Cobus Loots, CEO of Pan African Resources, on delivering sector-leading returns for shareholders. Watch the video here.
From the horses mouth: In terms of oil price sensitivity, if you follow our guidance and taking into account our hedging, we would anticipate an increase in the oil price from $60 to $70 a barrel to increase EBITDA in the region of $150 million. As Amjad mentioned earlier, if we execute on our plans, we'll be approaching net debt-to-EBITDA ratio of around 2x by the end of 2019, and we, when we intend to operate within a range of 1 or 2x.
Market inventories of crude oil declined by 12.8 million barrels (mmb) in the week ended June 21, nearly 5x more than market consensus (-2.5 mmb). It was the biggest drop since the Sept 2, 2016 week (-14.5 mmb) and third largest since the EIA began publishing in Dec 1994
Market inventories of crude oil declined by 12.8 million barrels (mmb) in the week ended June 21, nearly 5x more than market consensus (-2.5 mmb). It was the biggest drop since the Sept 2, 2016 week (-14.5 mmb) and third largest since the EIA began publishing in Dec 1994. #OOTT
From Oilytics: #EIA Crude Stats: A huge -12.8MM draw as crude production declines by 100KBD for the 3rd week in a row, despite a high adjustment factor. Record high crude export number and the 5th wk in a row when its above 3MMBD.
#EIA (wk ending 21 June) Crude: -12.788M Cushing: -1.746M Gasoline: -0.996M Distillates: -2.441M Massive draw
Thanks MO US Refinery consumption of crude product had been unusually low in the past couple of months due to several factors including higher than normal maintenance. I suspect they will be playing catch up over the next few weeks. Regardless EIA figures are the real deal let’s see a draw coming from them.
US Refinery consumption of crude product had been unusually low in the past couple of months due to several factors including higher than normal maintenance. I suspect they will be playing catch up over the next few weeks. Regardless EIA figures are the real deal let’s see a draw coming from them.
API larger than expected draw see what EIA says tomorrow API Weekly Energy Inventories (25 June 2019): Crude -7.55mln (exp. -2.5mln, prev. -0.8mln) Cushing -1.26mln (exp. -0.17mln, prev. +0.5mln) Gasoline -3.17mln (exp. +0.3mln, prev. +1.5mln) Distillate +0.16mln (exp. +0.5mln, prev. -0.05mln)
As Iran launches its maximum chaos policy to sway US policy, we think oil markets should prepare for summer spikes of geopolitical risk in the heart of the oil producing Gulf and a major crude transport corridor. https://app.hedgeye.com/insights/76063-geopolitical-risk-iran-s-answer-to-us-maximum-pressure-is-maximum-chaos?type=policy
As Iran launches its maximum chaos policy to sway US policy, we think oil markets should prepare for summer spikes of geopolitical risk in the heart of the oil producing Gulf and a major crude transport corridor. https://app.hedgeye.com/insights/76063-geopolitical-risk-iran-s-answer-to-us-maximum-pressure-is-maximum-chaos?type=policy
This will rerate... if production and debt reduction continues it will happen when we least expect it...
Possible preparation by the Trump Administration to strike Iran. Any strike on Iran will add few dollars to oil prices. An Iranian response, weather against the US, neighboring countries, or oil tankers, will add an additional few dollars.
Trump saying US will respond to the drone being downed. Expect a US cruise missile strike on Iran rocket launch site. Could get nasty.
Inventories down and US refiners starting to process crude for the driving season. Fed cutting rates DOW at highs could be very good entry here.
US EIA Crude Oil Inventories Actual -3.106Mln (Forecast -1.077Mln, Previous 2.206Mln)
Significant milestones for all three channels ahead: 1) Engage platform next wave of partners which will place DEV directly into major retailers across the UK a launchpad for further overseas expansion.
2) Experience platform weeks away from deploying Vanguard, the competitive multiplayer cross-platform VR game. Launching in the App Store coming soon in a virtual reality version!
3) Education products, the strategy is to form a partnership where DEV are in discussions with a global hardware provider which will give them the platform to launch and scale products globally. News coming! Exciting times for the company the growth prospects are phenomenal.
SAUDI ARABIA TO CUT OIL OUTPUT FURTHER IN JUNE -- SOURCES #OOTT SAUDI PUSH COULD FORCE NON-COMPLIANT TO CUT BY 400,000 B/D CUT -- SOURCE #OOTT If OPEC cut further would be good for POO...
SAUDI ARABIA TO CUT OIL OUTPUT FURTHER IN JUNE -- SOURCES #OOTT SAUDI PUSH COULD FORCE NON-COMPLIANT TO CUT BY 400,000 B/D CUT -- SOURCE #OOTT If OPEC cut further would be good for POO
Figures are of little relevance, how many billion dollar companies are listed with no revenues, or loss making. The main thing here is what Chris is building this to, his technology is obviously exceptional to have convinced the likes of Bosch and Pepsi to use their product. I’ve mentioned this many times and don’t mean to sound repetitive, but the market size of each of these three sectors is huge, they are worth billions. And to have the likes of Pepsi involved tells a story. We are obviously going through a frustrating period as shareholders but the progress Chris has made in the last two months doesn’t represent the share price chart. But eventually the value will come through. There is good balance here between buyers and sellers here, eventually the spectrum will shift and we will go back towards the highs as the company continues to progress. Only a matter of time in my opinion.
Goldman: No One Knows What's Going On In Oil Markets By Oilprice.com June 13, 2019 | 08:49AM There has always been a lot of uncertainty around oil demand and supply, and in recent years this uncertainty has become excessive. Now, this level of excess uncertainty has got analysts struggling to make forecasts about demand and supply. Bloomberg this week quoted Goldman Sachs’ commodities chief Jeffrey Currie as saying it has become “increasingly difficult to know what production levels will balance the market.” Currie was referring to the decision OPEC+ needs to make at the start of next month on whether to continue cutting production or start increasing it. The analyst attributed this higher difficulty to the lack of clarity around Iranian exports and steadily rising U.S. production. The former factor has made Saudi Arabia reluctant to live up to its promise to fill any gap left by sanctioned Iranian oil: it does not know exactly how deep a gap there is, so it risks oversupply if its ramps up production in the blind. The latter factor has also contributed to expectations of a global oversupply, which has pushed prices down. Now add the U.S.-China trade war that consensus opinion says will affect global economic growth and a picture of uncertainty emerges that would probably make some analysts wish for a different career. However, as usual, this sort of general picture tends to overlook the details. Some of these include the fact that any oversupply resulting from growing U.S. production will be oversupply of light crude while the market for heavy crude swings into a shortage on the back of Venezuela and Iran sanctions. All reports about the U.S. tipping the oil market into excess supply are based on data about production in the shale patch, and the shale patch produces light crude. There are heavier grades produced in the Gulf of Mexico but these tend to stay out of the oversupply stories. Then there is OPEC+, which grabs headlines ahead of every meeting. Also ahead of every meeting there is debate on whether the cartel and its partners will extend the cuts. Truth be told, in previous meetings the debate was rather pointless because it was all but clear that they would agree on cuts since they were relatively good for everyone. Now, analysts are less certain that the cut extension that’s been the talk of the industry will take place, and that’s because of another oversight: it’s never just about oil prices. It’s no secret that ever since OPEC teamed up with Russia on production cuts it lost a lot of its influence: Russia is a bigger producer than Saudi Arabia and any whiff of it leaving the agreement pressures prices, which is something OPEC members do not like to see. Some go as far as to say that Russia is pulling the OPEC strings. And Russia is quite happy with lower priced oil, while its OPEC partners, especially Saudi Arabia, need higher barrel prices. So is it