“In Saudi Arabia we recognize that one of these days we are not going to need fossil fuels.”–Ali Al-Naimi, Saudi Oil Minister, May 2015
King Fahd University of Petroleum Professor Mohamed Ramady discusses his outlook for oil. See: Saudi no longer accept being oil swing producer.
The world is producing more oil than ever before adding to a supply gut that has scarce storage commanding premiums while highly levered (indebted) producers and speculators hope for a rebound. Financial leverage makes participants short-term focused and inherently impatient. Motivated sellers are likely to increase from here. See: The tanker market is sending a big warning to oil bulls