navid110 wrote: Sun Sep 15, 2019 7:11 am Oil could rise $10 per barrel after drone attack reportedly forces Saudi to cut output in half


Ten drones attacked one of Saudi Arabia’s largest oilfields in Hijra Khurais and the world’s biggest crude processing facility at Abqaiq on Saturday, reportedly causing a loss of almost five million barrels of crude production a day.

Although it’s still too early to tell the extent of the damage and how long the facilities will be shut down, oil analysts told CNBC the impact on the commodity prices could be up to double digit.

“This is a big deal,” said Andrew Lipow, president of Lipow Oil Associates. “Fearing the worst, I expect that the market will open up $5 to $10 per barrel on Sunday evening.”

“If Abqaiq kills talks of easing sanctions and the discussion turns to retaliation and escalation, I think oil could easily trade higher by $10 or more,” said Bob McNally, president at Rapidan Energy Group.

more @ https://www.cnbc.com/2019/09/14/oil-cou ... utput.html

Hmmm... something fishy ; )─
Iran-aligned Houthi group attacked these so-called oil facilities?
Key points before the said drone strikes:
─ Saudi Arabia wanted Oil price to reach at least $80+ per Barrel to balance their 2019 budget and to fund their “structural reforms,” largely referring to the Vision 2030 plan. However, they've been producing and stocking up Oil (stocking up due to upcoming cold/winter season) in record numbers for a couple of months.
─ Little that they know about... Despite US embargo... Iran is still very actively reacting to a high Oil demand in Asia, particularly China.
From Iran, huge vessels that are digitally registered empty left the port but being tracked via satellite imagery. However, they turned-off their identification system during their voyage. And upon arriving at Strait of Singapore, it simply announced itself or magically appeared as an Oil Tanker with at least 1 million barrels of Oil... After that, it travels to the Philippine waters such as, around Panay Island (outside international waters to achieve digital detection darkness). The Chinese military ships were guarding or escorting the sophisticated ship-to-ship transfer of Oil. Around that time or after the U.S. reported that Chinese Military ships were detected inside the Philippine waters and took a port call by the USS Ronald Reagan Carrier Strike Group in the Philippines.
─ The United States had adjusted target to become a net energy exporter by 2022... However, recent statements from Trump, they've already achieved that...But this kind of things (China importing Oil from Iran) won't help to maintain such status.
─ Weekly US Oil Drill data: The fourth week in a row of fewer rigs for oil drillers (intentionally slowed down as they've reached their target oil reserves or they've reached the peak?)... and still the oil price in a downward trajectory.
─ Late last year, Trump had a speech in UN wherein he criticized OPEC.countries with regards to over-priced Oil... Then, a few days later, the Oil peaked around 77 US$ per barrel and price started to go down.
 

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Crude Oil Seasonality