Brent crude oil prices shot up nearly 6 percent on Thursday after Saudi Arabia and its Gulf Arab allies began a military operation in Yemen, although Asian importers said they were not immediately worried about supply disruptions.

http://www.theedgemarkets.com/my/article/o...en?type=Markets

We need war
But seriously, Yemen does not block the major sea road unlike Arabian Gulf areas. So buying from Saudi to far East won't really affected. More on speculation

correct, it's more on speculation than supply disruptions

some pipu needed to cari makan

This post has been edited by nexona88: Mar 26 2015, 03:56 PM

KSA cannot buy diamond liao, so need to speculate the bloody price

that is not the issue, now by having saudi fully involved in this fight, this is just creating discontent among shiite population in middle east. they already have isis pushing their back at iraq and now saudi joining the fight againt the shiite rebel in yemen.

Don't worry, petroleum industry in Iraq are pro ISIS
So the production won't be affected. ISIS also knows that, if bomb that area, they will have nothing after they managed to take over total government control in Iraq.
So if you were to ask my opinion, it won't have much impact to the price.

But the funny thing is of all the bombing campaign it only surge 6%. instead, just shutdown some wells la for god sake, preserve the mother earth la and cherish some precious life.
If it can surge to 100USD by end of month may be, just may be a different story la

Nope, this is the thing KSA won't do as they will lose out the market share later on.

Its just me being sarcastic, I know it will not happen, having them as the top producers, they will not reduce their production be it for their reputation or market share. They have already mention they can survive at the current bbl rate for another 6 to 7 years.
Personally i do really hate them as they are putting my job at stake.

us oil/energy stocks already retreating after a good run yesterday. think that's it!

in o&g? the local scene seems all hunky dory, no news of any staff reduction, etc.
foreign cos. - i can understand, they r ruthless in times like this.
stay cool.

yes bro. I am not too sure about the local scene but I heard from my friends, surprisingly the twin towers is still hiring people.
But, the place I am working currently is a O&G city, I can tell you the condition is really shabby. "Laying off" is an everyday/essential topic.
Btw, are you in O&G too?

i was, long time ago. seen things then that are happening now.

haha..I bet you witnessed the 2008/2009 crisis. good stuff, veteran

This post has been edited by stanzai: Mar 27 2015, 02:02 AM

For me, in between US and KSA, I prefer US to lose on this battle(of flooding the oil market).
Remember, US with their QE for few times already making them going to broke, so the shale oil is their last bet.

I think what is happening now is just purely newtons law action leads to reaction. OPEC is reacting to the excessive fracking/shale gas happening in the states which cost around USD60 to produce 1 barrel.

I am not sure what the future lies, is OPEC going to maintain 60USD to continue suppressing it or is it the end of conventional crude oil?

What do you think?

This post has been edited by stanzai: Mar 27 2015, 02:29 AM

To produce shale oil, the fuel used, amount of waste gas(methane) generated will be a lot. So is not just cost of money, cost of creating more waste included.
The future lies to OPEC's hand now. But then OPEC are run by a bunch of alligators, so they may cut production to protect their interest. Still KSA refuse to do so, not much worry for this for the time being. We only need to worry if KSA come out with statement that they will reduce output. That will be nightmare to us.
US are waiting for this. And the price will shoot up to USD200 when this really happens.

looks to me... in feb, crude price around usd50, rm hangs around 3.60.
mar, crude around 50, rm hangs around 3.70.
feel free to make yr own inference.
will see what happens in apr, may...

date
crude price
rm/usd

Jan 29 2015
usd44.50
3.6375
Feb 4 2015
usd52
3.564
Feb 11 2015
usd50
3.60
Feb 18 2015
usd54
3.595
Mar 4 2015
usd51
3.6475.
Mar 10 2015
usd49.60
3.705
Mar 18 2015
usd44.12
3.709
usd46.13
3.6725
Mar 19 2015 7pm
usd45.34
3.708
Mar 27 2015 7pm
usd50.55
3.687


This post has been edited by AVFAN: Mar 27 2015, 07:38 PM

USA is a net oil importer. They dont export oil due to the export ban even when there is excess lying around. low oil price is always good for USA. You need to differentiate between US shale oil producer interest and the country interest. In the long run USA is the one that benefit the most from suppressed oil price.

This post has been edited by backspace66: Mar 27 2015, 07:59 PM

For consumer, low oil price always good.
But for government's stand point, it is no good.
That's why they tried to flood the market with their low margin oil. Sell cheap, gain more market then raise back the price. The difference will be their net margin
Even the not so clever KSA also can see this. You think they are not hear sick because of low oil price? Across the Middle East, all are starting to cancel mega projects.
Not to mention smaller scale companies even started the retrenchment process.

I predict rm3.75 for next month
But 1MDB's debt due on end of the month also, so may strike rm3.80 also