1-3 It is a historic moment when the pro-climate change Biden Administration: 1- blocks oil pipelines in the US, ban drilling on n federal land, then asks OPEC to increase production so US dependence on foreign oil imports increases! #Oil#OPEC#OOTT
2-3 asking OPEC to increase oil production so gasoline price can decline, so people drive more, and produce more CO2 emissions!
3-3 asking OPEC to increase oil production, which needs more investment, a day after UN chief, who is also pro-climate change, called for immediate end to investment in oil and gas.
Side note: legally, requesting increase in production is one thing, encouraging them to be more competitive is another. The first was Trump’s approach. The Second is Biden’s approach today. Each comes with its own legal ramifications.
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Thread on the Infrastructure Bill & Biden's asking OPEC to increase production 1- It is possible that the statement regarding OPEC is a routine one, which previous administrations had repeated multiple times. 2- But the timing makes us link it to the infrastructure bill. #OOTT
2- Economically, the infrastructure bill is inflationary. It increases the demand for almost everything, including petroleum products. Hence, it is logical to expect prices of these products to increase.
With inflation, the money dedicated to infrastructure will get less done!
3- Politically, the last thing the Biden Administration wants is to give Republicans a platform to attack the infrastructure bill by focusing on inflation, and fuel prices in particular. Therefore, the objective is to fight inflation on all levels, including higher fuel prices
سلسلة تغريدات 1- حكى لي أحد أساتذتي، رحمه الله، أنه خرج من المدرسة في مدينة حلب السورية في الستينيات، وإذا بالناس يهرعون باتجاه معين. فسأل، فقالوا له أن مسؤول حكومي كبير سيتكلم..
ووصل إلى الساحة، وبدا المسؤول بالحديث عن سد تم بناؤه في المنطقة، وتم تدشينه في ذلك اليوم (يتبع)
2- وقال المسؤول: بنينا هذا السد الذي دشناه اليوم، حتى نتخلص من الاعتماد على رحمة السماء.
قال شيخنا: تمزق قلبي وأنا أسمع هذا الكلام... والله توقف المطر واستمر الجفاف ثلاثة سنوات، ضجت فيها الناس. ولم يجمع السد قطرة ماء واحدة.
3- ليس هدفي التركيز على النواحي الدينية هنا، ولكن على نقطة واحدة: وظيفة التكنولوجيا حل مشاكل البشر، وحل مشاكل تقلب الطقس. مشكلة غلاة التغير المناخي أنهم اختاروا كل أنواع التكنولوجيا التي هي رهينة الطقس، ظناً منهم أن فيها الأمن والاستقرار والإستدامة! المفروض اختيار العكس!
Thread 1- Heavy regulations of oil & gas in favor of green energy will only result in greenwashing oil & gas. So many ways to legally greenwash any fossil fuel.
All of this lead to one result: Carbon neutrality will be the mother of all ENRONS: an unprecedented accounting fraud
2- So, what I can do to make my oil or LNG green? There are so many ways... including enriching Elon Musk and Tesla stockholders! Why? Because some corrupt politicians created laws that make it work that way. Anyway, Auto companies are now paying $Tesla to greenwash their cars!
3- People are going to go crazy when they realize what companies can claim in their carbon neutrality accounting systems! Hey, my stores have had skylights since they were built 40 years ago. I have been green all along but I just learned about it!
1- OPEC+ production cut agreement is still on. 2- Countries that cheat on their quota are in violation of the agreement. They have to compensate. If you are a producer, what would you do if you know your quota will increase in the future?
3- Any delay in increasing oil production means extending the OPEC+ deal. A delay of one month without changing the planned 400 kbd increase means the deal has to be extended another month. If no deal this summer, the deal might be extended to 2023. #Oil#OPEC#OOTT
4- If they, after a few delays, choose to end the deal at the end of 2022 anyway, then they have to increase the amount above the currently planned 400 kbd.
In a sense, the production cut agreement will end when OPEC+ returns 5.8 mb/d to the market.
Thread on global oil production: Shale & Sanctions
1. The results are in. Only a few got it right! It is Canada. The US doubled its production by 2019, then production declined in 2020. This explains why the majority went for the US.
see chart in next tweet #Oil#OOTT
2. The chart below is a production index of the top 12 producing countries. It shows that the highest increases came from Canada, the US, and Iraq.
Anything below 100 is a decrease. In the case of Venezuela, production in 2020 is only about 17% of what it was in 2000. #OOTT
3. Here are changes in the production of crude & condensates between 2010 and 2020:
The US added 5.83 mb/d. Virtual tie between Iraq & Canada at around 1.62 mb/d, followed by Gulf states: Saudi Arabia, UAE, & Kuwait.
Now, look at the decline. Venezuela leads by 2.2 mb/d #oil