Scottish oil now worth $63.58 per barrel as boom continues

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That’s the third increase in as many weeks, above the $60pb rate. Remember it only costs $15pb to extract the oil. According to Bloomberg yesterday, China raised its import quota by 1.1 million barrels per day pushing the price for crude up to a record high this year. This 63% increase in one year is evidence of the forthcoming shortages already predicted and reported here:

Oil shortages loom and Scottish crude looks like making lots of money for the Treasury

That 1.1 million barrels per day is more than OPEC member Algeria’s total output. Britain produces around 1.4 million barrels of oil equivalent per day (gas and oil) of which only around 60% is oil. We already know that Chinese-owned Nexen have drilled an exploration well west of Shetland. Nexen, which is owned by China National Offshore Oil Corporation claims to have serious growth plans. See:

More signs of massive oil expectations in Scotland’s waters west of Shetland and the Chinese market is desperate for it

I’ve already reported on the fast-growing demand in Asia for heavy-grade North Sea oil which has caused record flows of oil tankers this year. In April 2017 alone, North Sea tankers took more than 16 million barrels to Asia. Once more the income will be flooding into the UK Treasury.

https://www.bloomberg.com/news/articles/2017-11-08/as-oil-booms-world-s-top-importer-signals-demand-will-boom-too

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3 thoughts on “Scottish oil now worth $63.58 per barrel as boom continues

  1. Alasdair Macdonald November 10, 2017 / 10:59 am

    Things in Saudi look to be going pear-shaped just now, given the brutal power struggle currently underway. While the fight is amongst the already supremely wealthy, such things can have a general destabilising effect. The US will undoubtedly seek to support whomever emerges as the strongman, but its interventions, as with those of Britain, France, etc over the centuries, always lead to the rise of oppositions. It should be remembered that Osama bin Laden’s family was of the wealthy class and that the perpetrators of 9/11 were Saudis. There is a war in Yemen on its southern edge and, as we know, the Middle East in general is in turmoil.

    Scotland, with the oil areas in the territorial waters, is a haven of order, law and democracy, which will provide a security of supply. As things stand, such revenues will flood into Westminster. This is the reason they are so opposed to Scottish independence.

    I certainly do not wish to benefit from the misery of others, i.e. the big majority of the population in the Arabian peninsula. The best resolution for that part of the word would be for the revenues to be distributed much more equitably amongst the population, under a framework of law and rights and democratic empowerment.

    Like

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