Exclusive Economy » Oil http://exclusiveeconomy.com Your Portal For Informal Analysis Tue, 17 May 2011 03:59:00 +0000 en hourly 1 http://wordpress.org/?v=3.1 Goldman Sachs Oil Warning Panics Investors http://exclusiveeconomy.com/2011/04/goldman-sachs-oil-warning-panics-investors/ http://exclusiveeconomy.com/2011/04/goldman-sachs-oil-warning-panics-investors/#comments Tue, 12 Apr 2011 19:24:06 +0000 EE Economist http://exclusiveeconomy.com/?p=1460 Goldman Sachs warning to investors on a “substantial pullback” in oil prices triggered a 3% drop today. Oil prices have risen 33% since mid February due to fears in supplies and production with unrest currently in the Middle East. OPEC reassured the market that they were compensating for any slowdown in productions of other nations in trouble.

Panic selling could take hold and drive prices back to $100 per barrel if prices hold near $106. Investors last week bought contracts at $107-$112. On the other hand prices at the pump continue to rise and are expected to break more records. We continue to support buying energy stocks, especially given the current market. Buy on peoples fears and sell on their optimism.

Print]]> http://exclusiveeconomy.com/2011/04/goldman-sachs-oil-warning-panics-investors/feed/ 0 Top 15 World’s Largest Oil Reserves http://exclusiveeconomy.com/2011/03/top-15-world-oil-reserves/ http://exclusiveeconomy.com/2011/03/top-15-world-oil-reserves/#comments Thu, 10 Mar 2011 07:15:29 +0000 EE Economist http://exclusiveeconomy.com/?p=1351

 

 

 

 

 

 

Below is a table ranking the top 15 countries by proven oil reserves. The U.S. government estimates the world reserves totaling 1.35 trillion barrels.

Rank Country Oil Reserves Production Consumption
1. Saudi Arabia 260 billion barrels 9.76 million barrels 2.43 million barrels
2. Canada 175.2 billion barrels 3.29 million barrels 2.15 million barrels
3. Iran 137.6 billion barrels 4.18 million barrels 1.69 million barrels
4. Iraq 115 billion barrels 2.4 million barrels 636,000 barrels
5. Kuwait 101.5 billion barrels 2.5 million barrels 372,000 barrels
6. Venezuela 99.4 billion barrels 2.47 million barrels 723,000 barrels
7. United Arab Emirates 97.8 billion barrels 2.79 million barrels 492,000 barrels
8. Russia 60 billion barrels 9.93 million barrels 2.74 million barrels
9. Libya 44.3 billion barrels 1.79 million barrels 264,000 barrels
10. Nigeria 37.2 billion barrels 2.21 million barrels 272,000 barrels
11. Kazakhstan 30 billion barrels 1.54 million barrels 241,000 barrels
12. Qatar 25.4 billion barrels 1.21 million barrels 147,000 barrels
13. China 19.2 billion barrels 9.14 million barrels 18.81 million barrels
14. United States 19.2 billion barrels 9.14 million barrels 18.81 million barrels
15. Brazil 11.65 billion barrels 2.57 million barrels 2.52 million barrels

Source: http://www.eia.doe.gov/

Print]]> http://exclusiveeconomy.com/2011/03/top-15-world-oil-reserves/feed/ 0 American Airlines Slows Growth For 2011 http://exclusiveeconomy.com/2011/03/american-airlines-slows-growth-for-2011/ http://exclusiveeconomy.com/2011/03/american-airlines-slows-growth-for-2011/#comments Tue, 01 Mar 2011 23:57:12 +0000 EE Economist http://exclusiveeconomy.com/?p=1342 American Airlines announced they will suspend their growth plans for 2011. Primary factor in this decision is the rising cost of oil in a volatile market and a recovering economy. Their plan is to fly less domestically resulting in higher ticket prices. The airline industry according to AMR spokesperson Tim Smith, have hiked fares 12 to 14 times.

AMR has been hammered for the year down close to 30%, currently at $6.56 -0.18 (-2.67%). American Airlines lost an estimated $50 million in revenue due to the cancellation of over 8,000 flights during storms across the U.S.

American plans to phase out their fleet of MD-80’s with the newer and larger Boeing 737-800’s that are 35% more fuel efficient. Luckily for American they were able to hedge 35% of their estimated fuel consumption for 2011 at $2.52 a gallon. Currently the cost of one gallon of fuel is $2.83, up almost 40% from 2010.

Print]]> http://exclusiveeconomy.com/2011/03/american-airlines-slows-growth-for-2011/feed/ 0 Worlds Richest Man Carlos Slim Enters Energy Sector http://exclusiveeconomy.com/2011/02/worlds-richest-man-carlos-slim-enters-energy-sector/ http://exclusiveeconomy.com/2011/02/worlds-richest-man-carlos-slim-enters-energy-sector/#comments Wed, 23 Feb 2011 08:04:32 +0000 EE-Reporter http://exclusiveeconomy.com/?p=1335 The worlds richest man Lebanese-Mexican Carlos Slim announced he is entering the energy sector. The Grupo Carso consortium (diversified retail, construction, and industrial conglomerate) controlled by Slim purchased a 70% stake in Tabasco Oil Co. LLC, an oil exploration and production company. Tabasco Oil has rights to a field in Columbia.

Print]]> http://exclusiveeconomy.com/2011/02/worlds-richest-man-carlos-slim-enters-energy-sector/feed/ 0 Oil Prices Rising As Unrest Takes Over The Middle East http://exclusiveeconomy.com/2011/02/oil-prices-rising-as-unrest-takes-over-the-middle-east/ http://exclusiveeconomy.com/2011/02/oil-prices-rising-as-unrest-takes-over-the-middle-east/#comments Mon, 21 Feb 2011 07:44:52 +0000 EE Economist http://exclusiveeconomy.com/?p=1331 Oil prices are back in the spot light as the crisis in Libya worsens. Oil shot up $87 a barrel with investors concerned that OPEC production could be affected. Libya exports about 1.0 million barrels a day of crude, if the current situation get worse, oil exports are likely to freeze and the current $87 a barrel could break $100 immediately.

As unrest takes over the middle east it looks appealing to buy oil stocks for the short term!

Print]]> http://exclusiveeconomy.com/2011/02/oil-prices-rising-as-unrest-takes-over-the-middle-east/feed/ 0 Oil Rises To $87 A Barrel http://exclusiveeconomy.com/2010/04/oil-rises-to-87-a-barrel/ http://exclusiveeconomy.com/2010/04/oil-rises-to-87-a-barrel/#comments Tue, 06 Apr 2010 08:19:56 +0000 EE Economist http://exclusiveeconomy.com/?p=941 Oil prices rose to their highest level since October 2008, hovering around $87 a barrel.  Prices are up 8.3% since March. With a steady economic recovery and weaker dollar, commodities are on the rise.

OPEC feels comfortable with oil prices between $70 and $80 a barrel. There are no immediate plans to increase production so prices are likely to hover around $80 or higher.

Print]]> http://exclusiveeconomy.com/2010/04/oil-rises-to-87-a-barrel/feed/ 0 Oil Prices Climb Above $83 A Barrel http://exclusiveeconomy.com/2010/01/oil-prices-climb-above-83-a-barrel/ http://exclusiveeconomy.com/2010/01/oil-prices-climb-above-83-a-barrel/#comments Mon, 11 Jan 2010 16:25:53 +0000 EE Economist http://exclusiveeconomy.com/?p=487 The price of oil has risen to $83 a barrel as result of the following factors:

  • A weakening U.S. Dollar
  • Strong demand from China (China reported that their oil imports rose 14% last year)
  • Investors buying commodities as a hedge against inflation
  • Demand in heating oil due to a string of cold winter weather in parts of the U.S., Europe, and Asia.
  • Nigerian instability (Chevron pipeline attacked, reducing production) 

JBC Energy:

“Investors might be overvaluing and thereby multiplying the impact of cold temperatures,” said JBC Energy in Vienna. “To make a significant impact the chilly weather will have to remain with us for months and not weeks.” 

KBC Market Services:

“If prices continue to rise next week, it will be tempting to conclude that we are back in the casino-like oil market conditions we saw in 2008,” KBC said in a report.

Print]]> http://exclusiveeconomy.com/2010/01/oil-prices-climb-above-83-a-barrel/feed/ 0 Dubai’s Debt Crisis – Boost Dollar And Drops Oil http://exclusiveeconomy.com/2009/11/dubai%e2%80%99s-debt-crisis-boost-dollar-and-drops-oil/ http://exclusiveeconomy.com/2009/11/dubai%e2%80%99s-debt-crisis-boost-dollar-and-drops-oil/#comments Sat, 28 Nov 2009 18:29:30 +0000 EE-Reporter http://exclusiveeconomy.com/?p=195 burj-dubai-skyscraper-2Oil on Friday declined more than 2.5% to about $76 a barrel as fears mount about the possible defaults in Dubai financial markets. Adding to the pressure was the boosted demand for the U.S. Dollar. However, Dubai’s recent news only indirectly contributed to the decline. Crude oil has been sinking since it peaked at $82 a barrel in early November. A large inventory in the U.S and discouraging economic data is more to blame for the decline.

Additionally, the market was trading at low volumes that could have exaggerated prices!

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