Diversification! Oil prices falling!

[gastly369]

If we only had something like ah refinery or some.. Oh wait.... Nvm

[Gladiator]

Heritage to stop exporting crude as prices crash to record lows

...Multiple sources at Heritage tell GML that the hope is that demand will pick up in the next sixty days, and with it global prices, as world economies start to reopen...

Source: http://www.guardian.co.tt/news/heritage ... 2794ead34d

IIRC when the PNM assumed office certain "experts" predicted oil prices would recover within two years. Based on that appraisal, some believe the Government chose to ride out that period instead of moving steadfastly ahead with its diversification thrust.

Now 4 1/2 years later, sh!t hitting the fan and dem fellas still living on "hope"?...

Grate is the Pee oN deM yes...

Who care bout all dat boy... we getting food cyard and ah $1500 ... Great is the PNM

[redmanjp]

so we should be paying cents per litre for gas in d gas station?

[De Dragon]

Heritage to stop exporting crude as prices crash to record lows

...Multiple sources at Heritage tell GML that the hope is that demand will pick up in the next sixty days, and with it global prices, as world economies start to reopen...

Source: http://www.guardian.co.tt/news/heritage ... 2794ead34d

IIRC when the PNM assumed office certain "experts" predicted oil prices would recover within two years. Based on that appraisal, some believe the Government chose to ride out that period instead of moving steadfastly ahead with its diversification thrust.

Now 4 1/2 years later, sh!t hitting the fan and dem fellas still living on "hope"?...

Grate is the Pee oN deM yes...

Granted no one could have seen this oil price crash even a few months ago, but, it still doesn't negate the PNM pissing away the refinery (which still hasn't been sold mind you) and the opportunity to earn Forex when we could have. Anyhow the grate JUHN Scarfy did say diversification is an annoying word, and seemed at a loss for what to diversify the economy into so what did we really expect?

[wing]

Heritage to stop exporting crude as prices crash to record lows

...Multiple sources at Heritage tell GML that the hope is that demand will pick up in the next sixty days, and with it global prices, as world economies start to reopen...

Source: http://www.guardian.co.tt/news/heritage ... 2794ead34d

IIRC when the PNM assumed office certain "experts" predicted oil prices would recover within two years. Based on that appraisal, some believe the Government chose to ride out that period instead of moving steadfastly ahead with its diversification thrust.

Now 4 1/2 years later, sh!t hitting the fan and dem fellas still living on "hope"?...

Grate is the Pee oN deM yes...

History was created on the global oil market today when the price of the US benchmark, West Texas Intermediate, plunged into negative territory for the first time ever.

At 2.30 p.m. today in New York, where the WTI benchmark is traded, the futures price of American crude for sale in May was negative US$35.20 a barrel, a decline of close to 300 per cent, meaning that a trader selling the crude today would have had to pay the buyer to accept that cargo.

Analysts attributed the collapse in the WTI oil price to the fact that the May contract for delivery of the WTI is due to expire tomorrow. WTI crude oil for delivery in June, fell 16.5 per cent to US$20.90 per barrel. And Brent crude, the international standard, was down by 9.6 per cent, or US$2.46 to US$25.62 per barrel. The negative price for WTI, therefore, is expected to be a one-off event.

What impact will the negative price of crude have on T&T?

In January, T&T produced a total of 57,395 barrels of oil, all of which was exported due to the closure of the Petrotrin refinery in November 2018. Reduced crude oil prices may eventually trigger a reduction in the price of gasoline at the pump.

Heritage Petroleum Responds to Downturn in Global Oil and Gas Market

This has been an unprecedented time for Trinidad and Tobago, the world and indeed the global oil industry. Heritage Petroleum Company Limited has not been insulated from all that is occurring. The precipitous drop in the world’s demand for oil and gas and the accompanying slow- down of economic activity due to COVID-19 also came with a simultaneous increase in supply as a result of the recent price war between Russia and Saudi Arabia.

The Board of Directors and Leadership at Heritage recognizes that this low oil price environment will continue for some time (lower for longer) and has implemented strategies to deal with this scenario.

This multi-faceted approach includes:

1. Heritage has re-evaluated activity for the rest of 2020 in detail and has decided on risk-based reductions through optimization of activity and project portfolios. We have also partnered with our Energy Service Companies to reduce their rates aggressively. These measures have resulted in a capital expenditure reduction of 49% and an operating expenditure reduction of 21% in the revised Heritage budget which will be constantly reviewed.

2. The identification and implementation of additional cash-generating options such as the sale of obsolete assets including scrap iron and supply boats which we expect will yield significant revenue.

3. A freeze on recruitment, save for critical jobs.

4. Discussions and negotiations with financial institutions on financing arrangements and loan repayments arising out of legacy Petrotrin debt obligations.

5. As per our 2020 plan, Heritage grew production to approximately 41,000 barrels of oil per day as we completed workovers and installed gas lift on offshore wells. Surface infrastructural activity including pipeline repair and replacement of motors added to production volumes as well. This means that Heritage now produces approximately 1.2 million barrels of oil per month. As the oil price is expected to be in the low teens in this quarter, we are pursing a strategy of storage of oil production which will be sold as the oil market improves. At present, Heritage’s storage capacity is approximately 3.5 million barrels which will allow the company to store approximately 2.5 months of

production as some storage is also needed for settling and treating of the production to attain the correct salable quality.

These measures, which will be in place for at least the remainder of the current fiscal year



https://trinidadexpress.com/newsextra/h ... 6ead3.html

[Snyper]

When you have a visionless PM what you expect. At least Manning had a vision lol

[ScHoolboySoloQ]

Ahhhh yes man!

When we were supposed to implement renewable energies it was too expensive then

Great is d PNM

[paid_influencer]

Trump putting 75 Million barrels of oil into reserves

[paid_influencer]

From the Minister of Energy:

"Trinidad and Tobago, however is lucky if I should use that word, that our crude is what you call water-based crude, which means it can be exported to any part of the world by ship. Hence the reason, our price is pegged to Brent. We have two types of crude here, which is Heritage crude and BP crude, both of them are pegged to Brent."

The Energy Minister also confirmed that Heritage Petroleum is exploring its option and may stop exporting oil for the time.

"The price of Brent today is down $25. It is still not a comfortable price to be in and when we make our next shipment we will know what price we will be getting. You can only stop exporting up to the point at which you have storage capacity to keep the crude," he said.

Asked if Trinidad and Tobago should be worried by the developments, Khan said the country should be concerned.

"Yes, we should be worried. Everybody else in the world is worried. Trinidad and Tobago's revenue comes to a great extent from the energy sector. So as a country, we have to be concerned," he said.

https://www.looptt.com/content/energy-m ... oil-prices

[paid_influencer]

this is the best summary i've come across i think

So, as far as I understand it, this whole thing has happened because people were trading oil futures, which is the promise of future oil at a set point in time. That point in time arrived (is arriving soon?) at which point if you are holding a future you actually now own the oil and have to like, have it shipped to you and store it. Normally this would be fine, because people use oil and it's easy to sell so you can just immediately sell the oil, hopefully for more than you paid for it in your investment, and you don't ever actually come into contact with the oil. But now, because everybody is at home and factories are shut and nobody actually needs the oil, nobody wants the freaking stuff so all these investors are like 'what the firetruck am I going to do with 1000 barrels of oil I live in an apartment in Manhattan' and are desperately trying to get rid of it at any cost, to the point where they will actually now pay people to take the oil from them.

[The_Honourable]

Wonder if prices at the pump suppose to decrease?

[shake d livin wake d dead]

Never^

Have no fear, franky say we trading in Brent, we still okay

[pugboy]

at the end of the day we are gonna be saving big on the diesel subsidy now

[Redman]

at the end of the day we are gonna be saving big on the diesel subsidy now

Subject to the volumes required.

The US is enjoying low gas prices-but very little volumes are being used with the Covid shut down.

[pugboy]

time to fill up all them empty tanks in PaP

at the end of the day we are gonna be saving big on the diesel subsidy now

Subject to the volumes required.

The US is enjoying low gas prices-but very little volumes are being used with the Covid shut down.

[randolphinshan]

I would so love to hear Imbert's take on this

1) Blame Kamla
2) Raid HSF more
3) Use it as an excuse to borrow more money
4) Tax us into oblivion

Or

1.Spend a billion dollars on a wastewater treatment plant that his not produced a single drop of water
2.Raid NGC BILLIONS
3. Pay 34 million to a Life sport employee for not a second work
4. Cost taxpayers millions in court compensation for an ill advised SOE
5. Spend 6 million to wreck a 2 million dollars water tender
6. Spend billions in box drain and Penal still flooding
7.Etc

[elec2020]

From the Minister of Energy:

"Trinidad and Tobago, however is lucky if I should use that word, that our crude is what you call water-based crude, which means it can be exported to any part of the world by ship. Hence the reason, our price is pegged to Brent. We have two types of crude here, which is Heritage crude and BP crude, both of them are pegged to Brent."

The Energy Minister also confirmed that Heritage Petroleum is exploring its option and may stop exporting oil for the time.

"The price of Brent today is down $25. It is still not a comfortable price to be in and when we make our next shipment we will know what price we will be getting. You can only stop exporting up to the point at which you have storage capacity to keep the crude," he said.

Asked if Trinidad and Tobago should be worried by the developments, Khan said the country should be concerned.

"Yes, we should be worried. Everybody else in the world is worried. Trinidad and Tobago's revenue comes to a great extent from the energy sector. So as a country, we have to be concerned," he said.

https://www.looptt.com/content/energy-m ... oil-prices

Since when TnT oil pegged to the Brent... in the review of economy and budget if i can recall they always mention WTI.... when Brent enter the discussion... because it higher? why this governnent feel we so stupid

[shake d livin wake d dead]

You aint fedup talk about them stale points...you listed 7...Id give you 5 alone

1: billions of red house, paula house and rowley house

2: billions on highways only for financiers to benefit and nothing for citizens. Nothing has been completed

3: pay faris 60+ million for buildings that benefit the public how?

4: 100 milli fake oil, 90 mili lara stadium

5: spent more than kamla in 5 years and have nothing to show for it...give we something to talk about nuh

[Redman]

Check the financials of some of the local producers-they benchmark to brent.

[zoom rader]

You aint fedup talk about them stale points...you listed 7...Id give you 5 alone

1: billions of red house, paula house and rowley house

2: billions on highways only for financiers to benefit and nothing for citizens. Nothing has been completed

3: pay faris 60+ million for buildings that benefit the public how?

4: 100 milli fake oil, 90 mili lara stadium

5: spent more than kamla in 5 years and have nothing to show for it...give we something to talk about nuh

You hitting real hard dey,

PNM tuners are not pleased

[mrtrini45]

I would so love to hear Imbert's take on this

1) Blame Kamla
2) Raid HSF more
3) Use it as an excuse to borrow more money
4) Tax us into oblivion

Or

1.Spend a billion dollars on a wastewater treatment plant that his not produced a single drop of water
2.Raid NGC BILLIONS
3. Pay 34 million to a Life sport employee for not a second work
4. Cost taxpayers millions in court compensation for an ill advised SOE
5. Spend 6 million to wreck a 2 million dollars water tender
6. Spend billions in box drain and Penal still flooding
7.Etc

Man still talking about this

[The_Honourable]

I would so love to hear Imbert's take on this

1) Blame Kamla
2) Raid HSF more
3) Use it as an excuse to borrow more money
4) Tax us into oblivion

Or

1.Spend a billion dollars on a wastewater treatment plant that his not produced a single drop of water
2.Raid NGC BILLIONS
3. Pay 34 million to a Life sport employee for not a second work
4. Cost taxpayers millions in court compensation for an ill advised SOE
5. Spend 6 million to wreck a 2 million dollars water tender
6. Spend billions in box drain and Penal still flooding
7.Etc

Man still talking about this

The $20 from balisier house come thru.

Btw guy smiley say to chill, dey have everything under control.

doh frighten...

[xtech]

Quick reaction....

[sMASH]

I would so love to hear Imbert's take on this

1) Blame Kamla
2) Raid HSF more
3) Use it as an excuse to borrow more money
4) Tax us into oblivion

Or

1.Spend a billion dollars on a wastewater treatment plant that his not produced a single drop of water
2.Raid NGC BILLIONS
3. Pay 34 million to a Life sport employee for not a second work
4. Cost taxpayers millions in court compensation for an ill advised SOE
5. Spend 6 million to wreck a 2 million dollars water tender
6. Spend billions in box drain and Penal still flooding
7.Etc

Man still talking about this

The $20 from balisier house come thru.

Btw guy smiley say to chill, dey have everything under control.

doh frighten...

the last ting i remember he saying was that petrotrin was not closing, on a friday. and the monday, petrotrin being closed. soooo.... forgive me if im a bit hesitant

[elec2020]

Check the financials of some of the local producers-they benchmark to brent.

Can you kindly provide links of these reports that go into budget decisions

[shake d livin wake d dead]

C7606366-D05D-4243-A1BF-F2D5C253C9FA.jpeg

Quick reaction....

THAT WILL NEVER HAPPEN HERE....govt will enjoy these profit margins

[sMASH]

If we only had something like ah refinery or some.. Oh wait.... Nvm

hey, thats my line. lol

[killercow]

I would so love to hear Imbert's take on this

1) Blame Kamla
2) Raid HSF more
3) Use it as an excuse to borrow more money
4) Tax us into oblivion

Or

1.Spend a billion dollars on a wastewater treatment plant that his not produced a single drop of water
2.Raid NGC BILLIONS
3. Pay 34 million to a Life sport employee for not a second work
4. Cost taxpayers millions in court compensation for an ill advised SOE
5. Spend 6 million to wreck a 2 million dollars water tender
6. Spend billions in box drain and Penal still flooding
7.Etc

I am neither here nor there when it comes to politics nor do I think that this thread is the appropriate forum to do so. But at the end of the day all governments steal (whether you find out about it or not is always the question). What I personally look at is what trickles down amidst the greed and nepotism that the tax payers may actually benefit from.
I've seen less people ketch dey @ss and more people living comfortably under the last government as compared to this one. Would also explain the increased level of crime in the last five years as opposed to the five years that preceded it.

[Gladiator]

I might be confused... But anytime I read an article where imburt reference an oil price it was always WTI... So much so that I downloaded an app to display WTI on my main screen and track WTI prices...

All of a sudden because WTI is -$37 they was referencing Brent... I thought I was crazy and just pull up some express articles and read imburt quotes and price references in the write-up and if you go on a historical WTI oil price website it matches.

I must be doing something wrong...

Check the financials of some of the local producers-they benchmark to brent.

Can you kindly provide links of these reports that go into budget decisions

[Rockram]

If we only had something like ah refinery or some.. Oh wait.... Nvm

hey, thats my line. lol

Problem is even with cheap oil to run the refinery worldwide weak demand means nowhere to sell your products = run out of storage = same problem