Related Articles
Forward article link
Share PDF with colleagues

Why geopolitics still matter to oil

Trump might not bring more war to the Middle East, but as fundamentals tighten the market is ready to trade such risks

Even before the civil war, Syria's oil output was hardly decisive for global markets. Six years on, it is truly a rounding error in terms of world supply balances: production has dropped from more than 400,000 barrels a day to less than 30,000 b/d. Exports have ceased. No, the war in Syria is not, as internet conspiracy theorists think, about pipelines through the country. So why did oil prices rise sharply after the US fired 59 Tomahawk missiles at an airbase in Syria on 7 April? After two and a half years of shrugging its shoulders at conflict in Libya, northern Iraq and Yemen, the reaction to the Syria bombing suggests that the oil market is awaking again to geopolitics. It's a long way

Also in this section
Brexit casts dark cloud over UK's North Sea industry
18 December 2017
The UK's oil and gas sector has been the focus of some sizeable asset acquisitions recently, but uncertainty over the terms of the country's withdrawal from the EU is confusing the outlook
Saudi Arabia: Into the unknown
15 December 2017
The crown prince’s domestic and regional policies are taking the kingdom along several new and uncharted paths
Happy days ahead for Tullow Oil
14 December 2017
The company's bottom line suffered when crude prices crashed in mid-2014, but a landmark maritime boundary resolution should lead to a welcome boost for company revenues