Cutting production is a must ! (ICP forecast as of 11th August 2015)

August 11, 2015 • Tell FriendsPrinter Friendly

The summary of market info as of 11 August 2015 is as follows:

  • OPEC pumped the most crude last month in more than three years as Iran restored output to the highest level from 32,300 barrels a day in July to 2.86 million a day, the highest since international sanctions were strengthened in 2012.
  • Price falls amid broader commodity decline as China’s central bank devalues currency, bolstered concern that the world’s second-biggest economy will slow.
  • If there is no evidence of cutting production in the U.S. or OPEC, even though there is an evidence of increased demand, it won’t be enough to boost the price significantly.
  • EIA forecasts WTI at $49.62 for 2015 and $54.2/bbl for 2016, while Brent at $54.40/bbl and $59.42/bbl for 2016.

Based on the graph, we estimate SLC will down to $45.53/bbl in August 2015 and will average $ 52.05/bbl for full year 2015.

August 2015

Disclaimer: The material is based upon information that we consider reliable, but we do not represent that it is accurate or complete, and it should not be relied upon as such. Opinions expressed are our current opinions as of the date appearing on this material only and would be updated every month.

 

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