How Much Oil Does Saudi Arabia Really Have?

The energy world is beset with opacity. Especially companies like Saudi Aramco and Gazprom (to name but a very few) are as transparent as one meter of reinforced concrete. I will quickly believe that there is still an awful lot of oil under Arabian sands, I question how economic this would be. And I don’t believe that it costs no more than USD 12 per barrel to lift it for even a second. If things...

The Nord Stream 2 gas pipeline is a Russian trap

There is one aspect that no one seems to grasp. We all live in the perpetual belief that Russian gas will always be the cheapest there is. reality, I beg, differs strongly. Let’s not forget that to this day, the big Western Siberian fields that have been developed half a century ago provide the bulk of Russian gas. They are freebies as their development (including much of the pipes) had been paid for by Soviets. The...

NOPEC Bill to Fail if Brought to a Vote

Shooting at NOPEC now just makes them a victim. NOPEC is way more efficient in taking itself down if you leave the current market dynamics play out. They have brought this upon themselves – why throwing them a lifeline? Fitch Solutions expects the NOPEC bill to fail if brought to a vote, according to a report published by the company earlier this week. Read on …

Aramco comes out to play on an empty playground

It’s not good for a turkey to prance around before Christmas. Why is it that those with problems at home seek salvation abroad? According to Khalid Al-Falih, Saudi Arabia’s energy and industry minister and chairman of Saudi Arabian Oil Co., “the world is going to be Saudi Aramco’s playground.” If it is, then that will be partly because some others have ceded ground. Read on …

Private sector eager to utilise idle capacity at LNG terminals

People often equate unused capacity at a receiving terminal with an empty airline seat. Everything unused is a waste. That’s not necessarily the case. Traders need unused capacities in order to give their trades a default position. Operators often need to play with apparently unused capacity in order to keep the plant humming in sync with downstream requirements. It’s not as simple as some would have it. The only relevant judge can be the one...