PAIV:ENERGY MARKETS REPORT INCLUDING: The Libyan rebels’ oil minister said they will look to resume oil production from the east of the country ‘soon’
WTI and Brent crude futures came under pressure during the early European session after comments from OPEC’s Secretary General that currently the oil market remains well supplied, however as the session progressed prices have pared their earlier losses and are currently trading in positive territory.
Oil & Gas News:
• OPEC Secretary General said the current OPEC output will be 2MBPD short of demand in Q3, but OPEC could raise output by 2MBPD without any problems. He added there is plenty of oil in the market today, stocks are high, OPEC is looking for a moderate oil price and oil price risk premium is USD 15-20 a barrel. The OPEC Secretary General said more regulation is needed to stem extreme price volatility, especially urging the EU and US to toughen regulations. He went on to add that it is the sovereign right of OPEC members to hike output without consensus.
• The Libyan rebels’ oil minister said they will look to resume oil production from the east of the country ‘soon’.
• Credit Agricole said the OPEC indecision is not ‘bullish’ for oil and Saudi Arabia will raise output in the absence of a quota. Similarly, Commerzbank said that Brent will not be above USD 120 per barrel on a ‘lasting basis’ due to the likelihood of Saudi Arabia boosting output.
• Obama administration will extend Gulf of Mexico leases expiring by the end of 2015 to compensate oil producers for delays caused by last year’s moratorium, government official said
