Colver Technologies says the ending of sanctions on Iran as part of a nuclear deal won’t lead to an immediate rise in prices.
Colver Technologies says it is not convinced that the ending of sanctions on Iran doesn’t mean that investors should expect a deluge of Iranian crude to add to the already over-supplied oil market.
The prices of both Brent Crude and West Texas Intermediate slid sharply after it was announced that Iran had struck a deal with 6 major world powers over its nuclear ambitions that would eventually see sanctions imposed by the international community lifted. Such a development would finally enable Iranian oil to be sold on the open market and led investors to speculate the glut in supply could worsen, further depressing prices.
Colver Technologies, however, said that it would take a considerable amount of time” for Iranian oil exports to reach levels that could impact adversely on prices. “Large chunks of the country’s infrastructure have fallen into disrepair over the years and it will take time to get them up to optimum production capacity but the chief impediment is the uncertainty over how long it will actually take to roll back sanctions,” said Gus Stuyvesant, the company’s Chief Operating Officer.
The day-to-day fluctuations of oil prices aside, Colver Technologies says it maintains its view that oil prices will be closer to $60-70 a barrel than $40 by year’s end given the current trend for global central banks to boost economic growth-boosting using highly-accommodative monetary policies.
“My view is that the US dollar will slowly but surely weaken as it becomes apparent the US Federal Reserve may not have the room it needs to begin normalizing monetary policy with interest rate increases,” concluded Stuyvesant.
About Colver Technologies
Colver Technologies’ modular GTL systems revolve around the Fischer-Tropsch reactor, a conversion technology developed in the 1920s by Franz Fischer and Hans Tropsche in Germany in 1925. It facilitates the production of significantly cleaner-burning liquid fuels like diesel and jet fuel from natural gas that contains no sulfur. We are committed to doing our part to drive uptake of GTL fuels as global efforts to reduce emissions increase and have invested heavily to ensure the continuing development of this highly attractive alternative to conventional energy production.
Contact Colver Technologies:
Longzhimeng Asia-Pacific Center
22 Pangjiang Street
Dadong, Shenyang, Liaoning
China
contact@colvertech.com
http://www.colvertech.com
862422599383