Athabasca Oil Corp T.ATH

Oilprice.com

[Nicholasgrit]

Crude oil prices could reach $100 per barrel, according to Ninepoint Partners portfolio manager Eric Nuttall, the latest to add to a growing number of analysts expecting three-digit oil prices. The oil market remains exceptionally tight, Nuttall told Bloomberg, adding, When we look at global oil demand, were back to pre-COVID levels. So there are strong reasons to believe the market will continue to grow throughout this year as Omicron passes. But the real story remains on supply. I believe were in a structural bull market a multi-year bull market for oil that will end in all-time high oil prices, Nuttall also said. The asset managers opinion reflects an overall bullish sentiment on the market, as noted by Barrons in a report from earlier this week, which saw a growing number of traders betting that U.S. crude could hit $100 a barrel. The report quoted an RBC Capital Markets analyst as saying, We have yet to encounter a market bear this year, whether on the commodity side, equity investor or with corporate clients. Over the past week, open interest for June 2022 WTI $100 calls has increased by 10%, Michael Tran also wrote. Since September, open interest between $105-$150 per barrel strike prices have increased 14 times. Goldman Sachs last month also reiterated its bullish stance on oil, with the banks head of energy research Damien Courvalin telling media that Weve already had record high demand before this newest variant, and youre adding higher jet demand and the global economy is still growing. You see how we will average a new record high in demand in 2022, and again, in 2023. The most bullish factor for prices, however, at least according to Ninepoint Partners Nuttall, is the fact that OPEC is running out of spare capacity. The exhaustion of OPECs spare capacity - so, as they bring on all that spare curtailed volume - is going to be the most bullish, watershed event in this industry in many, many decades. By Irina Slav for Oilprice.com More Top Reads From Oilprice.com: 5 Energy Dividend Stocks To Consider In 2022 North Sea Oil Operators Set For Near Record Cash Flows Canada Still Sees Future As Oil Exporter Despite Climate Ambitions

[ratsnake220]

How about JPM call of $125 for Oil

[churchofnutsacc]

I don't know why energy bulls are clamouring for $100+ oil. At that point American shale almost certainly ramps up and mysterious Iranian oil starts to appear everywhere. I would say, right here, between $75 and $85 is the goldilocks zone. We all win right here.

[Rational43]

China has been buying Iranian oil all year, ~ 400,000 barrels a day.  So there is a lot less new capacity there than the market thinks.   I agree though, I'd love to see an $80 WTI average for the year, but the market works by price discovery and reaction.   Try a price range for a while, see what happens to demand, see what happens to supply, try a new price range.&

[churchofnutsacc]

In my opinion Eric Nuttall tends to hand wave the issue of American shale. We have to remember that midterms will be this year, and then a general election in a couple of years aft that. The Democrats simply will not allow the price of gasoline to be an issue. And I need not to even say anything rgarding American shale should the Republicans win back the house. I am fully invested in O&G

[Konaboy]

EIA is saying that record production from US will be seen in 22/23, but we are not seeing the rig count to support that, the labour is not there, the big players are saying they are in a profit taking phase, etc. etc.  I just don't see how this will happen? What tricks do you think Biden has up his sleeve to play next?  

[arizonabound]

This post has been removed in accordance with Community Policy

[BigJake]

Amen, nutsac