Posted on 01/21/2015 7:56:25 AM PST by thackney
Oman oil minister Mohammad bin Hamad al-Rumhy sharply criticised OPEC's production policy on Wednesday, saying it was creating volatility in the market without benefiting oil producers and that his country was suffering.
In November, OPEC decided to keep its output unchanged despite sliding prices. Analysts believe the policy is being engineered by Saudi Arabia and other top Gulf producers to protect their market share against higher-cost suppliers outside OPEC, such as U.S. shale oil producers.
Oman is a significant oil producer but it lacks the huge oil and financial reserves of its Gulf neighbours, and it is not an OPEC member.
"I fail to understand how market share can be more important than revenue,"...
(Excerpt) Read more at rigzone.com ...
Yemen is under military attack, Oman is stressed economically...Saudi Arabia might want to reconsider the limits and placement of that fence they’re building.
Stakeholders Seek Nigeria’s Withdrawal from OPEC
http://www.freerepublic.com/focus/f-news/3249097/posts
It is such a shame to see a decades old organization like OPEC struggle so between the members... < /sarc>
Libya’s OPEC Governor Kidnapped
http://www.wsj.com/articles/libyas-opec-governor-kidnapped-1421772959
Jan. 20, 2015
Libya’s OPEC Governor Samir Kamal was kidnapped last week in the militia-held capital of Tripoli, two officials familiar with the matter said Tuesday, as turmoil continues to ravage the north African country almost four years after the collapse of its central government.
Mr. Kamal, who is also the head of the planning department at the Tripoli-based government’s oil ministry, was last seen Thursday, said one official at the National Oil Corp., or NOC.
“Nobody knows why [he was kidnapped],” the official said. “Some people know where he is,” he added.
Another NOC official confirmed that Mr. Kamal was missing, but declined to give further details. No one has claimed responsibility for his kidnapping.
Kidnappings have become common in Libya, where oil fields have been seized by armed groups and control is divided between two rival governments.
Oman might one day figure out that they too are part of the target that the Saudis are going after. Of course Saudis will come to their rescue, toss money their way. That way, Oman can be thankful for the Saudis undercutting them in them market.
Tactics vs. Strategery.
Exactly.
Saudi could cut production until global price rose to $100. Say they cut from 10 MMBPD to 9.
US, Canada etc would keep producing more, and then we could repeat, with Saudi starting at 9 MMBPD.
Commentary: What I think about when I think about crude {causes for price}
http://www.freerepublic.com/focus/news/3249158/posts
Eni warns oil may shoot up to $200 without Opec cuts {in 4~5 years}
http://www.freerepublic.com/focus/news/3249179/posts
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.