Top 10 Oil Producing Countries In Africa 2015 (Current)

The year thus far has seen a lot of fluctuations per country production and a large effect coming in from the drop in oil prices by over 60% in November 2014. The withdrawal of investments from oil and gas projects across the continent have not been so surprising owing to issues ranging from the current oil price, civil unrest, unfavourable policies and diverse politically uncertain scenarios.

Could OPEC See Individual Nation Quotas Re-installed

The then dominant quota system of per-country set margin output for OPEC member nations has since been put to sleep tracing back to 2008. But suprisingly it's one aspect member nations might have to re-consider following the happenings in the oil industry at the moment. This is fueled mostly for the recent developments arising from the Iran nuclear deal and a possible revoking of the supply embargo levied on it's oil export.

Definitely a proposal to reintroduce quotas would spark a fierce debate in the Organization of the Petroleum Exporting Countries as national prestige and market share are at stake. After refusing to cut output last year, OPEC is pumping much more than its overall output target of 30 million barrels per day (bpd) because of record Saudi Arabian output, higher Iraqi exports and a partial return of Libyan crude.

Saudi Looking Beyond Oil Price Slump as Rig Count Spikes

As the global energy industry stares transfixed at a spectacular drop in U.S. rigs, Saudi Arabia is ramping up the number of machines drilling for oil and gas despite a sharp fall in the price of crude.

Industry sources and analysts say the OPEC kingpin is looking beyond the halving of global oil prices since June 2014 to a time when crude could again be in short supply.

Riyadh is therefore keen to preserve what is known as its spare capacity - the kingdom's unique ability to raise oil output quickly at any given moment.

But to achieve that, Saudi Arabia has to drill much more than in the past, after boosting output to record levels to compensate for global supply outages in the past four years.

"The Saudis are probably worried about everyone else reducing capex as a result of low oil prices and about non-OPEC output falling off a cliff at some point. We all know that supply disruptions are unpredictable but they are certain," said Gary Ross, executive chairman of New York oil consultancy PIRA.

"The increase in Saudi rig numbers is like a signal to the industry – let's be rational. We will need supply growth in the future."

Oil Drops Toward $59 on Dollar, Stock Builds

Brent crude oil fell toward $59 a barrel on Monday as the dollar strengthened and a supply glut pushed global oil inventories to record highs.

The dollar hit a more than 11-year high against a basket of currencies after data showed the U.S. unemployment rate in February fell to its lowest level since May 2008, making commodities priced in the greenback more expensive for holders of other currencies.

Oil inventories are rising across the world as production outstrips demand, offsetting geopolitical tensions in the Middle East and the risk of output cuts in Libya and Iraq.

Oil down on dollar, rate hike fear; little impact from rig count drop

(source: Reuters)

Crude prices fell on Friday as a rallying dollar and fears of a rate hike due to strong U.S. jobs growth suppressed the market, diverting attention from a near four-year low in the number of rigs drilling for oil in the United States.

Worries about the security of Libyan and Iraq crude supplies, which had put a floor beneath the market in the earlier hours of trade, also took a backseat.

Brent Crude Future Prices Rise Above $61

Brent crude future prices rose above $61 a barrel on Thursday, as investors brushed aside bearish U.S. inventories data to focus on tensions in Iraq and Libya.

A deteriorating security situation led Libya's state oil company to declare force majeure on 11 of its oilfields on Wednesday.

In Iraq, Islamic State militants have set fire to oil wells in the Ajil field east of the city of Tikrit to try to hinder aerial attacks aimed at driving them from the oilfield, a witness and military source said.

Islamist Militants Shell Two Libyan Oilfields, Port Pipeline Damaged

(source: Reuters)

Islamist militants shelled Libya's Bahi and Mabrouk oilfields on Monday, damaging a pipeline to the Es Sidra oil port, a spokesman for forces protecting energy infrastructure said. 


Militants claiming loyalty to Islamic State have been blamed for attacks last month on an oilfield and pipeline in Libya, where two rival governments are battling for control. "Large armed forces calling themselves Islamic State in Libya shelled Bahi and Mabrouk oilfields. Field offices are still on fire," spokesman Ali Hassi said. "The Islamist militants damaged the crude pipeline between the two oilfields and Es Sidra port." He said it was still difficult to assess damage and fighting was continuing. Hassi said oil security forces were also confronting militants at a third oilfield, al-Dahra. 

Oil Drops Under $62 due to Strong Dollar and Libyan Output

Oil dropped more than 1 percent on Monday, with Brent slipping under $62 a barrel, depressed by a stronger dollar and a rise in Libyan crude output.

The dollar hit an 11-year high against a basket of currencies after a rate cut in China dented the Chinese yuan and also hit emerging Asian currencies.

Brent crude hit a low of $61.70 a barrel and was at $61.90 by 6 a.m. ET, down 68 cents. Front-month Brent jumped 18 percent in February, the largest monthly rise since May 2009.

U.S. crude was down 55 cents to $49.21 a barrel.

Disruption to oil supplies from members of the Organization of the Petroleum Exporting Countries (OPEC) has helped support crude with lower output from Libya and Iraq in the first couple of months of this year.

But output from several OPEC countries may be recovering.

Libya's oil production has now recovered to more than 400,000 barrels per day (bpd), officials said.

"Libyan production is up and Iraqi exports are on the rise," said Tamas Varga, oil analyst at London brokerage PVM Oil Associates, saying crude markets were likely to fall further.

Carsten Fritsch, senior oil and commodities analyst at Commerzbank in Frankfurt, agreed, saying much of the recent strength in oil had been due to speculative buying.

"All in all the market is still over-supplied by a wide margin," Fritsch told Reuters Global Oil Forum. "We expect Brent to come under pressure again in Q2."

U.S. oil markets are particularly weak with a U.S. refinery strike denting demand for crude and domestic production still increasing, despite reports that the number of exploration rigs operating in North America is falling due to lower oil prices.

The number of oil rigs fell by 33 last week to 986, the smallest drop this year, a survey showed.

These diverging trends helped stretch the premium for Brent over U.S. crude to its widest since January 2014 on Friday at $13 a barrel.

Technical charts point to a further widening of the spread to $16.98 in the next three months, Reuters market analyst Wang Tao said.