RE: Trump's War2 Apr 2026 08:32
>>>1.) The value of it's assets, ie millions of barrels of oil in the ground has just become 60% higher.<<<
But as you know prices go up and down. The present price is mostly, not totally, reflective of the "war" . You will find that most OIl
companies do NOT base their FID's on such jump's in price as they know they are often temporary.
>>>2.) The effect on profits will be even greater as the fixed costs of getting the oil out of the ground will mean with a higher selling pricer the profitability will be even higher <<<
Again it MAY be ,but only whilst the price is temporarily high. Better to base decisions on OIl price in normal times, on Economic requirements, not "War Prices" IF they had an existing amount of Oil to sell into the Market at higher price fine, but they dont. They hopefully will have from Guyana, Namibia etc but not yet, by which time prices may be down again
>>>> 3.) The fact that geographically, all five of Eco's areas of interest are well away from the middle east and the straits of Hormuz must make their assets much more desirable from the point of view of prospective partners keen to avoid future problems <<<
Yes this I agree, the geographic location is the best thing and sure Companies Worldwide will be seeking to lessen risks for future.