Published in Investor's Business Daily
"There is of yet no long-term strategy for dealing with shale oil, so any rebalancing will be temporary," Omar Al-Ubaydli, an affiliated senior research fellow at George Mason University, said. Continue
0 Comments
Published in Investor's Business Daily
"Increased oil prices have encouraged more shale oil than expected, and so it is possible that this will motivate a reassessment of the prevailing strategy," Omar Al-Ubaydli, an affiliated senior research fellow at George Mason University, told IBD. Continue Published in Investor's Business Daily
"Russia produces less for technical reasons," said Omar Al-Ubaydli, an affiliated senior research fellow at George Mason University's Mercatus Center. "It's harder to extract oil in deep Siberian winter." Continue Published in Investor's Business Daily
Advances in drilling will help continue the success that U.S. companies have seen over the last five years, said Omar Al-Ubaydli, an affiliated senior research fellow at George Mason University's Mercatus Center. New technology can also lead to more gradual moves in the price of oil, instead of wild swings, as shale is more nimble than conventional production, he added. Continue Published in Investor's Business Daily
But OPEC is actually a “mission impossible,” and for the last 30 years has been perpetuating a myth that it has more power than it actually has, according to Omar Al-Ubaydli, an affiliated senior research fellow at George Mason University’s Mercatus Center. And the advent of hydraulic fracturing and other new technologies have made producers more responsive to market conditions, with production able to climb in just months, if not weeks, he added. “Saudi Arabia, the U.S. and Russia are the top three producers,” Al-Ubaydli told IBD. “Two of them are not in OPEC. It’s ridiculous to say you can make a cartel. The plan is dead on arrival.” Some OPEC members tried to strike a conciliatory tone, with new Saudi Oil Minister Khalid Al-Falih calling the meeting “highly cooperative,” and Iranian counterpart Bijan Namdar Zanganeh saying there was “very good unity.” When asked if that tone indicated an improved chance for cooperation later, Al-Ubaydli said that was all just posturing. “The reality is, when you have a large number of geographically dispersed countries, it’s hard to enforce anything, even under ideal conditions,” he said. Continue |
Omar Al-Ubaydli
This is where you can find all my articles, as well as some of my interviews and media mentions Archives
June 2020
Categories
All
|
Omar Al-Ubaydli
Bahrain Center for Strategic, International and Energy Studies PO Box 496, Manama Kingdom of Bahrain |
© COPYRIGHT 2015. ALL RIGHTS RESERVED.
|