Shell Share Discussion Threads

[waldron] 11/2/2020 07:52

Opec+ members could extend oil supply cuts until end of 2020

Oil & GasUpstreamProduction

By Andrew Fawthrop 10 Feb 2020

The spread of coronavirus has hit oil markets hard since the start of the year, prompting an Opec+ advisory committee to suggest extending existing supply cuts as well as introducing new ones in the short term
oil refinery

Opec+ members will decide on possible measures to stabilise the market at their next meeting in March

Opec members and their allies have been advised to extend their oil supply cuts until the end of the year in response to the coronavirus epidemic causing chaos throughout global markets.

Existing “voluntary adjustments” — totalling 1.7 million barrels of oil per day (bpd) — agreed by members of both Opec and the wider Opec+ alliance in December had been due to expire in March.

The recommendation follows a series of crunch talks in Vienna last week by the group’s Joint Technical Committee (JTC), which advises energy policymakers of the world’s most prolific oil-producing countries.


Opec+ advisory panel also recommends additional supply cuts until mid-2020

The panel also proposed the introduction of “additional adjustments” to output until the end of the second quarter — although no exact figures for this were given.

Last week, it was reported that extra cuts of 600,000 bpd had been discussed behind closed doors, but Russia had been resistant to the idea.

The JTC advises the group known as Opec+, the inter-governmental organisation of key oil-producing nations comprising Opec and non-Opec members and ostensibly led by Saudi Arabia and Russia.

Algerian energy minister and president of the 2020 Opec conference Mohamed Arkab said: “The coronavirus epidemic is having a negative impact on economic activities, particularly on the transportation, tourism and industry sectors, particularly in China, and also increasingly in the Asian region and gradually in the world.

“The situation is clear — it requires corrective action in the interest of all.”

A meeting of Opec members and their allies is due to take place in early March, at which final policy decisions are expected to be made.


Coronavirus has sent oil prices plummeting

The world’s biggest oil producers had already been implementing sweeping supply cuts — agreed in December under the Declaration of Cooperation — in a bid to shore up prices impacted by a global oversupply resulting from rising US shale gas production.

As part of the pact, Saudi Arabia had agreed to an additional output decrease of 400,000 bpd — taking the overall adjustment by Opec+ members to 2.1 million bpd.

These temporary measures were due to be revisited at the March ministerial meeting of member countries, but the coronavirus outbreak across China — the world’s biggest crude importer — has battered oil markets since January and prompted calls for industry intervention.

Falling demand for petroleum in the country, driven by quarantine measures and a general economic slowdown resulting from the spread of the infection, has forced down commodity prices at a significant rate, causing alarm among traders.

Brent crude is currently priced as low as $54 per barrel — compared with the near-$70 per barrel mark at the start of the year.

Earlier this week, UK oil major BP warned the health crisis could slash global oil demand by between 300,000 bpd and 500,000 bpd — a 40% drop in projected global demand growth.

[florenceorbis] 11/2/2020 07:31

Oil traders seek oil storage at sea as virus causes glut - Bloomberg
Feb. 10, 2020 1:23 PM ET|About: Royal Dutch Shell plc (RDS.A)|By: Carl Surran, SA News Editor

Major oil traders including Vitol, Royal Dutch Shell (RDS.A, RDS.B) and Litasco are asking about hiring supertankers for storage purposes, as a sharp drop in Chinese demand due to the coronavirus prompts requests for cargo deferments, Bloomberg reports.

It is not clear if any of the companies has booked a vessel yet, according to the report, which also notes that traders sometimes will ask for prices to calculate the viability of a trade.

Chinese refiners have cut the amount of crude to be turned into fuels by ~15% - a reduction of ~2M bbl/day - as the virus outbreak hurts demand for travel.

The fall in processing reportedly has prompted re-offers for grades such as Brazil's Lula and West African crudes as buyers try to back out of purchases.

[waldron] 11/2/2020 06:59

European markets set for higher open as coronavirus remains in focus
Published Tue, Feb 11 202012:49 AM ESTUpdated an hour ago
Chloe Taylor
@ChloeTaylor141



Key Points

Chinese health authorities confirmed the total cases of coronavirus in the country had reached 42,638, while the death toll stood at 1,016 as of Monday.
Stocks in Asia were mostly higher on Tuesday, with Hong Kong’s Hang Seng index leading regional gains.
Chinese researchers warned on Tuesday that the coronavirus outbreak could shave 1 percentage point off of the country’s 2020 growth rate.

European shares are expected to rebound on Tuesday as investors continue to monitor the spread of the coronavirus and its effect on the global economy.

[waldron] 11/2/2020 06:57

pertinent articles are always welcome to give a balanced view

Better fjg if you did not continually respond to his jibes,many here have him filtered

[fjgooner] 10/2/2020 22:47

waldron,

That muppet montyhedge repeats himself quite often enough, thank you very much, without you re-posting his drivel as well. :)

[xxxxxy] 10/2/2020 19:07

Mike CrossPosted February 10, 2020 at 1:58 pm | PermalinkThe assumption is that CO2 is bad. Don't follow the herd; discover the truth for yourself. Read:htTp://www.rationaloptimist.com/blog/the-benefits-of-carbon-dioxide/and plenty of other sites.

[xxxxxy] 10/2/2020 19:05

ChrisSPosted February 10, 2020 at 4:53 pm | PermalinkIf the so-called climate emergency is as serious as claimed, no amount of tinkering by the UK is going to make much difference. The government is misguided in planning to spend so much of our money when we can be sure that other countries with a far worse record than the UK will not do their bit.The extremist British Eco-Warriors are not going to pursue China and the other big polluters because their real objective is to take the UK back to the dark ages and destroy our capitalist way of life. If they were genuine, they would be campaigning for more Nuclear Power here and to stop the increasing use of filthy Lignite coal in Germany, which the idiotic Merkel is using to replace her clean Nuclear power stations.As this is a world problem, there needs to be an agreement on an achievable goal of emissions per head of population and every country needs to work towards achieving the goal by an agreed date.Anything less is a pointless exercise in political correctness.

[montyhedge] 10/2/2020 17:52

Down to Russians will they play ball and cut. If they do l think to little to late.

[waldron] 10/2/2020 17:47

montyhedge
10 Feb '20 - 17:45 - 9604 of 9604
0 0 0
Could we see $40 oil if so I can see Shell going back to the 2016 low around 1525p, just my opinion.





Oil Could Drop To Mid-$40s As Demand Crumbles
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With WTI sliding below $50 on Sunday evening, expect even more downside according to S&P Global Platts' Claudia Carpenter, who writes that oil prices will probably drop to the "mid-$40s" a barrel in the next couple of weeks because of weak demand, according to Matt Stanley, director of Starfuels commodities brokerage.
Remaining Time -0:19

Supply isn't an issue but demand is and demand growth is so fragile that an excuse like coronavirus has caused the 15% drop in prices the past few weeks, Stanley told the 7th annual Global Commodity Outlook conference in Dubai on Sunday.

Crude prices have dropped significantly in in the past few weeks on concern that the virus outbreak could blunt global crude demand. Front-month Brent settled Friday at $54.47/b, 16% below its most recent peak on January 20, while WTI futures were down 14% over the same period.

OPEC and 10 allies, including Russia, are debating whether to institute deeper production cuts to stem the price slide, but Stanley said the coalition, known as OPEC+, should instead be looking to increase output to revive demand growth. "Cutting supply to keep prices up is not the way to do it," he said.
Related: OPEC’s Oil Production Plunges, But It May Not Be Enough

The only big winner of cutting supply would be US shale producers who would boost production on higher prices, effectively pushing prices even lower, he added. US President Donald Trump has probably had his eye on re-election for his second term ever since the first one started, with an eye on supporting the US energy industry so it becomes a key supplier to China, he said, predicting that Trump will win a second term in office.

An OPEC+ technical committee last week recommended that the coalition cut an additional 600,000 b/d on top of its existing 1.7 million b/d cut accord through the second quarter, to combat the coronavirus' expected hit to oil demand. Russia, the main non-OPEC participant, has yet to commit to the deal, which requires unanimous approval by all 23 OPEC+ countries.

The coalition is next scheduled to meet March 5-6 in Vienna, but delegates have said it could be moved forward if a consensus on new cuts can be reached in advance.

The coronavirus has sparked fears of a major economic slowdown in China, the world's largest importer of crude, where quarantines and travel restrictions have caused a contraction in oil consumption. China sources some 70% of its crude imports from OPEC+ members, and its refineries are expected to slash runs by about 1 million b/d in February, according to S&P Global Platts Analytics.

Robert Willock, Middle East and North Africa director at the Economist Corporate Network, part of the Economist Intelligence Unit, said his base outlook for the coronavirus is that China will have the outbreak contained by the end of March. That would mean China's gross domestic product would grow at 5.4% this year, down from 5.9% forecast before the virus, he said.

If the virus is not under control until the end of June, the GDP would grow by 4.5%, he said. "All bets are off" on the GDP forecast if it's not under control beyond then, he added.

By Zerohedge.com

More Top Reads From Oilprice.com:

[montyhedge] 10/2/2020 17:45

Could we see $40 oil if so I can see Shell going back to the 2016 low around 1525p, just my opinion.https://oilprice.com/Energy/Energy-General/Oil-Could-Drop-To-Mid-40s-As-Demand-Crumbles.html

[waldron] 10/2/2020 17:24

Brent Crude Oil NYMEX 53.41 -1.95%
Gasoline NYMEX 1.67 -0.27%
Natural Gas NYMEX 1.81 -4.12%
WTI 49.64 USD -0.22%


FTSE 100
7,446.88 -0.27%
Dow Jones
29,166.66 +0.22%
CAC 40
6,015.67 -0.23%
SBF 120
4,749.79 -0.19%
Euro STOXX 50
3,793.18 -0.13%
DAX
13,494.03 -0.15%
Ftse Mib
24,507.99 +0.12%


Eni
12.78 -0.98%


Total
44.575 -1.51%

Engie
15.625 -0.10%



Bp
464.6 -1.15%

Vodafone
150 -1.99%

Royal Dutch Shell A
1,974.4 -1.11%

Royal Dutch Shell B
1,964.8 -1.07%

[adrian j boris] 10/2/2020 13:18

xxxxxy
10 Feb '20 - 12:56 - 9600 of 9600
0 0 0
Coronavirus considerations

[xxxxxy] 10/2/2020 12:56

Coronavirus considerationshtTps://www.google.com/amp/s/www.nytimes.com/2020/02/10/world/asia/coronavirus-china.amp.html

[xxxxxy] 10/2/2020 12:55

DennisAPosted February 10, 2020 at 12:10 pm | PermalinkHas the climate actually changed? From what, to what and when? There has been little movement in UK temperatures over the last 30 years, in spite of rising CO2.In the 30 years prior to that, temperatures declined, again with rising CO2. Met office summaries show 2019 as the 23rd warmest in the 361 year Central England Temperature record, behind, amongst others, 1868, 1779, 1733, 1834, and 1949.https://www.metoffice.gov.uk/hadobs/hadcet/mly_cet_mean_sort.txtThe CET annual average declined from 1949 to 1986, by 1.88°C, in spite of an atmospheric CO2 increase of 36.5ppm. There was a sharp rise of 0.72°C in 1988 and a further 0.73°C in 1989, to reach the CET high of 10.63°C in 1990. There has been no trend since, in spite of being told that every year is the hottest on record. Hottest year was 2014, last year was colder than 1990. Temperature has not tracked CO2 increases.

[waldron] 10/2/2020 11:55

Price (GBX) 1,974.60 Var % (+/-) -0.57% (Down -11.40)

High 1,997.60 Low 1,973.00

Volume 1,321,913 Last close 1,986.00 on 07-Feb-2020

Bid 1,974.40 Offer 1,974.80

Trading status Regular Trading Special conditions NONE

confirmation as to box change by end of week after ex divi date


Ex-dividend date February 13, 2020

Record date February 14, 2020

[ftl] 10/2/2020 11:54

Monty ... the self appointed No 1 trader who has trouble getting even simple percentage figures right in most of his posts. Says it all really. You may have followers, but that doesn't necessarily count for anything, Lemmings will blindly follow their leader off a cliff! Prefer posters who back up their points with referenced evidence and refrain from posting the same thing repetitively.

[waldron] 10/2/2020 11:36

WISHFUL THINKING PERHAPS FOR THE LONG LONG TERM TARGET


Should be fun to chalk it up BOX BY BOX

1675 to 1775p Montys Wish
1775 to 1875p
1875 to 1975p
1975 to 2075p$$$$$$$$$$WE ARE HERE TODAY$$$$$$$$$$$$$$$$$$$
2075 to 2175p
2175 to 2275p
2275 to 2375p
2375 to 2475p
2475 to 2575p
2575 to 2675p
2675 to 2775p
2775 to 2875p
2875 to 2975p
2975 to 3075p
3075 to 3175p
3175 to 3275p
3275 to 3375p
3375 to 3475p xmas 2020 INITIAL TARGET

A SLOW snail like CRAWL TO FJGOOONERS DREAM TARGET PRICE OF 3400p which may well be changed if convincingly surpassed before CHRISTMAS 2020


31st december 2018 WE HAD HOPED TO END THE YEAR IN THE 2675 to 2775p BOX
but alas we have to accept putting up with 2340p in the 2275 to 2375p BOX

DECEMBER 2019 ENDS IN THE 2175 to 2275p BOX at 2,239.5



So january 2020 ends at 2000p putting us in the 1975 to 2075p

[the grumpy old men] 10/2/2020 11:29

Signal Update

Our system’s recommendation today is to STAY IN CASH.

The previous SELL signal was issued on 17/01/2020, 21 days ago, when the stock price was 2,265.00. Since then RDSB.L has fallen by -12.32%.

Market Outlook

The bears are in full control. Besides, the signal is suggesting to STAY IN CASH.

It is best to follow the signal and calmly wait on the sidelines.

britishbulls

[the grumpy old men] 10/2/2020 11:27

Some give

Support1: 1963.20 Support2: 1633.38

[the grumpy old men] 10/2/2020 11:19

So Stigo has more followers than monty without repetitive one liners

No doubt gives support for any of his unsubstianted guesses

[sarkasm] 10/2/2020 11:08

The Stigologist
Member since: 17 Jun 2014

Free
Follow
Message

24725Posts
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LOL

MANY OTHERS HAVE FAR MORE THAN YOU MONTY

ALSO IN YOUR CASE ITS NOT AN INDICATION OF QUALITY AND OR INFORMATIVE POSTS


montyhedge
10 Feb '20 - 11:01 - 9589 of 9590
0 0 0
Thing is I have the most followers on ADVFN, got to say something especially when short from 2235p, hopefully 1775p is a given, after ex div.

YOU SEEM TO GET THE THUMBS DOWN ALL TOO OFTEN

[sarkasm] 10/2/2020 11:02

FEB/20/2020 Investor Meeting - LNG Outlook