Many energy experts say the world market, which consumes about 90 million barrels a day, has one million barrels more than it needs, although that could easily change if the Islamic State, also known as ISIS, attacked Baghdad and threatened the southern Iraqi oil fields, or if militias suddenly renewed their blockades of oil ports in Libya.
Times seems to think if ISIS grabs more oil fields the price will go up instead of further down. Hmmm.
Times seems to think if ISIS grabs more oil fields the price will go up instead of further down. Hmmm
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This is true. Almost all of Iraq’s oil is in the southern shia areas. ISIS attacks are in the north. If they went around Bagdad and attacked further south likely the price of oil would go up.
As it is the instability in that country has already capped further oil production increases. That country was set to go from 3 million barrels @ day to six million barrels @ day. However, investors won’t be putting more money there until the war cools down considerably. That won’t be any time soon.