Would you like to start a free subscription?
Remember me | Forgot password
For full content view: Log in Now!
Fifteen years ago, in January 1994, I began writing my first annual World Oil outlook article about crude oil markets. Its title was It is not 1986! Oil prices had collapsed from a high of over $20 a barrel to $14 as 1993 came to an end. This price was lower, on an inflated-adjusted basis, than the price of crude in 1986. I pointed out how strong the underlying oil fundamentals were as 1994 began, despite the price drop. Ironically, I mused at the end of this article that paper barrels being aggressively bought or sold can temporarily create an illusion of a market too tight or with too much of a glut. Months later, the world learned that the entire collapse was due to Metallgesellhaft AG (MG), a German trading firm whose long positions in paper barrels had to be liquidated. Once this exercise ended, crude prices quickly rebounded to their old highs.
I was tempted to use the same headline 15 years later as the price of oil in 2008 went on its wildest ride ever. The year began around $100 a barrel-far beyond what most price forecasting groups thought possible.
This area of the site is restricted.
In order to gain access, please either Log
In, or subscribe to World Oil.
Two options are available to you for creating an account.
1. Get a Free Trial Subscription to World Oil Magazine and gain immediate access to select content on World Oil Online.
Start a Free Trial Subscription and gain immediate access to the complete current issue of World Oil Magazine. Plus, you’ll receive 3 upcoming issues of World Oil Magazine in print or digital format.* You also receive access to the Energy Events Calendar, Industry Statistics and WO Wire’s news and industry coverage.
2. Purchase a subscription to World Oil magazine and gain immediate
and complete access to World Oil Online. As a Total Access subscriber
you will have access to all areas of the site available to registered users and
free subscribers as well as having access to such premium content areas as:
Physical copies of this content may be available for purchase. Visit the Reprints & Back Issues section.
If you are already a paid subscriber and do not have access, please email CustomerService@worldoil.com.
World Oil's specialized upstream Engineering Data Tables featuring the Drill Bit Classifier, Tubing Tables and more. Get Total Access today.
New Delhi - January 11-14
Muscat - January 26-29
Bogota - January 28-29
All material subject to strictly enforced copyright laws.
© 2014 World Oil. © 2014 Gulf Publishing Company.