OILPRICE.COM VIDEO - 2 1/2 minutes - "Large-Scale Oil Supply Disruptions Ahead"

[Tom Nolan + 2,441]

The IEA’s latest Oil Market Report was littered with gloom and doom for the oil industry. Large-Scale Oil Supply Disruptions Ahead

https://youtu.be/_Us2GpDe3tw

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[Tomasz + 1,608]

Yeap it looks whole world is lead by US example. But wait a moment

It looks like someone would like eat a cake and still have it.

You want to ban russian oil but you also still want to produce diesel economically from light shale oil.

So you dont have too many options- Iran Russia Venezuela because you still need to blend some heavy oil with light sweet crude.

Quote

 

The US has been vocal about restricting Russian oil imports, but sources say an actual ban is unlikely as it would further propel gasoline prices, which are already record high.

On March 8, President Joe Biden announced his administration was banning Russian oil, natural gas and coal imports to the US as part of a sanctions package in response to Russia’s military operation in Ukraine. Two days later, the House of Representatives passed a bill to ban Russian energy imports. The media, which speculated how long it would take for sanctions to turn toward energy carriers, quickly picked up the news, with some Western experts saying the US move could be followed by other countries.

However, according to CNN, US Senate sources are now saying it’s unlikely their chamber will move on the bill to turn it into law. The sources explain that the move by the Senate is considered unnecessary after the president took executive action to ban the imports. Also, according to Senator Joe Manchin, who chairs the Senate Energy Committee, the House bill is weaker than Biden’s executive action, so the Senate is reluctant to move on the measure.

If the Senate does not approve the bill, the import ban won’t turn into law, and US importers can continue buying Russian energy.

According to official data, Russia supplied 8% of US imports of crude oil and petroleum products last year. With gasoline prices in the country hitting record highs this month, any disruption could push prices higher.

At the same time, the loss of the US market would barely impact Russia’s oil earnings, because the country has much bigger importers across the globe. To be effective, individual country bans would need to be mirrored by a number of states to actually affect the Russian energy export sector. Some analysts say that may be the reason Washington decided to introduce the ban in the first place – as a symbolic gesture to raise pressure on other countries and oil companies to follow suit and cease energy purchases from Russia.

However, widely banning supplies from the globe’s second-biggest crude producer would hurt Western countries as much as Russia. Higher oil prices would inevitably lead to higher levels of inflation and be a strain on consumer budgets. And this, in turn, could lower the readiness of voters to support the sanctions policy.

 

 

[footeab@yahoo.com + 2,129]

Meanwhile, The only thing that has changed by banning Russian oil is other countries are buying Russian oil.  Namely India/China which are the biggest oil importers... so who is kidding who?  Ok, they are receiving a discount... maybe initially at least.  Of course fools in USA keep printing USD so value keeps going down where the only good thing is that China/India are busy printing even more toilet paper than the USA is so....  Go figure. 

EDIT: If I made a bet against the IEA every time they published something like said video, I would be a multi millionaire.  Hmm maybe time to start taking my own advice.... They nearly have a perfect track record of being wrong 100% of the time.  Its almost as if they are a disinformation campaign created by the elite so they can hoodwink the public so they can make more money.  Oh wait....

Edited March 19, 2022 by footeab@yahoo.com

[nsdp + 449]

People and especially stupid pundits forget that a larger percentage(3times) of global oil went off the market when Saudi Arabia , Kuwait, UAE went of the market  after the Yom KIppurWar in 1973.   Saudi was capable of  producing 12 million B/d if you look at old Oil&Gas Journals. They shut in wells that produced ONLY 1000/b/d as unprofitable.

[footeab@yahoo.com + 2,129]

5 minutes ago, nsdp said:

People and especially stupid pundits forget that a larger percentage(3times) of global oil went off the market when Saudi Arabia , Kuwait, UAE went of the market  after the Yom KIppurWar in 1973.   Saudi was capable of  producing 12 million B/d if you look at old Oil&Gas Journals. They shut in wells that produced ONLY 1000/b/d as unprofitable.

The difference here is Russia isn't shutting off its wells.  The only real question is shipping.  Of course the biggest oil importers in the world all have their own oil tankers, so in reality, all that is actually happening is said oil is going on state owned tankers now all the way to end destinations from Russia. One wonders about oil terminals in Russia if they are big enough to handle increased traffic... and here is most likely a resounding No.  Looked it up and it is a no.  Now what is the actual capacity difference is the real question. 

[Robert Ziegler + 121]

On 3/19/2022 at 1:30 AM, nsdp said:

People and especially stupid pundits forget that a larger percentage(3times) of global oil went off the market when Saudi Arabia , Kuwait, UAE went of the market  after the Yom KIppurWar in 1973.   Saudi was capable of  producing 12 million B/d if you look at old Oil&Gas Journals. They shut in wells that produced ONLY 1000/b/d as unprofitable.

We have a double whammy today: Practically no spare production capacity anywhere (That is a word first in the history of oil production), and a buyer-declared shunning of several million bpd of most valuable middle distillate from the biggest oil exporter on earth..... And I was told by so many experts that oil will go to the mid-low double digits until nobody wants it any more...... And was always damn alone calling them out for their lunacy. $200 before end 2022, or much more if that does not curtail demand a bit.