BP and Royal Dutch/Shell Group, Europe's biggest oil rivals, have a new disagreement: how to prevent manipulation of a market that helps set the price for two thirds of the world's crude.
The reason is the Brent field in the North Sea, operated by Shell, is running out of oil after producing more than a billion barrels in the past quarter century. The network pumps about 320,000 barrels a day, a third of its peak and just 0.4 percent of the world's daily output, making the market easier to corner.
That is a concern because Brent futures on the International Petroleum Exchange help determine prices in the $2 billion a day world crude oil market and influence the costs of products from gasoline to asphalt. A failure to settle the matter may divide the market, making it easier to hoard supplies and drive up prices, analysts said.
“BP and Shell dominate the North Sea market,” said Bruce Evers, an analyst at Investec Henderson Crosthwaite. “They are hugely competitive with each other and they don't want to concede an inch.”
The discovery of the submarine has unveiled a few "inconsistencies." For example, how can one explain the fact that the sub was found where it needed to be searched for from the start?
When on a state visit to Singapore, Russian President Vladimir Putin promised to revisit the discussion of the 1956 Declaration between the USSR and Japan regarding the issue of the peace treaty with Japan
The TurkStream, which runs along the bottom of the Black Sea from Russia's Anapa to Turkey, will consist of two lines, each with a capacity of 15.75 billion cubic meters of gas a year