{"id":1675,"date":"2006-04-11T17:05:50","date_gmt":"2006-04-11T13:05:50","guid":{"rendered":"http:\/\/geoeconomics.ge\/en\/?p=1675"},"modified":"2013-03-11T17:06:49","modified_gmt":"2013-03-11T13:06:49","slug":"winter-retreats-oil-prices-pass-to-the-offensive","status":"publish","type":"post","link":"http:\/\/geoeconomics.ge\/en\/?p=1675","title":{"rendered":"Winter retreats, oil prices pass to the offensive"},"content":{"rendered":"

FROM THE REDACTION <\/strong><\/p>\n

Oil is Rising in Price Again
\n London \u2013 after publication of the US government\u2019s data
\n indicating that domestic automotive fuel supply had
\n decreased, the crude oil futures exceeded 74 USD per barrel. <\/p>\n

The data has also shown that in the past four weeks the demand for gasoline has increased by 1% in comparison with the last year\u2019s indicator. At the New York Exchange the price of Light Sweet Crude with the delivery in May has increased by 84 cents and approached the level of 74 USD per barrel, that is it has increased by 20% in comparison with the last year\u2019s one. Analysts suppose that the price of oil will approach the level of 80 USD per barrel. Nymex fuel futures has increased by 5.16 cents and made up 1.9471 USD per gallon. Natural gas futures makes up 7.069 USD for 1 000 cubic feet. The price of gasoline is 2.59 USD per gallon, which is 37 cents more in comparison with the last year\u2019s indicator.
\n The issue of crude oil supplies is unclear since there are tensions between Iran and the west again, instability in Nigeria that hampers oil production, while Nigeria is the fifth largest crude oil exporter to the US.
\n (Reuters, 05.04.06-06.04.06) <\/p>\n

Bangladesh has Extremely Low Prices of Energy Resources \u2013 says Mahmudar Rahman
\n The adviser of Bangladeshi government for energy issues Mahmudar Rahman says that Bangladesh has low prices of energy resources, and if businessmen want to the investment climate like in Singapore, then they have to pay Singapore\u2019s prices of energy resources. He says that the government has created comfortable conditions for businessmen by artificial reducing of energy resources prices. But as a result of it, businessmen say that the country\u2019s investment climate is not similar to the Singaporean one. Rahman says that Bangladesh is better than Singapore from this point of view. He declares that the price of natural gas in Turkey is 10 times as higher, and that gasoline in India is much more expensive than in Bangladesh. He says that in his country there is no crisis related to diesel fuel and will not be in the nearest future.
\n (The Independent, 04.04.06) <\/p>\n

Russia Makes Gas More Expensive for Belarus
\n he leading Russian gas exporting company declares to Belarus that in future it will have to pay three times as much for natural gas. \u201cGazprom\u201d is holding negotiations with the former soviet republic and declares that it wants Belarus to pay for gas import according to the European tariffs. Belarus is Moscow\u2019s ally and was the only former soviet republic for which Russia did not increase the price of gas last year. Belarus hopes that it will be possible to reach a compromise acceptable for the both countries based on old allied relations. \u201cGazprom\u201d cut off gas supply to Ukraine without remorse when Kiev refused to pay the increased price. Presently Belarus pays 46 USD for 1000 cubic meters of natural gas, which is the lowest price among the former soviet republics. \u201cGazprom\u2019s\u201d Vice-President Alexander Ryazanov says that in future Belarus must pay more for gas. He said on the HTV channel that the increased prices for the CIS countries have nothing to do with a political decision, but it is a real economy in which we live. According to experts, the Belarusian state controlled economy will have problems without cheap Russian gas.
\n (bbc.co.uk, 04.04.06-06.04.06) <\/p>\n

Venezuela Encroaches upon Big Oil
\n Caracas \u2013 Venezuela makes claims to the world strongest oil company Exxon Mobil. Venezuela, that is rich in oil, demands a big share of oil companies\u2019 incomes or their leaving the country. The Oil Minister Raphael Ramires says that Exxon Mobil is one of the companies that prefer to leave the country rather than agree with the latest political changes. Venezuela encroaches upon big oil in connection with emergence of new customers against the background of political instability in the Middle East and Nigeria, as a result of which the world fifth largest oil producer has found itself in favorable conditions. Ramires says that they have other active partners, including the ones from Russia, Iran, China and India.
\n (Associated Press, 30.03.06-07.04.06)
\n Russia will Control Armenian Gas
\n Russian \u201cGazprom\u201d will control Armenian gas pipe line and its stations. In return, Armenia will pay a half of European gas tariffs till 2009. It is a part of the Russian monopolist\u2019s extensive plan, in accordance with which it is planning to own gas supplies of the former soviet republics. Russia declares that the price for 1 000 m3 should make up 110 USD, that is almost twice as much in comparison with the existing price, which, according to the comment of the Russian party, is much cheaper compared to the European tariff. As far as gas is concerned, Armenia depends on Russia but it wants to import natural gas from other countries as well. In accordance with the new agreement, \u201cGazprom\u201d will be able to control the 40 km gas pipeline by means of which gas is supplied to Armenia from Iran. Russia will also be able to export electric power from Razdan-5. They say that Russia uses energy resources as economic and political means. \u201cGazprom\u201d is striving for rising of gas prices for the neighboring countries but faces big resistance. The company\u2019s objective is to sell gas to all former soviet republics at the price of 250 USD\/1000 m3, the economies of which are painfully dependent on cheap natural gas.
\n (bbc.co.uk, 07.04.06-10.04.06) <\/p>\n

Gasoline is Rising in Price Again
\n New York \u2013 the retail gasoline price in the US has increased by 7% of late. However, according to analysts, consumers will soon breathe with relief since gasoline supplies will increase. In April 7 a gallon of gasoline cost 2.665 USD, while during the following days it became more expensive by 16.51 cents, and in the period of one month it rose in price by 42.4 cents.
\n (Reuters, 10.04.06-11.04.06) <\/p>\n

How Much does Energy Resources Cost?
\n New York \u2013 after the government\u2019s report that oil supplies are increasing at higher rates than it was expected, oil becomes cheaper and gradually its price reaches record positions. The US light crude May futures has become cheaper by 36 cents and made up 68.62 USD. However, fuel supplies are decreasing more than it was expected, that is why its futures has risen in price by 3.67 cents. Gasoline supply has decreased by 3.9 million barrels, while that of heating fuel and diesel \u2013 by 4.2 million barrels.
\n The natural gas prices follow the oil ones. Gas has risen in price by 14% since the beginning of the year. Arbitrariness in such leading oil producing countries like Iran, Nigeria, Venezuela and Russia plays a significant role. However, politics is just one aspect of this issue. Over the recent years oil, the price of which increased 3 fold since 2002, has become a point at issue. Demand and supply play an important role. There is a great demand in the US and the developing countries \u2013 China and India.
\n (CNN.Money.com, 12.04.06-14.0.06) <\/p>\n

Average Price of Oil will Make up 100 USD by the End of the Year
\n New York \u2013 the studies have shown that the US oil price will make up 100 USD by the end of the year. This will happen against the background of uncertainty concerning the global supply and demand of the main oil exporters. The price of crude oil in the US will not be lower than 60 USD. The stubbornly high prices in 2006 may cause the reduction of incomes of the US companies and consumer expenditure. In case of moderateness of oil prices, the inflation in the US and other countries will be moderate as well. Destabilization in such oil exporting countries as Nigeria, Iraq and Iran has pushed up the oil futures by 13%. According to forecasts, in the second quarter of the year the average price of light sweet crude oil will be 74 USD per barrel, in the third one \u2013 78 and in the fourth one \u2013 95.
\n Production difficulties in Nigeria, political instability in Iraq and the tensions over Iran\u2019s nuclear program decrease the production capacity and make conditions for instigating of rising of oil prices.
\n (Reuters, 11.04.06-15.04.06) <\/p>\n

Oil Price is on the Rise Again
\n Washington \u2013 oil prices made a big leap again and rose to the level of higher than 72 USD. Oil rose in price after the government made a statement concerning decreasing of gasoline supplies, besides traders are concerned about the turmoil around Iran.
\n Reduction of oil supplies in Iraq, Nigeria and the Gulf becomes one of the reasons of oil price rising. Analysts predict that the summer will be a crisis one for drivers who, as it can be seen, put a brake with the purpose of reduction of the demand. By May the price of light sweet crude will approach 72.40 USD per barrel, which is 82 cents more in comparison with the last month.
\n The US Department of Energy declares that gasoline supply of the country was reduced beyond the expected level \u2013 by 5.4 million barrels. and made up 202.5 million barrels, which is 4.6% less in comparison with the last year. According to analysts, they expect a \u201cpainful increase\u201d of gasoline prices in summer, while the price of oil may make up 80 USD per barrel. In accordance with the report of the Department of Energy, since the beginning of the year the average daily demand for gasoline has increased by 0.9%, while in 2005 \u2013 1.4%. Nymex gasoline futures has risen in price by 1.55% and made up 2.2394 USD per barrel, it has increased by 40% in comparison with the last year\u2019s one. The price of crude oil has increased by 38%. Analysts say that stopping of the turmoil around Iran is not expected in a short period of time.
\n Traders are concerned about the US\u2019s attempt to give rise to the discontent of Iran which is the second largest OPEC member. However, President Bush says that they should get rid of the threat related to Iran\u2019s possession of nuclear weapons from the very outset. While the Iranian government declares that the price of oil is much lower than the real one. American oil analyst Fadel Gheit believes that Iran will not reduce oil supplies to the west since oil is vitally important for Iran\u2019s economy. In London the price of brent crude futures has become 9 cents cheaper and its price per barrel made up 72.42 USD.
\n (Associated Press, 19.04.06-20.04.06) <\/p>\n

\u201cHydrogen Fuel Cars is not a Crazy Dream\u201d, says George Bush
\n Western California \u2013 during the celebration of the Earth Day President Bush said that the development of technologies is capable of changing the US\u2019s dependence on oil. The democrats strongly criticize the White House\u2019s policy for the reason of rising of fuel price. The oil price breaks records again, in some regions gasoline costs 3 USD, while Bush predicts a difficult summer. He says that rising of energy resources\u2019 prices is a serious problem that must be solved. In connection with the November elections to the Congress the democrats often make populist statements concerning large oil companies and their ties with the republicans. Mr. Bush appealed to the US population not to be fully dependent on oil, but politicians say that it can do little for solving of the problem in a short period of time. The President sets big hopes on hydrogen fuel that will have less negative effect on the environment from the viewpoint of its pollution and will be more effective than gasoline. In his opinion, hydrogen fuel is a fuel of the future. Most experts believe that production of cars working on hydrogen fuel is possible within the next two or three decades, but the President s persistently pressing the point. Nelson, a democrat from Florida, says that the crisis is approaching, that is why the American government should take active measures so that high oil prices and dependence on foreign oil should not create problems for the US economy and the armed forces.
\n The oil price will exceed 75 USD per barrel, so the Americans have to find the right way out.
\n (Reuters, 22.04.06-25.04.06)<\/p>\n","protected":false},"excerpt":{"rendered":"

FROM THE REDACTION Oil is Rising in Price Again London \u2013 after publication of the US government\u2019s data indicating that<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[36,38],"tags":[],"yoast_head":"\nWinter retreats, oil prices pass to the offensive - Geoeconomics<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/geoeconomics.ge\/en\/?p=1675\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Winter retreats, oil prices pass to the offensive - Geoeconomics\" \/>\n<meta name=\"twitter:description\" content=\"FROM THE REDACTION Oil is Rising in Price Again London \u2013 after publication of the US government\u2019s data indicating that\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\">\n\t<meta name=\"twitter:data1\" content=\"8 minutes\">\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebSite\",\"@id\":\"http:\/\/geoeconomics.ge\/en\/#website\",\"url\":\"http:\/\/geoeconomics.ge\/en\/\",\"name\":\"Geoeconomics\",\"description\":\"\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":\"http:\/\/geoeconomics.ge\/en\/?s={search_term_string}\",\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/geoeconomics.ge\/en\/?p=1675#webpage\",\"url\":\"https:\/\/geoeconomics.ge\/en\/?p=1675\",\"name\":\"Winter retreats, oil prices pass to the offensive - Geoeconomics\",\"isPartOf\":{\"@id\":\"http:\/\/geoeconomics.ge\/en\/#website\"},\"datePublished\":\"2006-04-11T13:05:50+00:00\",\"dateModified\":\"2013-03-11T13:06:49+00:00\",\"author\":{\"@id\":\"http:\/\/geoeconomics.ge\/en\/#\/schema\/person\/c8498c0ae03a66c87b59761fbd19b04c\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/geoeconomics.ge\/en\/?p=1675\"]}]},{\"@type\":\"Person\",\"@id\":\"http:\/\/geoeconomics.ge\/en\/#\/schema\/person\/c8498c0ae03a66c87b59761fbd19b04c\",\"name\":\"Admin\",\"image\":{\"@type\":\"ImageObject\",\"@id\":\"http:\/\/geoeconomics.ge\/en\/#personlogo\",\"inLanguage\":\"en-US\",\"url\":\"http:\/\/2.gravatar.com\/avatar\/bf2d8703d729f003d8905b57fcab5078?s=96&d=mm&r=g\",\"caption\":\"Admin\"}}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","_links":{"self":[{"href":"http:\/\/geoeconomics.ge\/en\/index.php?rest_route=\/wp\/v2\/posts\/1675"}],"collection":[{"href":"http:\/\/geoeconomics.ge\/en\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/geoeconomics.ge\/en\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/geoeconomics.ge\/en\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"http:\/\/geoeconomics.ge\/en\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1675"}],"version-history":[{"count":1,"href":"http:\/\/geoeconomics.ge\/en\/index.php?rest_route=\/wp\/v2\/posts\/1675\/revisions"}],"predecessor-version":[{"id":1676,"href":"http:\/\/geoeconomics.ge\/en\/index.php?rest_route=\/wp\/v2\/posts\/1675\/revisions\/1676"}],"wp:attachment":[{"href":"http:\/\/geoeconomics.ge\/en\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1675"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/geoeconomics.ge\/en\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1675"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/geoeconomics.ge\/en\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1675"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}