Apr 5 • 33M

222 - OPEC cuts | James Hill MCF Energy

Open in playerListen on);

Appears in this episode

Ryan Ray
Ellen Wald and Ryan Ray discuss the week's events in energy, and what it all means to you.
Episode details

OPEC+ announces surprise oil output cuts


- Does OPEC think that China's oil demand isn't coming back strong?

- Russia retaliating against price cap from West

- Want to defend $80 or higher oil

- Could it be about speculation? Speculators LOVE big price jumps.

- Reaction to lack of price support from demand side (US SPR buys that didn't happen when WTI went beflow $70)


- global implications if China's economy getting red hot and sucking up all the oil

- Could Saudi Arabia and OPEC be trying to cool off the Chinese economy by raising prices?

- LNG imports in China fell by 22% in 2022, only expected to recover 9% in 2023

Goldman Sachs raises Brent oil price forecasts after OPEC+ output cuts


Special Guest - James Hill MCF Energy


- publicly traded company on Canadian exchange exploring for oil and gas in Europe

- Europe sees natural gas as transition fuel

- Europe has been drunk on Russian gas for decades now, allowed themselves to ignore resources within their own borders.

- Russian gas was cheap so they didn't have to drill

- Drilled well within 6 months in Austria. Regulatory environment is still strict but permitting process has been much streamlined

- Pipeline infrastructure is actually very close to wells that are drilling now or considering drilling.

- Not fracking wells, proven wells. Ability to flow without much stimulation.

- engaging with the local community to engage concerns, haven't found much negative  sentiment from local communities.