WTI $41.50 -26c, Brent $43.84 -34c, Diff $2.34 -8c, NG $1.97

Oil price

The lull before the storm as oil markets are fairly quiet ahead of the meeting in Doha on Sunday. The link below is for an interview I did yesterday with IGTV in which I go through the various scenarios that might unfold. Basically I think that there will be an agreement cobbled together with a certain amount of lipstick applied if it looks like it needs it, and it probably will. Given that we know that the deal will be ‘loosely framed’ and with ‘few detailed commitments’ the market shouldn’t expect too much. Having said all that the risk in the oil price is two fold, probably a small rise immediately after an ‘historic accord’ followed by more detailed analysis which will reveal little substance and easily open to cheating with little visibility, so just like Opec of the old days then…



Gulf Keystone

I hesitated before writing about GKP this morning as yesterday’s announcement doesnt tell us anything we dont already know. The company is desperately short of money, owes a huge amount with payback dates imminent or passed and its only customer takes but doesnt pay. Add to that its only oilfield needs $100m spending on it this year or risk malfunction, and unit costs rising to unprofitable levels and you have your answer, misery.

Circle Oil

Another company that is being held together by lenders that are remaining tolerant but only just. The person in charge of energy lending at the IFC is having to make some difficult calls at the moment by the looks of it. At present they are giving Circle the benefit of the doubt, certainly while the strategic review is under way. Persuading someone to take a large portion of their assets off their hands is looking increasingly like the only option although that is easier said than done even at bargain basement prices. For the moment and maybe even after May 13th, Circle is still in recovery, it could still go either way…


At its AGM yesterday 59% of BP shareholders voted against Bo Diddeley’s stonking pay packet although the company are to take little notice of the non-binding vote and just said that the CEO had ‘met or exceeded every target that he had been set’. Some targets, some achievements. It beggars belief that the vast board of BP can get something so wrong, there is clearly nothing like a Dame to be running the remuneration committee…

At Wood Group they have appointed Richard Howson to the board, and various of those committees that are so important and influential, hope that they are better than those at BP.

And finally…

F1 is back with us this weekend and Lewis will be five places behind where he qualifies on the grid, hopefully making it less likely he can mess up the start and more likely it will be a good race to watch.

Last night the HubCap Stealers were very impressive winners against B Dortmund having to twice recover three goals.

In the Prem this weekend we are getting to crunch-time, the Foxes go to Upton Park, the Gooners host the Eagles and the Noisy Neighbours have a tricky tie at Stamford Bridge. It is not until Monday night when Spurs can do anything about it when they travel to Stoke. At the bottom, Villa will be looking forward to a trip to the Theatre of Dreams whilst the key game is the Maccams at the Canaries, a true six-pointer if ever there was one. The Magpies surely have to beat the Swans if they are to have any chance of survival.

The rugby premiership has three stand-out fixtures, the Chiefs go to Gloucester, the Saints host the Tigers and the Quins go to the Sarries.

Finally if you have emailed me in the last few days apologies, I havent had a chance to reply as its been the week from hell, I will try to catch up soon.