After the oil rush

“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

Tanker storage

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