Around The Barrel – Crude Oil and Gasoline Outlook

WTI Oil futures continued to fall to over 20% since near highs. EIA reporting a crude draw -909Kbbl (incl +1159kbbl build at Cushing). Crude storage near lows seen in 2018. Gasoline stocks grew +4029kbbl,  Utilization rose +0.2% to 88.6%. Production rose +100k to 11,600 kbpd. DOE Weekly Petroleum Status Report via TradersCommunity.com Report Date 12/1/21 Release Time: Wednesday, December 8, 2021 at 10:30 A.M. (ET) Note in bbls *exp = Reuters poll est  adjusted for API shift, except Cushing   … Continue reading “Around The Barrel – Crude Oil and Gasoline Outlook”

Iranian Nuclear Deal Revival Talks Seem Futile With Scaled Up Iran Uranium Efforts

Negotiations for the seemingly endless talks aimed at reviving the international nuclear agreement with Iran is set to start Monday involving the U.S., Britain, Germany, France, Russia, China and Iran. The elephant in the room is has Tehran advanced its nuclear work so much in the past two years that the 2015 deal can no longer be rescued? Iran’s new president has delayed restarting talks while pressing ahead with nuclear work. Iran is in no hurry after President Donald Trump … Continue reading “Iranian Nuclear Deal Revival Talks Seem Futile With Scaled Up Iran Uranium Efforts”

U.S. Strategic Petroleum Reserve Quick Facts

The American Strategic Petroleum Reserve is a U.S. Government complex of four sites with deep underground storage caverns created in salt domes along the Texas and Louisiana Gulf Coasts.  The SPR is back in focus after the U.S. Department of Energy announced it will release 50 million barrels of oil from the Strategic Petroleum Reserve to lower oil prices. There are four SPR sites in the United States of America  Crude Oil Storage by Site  (as of August 30, 2021) Bryan Mound – … Continue reading “U.S. Strategic Petroleum Reserve Quick Facts”

Oil Futures Collapse Over 13% on South African Variant Risk Asset Selling

Stock markets and commodities markets sold off hard on Friday due to a new coronavirus variant identified in South Africa. The selling intensified with some countries including the UK, Singapore and Israel curbing travel from South Africa and other neighboring countries. We had seen a dead cat bounce in WTI and Brent after the SPR coordinated release plans. The new COVID-19 variant contains significantly more mutations than others raised concerns of further lockdowns and travel restrictions that could weigh heavily … Continue reading “Oil Futures Collapse Over 13% on South African Variant Risk Asset Selling”

OPEC Says US Led Planned Oil Reserves Release Will Bloat Crude Surplus

OPEC warned of oil gluts in response to the U.S. announcing it will release 50 million barrels of oil from the Strategic Petroleum Reserve to lower oil prices in parallel with other major energy consuming nations including China, India, Japan, Republic of Korea and the United Kingdom. OPEC’s advisory body ahead of a meeting with OPEC+ next week predicted that the excess in markets would expand by 1.1 million barrels a day in January. The advisory board also saw February … Continue reading “OPEC Says US Led Planned Oil Reserves Release Will Bloat Crude Surplus”

Around The Barrel – Crude Oil Builds With Exports Down & Imports Higher

WTI Oil futures bounced following the US Released SPR ahead of EIA reporting a crude build +1017Kbbl (incl +787kbbl build at Cushing). Crude storage near lows seen in 2018. Gasoline stocks drew -603kbbl,  Utilization rose +0.7% to 88.4%. Production fell to +100k to 11,500 kbpd. DOE Weekly Petroleum Status Report via TradersCommunity.com Report Date 11/17/21 Release Time: Wednesday, November 24, 2021 at 10:30 A.M. (ET) Note in bbls *exp = Reuters poll est  adjusted for API shift, except Cushing   EIA … Continue reading “Around The Barrel – Crude Oil Builds With Exports Down & Imports Higher”

Coordinated Strategic Petroleum Reserve Release By China, India, Japan, South Korea and the UK To Lower prices

The U.S. Department of Energy announced it will release 50 million barrels of oil from the Strategic Petroleum Reserve to lower oil prices. This release will be taken in parallel with other major energy consuming nations including China, India, Japan, Republic of Korea and the United Kingdom. This has been well telegraphed with oil down roughly 10% from recent highs. The move is seen by many as the epitome of ignorance of energy markets and the self serving nature of … Continue reading “Coordinated Strategic Petroleum Reserve Release By China, India, Japan, South Korea and the UK To Lower prices”

Around The Barrel – Crude Oil and Gasoline Drew as Utilization Rose

WTI Oil futures fell after EIA reported crude draw -2101Kbbl (incl +216kbbl build at Cushing)  Crude storage near lows seen in 2018). Gasoline stocks drew -707kbbl,  Utilization rose +1.2% to 87.7%. Production fell to -100k to 11,400 kbpd. DOE Weekly Petroleum Status Report via TradersCommunity.com Report Date 11/10/21 Release Time: Wednesday, November 17, 2021 at 10:30 A.M. (ET) Note in bbls *exp = Reuters poll est  adjusted for API shift, except Cushing   EIA Exp Prior API Crude -2101k +1400k +1001k … Continue reading “Around The Barrel – Crude Oil and Gasoline Drew as Utilization Rose”

President Biden ‘Blame Game’ Targets US Oil Companies for Illegal Conduct

President Biden in his latest shift of finding blame and solutions for high oil prices on Wednesday sent a letter to the FTC to consider whether “illegal conduct” by large oil and gas companies is pushing up gasoline prices for American consumers. The F.T.C., does have the power to break up large industry players but in reality is unlikely to affect gasoline prices materially any time soon. The move was met with derision by almost anyone around the industry, from … Continue reading “President Biden ‘Blame Game’ Targets US Oil Companies for Illegal Conduct”

IEA Raise U.S. Oil Production Outlook as Global Oil Demand Strengthening

The International Energy Agency released it’s November Oil Market Report Tuesday making no adjustments to its 2021 global oil demand outlook. The IEA projected unchanged worldwide oil consumption, to rise by 5.5 million barrels per day (bpd) this year. They project expected demand weakness stemming from COVID-19 spreads across Europe would be offset by rising gasoline and jet fuel consumption from the reopening of international air travel. IEA November Highlights Global supplies “leapt” by 1.4 million barrels per day (mbd) … Continue reading “IEA Raise U.S. Oil Production Outlook as Global Oil Demand Strengthening”