The lifting of economic and military sanctions on Iran, which came into effect last Saturday, came at the worst time for the oil market and especially for the Ecuadorian oil, which continues to decline. Several oil experts believe this before the current market situation.
Indeed, the theoretical price of Ecuadorian crude oil, reported by EP Petroecuador and published by the National Intelligence Agency, was traded until January 13th at $ 22.13; while the WTI benchmark crude was at $ 30.48. The average price so far (January) is $ 25.47, ie a little less than $ 10 below the calculation of the pro forma budget.
For Rene Ortiz, former energy minister, the new situation has several effects: The fact that Iran has 24 million barrels ready to put on the market, made them nervous. That has led to the fall of oil prices at $ 20, at the same time the behavior of the members of the Organization of Petroleum Exporting Countries (OPEC) has been to increase production, so a possible price hike is not seen.