News Oil 

Oil may be headed to $80 next, says drilling pioneer Harold Hamm

“The Continental Resources chairman and CEO said benchmark U.S. crude prices could still rise by about $10 from current levels near $72 a barrel” writes Tom Dichristopher for cnbc.com. Continental, one of the so-called frackers that pioneered drilling in North Dakota’s Bakken shale fields, is getting an extra boost from higher prices. Hedging, or locking in a price with buyers for future oil deliveries, protects drillers against price drops, but the practice can also leave money on the table if the cost of crude rises significantly. Source: cnbc.com Share This:

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Markets News Oil 

Oil Rises as U.S. Says Trade War With China is ‘On Hold’

“Rising output from U.S. shale and key OPEC producers could end the rally, BP Chief Executive Bob Dudley told Reuters” writes Jessica Resnick-ault for reuters.com. Dudley said he saw oil prices falling to between $50 and $65 because of surging shale output and OPEC’s capacity to boost production to cover a potential shortfall in Iranian supplies owing to U.S. sanctions.Stabilizing trade relations between the countries could boost oil demand, Tradition’s McGillian said.Dudley said he expected a flood of U.S. shale and a possible reopening of OPEC taps to cool oil…

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Markets News Oil 

Exclusive: BP chief sees shale, OPEC cooling oil markets

“But BP sees oil falling to between $50 and $65 a barrel due to surging shale output and OPEC’s capacity to boost production, Dudley told Reuters” reports businessinsider.com. They will have impacts here and there but the overall economic growth rates appear to be not overheated,” he said.Markets have so far been able to absorb oil’s rise without impacting demand growth, but Dudley said a sustained crude price of over $80 would be unhealthy. Source: businessinsider.com Share This:

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News Oil 

Why surging oil prices don’t always mean big profits for U.S. shale producers

“Looking ahead, it looks as though shale oil producers may have the time they need to catch up” writes Markets Commodities Reporter for marketwatch.com. Figuring out the break-even cost per barrel for shale oil producers is a bit tricky, though experts agree that it runs lower than current futures prices.Read Opinion: These U.S. shale-oil companies are poised to profit when prices rise But that rise in prices put companies who hedged against the potential of falling oil prices at a disadvantage.U.S. shale producers have also increased their investments as prices…

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News Oil 

US will be ‘very strong’ for next 15-20 years due to shale boom, petrochemicals CEO says

“The growth of the shale industry will strengthen the U.S. for the next 15 to 20 years, Borealis Chief Executive Mark Garrett told CNBC on Sunday” writes Ryan Browne for cnbc.com. The U.S. shale market has grown in recent years following the advent of drilling techniques including fracking, or hydraulic fracturing. Source: cnbc.com Share This:

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News 

The Federal Energy Regulatory Commission on Thursday began a review of its 1999 policy for approving pipeline projects.

“FERC’s pipeline policy review also will ask if grid resilience should be a factor the agency considers on whether to approve new natural gas projects” writes Bloomberg Photo for washingtonexaminer.com. Pipeline opponents say FERC’s pipeline policy is outdated, created when climate change concerns were less dominant and the shale boom was unanticipated.The Federal Energy Regulatory Commission on Thursday began a review of its 1999 policy for approving pipeline projects. Source: washingtonexaminer.com Share This:

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News Oil Stocks 

These energy stocks stand to benefit from U.S. shale’s best—and worst—days

“WTI oil prices are likely to remain at the upper end of a projected $50-$55 a barrel range post-2020, they wrote” writes Rachel Koning Beals for marketwatch.com. Why the lower price target? “Non-OPEC growth will be strong near-term, but slows next decade with shale growth deceleration and a lower contribution from top projects.Goldman maintains a bullish outlook for U.S. energy stocks, with crude prices for the international benchmark contract and U.S.-traded oil both touching 3-year highs recently.So-called shale scale prompted Goldman to reiterate buy ratings on Occidental Petroleum Corp.There is…

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News Oil 

Bahrain announces huge shale-oil discovery off its coast

“The tiny Persian Gulf nation of Bahrain announced that it has found at least 80 billion gallons of shale oil off its coast, its largest-ever oil and gas discovery” writes Mike Murphy for marketwatch.com. It’s not all good news though: The shale oil is deep beneath the surface and hard to reach.While it was the first Persian Gulf country to discover oil, in 1932, Bahrain is not a major producer.The kingdom currently pumps about 50,000 barrels of oil a day, with about 124.6 million barrels of reserves.That could potentially give…

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News Oil 

One of the smallest oil producers in the Middle East just announced its biggest discovery in decades

“The US oil producers Halliburton and Schlumberger were among the three consultants that worked on the discovery, Bahrain’s National Oil and Gas Authority said in a statement” writes Akin Oyedele for businessinsider.com. Like other producers, Bahrain’s government relies on oil revenues to fund itself, and its deficit was worsened by the oil collapse that began in 2014.Bahrain announced on Wednesday that it discovered at least 80 billion barrels of crude oil in a shale reserve. Source: businessinsider.com Share This:

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