Reuters Sep 21 - OPEC struggles to pump more!Yes you heard correct...while Eric has been preaching to the choir OPEC spare capacity for a while now...I see more and more discussion on this.
This will be the true supply crunch issue coming...as the majors exit oil and into renewables some places that rely on major investment say it is dwindling...even OPEC+ countries are on the declne...leaving it up to the major players i.e. Saudis
"YEARS OF UNDER INVESTMENT" !!! No kidding!!
Reference:
https://www.reuters.com/article/oil-opec/opec-struggles-to-pump-more-oil-to-meet-rising-demand-idUSKBN2GH0RN "OPEC+ struggles to pump more oil to meet rising demand"
"LONDON (Reuters) -OPEC and its allies struggled again to pump enough oil in August to meet global demand as it recovers from the coronavirus pandemic, potentially adding to upward pressures on oil prices."
"Several OPEC+ members such as Nigeria, Angola and Kazakhstan have struggled in recent months to raise output due to years of under-investment or large maintenance work that has been delayed by the COVID-19 pandemic."
"Despite the rise in renewables, the world is still consuming near-record amounts of crude, which will put additional pressure on Saudi Arabia and OPEC’s other leading Gulf producers to pump more oil in the years to come."
"The inability of some members to raise output to agreed levels suggests a supply gap could develop as the group proceeds with a plan for monthly output increases to unwind the rest of record supply cuts made in 2020." "That could increase the burden on top producers like Saudi Arabia if demand starts to really recover and exceed pre-pandemic levels, which forecasters say could happen as soon as the second quarter of next year."