And it is the cost of the oil at the margin (that which balances oil supply with need) that to a much greater degree controls the price. At the moment the countries that make up OPEC can increase production at need, beyond the current levels of demand. As long as they can do this...
Saudi Arabia tells us that they have lots of oil, but if we look at graphs of their historical production, there is nothing that looks like an upward trend. In fact, recent production is lower than it was in the late 1970s and early 1980s. This is a graph of Saudi oil production, ...
EIA was 10.5), which is similar to the gaps we are seeing between the Texas RRC and EIA data for Texas oil & gas production, and presumably partly because of budget cutbacks, the EIA is even having trouble getting accurate numbers
Oil futures were spooked by the promise of more oil from the Opec and non-Opec alliance and sold off hard thinking that the strong production cuts made since the start of 2017 might come to an end. Opec's de facto leader Saudi Arabia and non-Opec head Russia signaled to the market on...
Saudi Arabian oil production, Jan 2006-Jan 2007, from four different sources. Linear trends fitted to each series. Graph is not zero-scaled to better show changes. Click to enlarge. Source: US EIA International Petroleum Monthly Table 1.1, IEA Oil Market Report Table 3, Joint Oil Data ...
Crude Oil Edges Higher on Friday, Marks Weekly Losses Argentina Economic Activity Contracts Less Than Expected Kosovo Trade Gap Shrinks 8.6% YoY in November Argentina Current Account Swings to Surplus in Q3 Colombia Cuts Rate to 9.5%, Less Than ExpectedCalendar...
To keep the ball rolling, I've extended a couple of my graphs. The above graph is the production data, with all series extended back to January 1995, or as far back as they are available online. I've also added a fifth series from the Oil and Gas Journal. Plotted on the picture ...
But I hasten to add that 90% of Saudi oil production comes from four giant oilfields (Ghawar, Safaniya, Hanifa and Khafji), all of which are more than 50 years oil and are being kept flowing by a huge injection of water. Oil recovery rate from these four oilfields ranges between 25%...
However, it is also a limitation in that the two remaining large sources of crude oil that Saudi Arabia anticipates coming on line must wait until all the logistical handling is in place. The first of these is the Shaybah expansion. Shaybah began with a production of 250 kbd, and has see...
The history of oil production from Saudi Arabia has largely come from individual wells that produced in the thousands of barrels a day. In order to sustain that production over decades, it has been necessary to ensure that 1) the pressure differential between the well and the rock are sustaine...