Oil and Gas News from OilGasDaily.Com  
OIL AND GAS
Oil prices rise on expectations of market balance
by Daniel J. Graeber
Washington (UPI) Sep 13, 2017


Crude oil prices were higher early Wednesday after the IEA said the level of oil and petroleum products on the market could dip below the five-year average.

Traders have been watching the level of commercial crude oil and petroleum product inventories for much of the year in part to gauge the impact of an effort led by the Organization of Petroleum Exporting Countries to balance an oversupplied market with managed production declines.

Markets were upended in late August when Hurricane Harvey struck the southern coast of Texas, sidelined a good portion of total U.S. refining capacity and threatened production centers in the Gulf of Mexico and inland shale basins. Hurricane Irma, meanwhile, has shifted market dynamics because of the strain on demand. More than half of the retail service stations in some parts of Florida are without gasoline and the energy sector is scrambling to make adjustments.

The International Energy Agency in its latest monthly market report said overall production levels from major producers was on the decline and the level of stocks for members of the Organization for Economic Cooperation and Development was only slightly above the five-year average.

"Depending on the pace of recovery for the U.S. refining industry post-Harvey, very soon OECD product stocks could fall to, or even below, the five-year level," the IEA's report read.

The price for Brent crude oil was up 0.68 percent at 9:10 a.m. EDT to $54.64 per barrel. West Texas Intermediate, the U.S. benchmark for the price of oil, was up 1 percent to $48.71 per barrel.

The spread, or difference, between WTI and Brent has widened in recent weeks because some crude oil in the United States remains locked in storage. As of 2:00 p.m. EDT Tuesday, the U.S. Energy Department said four refineries in the Gulf Coast were still closed because of issues associated with Harvey, representing about 4 percent of the total U.S. refining capacity.

Nevertheless, the IEA said it was cautious about the extent of any post-recovery rally, saying that "expectations are that markets are tightening and that prices will rise, albeit very modestly."

That mirrors the sentiment expressed from the National Bank of Kuwait this week, which said some of the rally could be explained by the increase in geopolitical tensions, notably regarding North Korea, and concerns about whether or not U.S. President Donald Trump's administration could enact any of the reforms and initiatives he pledged on the campaign trail. So far, the new president has yet to score any major legislative victories.

The U.S. dollar, meanwhile, has declined steadily and, when the value of the greenback falls, commodity prices increase because more dollars are required to purchase the same quantity as when the value was higher.

The Kuwaiti bank said recovery may be limited by any increase in U.S. shale oil production, which could be likely if oil prices continue to rise. The U.S. Energy Information Administration lowered its forecast for total U.S. crude oil production, however.

EIA estimates the price for Brent crude oil will average $51 per barrel for the year and $49 per barrel for WTI.

OIL AND GAS
IEA: Oil markets managed, but beware of the weather
Washington (UPI) Sep 13, 2017
Even though the sector was able to cope, the International Energy Agency said severe weather in the United States should serve as a warning for oil markets. Hurricane Harvey hit the southern coast of Texas in late August and forced the closure of several refineries and some production centers in the region. Hurricane Irma made landfall in Florida earlier this week and, as the state has ... read more

Related Links
All About Oil and Gas News at OilGasDaily.com


Thanks for being here;
We need your help. The SpaceDaily news network continues to grow but revenues have never been harder to maintain.

With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords.

Our news coverage takes time and effort to publish 365 days a year.

If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.
SpaceDaily Contributor
$5 Billed Once


credit card or paypal
SpaceDaily Monthly Supporter
$5 Billed Monthly


paypal only


Comment using your Disqus, Facebook, Google or Twitter login.

Share this article via these popular social media networks
del.icio.usdel.icio.us DiggDigg RedditReddit GoogleGoogle

OIL AND GAS
How to draw electricity from the bloodstream

Scientists make methanol using air around us

Could switchgrass help China's air quality?

Reusable ruthenium-based catalyst could be a game-changer for the biomass industry

OIL AND GAS
Defects in next-generation solar cells can be healed with light

Engineers develop tools to share power from renewable energy sources during outages

Obama-era solar power program reaches goal early

New records for the solar cell of tomorrow

OIL AND GAS
Light-Based Method Improves Practicality and Quality of Remote Wind Measurements

Texas makes wind energy strides

UK wind electricity cheaper than nuclear: data

Saudi Arabia shortlists 25 bidders for major wind plant

OIL AND GAS
Finland's TVO challenges approval of Areva bailout

Jacobs JV wins support contract for nuclear research center

PM opens country's fifth nuclear power plant

China and Brazil sign agreements on nuclear power

OIL AND GAS
Series of potent hurricanes stokes scientific debate

Italy's drought seen from space

Periodic table of ecological niches could aid in predicting effects of climate change

Australia has hottest winter on record

OIL AND GAS
Waymo suit against Uber on road to trial

US House passes bill to clear path for self-driving cars

Post-Harvey Houston faces a car crunch

VW aims to sell 1.5 mln electric cars in China by 2025

OIL AND GAS
Slow recovery for Iraq's Mosul after IS ouster

On the banks of the Tigris, a refuge for Iraqi readers

The battle for Mosul from behind the camera

Iraq faces vast challenges despite victories over IS: experts

OIL AND GAS
Trump keeps Iran deal, but threatens more sanctions

S. Korea seeks rare talks with North to ease military tensions

US sending mixed messages on Iran nuclear deal: Zarif

US-China citizen gets 10 years for spying in Iran; 2 Iranians charged in US over hacking









The content herein, unless otherwise known to be public domain, are Copyright 1995-2024 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. General Data Protection Regulation (GDPR) Statement Our advertisers use various cookies and the like to deliver the best ad banner available at one time. All network advertising suppliers have GDPR policies (Legitimate Interest) that conform with EU regulations for data collection. By using our websites you consent to cookie based advertising. If you do not agree with this then you must stop using the websites from May 25, 2018. Privacy Statement. Additional information can be found here at About Us.