Baytex Energy Corp T.BTE

Reply Re: Quota Increase

[Leewardcape]

But CAN OPEC+ members increase their respective production now that quota's have been increased? Baywolf: you say that it's obvious that individual members cannot: why? I'll answer: because however much you increase my quota, I haven't invested enough so the quota is there but I cannot meet it...you re-draw the Line In The Sand..,and it's out of reach for me... Or: they have been lying all the time and the new, increased quotas for each OPEC+ member can be easily reached...they were sandbagging the whole time,...

[Cobalt]

did i hear 650k? spread around, Saud has 2 miilion but fear taping it as the market then sees zero spare could lead to fire works , Biden has to make one good looking deal :)

[Volkomm]

Saudi ain't got shiet. In there case especially O&G pays all their bills. Healthcare, Education, Infrastructure, everything. It's their only money maker. They wouldn't leave anything on the table purposefully. I suspect they MIGHT hit 11 MBD and won't be able to sustain it.

[BayStreetWolfTO]

Lee, good question. I agree 100%...here is some additional colour.... You are right you have either 1. They can't hit the target (lack of investment) 2. They have been sandbagging and can hit the target  Let's take a look at one of those lines in the sand...let me pick on Nigeria Here you see; 5 year range of production (the blue area) 5 year average production (red line) Quota

[BayStreetWolfTO]

Also same point...here is Angola

[JohnnyDoe]

And their vested interest in under producing quota in a high oil price environment is what? Most of them have been under producing quota for the past year.