The IEA (International Energy Agency) stated that crude petroleum is being stored in close to 3 billion barrels. By commenting on this figure, commentators are wrong in suggesting that there is a surplus in supply in the oil business. Continue reading →
A Chinese real estate developer and investment firm has made it obvious they are interested in taking a piece of the potential profit of the oil-rich lands in Texas. Their recent letter of intent was written regarding a transaction believed to be worth at least $1.3 billion. The land, located in the western part of the state, has been reported to be of interest to Chinese investors for a number of years.
It has been no secret that the Chinese have found the laws regarding exploration and production of oil to be favorable in the United States. This has led to a great deal of speculation over time as foreign companies have expressed interest repeatedly in purchasing land within the state. The current parcels of land are being purchased from Tall City Exploration, LLC and Plymouth Petroleum, LLC by Yantai Xinchao Industry Company. The land is located in Howard and Borden counties.
According to sources from inside the Chinese company the deal has already been approved by the United States Treasury Department’s Committee on Foreign Investment in the United States. Despite the approval, laws do limit the scope of Chinese involvement in industries within the US, like the energy industry. The Chinese may continue to attempt to increase their holdings within North America as they have been looking abroad for investments for a number of years. The oil business in China is tightly regulated, making it almost impossible for any privately owned company to take part in the industry. Everything, including oil prices, exploration and production are performed strictly by the Chinese government.
The main concern for most following this news is how it may affect oil prices. Of course, at this time it is impossible to guess. Since the oil industry is faced with everything from civil wars to weather events that can cause prices to rise, one purchase is unlikely to cause much of a change. This is particularly true considering how closely the company will be watched over by the US government.
The Liberian-flagged oil tanker MV Sirius Star is at anchor off the coast of Somalia. The Saudi-owned very large crude carrier.
Saudi Arabia has started direct competition with Russia for domination of the European oil business. After several years of having its market share in Asia eroded by Russia, the Saudis have opened a new front in this war for market share in Russia’s backyard. Continue reading →
All oil producers from Canada are having a hard time because starting soon after Labour Day; they are required to start their double-yearly pilgrimage with their banks so as to discuss matters related to funding. Continue reading →
Recently, monolithic Dutch oil company Shell, ended all of its off-shore oil operations in Alaska, both prospective and operational. Despite years of intense criticism from die hard environmentalist groups who attempted to ban and block the massive project, the oil business undertaking was not put to a untimely end because of their protestations. Continue reading →
There is no hiding the fact that a large portion of the Middle East greatly depends on the revenue brought in from oil to function properly. Many nations do not even have national income taxes due to the sheer volume and revenue the countries make based on the production of oil. Continue reading →
Set to take place this Tuesday at the White House, multiple environmental groups exceeding one hundred total, are planning to gather at the White Houses’ front steps. Their goal in this protest is to convince the Obama administration to cease administering fossil fuel leases for oil drilling near oceans and public lands. Continue reading →