Saudi Arabia is rumoured to want oil prices at $100 per barrel, but if prices rise that high, it could sow the seeds of the next downturn. Saudi officials want more revenues for their budget and a higher oil price to bolster the valuation of the Aramco IPO. But that shortterm thinking could spell trouble not just for them, but also for oil prices, and ultimately for longevity of oil demand.
Standard Chartered has raised its 2018 crude oil price forecasts by $10 saying that the market has began to acknowledge the importance of OPEC-led production cuts.
India’s natural gas production grew for the first time in six years in 2017-18. Gas output grew 2.35 per cent to 32,649 Million Standard Cubic Meter (MMSCM) primarily due to production from onshore blocks offsetting a decline in production from offshore blocks, an ETEnergyWorld analysis of fresh data from the oil ministry shows.
The steady rise in international crude oil prices besides pinching the pockets of Indian consumers may also disrupt the government’s fiscal maths with the country’s crude oil import bill expected to surge by 20 per cent to $105 billion in financial year 2018-2019, an Oil Ministry report said.
The price of diesel in Mumbai touched an all-time high of Rs 70.01 per litre on Monday. This has left scores of transporters fuming, with the threat of a transport strike looming large.
The President of Garment Manufacturers and Wholesale Association of Telangana, Pavan Bansal, on Monday said that the recent rise in diesel prices was affecting the garment industries all over the country.
Diesel prices are at an all-time high. Will skyrocketing prices hit demand for the fuel? That is a possibility, but the impact owing to prices is unlikely to be much. For one, with the economy picking up steam, the demand outlook for diesel is robust. Secondly, demand for the auto fuel is typically inelastic.
A federal court in New York on Monday blocked the Trump administration’s decision to delay a rule that would raise penalties for automakers who do not meet federal fuel efficiency requirements.
Petrol prices were hiked by 18 paise and diesel 20 paise, applicable from 6:00 a.m. on 24th April 2018. Under the dynamic pricing scheme, petrol and diesel prices are revised on a daily basis in sync with global crude oil prices.
The Panama Canal may carry five times as much liquefied natural gas (LNG) in 2020 as it did last year as production of the fuel expands in the United States and Asian import demand rises, the head of the canal’s governing agency told Reuters.