U.S. Oil Prices March Forward

Monday, January 08, 2001
U.S. oil prices resumed their upward climb on Monday, egged on by word from OPEC that the cartel had a consensus to slash output output by next week, Reuters reported By early afternoon, crude oil for February delivery on the New York Mercantile Exchange was trading at $28.30 a barrel, a 35-cent rise, taking total gains in the last six trading sessions to $2.50 a barrel, or ten percent. A statement by OPEC Secretary-General Ali Rodriguez on Sunday spurred the day's advance. Rodriguez, the former energy minister of Venezuela said on Sunday that the 11-member producers' cartel had a consensus to cut crude oil supplies but had not decided by how much. "For the time being there is a consensus to cut but how much we don't know," Rodriguez said. Rodriguez's remarks came after the former Venezuelan energy minister met with departing U.S. Energy Secretary Richardson in Vienna. Richardson, in probably his last mission for the Clinton Administration, which bows out next week, warned against what he called precipitous action to cut output. "We would like to see no production cuts but we recognize that there are realities," he said. OPEC convenes its ministerial meeting to assess market conditions on January 17. Many cartel members have recently pressed for cartel action to curb production to prevent prices from sliding, as world demand is expected to fall in the second quarter. Despite Rodriguez' silence on OPEC's possible reduction volume, Kuwaiti Oil Minister Sheikh Saud Nasser al-Sabah had said on Saturday he understood from Rodriguez there already was a cartel consensus for a cut of between 1.5-2.0 million barrels per day (bpd). Price hawk Kuwait favors the higher figure. Strong backing for slashing OPEC output by at least two million came from Mideast producer Qatar on Monday. Qatari Oil Minister Abdullah bin Hamad al-Attiyah reasoned that the bigger cut would be "more effective in guaranteeing that prices remain within the $22-$28 range set by OPEC."
Maritime Reporter March 2015 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Environmental

Biloxi Industrial Seaway Closed Due to Landslide

The U.S. Coast Guard closed the Biloxi Industrial Seaway in Gulfport, Miss., due to a landslide, Saturday.   The Biloxi Industrial Seaway in the vicinity of the

Dispersants ... Will we ever be able to use them again?

On January 22, 2015, the Environmental Protection Agency (EPA) published a Proposed Rule on dispersants. The Proposed Rule drastically changes the EPA’s approach

Marshall Islands Calls for New Emissions Target

In a submission to the International Maritime Organization, the Republic of the Marshall Islands, currently the world’s third largest shipping registry, has called

Energy

ClassNK Opens R&D Center in Singapore

Classification society ClassNK promoted the activities of its new Global Research and Innovation Center (GRIC) at a press conference held today in Singapore.   Joined

ExxonMobil President Seeks Swift Action on US LNG Exports

The United States is at risk of losing economic opportunity and the ability to solidify its role as a global leader in energy production unless the government moves

Stena Bulk Charters Out LNG Carrier

Stena Bulk has signed an agreement covering the charter of the LNG carrier Stena Blue Sky for the North West Shelf Project in Australia. The duration of the

 
 
Maritime Contracts Maritime Security Maritime Standards Offshore Oil Pipelines Salvage Ship Electronics Ship Repair Ship Simulators Sonar
rss | archive | history | articles | privacy | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.3074 sec (3 req/sec)