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Saudi Arabia's Oil Minister Ali al-Naimi talks to journalists before a meeting of OPEC oil ministers at OPEC's headquarters in Vienna. REUTERS/Heinz-Peter Bader.
Saudi Arabia's Oil Minister Ali al-Naimi talks to journalists before a meeting of OPEC oil ministers at OPEC's headquarters in Vienna. REUTERS/Heinz-Peter Bader.

OPEC cracks, ready to talk with world producers

The stubborn drive of OPEC is finally weaning down as the crude cartel has stated that it’s ready to talk to other producers about crashing oil prices, according to a release from an OPEC publication on Monday.

“Today’s continuing pressure on prices, brought about by higher crude production, coupled with market speculation, remains a cause for concern for OPEC and its members—indeed for all stakeholders in the industry,” the commentary in the latest OPEC Bulletin said.

Petroleum prices haven’t seen such lows in a decade.  The Organization of Petroleum Exporting Countries has kept production at all-time highs as strategy to abolish world competitors.  Most notably, OPEC wanted to crush the shale boom in America.

While the bulletin is titled “Cooperation holds the key to oil’s future,” there aren’t real details to how this would play out among oil producing nation. However, OPEC did state that the market “has to be a level playing field,” and that “OPEC will protect its own interests.”

In related news, OPEC is producing at a loss, Ecuador admits.

“OPEC, as always, will continue to do all in its power to create the right enabling environment for the oil market to achieve equilibrium with fair and reasonable prices,” the article stated.

At no surprise, once OPEC announced of a potential deal, crude prices began to rebound on Monday. West Texas Intermediate crude prices rose $3.98—almost 9 percent— to $49.20 a barrel in New York. Brent crude—the international standard—was up $3.61 to $53.60.

In addition, The U.S. Energy Department cut its expectations for U.S. oil production based on lower projected output in Texas. This information mixed with the news from OPEC has given the market a slight boost investors are rallying behind.

The Wall Street Journal reported last week that Venezuela has been contacting other OPEC members in pursuit of an emergency meeting with Russia for a plan to stop the global oil price mess. OPEC leaders have claimed in the past that they would only cut production if Russia and others follow suit. However, the nation, led by Vladimir Putin, has declined to lower supply.

197 comments

  1. Haha!!! Looks like prices may be stabilizing soon!

  2. Just wait till the Iranian crude hits the market by years end

  3. I hope, pray & wish the oil patch comes back up!

  4. Momma needs a new pair of shoes

  5. It’s funny how these guys have a big effect on the market

  6. Yea baby!! Let’s get our oilfield brothers back to work.

  7. Consider the price per barrel from the sandy paradise to that in the Eagle Ford. Less use of well stimulation there, but after you do the math there is no difference in price. There product isn’t as rich and takes a lot more to process and clean. Cut them off and leave them with their “sand”wiches

  8. Hell yeah, hopefully the it comes back soon so I get my overtime back

  9. Nick Defilippi did we win?

  10. I believe it when ,I see it.

  11. That’s the reason why WTI is now $48.09 and Brent is $52.98…
    OPEC is now giving up… 🙂

  12. Hopefully So I can leave this s##t job I have lol

  13. You get what you pay for, America produces the best oil in the world by the best people in the world. Sell that nasty oil from Iran in the market they’ll throw it right back! God bless America!

  14. Somer Tinsley Kenneth Sean Rotge Travis Mccreless

  15. I hope its true but it doesn’t mean Squat,unless all countries Agree to cut production.

  16. Ben Kimberly Daniel Adam Matthew Lynn

  17. I wouldnt go around giving high fives just yet.

  18. The “best” part is that almost all remaining hedges will expire by 9/30 so production will be driven into barely a pulse shortly thereafter. Sounds horrible but the sooner the market corrects itself, the quicker we put our people back to work.

  19. Screw opec !!!!!! They been screwing the USA for decades!!!!!! They can go f themselves!!!!!!!

  20. They better recognize Don’t Mess With Texas #7′(8,: OPEC

  21. Tell them to go f### themselves

  22. This means absolutely nothing… The oil field is on life support and slowly dying… I pray that I’m proven wrong but the writing has been on the wall for months now

  23. That’s what you get when you play chicken with real men. Stupid cowards think we are afraid of a price war?

  24. I would hope the world could come to a place where both consumers and oil companies can do well. If only we could keep greed from seeping in. Nah I’m freaking dreaming.

  25. they screwed us in 80’s now in 15….when will we learn

  26. Lets get tht oil up and goin again we ready !

  27. Shawn Garcia Jordan Peterson Travis Harrel what are yall hearing

  28. Jamie Gonzales thought this might make your day!

  29. Saudi hasn’t piped up yet. They’re the only ones that will make a difference. On a good note, at sub $45 Brent, Saudi loses 20 billion per month out of their 650 billion dollar treasury. Last updated I heard is $45-60 in 2016, 75+ in 2017

  30. All we need is trump, oil field will be stronger then ever!

  31. #dontmesswithtexas #permianbasinproud

  32. I love it one minute everyone says let’s put opec out of business now we’re begging for them to cut production.low oil prices are here got at least two more years.just heard inventories went up 7 million this week.

    • Prices will settle around 60 to 65 by year end. Ain’t gonna be two more years. I have been in the patch to long. This is the 4th downturn I have seen. It will slowly come back. By this time next year we will be looking at $75 oil again.

  33. Opec is starting to realize their 900 billion dollar mistake

  34. Check out the Eagle Ford song by John Edward Baumann
    https://itun.es/us/cGJR1

  35. What about this Iran deal and the tariffs

  36. Isn’t there more important stuff to speculate on?

    The slaughtering of innocents by Islamic terrorists?

    This is a ruse, people … we have bigger fish to fry than fluctuations in oil prices.

    I work in the Oil and Natural Gas industry, also… Terrorism is a larger threat than production.

    Oil is going up and down … surprisingly unsurprising, is it not?

  37. Screw the oil Panama Canal needs to finish its face lift so the big tanker ships China built can get here to take our natural gas!!! Boom on!!!!

  38. It was just a matter of time

  39. hope everything get fix we need 2 work feed our family 🙁

  40. What do you think about that Casey Thrower

  41. Ha I knew they would eventually .

  42. You mess with a bull you get the horns, if American oil was really given a chance we would crush you. Not just talking about US oil, our brothers and sisters in Canada, and Mexico as well!

  43. Just moved to corpus, I’m a bakken pumper looking for work? Any leads would be appreciated

  44. Dude I saw this and read the article and it looked a lot less promising than the head line lol

  45. You can’t put OPEC out of business when u have Obama in the White House who is not American. And is just like Ale Sharpton who never worked a day in their life.

  46. Aw dang man. I didn’t even read it!

  47. $60 a barrel is the break even, lower that that’s it’s not cost effective to drill and pump ….

  48. Just like being on site… The plan changes by the hour

  49. Sweet!!! Come on with it, no games and start drillin’… Cortinas Cortez

  50. Welcome to the oil business. It’s up and down and big gamble.

  51. I love these low oil prices. Whatever they’re doing keep it going. I don’t care where the oil comes from.

  52. Wash crew needs two hands in Kennedy today on a rig. Call me ASAP to work today. 12 hr shift.
    512-913-2740

  53. If Iran will be allowed to sell their oil on the world market, the US should be able to do so as well. Lift the export ban!

  54. Leaves prices low! F raising it back up!

  55. Now I’m convinced. Oil is going lower.

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