Benchmark West Texas Intermediate crude prices closed Monday at US$76.08 a barrel, just a day before the Organization of Petroleum Exporting Countries and its partners meet to talk about planned production increases for February.
“We are pretty comfortable we will see oil prices in the $70s throughout 2022, which provides a pretty highly profitable business,” Headwater Exploration president Jason Jaskela said in an interview Monday. Although the number of COVID cases is surging in Canada, the United States and other countries — and new government restrictions are being adopted to slow its spread — oil markets have regained some lost ground in the past two weeks, with WTI crude sailing past $70 a barrel.“OPEC on a month-to-month basis will continue to increase production as long as these prices stay where they are,” said Al Salazar, vice-president of intelligence at energy analytics firm Enverus.
“Do not discount the fact that Omicron is not done and the COVID situation is still not past us yet,” Salazar cautioned.Al Salazar “2021 was a good year and ’22 will be even better,” said Doug Bartole, CEO of junior producer InPlay Oil Corp.Article content The Canadian Association of Energy Contractors forecasts drilling activity to jump by 27 per cent this year, with nearly 6,500 oil and gas wells completed across the country — the highest number since 2018.“The limiting factor this year will just be supply chains, manpower and equipment,” added Jaskela.
Germany, the climate change champ, is importing coal like crazy. The world needs reliable energy more than it needs climate cranks.