OPEC+ slashes oil production by 100K barrels per day as prices fall

[shockedcanadian]

The timing of this is interesting as they know prices are about to go up so they quickly cut oil to ensure it goes up even more. Seems to be the flip of the bird to the West.

On top of the price increase due to Nord 1 shutdown, this nightmare is about to get worse for all of us.

OPEC+ slashes oil production by 100K barrels per day as prices fall

The move reverses the group's decision last month to boost oil production for the month of September.

www.axios.com

OPEC and its allied producers on Monday agreed to reduce oil production by 100,000 barrels per day amid concern regarding falling oil prices and lingering fears of a global recession.

Why it matters: The move reverses the group's decision last month to boost oil production for the month of September by 100,000 barrels per day.

• OPEC said in a press release Monday that, alongside its allies, it had agreed to "revert to the production level of August 2022...for the month of October."

The big picture: This is the group's first cut in oil production in more than a year and comes as crude oil prices have fallen 25% in the past three months, the Wall Street Journal reported.

• Saudi Arabia's energy minister warned last month that OPEC+ countries could cut oil production at any time, AP reported.
• Members of the group are concerned that a successful revival of the 2015 Iran deal could see an influx of Iranian oil hit the market, though tensions between the U.S. and Iran have spiked in recent days, with the U.S. conducting a military flyover of the Middle East over the weekend.
• Members are also concerned that a global recession, egged on by sky-high inflation, energy woes in Europe and economic slowdown in China spurred by the COVID-19 pandemic, could weaken oil demand, per the Journal.

 

[1srelluc]

And Tater has put us at their complete mercy.

 

[Burgermeister]

Wait, are you saying that Biden begging for more production wasn't an effective geo-political strategy? That was just another meaningless gesture to throw to the idiots.

IMO this admin loves higher oil prices and all the shit that flows downhill from it.

 

[Harpy Eagle]

Wait, are you saying that Biden begging for more production wasn't an effective geo-political strategy? That was just another meaningless gesture to throw to the idiots.

IMO this admin loves higher oil prices and all the shit that flows downhill from it.

It was just an effective geo-political strategy as threatening them into cutting production or lose our military support and sales.

 

[1srelluc]

Wait, are you saying that Biden begging for more production wasn't an effective geo-political strategy? That was just another meaningless gesture to throw to the idiots.

IMO this admin loves higher oil prices and all the shit that flows downhill from it.

Yep, the leftists want every ill that they have burdened us with to be the "new normal". It all part of their plan.

 

[struth]

sadly xiden war in american energy has us totally depended on OPEC

 

[RoshawnMarkwees]

You can thank these democrat assholes for sacrificing American leverage in the oil market…

Biden suspends oil and gas leasing in slew of executive actions on climate change

Biden's orders will halt oil and natural gas leases on public lands and waters in an effort to curb planet-warming carbon emissions.

www.cnbc.com

 

[surada]

And Tater has put us at their complete mercy.

OPEC doesn't owe you cheap oil.

 

[White 6]

And Tater has put us at their complete mercy.

What I hope you realize, is this is exactly what the industry has been doing in this country, also. You can think of it politically, or you can think of it as manipulation of the supply side to affect current and future profits. This is the reason profits are at an all-time high, not Biden or "Tater" not boosting production on public lands, by giving more control of the public lands to the domestic oil cartel companies that control exploration, production and the whole supply side of the equation. Covid gave an excuse to cut drilling and production and the profits of demand on lower volume at higher price maintains it, the plan being to keep manipulated closer to new profit margins, rather than increase production too fast and lose that edge. After all, the oil companies and producing countries of nationalized control are in this for a profit, and they are making it.

 

[struth]

What I hope you realize, is this is exactly what the industry has been doing in this country, also. You can think of it politically, or you can think of it as manipulation of the supply side to affect current and future profits. This is the reason profits are at an all-time high, not Biden or "Tater" not boosting production on public lands, by giving more control of the public lands to the domestic oil cartel companies that control exploration, production and the whole supply side of the equation. Covid gave an excuse to cut drilling and production and the profits of demand on lower volume at higher price maintains it, the plan being to keep manipulated closer to new profit margins, rather than increase production too fast and lose that edge. After all, the oil companies and producing countries of nationalized control are in this for a profit, and they are making it.

profits are at a high due to inflation…profit margins are however at a low due to it too…thanks brandon

 

[surada]

profits are at a high due to inflation…profit margins are however at a low due to it too…thanks brandon

Profit margins in the oil business have been the same for decades... About 7%

 

[struth]

Profit margins in the oil business have been the same for decades... About 7%

that’s an average they are down to about 6 percent this year thanks to xiden inflation

 

[surada]

that’s an average they are down to about 6 percent this year thanks to xiden inflation

Biden doesn't control domestic oil production.

 

[LeftofLeft]

OPEC doesn't owe you cheap oil.

So, what can the US do to impact or influence lower domestic costs of oil? What can the US do to not be dependent on foreign oil?

 

[RoshawnMarkwees]

What I hope you realize, is this is exactly what the industry has been doing in this country, also. You can think of it politically, or you can think of it as manipulation of the supply side to affect current and future profits. This is the reason profits are at an all-time high, not Biden or "Tater" not boosting production on public lands, by giving more control of the public lands to the domestic oil cartel companies that control exploration, production and the whole supply side of the equation. Covid gave an excuse to cut drilling and production and the profits of demand on lower volume at higher price maintains it, the plan being to keep manipulated closer to new profit margins, rather than increase production too fast and lose that edge. After all, the oil companies and producing countries of nationalized control are in this for a profit, and they are making it.

Bullshit. This is a direct result of democrat policy. Biden doing the same dance Obama did. It’s about control and manipulation by demmunists.

 

[surada]

So, what can the US do to impact or influence lower domestic costs of oil? What can the US do to not be dependent on foreign oil?

Not much unless you want to nationalize US oil companies.. I'm against that.

 

[surada]

Bullshit. This is a direct result of democrat policy. Biden doing the same dance Obama did. It’s about control and manipulation by demmunists.

US oil production companies are not controlled by the government. Obama took action against deep water drilling after BP screwed up and didn't follow safety rules. They have lots of oil leases that they have had for years.

 

[White 6]

Bullshit. This is a direct result of democrat policy. Biden doing the same dance Obama did. It’s about control and manipulation by demmunists.

Which courses did you skip to come up with your theory? General Business, or Economics?

 

[surada]

The US has the highest production costs in the world.

 

[RoshawnMarkwees]

Which courses did you skip to come up with your theory? General Business, or Economics?

I just explained it to you. Do you have a rebuttal?