NIGERIA: THE CRUDE OIL ECONOMY

Synterra the Nigeria Risk Management Consultants provide insight into how the oil markets affect the Nigerian economy. Nigeria's reliance on crude oil receipts is total. At a time of increasing volatility and uncertainty this blog seeks to provide an analysis of the effect the global energy markets have on business in Nigeria, their relationship with OPEC and how local policy decision making affects investment opportunities.
SAUDIS MIGHT REGRET  STARTING RECKLESS OIL PRICE WAR

SAUDIS MIGHT REGRET STARTING RECKLESS OIL PRICE WAR

When asked about the proposed OPEC production cuts last week, UAE energy minister Suhail al-Mazrouei told reporters in a show of what now turns out to be misplaced confidence,   "I can not see us not agreeing, because that's very important for the market." He however went on to state that in...

OPEC CRASHES NIGERIA'S ECONOMY ; TIME TO LEAVE

OPEC CRASHES NIGERIA'S ECONOMY ; TIME TO LEAVE

When it came it was as abrupt as it was devastating, a collapse in crude oil price futures significant enough to be defined as a material adverse change. In other words a calamity, at a time Nigeria is least able to absorb it.  Indeed the Group Managing Director (GMD) of Nigerian...

SAUDIS PROMPT OPEC TO THE RESCUE

SAUDIS PROMPT OPEC TO THE RESCUE

Saudi Arabia has opened a discussion about moving the upcoming OPEC+ policy meeting to early February from March, four OPEC+ sources said, after a swift slide in oil prices alarmed Riyadh. Worries over the economic impact of China’s coronavirus has rattled global markets, helping send the price of crude down to...

ROYAL DUTCH SHELL SHELF BUY BACK

ROYAL DUTCH SHELL SHELF BUY BACK

ROYAL DUTCH SHELL SHELF OIL BUY BACK It has emerged that in the wake of the coronavirus Royal Dutch Shell , the world’s second-largest listed oil and gas companyhas now decided to slow down the rate of its planned share buy back. Shell embarked on a $25 billion buy back programme...

COVID-19 SUPPORTS REFINERY MARGINS

COVID-19 SUPPORTS REFINERY MARGINS

A slower decline in refined product prices compared to crude oil saw refinery margins strengthen. Though Chinese refining margins stayed firmly in negative territory, with Arab Medium cracking margins averaging minus $1.84/b, up from the minus $3.98/b the week earlier.The decline in the demand for transport fuel created by COVID-19 saw...

PUTIN TAKES CONTROL OF OPEC

PUTIN TAKES CONTROL OF OPEC

Russia seem to have won the argument and OPEC+ will meet as scheduled in Vienna on March 5th- 6th. It could be that a resurgence  in the  Brent oil price benchmark which has seen it reach  $59.16/b as of 1719 GMT today, up 11% from the February 10th  low has alleviated...

GLOBAL OIL THE UNCERTAIN FUTURE

GLOBAL OIL THE UNCERTAIN FUTURE

Global oil over the years has been a litany of contrasting if not oft times conflicting interests, competing in a far from free market whatever the commentariat would have you believe. As we look forward to 2020 the hopes and expectations of the market are as diverse as the participants.  Questions...

ONLY ALL OUT WAR WITH IRAN WILL SHIFT OIL PRICES

ONLY ALL OUT WAR WITH IRAN WILL SHIFT OIL PRICES

THE DEATH OF THE IRANIAN PUPPET MASTER In the wake of the  air strike at Baghdad airport which killed  Major-General Qassem Soleimani, the leader of Iran Revolutionary Guard elite Quds Force responsible for extraterritorial military and clandestine operations. Oil prices jumped to the highest level in more than three months on...

WHAT COST FOR OCCIDENTAL PETROLEUM ? OXY.N

WHAT COST FOR OCCIDENTAL PETROLEUM ? OXY.N

It  now seems that the massive Hedge undertaken by Occidental Petroleum Corp(OXY.N) and reported as “costless” to its investors  at the time back in July is anything but and does not provide adequate downside protection for 2021. At the time Occidental’s priorities were to provide reassurance to apprehensive investors, many who...

Synterra Energy Assets
72 Newman Street, London W1T 3EH
+44 788 084 2065
tex@synterra.co

Search