RE: Interview with Scott Sheffield Pioneer resources27 Mar 2020 14:27
This weekend will be interesting if there is an agreement or a hint of solution..
MBS imv is not to blame but I would blame Russia and Shale backed by Trump without giving any consideration to other oil dependent countries and their people.
Shale production will shrink by many bankruptcy of small indebted ones and the low cost ones will be swallowed by the likes of Chevrons ....and it’s interesting how Trump is not giving any financial support to shale so maybe he wants to see the inevitable demise of many shale cos to keep his good relationship with MBS too but oil supplies are guaranteed at reasonable price..
Russia needs to be honest but I doubt they will as they need to pump as much as they can because their economy is vey weak and their revenue largely oil dependent too....basically they joined opec+ to cover their cheating but SA will no longer tolerate this to take the hits on their lower income from oil.
Also MBS has imo another political goals in lowering op to Further destabilise the economy of his foes in the region like Iraq and Iran who are with their militias are a threat to the stable and existential fates of many gulf states and in particular SA and UAE...and both have huge reserves of wealth including Gold and investing abroad to survive for the next perhaps 5 years with low oil price...
Iraq and Iran alliance at present is very much against the important gulf states, USA and Israiel interests in the region and beyond.MBS and USA are desperate to have Iraq with its huge oil and gas assets back to the gulf alliance and not in Iran hands to strength its threats against them..
Iraq currently on its knees economic disaster and ongoing resentment by its own people with wide spread political corruption and poverty with Iran controlling their most resources except krg controlled region.
The main losers in this game on the very short term are Shale and Trump ambition of re election. He needs to show USA independent energy’s policy and saves jobs but needs to balance this with his ongoing strategic countries in the gulf regions whom he can relies on for the usa National security and vital oil and gas resources ....shale will dry up well before other countries oil assets..
MBS with America in this oil turmoils to weaken Russia at the same time whatever Russia claimed otherwise...
Add to all the pandemic virus with knocking oil demands so we are likely to see oil prices down for a little while but will pick up strongly as all jigsaw pieces are in place ..
Once the rig numbers come down then the panic will start to buy higher oil futures and /or and news of some sort of agreement will accentuate this rise..
On G front..I think something big is happening here by all recent events including the payment of big dividends,Directors purchases..etc they sounds very confident and maybe a bigger boys just round the corner to swallow this hugely rich oil and gas assets with low production costs in krg region,to add to theirs.
Holding str
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