Fresh twists and turns in the Iran nuclear deal saga this week made an already complicated picture even harder to read.
As the prospect of a last-minute band-aid solution gradually came to light, Brent backed off from its fresh four-month-high close of $75.17/ barrel notched on Monday, though it did not yield much ground.
Even a surprisingly bearish set of US weekly stocks data and a fortnightlong dollar rally could not push the crude benchmark below $73.
The chances of the EU allies being able to win the battle of wits against US President Donald Trump, who is insisting on a “fix” to the 2015 Iran nuclear deal, remain slim. Meanwhile, Iranian foreign minister Mohammad Javad Zarif ratcheted up anti-US rhetoric in a video message, ruling out renegotiation of the accord. However, we are now accounting for the possibility that the EU may be able to cobble together an understanding that is just enough to avert drastic action by Trump on May 12, the deadline for him to extend Iran sanctions waiver.
We had assigned such an event low probability in our evaluation of the various possible outcomes last week, which we have modified in view of the latest developments.
Iran supply disruption fears and Venezuela’s production woes have given oil bulls plenty of grist since the start of 2018. A near-continuous draining of OECD inventories since August last year, disciplined production cuts by the OPEC/non-OPEC producers, and healthy global oil demand growth have provided foundational support to oil prices.
But that does not mean there are not bearish factors on the horizon. We can see at least two. One, US production growth does seem to be on a strong upward trajectory. Shale drillers are pumping much more tight oil using far fewer rigs than last year.
The challenge of moving crude from a bloated Permian that has outgrown its pipeline evacuation capacity to domestic refining and export markets on the US Gulf Coast loom large for drillers in the largest and most prolific of shale basins. Yet, tight oil production was above or towards the high end of the guidance range provided by the drillers in the first quarter and they are now more sanguine for the full-year 2018.
A stronger US dollar, runaway inflation, and accelerating interest rates could become a nemesis for high oil prices. The US Federal Reserve left its key interest rate unchanged at 1.50-1.75% at its meeting May 1-2 as expected and offered no clues as to whether it would quicken its pace of rate hikes beyond the three it has been telegraphing for 2018.
Nonetheless, the financial markets are preoccupied with every bit of US macroeconomic data that might point to stronger monetary tightening, which would raise borrowing costs and could dampen economic growth. If that is at the risk of coming to pass, oil market participants will need to keep a close eye on global oil demand growth, one of the essential ingredients of crude market rebalancing since last year.
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The global bioethanol market is estimated at USD 53.19 Billion in 2017 and is projected to reach USD 68.95 Billion by 2022, at a CAGR of 5.3% from 2017 to 2022. The market is driven by the increased demand for bioethanol from various end-use industry segments, such as transportation, pharmaceuticals, cosmetics, alcoholic beverages, and others. The transportation end-use industry segment led the global bioethanol market, in terms of volume, in 2016.
Download PDF Brochure @ https://www.marketsandmarkets.com/pdfdownloadNew.asp?id=131222570Major Growth Drivers:
Starch-based feedstock is estimated to be the largest feedstock type in the global bioethanol market.
The starch-based segment is estimated to be the largest feedstock segment of the global bioethanol market. This feedstock type uses corn, barley, wheat, and other starch raw materials as feedstocks to produce bioethanol. Corn has the highest percentage of starch, about 70-72%. The growth in this segment is attributed to the rising demand from Asia Pacific and South America and the wide variety of feedstocks that can be used to produce starch-based bioethanol. The feedstocks used are available in almost all over the world.
Alcoholic beverages segment is estimated to be the fastest growing end-use industry segment of the global bioethanol market.
Among end-use industries, the alcoholic beverages segment is estimated to be the fastest growing end-use segment of the global bioethanol market. The growth of this segment is attributed to the increasing purchasing power in developing countries and the growing acceptance of drinking alcoholic beverages in some cultures.
North America contributes as the largest market of bioethanol
In 2016, North America accounted for largest share of the bioethanol market. Currently, the US is the largest market for bioethanol in North America, and is expected to continue to be the largest market till 2022. In the US, the demand for bioethanol is expected to increase due to the increasing government and environment regulations in the country. Regulations such as the Federal Reformulated Gasoline (RFG) and E15 regulations contribute to the growing use of bioethanol in fuels. The other driving factor for the bioethanol market is the low price of corn, which is a prime feedstock used in the production of bioethanol in the country. Many bioethanol manufacturers are based in this region.
Key companies profiled in the global bioethanol market research report include Archer Daniels Midland Company (US), POET LLC (US), Green Plains (US), Valero Energy Corporation (US), Flint Hills Resource (US), Abengoa Bioenergy SA (Spain), Royal Dutch Shell plc (Netherlands), Pacific Ethanol, Inc. (US), Petrobras (Brazil), and The Andersons (US).
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Electricity, coal, renewables, and emissions
Many of Indonesia’s oil and gas fields, both on and offshore, are coming to the end of their commercially viable operational lifespan. More than 60% of Indonesia’s oil and more than 30% of gas production comes from late-life-cycle resources spread across the world's largest island country. Despite investment and use of enhanced oil field recovery measures, as well as increasing automation to extend the economic lifespan of these assets, decommissioning will soon become necessary.
However Indonesia, like many countries new to the prospect of decommissioning energy infrastructure, face many key technological, fiscal, environmental, regulatory and industrial capacity issues, which need to be addressed by both government and industry decision makers.
This report, commissioned by the consulting and advisory arm of London and Aberdeen based Precision Media & Communications, aims to take a look at many of the issues Indonesia and other South East Asian oil producing nations are likely to face with the prospect of decommissioning the region's oil and gas aging energy infrastructure both onshore and offshore... To find out more Click here