Related Articles
Forward article link
Share PDF with colleagues

Opec's rollover: market tweaking in the hands of Saudi Arabia

Opec maintained its target ceiling, and the market barely reacted

The market is "adequately supplied", slower growth in the Chinese economy is of no concern and the rise of shale oil in the US poses no threat to Opec's producers, said its secretary general on 31 May, as the group rolled over its existing 30 million barrel a day (b/d) production ceiling.  Analysts and Opec watchers expected the decision to keep the ceiling target unchanged, and the market barely reacted. Front-month Brent was soft on 31 May, selling for around $101.50 a barrel.Opec chief Abdalla El-Badri said the "relatively stability of prices" indicated that the market was well balanced. Members "should adhere to the existing ceiling", he said, but some of them "would, if required, take

Also in this section
Peak demand and oil's long-term trap
19 January 2018
Fixating on the timing of a peak in oil demand is misplaced. Rather, the peak's significance is in shifting the paradigm, from perceived scarcity to perceived abundance. And it poses a problem for low-cost producers
The end is nigh for oil
12 January 2018
Fossil fuel merchants including oil companies are living on borrowed time, argues a new book
US energy: what to watch in 2018
3 January 2018
Oil production, trade, renewables and technology top our list of major questions facing America's energy industry heading into the new year