Saudi Arabia will not let oil prices rise to 00, because they listen to Trump. The Wall Street Journal quoted Kuwaiti oil officials as saying. Trump said on Twitter on April 20 that oil prices are artificially too high now! There is no benefit and canBest crude oil trading systemnot be accepted!
Trump has just rejected this request. This is the first time Trump has rejected an oil and gas project. The direct result of the rejection was a significant increase in the cost of the Cactus No. 2 pipeline project. The current cost of this project is estimated to have reached 100 million US dollars. The U.S. Department of Commerce believes that there is sufficient domestic steel supply in the U.S. and therefore it is reasonable to reject this request.
As pipeline construction has been unable to keep up with the growth of oil transportation demand, Canada's domestic oil reserves are increasing. The National Energy Commission of Canada stated that Canada’s crude oil production this year averaged 4.59 million barrels per day, an increase of 20,000 barrels per day from the earlier forecast.
As a country with extremely lack of oil resources, Japan imports 90% of its oil from the Middle East. Iran is Japan’s third-largest crude oil supplier. Over 0% of Japan’s oil is supplied by Iran. It is not so easy for Japan to stop importing Iranian oil. After Trump issued the ban, Japan initially agreed on the surface, but secretly increased imports. Data show that Japan imported 40,000 barrels of Iranian crude oil in July, an increase of 6% over the same period last year.
Earlier, the United States unilaterally withdrew from the Iran nuclear agreement, and at the same time asked other major oil-producing countries to expand production to make up for the Iranian crude oil gap. In order to isolate Iran and cut off its economic sources, the US government requires other countries to stop importing Iranian crude oil, otherwise it will incur US sanctions. However, since Iran is OPEC's third largest oil producer, its crude oil export volume has reached 2.6 million barrels per day. To maintain the balance of the current global oil market, this part of crude oil export volume is indispensable, otherwise it will further push up. Oil prices. With the approaching of the 208 midterm elections, Trump is concerned that excessively high oil prices may have an impact on the United States during the previous summer peak travel period, thereby adversely affecting the Republican midterm elections.
On the oneBest crude oil trading system hand, there is now a shortage of workers. On the other hand, investors are demanding cash instead of producing more oil. In addition, the Permian oil pipeline bottleneck also forced drillers there to sell oil at a discount.
The demand for crude oil in Asia fell in the first half of the month, but the seasonal maintenance of refineries was also coming to an end. At the same time, crude oil production and crude oil inventories in the United States also reached new highs, which put pressure on oil prices. But with the upcoming peak driving period and the International Energy Agency predicts that crude oil demand will rise further. Therefore, volatility will be a characteristic of the market for some time to come.
However, it is worth mentioning that the reason why exchanges in various countries are competing for Saudi Aramco's IPO is because Saudi Aramco is currently the world's largest crude oil producer and a comprehensive international oil company with a 65-year history. Mainly engaged in petroleum exploration, development, production, refining, transportation and sales, and owns the world's largest onshore and offshore oil fields. Contributed nearly 20% of Saudi Arabia's fiscal revenue and 85% of taxation. As the world's largest producer and exporter of crude oil, the proven reserves of crude oil and natural gas reached 260.2 billion barrels and 5 trillion cubic meters, respectively. In 206, the output of oil and natural gas was 0.5 million barrels per day and 86.5 billion cubic meters.
U.S. Treasury Secretary Mnuchin said there may be some exceptions for countries that import oil from Iran. The US State Department has the ability to issue exemptions around the sharp cuts in the oil market. This is what the Treasury Department and the country will do. Mnuchin said the United States will be willing to listen.
Looking back at the previous trend of crude oil, the political crisis in the Middle East certainly has a short-term impact on oil production and prices, but the reason for this surge in oil is that the market anticipates a substantial reduction in future inventories, which is a sustainable response. , Which means that oil prices have the logic of long-term rise. But on the other hand, we still need to consider the role played by Saudi Arabia and Russia, that is, whether it will increase production and stabilize oil prices.