BUNKER INDEX :: Price Index, News and Directory Information for the Marine Fuel Industry



« News Home
:: Monthly Archive

News Topics
:: Air Pollution
:: Agreements & M&A's
:: Alternative Fuels
:: BunkerBlog
:: Cargoes & Storage
:: Company News
:: Efficiency, Costs & Charges
:: Environment
:: Events
:: Financial
:: Fuel Quality & Testing
:: Lubes & Additives
:: Oil Spills
:: People
:: Port News
:: Projects
:: Regulation, Legal
:: Services, Products,Technology
:: Statistics & Research
:: Vessels

Regional Archive
:: Americas
:: Asia/Oceania
:: Europe
:: M.East/Africa


BUNKER INDEX :: Price Index, News and Directory Information for the Marine Fuel Industry
Home » News



Where to go from the OPEC meeting

By A/S Global Risk Management.



Michael Poulson, Global Risk Management. Image credit: Global Risk Management


Updated on 25 Jun 2018 08:30 GMT

The highly anticipated OPEC meeting last Friday questioned the magnitude of the production cut as Saudi Arabia - backed by Russia - allegedly sought to increase the OPEC+ output by 1.5 mbpd. Opposition to this proposal was led by Iran and Venezuela, while a compromise of returning to a compliance rate of 100% was also proposed. This would mean a cut of 1.8 mbpd instead of the 2.8 mbpd cut experienced lately. However, the meeting did not conclude in a clear plan or number of how many more barrels OPEC+ were going to introduce to the market from now on. The market reacted bullish to the outcome of the meeting and closed about $2 higher than it opened on Friday.

The main question is now: How much more oil is OPEC+ actually going to produce? Currently, there are a lot of different answers to that question when looking to market analysts and other OPEC members. The suggested range, though, seems to be between 500 and 800 kbpd as the only members of the deal really being capable of increasing output and exports substantially is Saudi Arabia and Russia. The counterweight to these barrels is the expectation of decreasing output from both Venezuela and Iran. Therefore, it is at the moment difficult to tell how these dynamics are going to balance out. As no drastic decisions have been made, a consistent long-term bearish trend is not expected.



A/S Global Risk Management is a provider of customised hedging solutions for the management of price risk on fuel expenses. The company has offices in Denmark and Singapore. For further details about its risk management products and services, please call +45 88 38 00 00 or email hedging@global-riskmanagement.com.






Related Links:

Expect a volatile day as OPEC meets in Vienna to discuss policy
A/S Global Risk Management Ltd.

Latest News:

Oil and fuel oil hedging market update
Mixed news keeps Brent in the upper seventies
MAN contracted to supply IFO 380 propulsion system for seven Russian trawlers
Green Corridor project ends with closing ceremony
DNV GL replaces LNGi with AFI alternative fuels platform
Sale of Odfjell Terminals Rotterdam completed
Oil and fuel oil hedging market update
Oil stocks fall, trade war escalates
Tri-party MoU signed to advance LNG fuel adoption
HHI's LPG-fuelled VLGC granted AiP
ABS gas-as-marine-fuel seminars travel to Europe, Hong Kong
Freight association slams 'yet another surcharge' by box carriers




Page Links:

Prices
Africa
Asia
Latin America
Middle East
North America
North Europe
South Europe
Index Summary
Price Highlights
Commentaries
Futures
Prices
Antwerp
Busan
Fujairah
Houston
Istanbul
Kaohsiung
Las Palmas
Maracaibo
New Orleans
Piraeus
Rio de Janeiro
Rotterdam
Santos
Singapore
News
Latest News
Blogs
Archive
Americas
Asia
Europe
Middle East
News
Air Pollution
Agreements & M&A's
Alternative Fuels
Cargoes & Storage
Efficiency, Costs & Charges
Environment
Events
Financial
Fuel Quality
Lubes & Additives
Oil Spills
People
Port News
Projects
Regulation/Legal
Services, Products, Technology
Statistics & Research
Vessels
Contact & Terms
Contact Us
Advertise
Terms & Conditions
Privacy Policy
Events
Upcoming Events