Monday PM Iraq Economic News Highlights 8-1-22
OPEC Secretary-General: $12 Trillion In Oil Investments The World Needs In A Quarter Of A Century
Haitham Al Ghais, the new Secretary General of the Organization of Petroleum Exporting Countries
August 01 2022 11:26 AM Kuwait – Mubasher: The new Secretary-General of the Organization of Petroleum Exporting Countries “OPEC” Haitham Al-Ghais said that the world needs oil investments estimated at $12 trillion over the next 25 years, unlike other energies. Al-Ghais stressed that oil and gas will remain a mainstay of energy, while we need alternative energy to enhance the role of oil, not replace it.
He pointed out that the rise in oil prices is not only linked to the Ukrainian crisis, but to the recovery of demand, the decline in investments in refining and the wave of refinery closures globally due to a lack of spare production capacity. According to Kuwaiti opinion.
He explained that the “OPEC Plus” historical cuts of 9.7 million barrels per day had the greatest impact on the market recovery again.
And the group of “OPEC Plus” countries reduced oil production in the largest reduction in the history of the oil industry, reaching about 9.7 million barrels per day in May 2020, during the beginning of the Corona crisis.
Al-Ghais indicated that “OPEC Plus” has returned these quantities on a monthly basis gradually and in an orderly manner, in full accordance with the levels and pace of the return of demand for oil, coinciding with the decline of “Corona”.
He pointed out that to maintain the world’s current production level, estimated at 100 million barrels per day, the oil industry needs to inject investments estimated at 500 billion dollars annually.
The Secretary-General of the organization stated that the Corona crisis caused a significant decrease in investments in the exploration, drilling and production industry, to nearly $300 billion in 2020.
He pointed out that after the gradual return of the economic recovery, these investments recorded an increase, reaching 375 billion dollars annually, according to the latest data for 2022, noting that they did not reach the levels that were before “Corona”, explaining that this is the most prominent challenge for the oil industry globally.
Regarding the transition to alternative energies, Al-Ghais explained that the transition must be gradual and orderly in the use of alternative energy as a supporting source of energy required in the future, with the importance of ensuring the security of supplies to the world.
He stressed that achieving this through a dialogue that includes all concerned partners, and OPEC has an important and fundamental role in this file.
Al-Ghais said: “On the occasion of Egypt’s hosting of ” COP 27 ” next November, this occasion will be an excellent platform for us as “OPEC” countries to spread this message, and we are looking forward to the UAE hosting ” COP 28 ” next year.”
Regarding the factors that will affect oil prices by the end of the year, Al-Ghais stressed that the continued lack of investments in the field of drilling, exploration and production will be the most important factor in terms of affecting prices.
He referred to the expectations of some international banks that the barrel price would reach $380 per barrel, and $150 and $200, stressing that these prices remain speculations, but the most important factor is the inability to increase production in light of the increasing demand on the way back to before Corona.
It is noteworthy that Kuwaiti Haitham Al-Ghais will assume his duties as Secretary-General of the Organization of Petroleum Exporting Countries starting today, succeeding the late Muhammad Barkindo, the former Secretary-General of “OPEC”.
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Justice Is Suing The Minister Of Finance For Not Disbursing Amounts To A Certain Category Of Its Emp
Article at link: https://baghdadtoday.news/ar/news/196776/A
Expert: Oil Companies Operating In Iraq Will Not Be Affected By Political Instability
Shafaq News/ Oil expert Hamza Al-Jawahiri confirmed on Monday that political instability will not affect the oil companies operating in Iraq, while “Total” company postponed the implementation of its projects until the formation of the new government.
Al-Jawahiri told Shafaq News Agency, “The political instability in Iraq is not new, and the crisis it is currently going through is an emergency, it may be for a maximum of one or two months and ends and therefore does not affect the position of companies because the latter is isolated from people and has its own protection and also has protection from the state.
He pointed out, “People also know that what they earn from their livelihood that they get daily comes from oil revenues, and therefore they do not enter oil issues into politics, and companies also know this, and we have not heard on any day that these companies were harmed or anyone was exposed. Its members were harmed because of it.”
And the oil expert indicated that “Total’s delay in implementing its four projects in Iraq is due to the failure to form a new government to sign contracts permanently, which the company previously signed with the Ministry of Oil.”
He continued, “As the current government is a caretaker government that does not have the authority to sign such contracts, and these international companies protect themselves from any emergency that may occur later, and that these contracts must go to Parliament for approval, and that the latter is not stable so far, and his situation does not allow to discuss Things like this now.”
Iraq had signed a preliminary agreement with Total to implement four giant projects worth 27 billion in southern Iraq, and the signed contracts constitute integrated groups for the production of oil, gas, renewable energy and sea water to increase the production capacity of the crude oil fields in the south of the country. LINK
The Ministry Of Health Addresses The Ministry Of Finance Regarding The Appointment Of Graduates Of Medical And Health Professions (Document)
2022-08-01 | 07:10 1,530 views Today, Monday, the Ministry of Health addressed the Ministry of Finance regarding the appointment of medical and health professions graduates. LINK
The Drop In Global Oil Prices And Investors’ Anticipation Of The Results Of The OPEC Meeting And Other Major Producers
By Moahmad EditorEconomy Oil prices fell, early on Monday, while investors in the sector are awaiting a meeting of officials in the Organization of the Petroleum Exporting Countries and other major producers, in order to study the supply of markets in the coming period.
According to “Reuters”, Brent crude futures fell by 63 cents, or 0.6 percent, per barrel at 12 GMT.
Meanwhile, WTI fell from $103.34 a barrel to $97.87, or 75 cents.
Oil had fallen even more, when trading began in Asia, where the price reached $97.55 a barrel.
The price of oil fell, amid fears that inflation and high interest rates would cause an economic recession, which means a decline in demand for “black gold.”
Oil prices rose remarkably after the start of Russian military operations last February, which led to an unprecedented exacerbation of inflation in many countries of the world.
A report revealed that the “OPEC +” group produced in June a quantity of crude less than three million barrels per day than its expected quotas, as sanctions imposed on some members and a reduction in the volume of investment in others undermined its ability to calm the energy crisis around the world.
This development represents another setback for the US administration led by Joe Biden, which had hoped that OPEC would be able to increase production to offset Russian supply disruptions and slow the rise in fuel costs and inflation in its broader measures, according to Reuters.
The Russian Interfax news agency quoted a source familiar with the data as saying that the rate of production shortfall in “OPEC +” jumped to 320 percent in June, from 256 percent in May and 220 percent in April.
She also said that the shortfall in the production of the “OPEC +” group from the planned levels amounted to 2.84 million barrels per day last month. LINK
Find Out The Gold Prices In Baghdad And Erbil
Shafaq News/ “foreign and Iraqi” gold prices increased in the local markets in the capital, Baghdad, and in the markets of Erbil, the capital of Kurdistan Region, today, Monday.
Shafak News Agency reporter said that gold prices in the wholesale markets on Al-Nahr Street in the capital, Baghdad, recorded this morning, the selling price of one weight of 21 karat of Gulf, Turkish and European gold amounted to 367 thousand dinars, and the purchase price of 363,000, while the selling prices for yesterday, Sunday, were 364 One thousand dinars for one weight.
Our correspondent indicated that the selling price of one 21-carat weight of Iraqi gold also increased at 327 thousand dinars, and the purchase price reached 323 thousand.
With regard to gold prices in the goldsmiths’ shops, the selling price of a 21-carat Gulf gold weight ranged between 365 thousand and 375 thousand dinars, while the selling price ranged between 325 thousand and 335 thousand Iraqi dinars.
Gold prices in the Erbil markets also increased, as the selling price of a 24 carat gold weight amounted to 420 thousand dinars, a 22 carat gold weight to 385 thousand dinars, a 21 carat gold weight to 375 thousand dinars, and an 18 carat gold weight to 315 thousand dinars. It is equal to one mithqal of gold (five grams). LINK
