222 - OPEC cuts | James Hill MCF Energy
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OPEC+ announces surprise oil output cuts
- Does OPEC think that China\'s oil demand isn\'t coming back strong?
- Russia retaliating against price cap from West
- Want to defend $80 or higher oil
- Could it be about speculation? Speculators LOVE big price jumps.
- Reaction to lack of price support from demand side (US SPR buys that didn\'t happen when WTI went beflow $70)
https://www.woodmac.com/horizons/china-reopening-means-for-global-energy-markets/
- global implications if China\'s economy getting red hot and sucking up all the oil
- Could Saudi Arabia and OPEC be trying to cool off the Chinese economy\\xa0by raising\\xa0prices?
- LNG imports in China fell by 22% in 2022, only expected to recover 9% in 2023
Goldman Sachs raises Brent oil price forecasts after OPEC+ output cuts
Special Guest - James Hill MCF Energy
https://www.mcfenergy.com/corporate
- publicly\\xa0traded company on Canadian exchange exploring for oil and gas in Europe
- Europe sees natural gas as transition fuel
- Europe has been drunk on Russian gas for decades now, allowed themselves to ignore resources within their own borders.
- Russian gas was cheap so they didn\'t have to drill
- Drilled well within 6 months in Austria. Regulatory environment is still strict but permitting process has been much streamlined
- Pipeline infrastructure is actually very close to wells that are drilling now or considering drilling.
- Not fracking wells, proven wells. Ability to flow without much stimulation.
- engaging with the local community to engage concerns, haven\'t found much negative \\xa0sentiment from local communities.
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