{"id":14471,"date":"2015-11-16T07:28:26","date_gmt":"2015-11-16T12:28:26","guid":{"rendered":"http:\/\/olduvai.ca\/?p=14471"},"modified":"2015-11-16T07:28:26","modified_gmt":"2015-11-16T12:28:26","slug":"opecs-strategy-is-working-according-to-cartels-latest-report","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=14471","title":{"rendered":"OPEC\u2019s Strategy Is Working According To Cartel\u2019s Latest Report"},"content":{"rendered":"

OPEC\u2019s Strategy Is Working According To Cartel\u2019s Latest Report<\/a><\/h3>\n
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OPEC, which has been exceeding its own oil-production cap during the past year, says output was down in October and forecasts a production drop overall next year because of the persistent low price of oil.<\/div>\n<\/div>\n
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The cartel\u2019s Monthly Market Report, published Thursday, said its 12 members\u00a0extracted an average of 31.38 million barrels of oil per day last month<\/a>, down by 256,000 barrels per day in September because of export delays in Iraq and lower production in both Saudi Arabia and Kuwait.<\/p>\n

As for next year, the report said low prices are prompting energy companies not affiliated with OPEC to pare back on capital expenses by nearly $200 billion. As a result, non-OPEC output in 2016 will fall by an average of around 130,000 barrels per day, \u201ca gaping supply hole\u201d compared with the average growth of 720,000 barrels per day in 2015.<\/p>\n

Related:\u00a0Oil Tankers Are Filling Up As Global Storage Space Runs Low<\/strong><\/a><\/p>\n

The report on OPEC\u2019s production decline comes less than a month before the cartel meets on Dec. 4 at its headquarters in Vienna.\u00a0Some producers have been calling for the group to abandon its price war<\/a>\u00a0with rival producers, particularly in the United States, and bolster the price of oil, which has fallen from more than $110 per barrel in June 2014 to below $50 per barrel today.<\/p>\n

Yet the report supports the opposing view: that the strategy, masterminded by Saudi Oil Minister Ali al-Naimi, is working precisely because OPEC is not only regaining market share it lost to rival producers, but also forcing those producers to extract less oil. Many of them rely on hydraulic fracturing, or fracking, to extract oil from shale, and can\u2019t make a profit with the global price of oil so low.<\/p>\n

…click on the above link to read the rest of the article…<\/p>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

OPEC\u2019s Strategy Is Working According To Cartel\u2019s Latest Report OPEC, which has been exceeding its own oil-production cap during the past year, says output was down in October and forecasts a production drop overall next year because of the persistent low price of oil. The cartel\u2019s Monthly Market Report, published Thursday, said its 12 members\u00a0extracted […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[3,5],"tags":[7818,184,3102,1775,595,596,5332,600,701,846],"class_list":["post-14471","post","type-post","status-publish","format-standard","hentry","category-energy-2","category-geopolitics","tag-andy-tully","tag-crude-oil","tag-oil-market-share","tag-oil-price-collapse","tag-oil-production","tag-oil-supply","tag-oilprice-com","tag-opec","tag-saudi-arabia","tag-us-shale-oil"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/14471","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=14471"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/14471\/revisions"}],"predecessor-version":[{"id":14472,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/14471\/revisions\/14472"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=14471"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=14471"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=14471"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}