One of the USA’s largest oil deposits has been discovered in oil-rich Texas. According to surveying data, the deposit may contain 20 billion barrels of oil and 1.6 billion cubic feet of liquefied natural gas. With the average price of oil at 45 USD per barrel, the site could potentially be worth 900 billion dollars. "The fact that this is the largest assessment of continuous oil we have ever done just goes to show that, even in areas that have produced billions of barrels of oil, there is still the potential to find billions more," Walter Guidroz, coordinator for the US geological survey’s energy resources program, said in a statement.
Also in the world of oil, a tacit partnership between Iran and Iraq could be in the making, according to more than one observer. Neither country has any intention of cutting crude output. At play in the situation is Tehran’s growing influence in Iraq’s Shia majority regions. Baghdad is currently OPEC’s second largest producer, with 4.45 million bpd, second only to Saudi Arabia’s 10.49 million. Combined, Iraq and Iran (3.65 million bpd) could match Riyadh’s output. Such a tacit agreement will be something to watch for during the talks at the upcoming 30 November OPEC meeting.
On the demand side, the IEA’s latest report predicts that oil demand won’t peak before 2040: "The difficulty of finding alternatives to oil in road freight, aviation and petrochemicals means that, up to 2040, the growth in these three sectors alone is greater than the growth in global oil demand." In other words, in spite of the Paris agreement, the world will continue to be powered mainly by petroleum and fossil fuels well into the future.