading into 2015 to deal with lower oilprices. But the collapse of prices in July—owing to the Iran nuclear deal, an ongoing production surplus, and economic and financial concerns in Greece and China—have darkened the mood. by Nick Cunningham of Oilprice.com.
A flood of bearish news has pushed down oilprices to their lowest levels in months, with WTI nearing $45 per barrel and Brent flirting with sub-$50 territory. With a bear market back, there is pessimism throughout the oil markets. However, the WTI/Brent spread has shrunk more dramatically since the collapse in oilprices.
“NEB and GNWT study finds 200 billion barrels of oil in the Sahtu,” gushed CBC News , referring to a region of the sprawling territory that cuts across three provinces and touches the Arctic Ocean. Knowledgeable oilmen like Hogg say that the Canol, while highly prospective, is a long-term game that will have to wait until oilprices rise.
Putin has highlighted on various occasions the contribution Russia’s mineral wealth, in particular oil and natural gas, must make for Russia to be able to sustain economic growth, promote industrial development, catch up with the developed economies, and modernize Russia’s military and military industry. percent of GDP in 2014.
FedEx joins Southwest Airlines, which signed a purchase agreement with RedRock in November 2014 for about 3 million gallons per year, in purchasing Red Rock’s total planned available volume of jet fuel. Red Rock’s gas-to-liquids technology partner is Velocys. The agreement runs through 2024, with first delivery expected in 2017.
Kazakhstan, rich in natural resources such as oil, gas, and metal, has huge potential for economic development but infrastructure constraints result in significant travel time and cost, and hinder access to foreign markets.
The main effect of this change on the forecasted STEO liquid fuels market balances is that the higher consumption in 2014 raises the baseline to which the STEO forecast benchmarks. About two-thirds of China’s methanol feedstock is produced from coal and the remainder from coking gas (a by-product of steel production) and natural gas.
The proposed Keystone XL pipeline for transporting oilsands-derived crude to Gulf Coast refineries would have “ no material impact ” on US greenhouse gas (GHG) emissions, according to a new Insight report by IHS CERA. Future price volatility is to be expected.
Oilprices have rebounded strongly since March. The benchmark WTI prices soared by more than 36 percent in two months, and Brent has jumped by more than 25 percent. Other companies—including Devon Energy, Chesapeake Energy, and Carrizo Oil & Gas—have also lifted predicted increases in output for 2015.
This sharp slowdown in activity in the conventional oil sector was the result of reduced investment spending driven by low oilprices. The slump in the conventional oil sector contrasts with the resilience of the US shale industry. In addition, 6.5 With global demand expected to grow by 1.2
Energy efficiency has tremendous potential to boost economic growth and avoid greenhouse gas emissions, but the global rate of progress is slowing, according to a new report by the International Energy Agency. In the United States, primary demand increased for the first time since 2014. Global primary energy demand rose by 2.3%
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