The rise of nanometers

Changan Energy Exchange.

Although night has fallen, the CEOs of the Energy Alliance have no intention of leaving, because they know that there are many things to come that need to be decided by all members of the Energy Alliance.

For example, Lucia Petroleum Company came over in a hurry. Andreev and his team had arrived in Chang'an at 5:30 in the evening, but the Energy Alliance refused to meet.

For another example, companies such as Aramco, which previously supplied crude oil to the country, also flew over one after another, or contacted the head of the United Petroleum Company in the hope of restarting cooperation.

It's just that now and then, the Energy Alliance, which has the initiative, will not give them a good look.

At Xianyang International Airport, many reporters from the media deliberately squatted at the entrance of the airport. Andreev and his party were photographed by the reporters as they hurried over.

Today, the domestic Internet is full of topics discussing the Changan Energy Exchange, the Energy Alliance and the global crude oil market.

A reporter posted the photos and background information of Andreev and others on Time Blog and New Blue Blog, which immediately attracted huge attention.

Among the major topics on the Time Blog, the arrival of the Lucia Petroleum Company negotiation team made many people excited.

[As a person who has experienced it, I think back to those days, from the Anda Line, the Anna Line to the current Taina Line, how difficult the negotiations were. Today I can finally breathe a sigh of relief. ]——Begonia is still the same (Boku certified-Russian translation)

[I blew up a pipe last month, and now I’m here eagerly. It’s so funny. ]——Cat and mouse game

[ @Cat and mouse game, in the face of interests, if you can make money, you will not be shabby乛v乛]——Honeypot

[One operation was as fierce as a tiger, and the result was two hundred and fifty. ]——Charcoal grilled camel

[We have just renovated gas vehicles to support energy self-sustainability. ]——Cybertronians

[It would be better to stop these white-eyed wolves from purchasing. ]——Meow star

[ @Meow people, it is impossible not to purchase at all. If the price is right and the supply is stable, there is no problem in purchasing part of it. ]——Sandman does not blink

[I heard that Goldman Sachs was wiped out today and lost tens of billions of dollars. ]——The Wolf of Wall Street

There are constant discussions on the Internet, and crude oil producers around the world are as anxious as ants in a hot spot. After more than ten hours of long-short game, the international crude oil futures price fell below 13 yuan per barrel and remained at 11 yuan per barrel. ~around 12 meters.

If crude oil is sold at this price, for the world's major crude oil producers, except for West Asia and North Africa, which can barely make a loss, crude oil extraction in other regions will definitely lose money.

For example, North American shale oil, which has high costs, costs 30 to 45 yuan per barrel, while crude oil from Lucia and Little Venice also costs 17 to 19 yuan per barrel.

If we no longer think of a way to save ourselves, we can only reduce production significantly and raise market prices.

The problem is that if we really choose to cut production to raise prices, the consequences will be very serious. This means that if those crude oil producers want to maintain a decent life, they must reduce production by more than 20 to 30% before they can raise the price of crude oil to 70 to 80 per barrel. dollars.

If we want to return to the previous high of 140 meters per barrel, we must reduce production by 50% to make it possible.

If they really cut production so much, it will definitely be a fatal blow to the global manufacturing industry, especially the oil-poor Northeast Asia, Southeast Asia (parts), Tianzhu and the Western Continent Alliance. It will be a fatal blow.

As for China and the United States, which are energy-sustainable, they can use their own low-priced crude oil costs to enhance product competitiveness.

Before, global crude oil prices soared, and the manufacturing industries in various regions were basically in a state of mutual sympathy.

The current situation has undergone fundamental changes. As the world's largest crude oil importing region, it has achieved energy self-sustainability. Does the manufacturing industry in other regions still need to compete?

In fact, this situation has begun to show up in toy OEM and clothing OEM.

In the past, this part of the industry had a tendency to move to Southeast Asia. As a result, Western companies now have to return to the Pearl River Delta for procurement and customization. They have to come back.

Despite the plummeting international crude oil futures, the actual crude oil price still remains at 120 to 130 yuan per barrel.

The main reason for this situation is that the futures and physical prices are out of sync. In addition, the crude oil purchased by many companies is a long-term contract, which is signed for one and a half years.

Another influencing factor is that major crude oil producers are really cutting production, trying to maintain high oil prices through production cuts.

The actions of major crude oil producers are actually passing on losses. The losses caused by suppressing overcapacity of crude oil are passed on to the global manufacturing industry through production cuts and price increases.

In the financial market, crude oil fell almost to the price of cabbage.

In the physical market, crude oil prices continue to maintain high prices.

For regions that are not self-sufficient in crude oil, this is simply a manufacturing nightmare. Even the export benefits brought by the appreciation of the Chinese dollar cannot offset their rising costs.

Chinese enterprises, relying on their advantages in energy, raw materials and industrial chains, have directly strangled the competitiveness of backward regions.

Among developed regions, only the United States has the energy and raw material advantages to compete head-on with Chinese companies. However, it cannot compete with Chinese companies because of labor costs and environmental protection costs.

The current situation is unsolvable.

Each region has its own shortcomings, and it is difficult to form a joint force, so they can only be defeated individually.

However, the collapse of the crude oil market triggered a series of chain reactions that did not stop.

Chang'an, it's night here.

The Energy Alliance is discussing how to train these oil tyrants.

And it happens to be morning in North America.

As soon as the market opened at 9:30 p.m., the share prices of energy stocks such as Mobil, Chevron, UGI, Chenier, Duke Energy, ConocoPhillips, Kinder Morgan and other companies fell sharply.

But the most tragic sector is actually shale oil in the energy sector.

Therefore, Mobil, Chevron, and Occidental Petroleum, which have shale oil businesses, are the main forces in the plunge.

As for Goldman Sachs, they have applied for a trading suspension overnight.

But huge financial losses are a reality that Goldman Sachs cannot escape. Now they have begun to organize their assets and prepare to repay these huge debts by selling assets.

Goldman Sachs escaped the stock market turmoil.

However, other companies in the US stock market were not so lucky. The energy sector took the lead in the market crash, and then steel, electrolytic aluminum, automobiles, shipbuilding, and transportation followed suit.

Rice stocks, whose total market value had barely recovered to 11 trillion yuan, suffered a terrible decline on Tuesday, February 7, directly evaporating 693.1 billion in market value, down 6.3% year-on-year.

This is not just one or two stocks that fell by 6.3%, but the entire rice stock market fell by 6.3%.

Even retail and Internet companies such as Wal-Mart, Google, and Microsoft, which have good profits, have experienced slight declines.

This is truly a situation where a single move affects the whole body.

Energy and raw materials are indispensable in basically every industry. Even the asset-light Internet must actually be connected to the physical market.

In today's era of economic globalization, perhaps only East Asia, which has supplemented its energy and raw materials supplies, can survive on its own and be relatively less affected.

However, the impact of foreign trade is still quite large. Fortunately, domestic raw material and energy costs have offset the impact of this energy crisis.

Rice stocks were hit hard, and other stock markets around the world were also in gloom. Coupled with the debt crisis of the Xizhou Alliance, a financial crisis seemed inevitable.

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