I’m not sure if this Bloomberg story is bullish or bearish:
“Nigeria is ready to cap or even reduce supply if it can maintain output of 1.8 million barrels a day, said the two people, asking not to be identified because the information is confidential. Libya isn’t planning to join any agreement to curb output until it reaches its target of 1.25 million barrels a day by December, they said. Producers including Saudi Arabia and Russia are gathering in St. Petersburg, Russia, to assess the effectiveness of an international accord to pare output.”
Here is the bullish part (note the Secretary-General’s optimistic oil demand number):
“The oil market will need more Libyan and Nigerian crude as it re-balances at a faster rate later in the year after a slow start, OPEC Secretary-General Mohammad Barkindo told reporters on Sunday in St. Petersburg.
“The re-balancing process may be going on at a slower pace than we earlier projected, but it is on course, and it’s bound to accelerate in the second half,” Barkindo said. Oil demand is expected to grow by 2 million barrels a day in the second half, he said, without specifying if he was comparing that with the same period of 2016 or the first half of this year.”
but, back to the bearish stuff:
“Nigeria boosted its output to 1.75 million barrels a day in June from 1.5 million barrels in December, while Libya’s production climbed to 840,000 barrels a day from 630,000 barrels, according to data compiled by Bloomberg.”
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