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Reuters | Macron tells Biden that UAE, Saudi can barely raise oil output, 28 June Habeck's "spare capacity" under their feet; Sputnik | Jake the Snake to Joe and Manny: GET A ROOM
"I had a call with MbZ," Macron was heard telling U.S. President Joe Biden on the sidelines of the G7 summit, using shorthand for UAE leader Sheikh Mohammed bin Zayed al-Nahyan. "He told me two things. I'm at a maximum, maximum (production capacity). This is what he claims."

"And then he said (the) Saudis can increase by 150 (thousands barrels per day). Maybe a little bit more, but they don't have huge capacities before six months' time," Macron said.


Nine heads of the G7

by Cat on Fri Jul 1st, 2022 at 12:50:06 PM EST
The G7, which includes the U.S., Germany, France, Italy, Japan, the U.K., Canada, and (as an official but "non-enumerated" members) the European Union Commission and COUNCIL presidents
Forbes |The G7 is planning to tackle China in 3 ways--and it's working on price caps for fixing and bid rigging Russian oil , 28 June
laid out three policy areas in which it would tackle China, encompassing market monopolistic practices, human rights, and infrastructural investments in developing countries.
< wipes tears > I was hoping for more details about proposed racketeering mechanisms, but PAY WALL.

Two NEW! hilarious, cunning rumors are running the vine this weekend. (1) the fix is in at 50% Urals spot price ceiling/bbl (cur QoQ avg, USD 73/bbl, ~ 30% less than KSA heavy) - Kashidanomics; and (2) China will adopt the G7 fix.

Lemme check that wagging finger from the east...uh oh.
Global Times | G7 is in no position to dictate nations' oil trade with Russia, 29 June

Details remain sketchy regarding the so-called "discussions." As of press time on Wednesday, there has been no official confirmation from relevant parties regarding Reuters' report, which cited an unidentified source . The report suggested that China and India would be able to buy Russian crude at even lowerprices under the plan, but that would represent a significant shift for China and India as both have refrained from joining in the US-led sanctions against Russia and have continued normal economic and trade cooperation with Russia.
[...]
Although it remains unclear what the reported discussions were about and what the outcome was, one thing is very clear: The G7 led by the US is primarily seeking to increase pressure on Russia, as their previous moves fail to sway Moscow, and the interests of China and India or any other country for that matter is not their primary concern despite the so-called "attractive pitch."  
[...]
While a cap on Russian oil prices may sound like a great idea for the West when it comes to curbing Moscow's revenues from oil sales, implementing such a price cap could only be a fantasy with little feasibility if G7 cannot get the world's major oil importers on the same page.

Yet, the problem is that G7 nations are no longer major buyers of Russian oil, and as an unrelated third party, the G7 has neither the qualification nor the market power < wipes tears > to dictate energy trade among China, India and Russia.

the nekkid ultimatum
Western media reports so far suggested that the West may impose such a price cap through insurance. About 95 percent of the world's tanker fleet is insured through the International Group of Protection & Indemnity Clubs in London [!] and some companies in other European countries. G7 could tell crude buyers that if they want to continue using the insurance service for Russian oil shipment, they need to agree to a "capped price."
No.
If there is a need for price adjustment in bilateral energy trade, China and Russia can discuss the issue through bilateral channels. G7 has no qualification to tell them how to conduct trade.
University of D'Oh: "analysts warn the move could prompt Russia to cut Europe off completely"
Mr Market: "Oil is likely to hit $200 a barrel under the disastrous G7 plan"
by Cat on Sun Jul 3rd, 2022 at 07:18:39 PM EST
[ Parent ]
(ESPO, Sokol) Urals*: ROW

OPEC (1960 FTA): IR, IQ, KW, NG, SA, VZ, LY, UE, AL, AO, GQ, CG, GA; Plus OM*, s-SS*, SS*, BN*, RU*, MX*, AZ*, KZ*, MY*, BH*, EC*, ID*, QA*

BONUS

IMF parity watch
XDR imperial basket: ROW

Sri Lanka, Pakistan, Ghana back to IMF as economic conditions worsen, 1 Jul

Ghanaians in recent months have been feeling the pinch of record inflation [29%] and the impact of the Russia-Ukraine war amid cuts in government spending to avoid a full-blown debt crisis.
[...]
There was a two-day protest in Accra this week over fuel price hikes, inflation and an economic downturn. The Arise Ghana group said it wanted the government to cancel the Electronic Transaction Levy (E-levy) immediately and also take steps to reduce inflation and arrest the depreciation of the cedi[GHS:USD, EUR] to help bring relief to the Ghanaian people.
2022 Crude Oil Production in Ghana increased to 172 BBL/D in February

AU/OAU(2002/1963 FTA): BI, BJ, CM, CF, CG, CD, GY, GA, ST, CM, DJ, ER, ET, KE, MG, MU, RW, SC, SO, SS, s-SS, TZ, UG, DZ, EG, LY, MR, MA, EH, TN, AO, BW, EZ, LS, MW, MZ, NA, ZA, ZM, BN, BF, CV, CI, GH, GM, GN, LY, ML, NI, NG, SL, SN, TG, TD

ECOWAS (1972 FTA): BN, BJ, CI, CV, GH, GY, GM, GN, GW, SN, NI, NG, SL, LB, TG

by Cat on Sun Jul 3rd, 2022 at 08:17:08 PM EST
[ Parent ]
Platts launches 15 additional West African [EME] crude oil Market Parity Prices, NG blends reference table
The reference baskets, calculated outright prices, and differentials are normalized to reflect delivery to Northwest Europe [BWAH!], accounting for freight and regional refining input prices. Platts reviews its MPP model annually to ensure it continues to reflect prevailing market conditions and quality of the crude grades.
by Cat on Sun Jul 3rd, 2022 at 08:41:58 PM EST
[ Parent ]
ECOWAS lifts Mali sanctions, agrees on Burkina transition, 3 Jul
West African leaders met in Ghana, Sunday, to review sanctions imposed on three neighbor countries. ECOWAS heads of states lifted economic and financial sanctions on Mali, approved Burkina[-Faso] transition timetable[,] and gave Guinea an additional one-month reprieve to present an "acceptable" timetable. During the summit, Umaro Sissoco Embalo, president of Guinea-Bissau, was elected as new chairman of the bloc.
[...]
The consensus Mali and ECOWAS reached plans that Mali will hold presidential elections in February 2024. The poll will be preceded by a referendum on a revised constitution in March 2023 and legislative elections in late 2023. Brou said ECOWAS would continue to monitor the situation.
[...]
Ecowas* commission president pointed at the Conakry's proposal of 36-month transition period. The bloc named a new mediator. ...Guinea's ["]junta["] had so far refused ECOWAS-deisgnated mediator and announced a 36-month transition - which the period that African Union chairperson labelled "unthinkable". The Guinean military rulers met the main political parties on Monday, but they have made their participation in the dialogue conditional on the nomination of an ECOWAS mediator.
[...]
suspension of all three nations from ECOWAS would remain in force until they hold elections.

* tell-tale UK-Eng. symptom of Anglo disease
by Cat on Mon Jul 4th, 2022 at 12:20:50 PM EST
[ Parent ]

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