• The implication of falling oil prices in oil-exporting countries has benefited oil importing countries
• A number of structural Fiscal reforms, the adjustment in fiscal policies and framework favoring growth, equity considerations, liquidity management and more flexible exchange rate regime and Reform of energy prices and taxation can lead to improved position of oil exporting countries.
Mining Industry Business Confidence Report provides an analysis of current economic environment and changing trends in the mining industry. It discusses impact of falling oil prices on global economy and reasons of change in the sector. Additionally, the report includes the factors determining global mining industry trends and improvements in IT infrastructure and new product for sustainable growth in the industry.
The fall in global oil prices over the last years deemed to be an outcome of the global oversupply, due to the sharp increase in production of North America shale oil in recent years, coupled with a fall in demand because of a slowdown in economic growth in China and Europe.
In addition, the OPEC has not decreased production to maintain prices. The impact of falling oil prices varies from importing countries to exporting countries. Where, in oil-exporting countries, such as Saudi Arabia, Russia and Norway this has affected the economy of the country, threaten its credit rating and has turn it from creditors to debtors. Additionally, GDP growth is dampening as export revenues are falling.
In contrast, the impact of falling oil prices on GDP growth is overwhelmingly positive in importing countries. China, India and Indonesia have more energy-intensive economies and therefore gain greater benefits from lower oil prices.
MINING INDUSTRY
In current scenario, as commodity prices are falling, Mining industries are struggling and amidst the sharp slowdown in exploration activity, mining suppliers will suffer from sharp reduction in order books and be forced to cut down prices of their equipment and services over coming period.
In order to sustain growth and improvement in the mining industry, productivity and operational efficiency, mining industry must focus on Innovation via automation and technology. As a result, Firms’ competitiveness will increase as technology is utilized for operational management and processes, aimed at cost reduction and improving company’s financial position. By integrating their operational system, optimizing supply chain and outsourcing various activities.
Some of the significant factors governing the global mining industry during this period include:
• Volatile and uncertain scenario
• Financial institutions and markets losing credibility
• Diminishing confidence of counter-parties
• Effective stagnation of the inter-bank market
• Cost inflation
Key Topics Covered in the Report:
– Economic outlook and growth prospects
– Macroeconomic environment
– Mining industry past and expected performance
– Procurement budget and expenditure outlook
– Projected change in supplier prices – Machinery and Equipment – Overall and regional
– Projected change in supplier prices – Power and Energy – Overall and regional
– Average expenditure per purchase – Overall
– Investment allocation for equipment purchases -Region
– Change in procurement budget expenditure – Region
– Change in mining equipment budget – Region
With the US and Europe calling on oil producers to boost output in the face of sanctions and strategic bans on Russian energy, demand for OPEC crude is growing. The market is still being challenged by COVID-19, according to OPEC, but the Ukraine war has led to more uncertainties from escalating to WW3, global inflation and disruptions to trade flows and transportation logistics.
The oil importers can fuck climate to get in and drill new wells, spend a lot of new money, have to borrow that money in order to drill and complete those wells and then all of a sudden, 6 months from now, let’s suppose this crisis is over and oil markets go back to normal. Then they could have spent a whole lot of money and the price of oil may drop back down to $60 a barrel. What now?
OPEC spare production capacity, which is mostly concentrated in Saudi Arabia and the UAE, while several other countries appear to be already pumping as much as they can or at severe risk of disruptions. 10 Russia-led allies, has been gradually easing back the extreme production quotas it instituted at the start of the pandemic, aiming to return to pre pandemic output by late 2022, though the majority of members are producing well under their allocations.
In 1920s, oil was discovered under the Osage Indian Nation reservation, in Oklahoma. Then the murders began: http://nyer.cm/ODtXBPj – More than 90% of global conflicts are for controlling resources like land & oil. No ideology, nationalism, democracy, freedom, patriotism or any emotional big words will fit to describe such crooked celebrity leaders. Howdy #PeaceDay That’s what the world needs to make sure children everywhere have a bright future. Strike for kids!