Thread by @RealDavidJensen

Impact of the Petro-Yuan (w/ Gold settlement option) contract still to be seen; first Yuan contract settles in September 2018. As @Ole_S_Hansen notes, trading volume of the Petro-Yuan oil contract continues to build.

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A developing story. #OOTT #PetroGold

The Yuan/Gold settlement oil contract China has launched will fundamentally impact the Petro Dollar's dominant status. Out comes the mallet.
cnbc.com/2018/05/17/tru… #oott #oil

Russia has been receiving physical gold payment from China for oil for years.
President Trump can see where this is inevitably going globally.
Out comes the mallet.

zerohedge.com/news/2018-05-1…

#oil #oott #gold #petrogold

Russia has cut oil exports to Europe and increased oil exports to China by 43% through Q1 2018.

China pays for Russian oil with physical gold. Shanghai Yuan/Gold oil contract settlement opens this up for other oil producers.

rt.com/business/42576…

#PetroGold #Gold #OOTT #oil

RT article re. Russian oil: "“Given the current geopolitical conditions, the shift towards China from Europe is a protective measure."

Russian oil exports to China thru Apr '18 up nearly 50%:

rigzone.com/news/wire/russ…

Sweet oil to China for gold pymt.

#OOTT #oil #Petrogold

This a paradigm of nascent #oil market:

#China pays #Russia gold for oil - abundant crude supply to spec
Europe pays for oil w/ currency - inadequate oil offered

Will accelerate

"Fiat money, in extremis, is accepted by nobody. Gold is always accepted."
Sir Alan Greenspan
#OOTT

Russia's deflection of oil supply from Europe to China (+50%) helps explain why Brent has been running so hard this year.

Relatively small oil supply constrictions can produce non-linear price moves higher. And Brent has well outrun WTI.

#OOTT #OIL #PetroGold #Gold

"Now it seems more likely that Iran would go straight to selling oil directly for bars of gold. "

2M bbl oil per day @ $80 bbl oil & $1,400 #gold = 40M oz per year (40% of mine supply)

Gold price will be reset.

forbes.com/sites/simoncon…

#OOTT #OIL #PetroGold @Ole_S_Hansen

Russia 5M bpd , Iran 2M bpd oil production.

Russia receiving gold for oil fr. China and Iran moving back to this recent settlement method as used during prior sanctions.

Transition of settlement mechanism of global oil (and gas) market continues.

#OOTT #OIL #PetroGold #Gold

Trend of Russia's crude exports to China through 2017 below.

In 2018 through April, Russian exports to China have jumped 50% vs 2017.

If the trend continues, other customers (incl. Europe) will see a material decline in deliveries of Russian crude.

#OOTT #OIL #PetroGold #Gold

Interview with @jameshenryand of @SilverDoctors today re. the gold settlement for oil dynamic we see playing out globally today and repercussions. IMO, oil price soon bifurcated.



Thanks James - a most enjoyable discussion.

#OOTT #Oil @PetroGold #Gold

India won't be able to buy Iran's oil with USD / use SWIFT system - however #India won't abide US Iran sanctions.

Following #China, potential Iranian return to PetroGold (as Iran used in 2012 to bypass sanctions) is in play.

#PetroGold #OOTT #Oil #Gold

reuters.com/article/us-ind…

China buying oil w/ gold & India going there.
Lots shouting re. trade balances, reserve currencies, etc.

CORE ISSUE: The world uses a something-for-nothing ponzi scheme called central banking & debt money. It ends in exponential debt growth & currency collapse.

#Gold #PetroGold