Апреля 24, 2018

Why oil prices keep falling with United States refineries knocked out by storm

31 Августа 2017, 01:42 | Lionel James

Shale oil boom softens the energy blow from Harvey

Oil Prices Set To Rise as Supply-Demand Gap Closes Up

International Brent crude futures closed up 11 cents or 0.2 percent to $52.00 a barrel.

Oil prices in the United States tanked during Wednesday's trade in the wake of storm Harvey which cut U.S. demand for crude, the most important feedstock for the petroleum industry.

Gasoline prices surged but crude oil prices were lower Monday morning as Hurricane Harvey continued to wreak havoc on Houston-area refining.

The Gulf of Mexico alone accounts for 20 percent of U.S. oil production, and many rigs were also knocked out by the storm.

The national USA gasoline price on Monday stands at $2.38 per gallon, up more than 5 cents from a week ago.

"Although this is less than 20 percent of total refining capacity in the USA, the Gulf Coast region is a major supplier of refined products both locally, and into other parts of the country", Delaney said.

Читайте также: Mayweather vs McGregor: Johnny Nelson hails Floyd Mayweather's latest achievement

US West Texas Intermediate (WTI) crude futures were at Dollars 46.35 per barrel at 0155 GMT, down 9 cents from their last close. The discount for U.S. WTI versus Brent reached $5.92 a barrel on Tuesday, its widest in more than two years. The contract's peak was $1.7888, the highest for NYMEX gasoline since July 2015.

About 22 percent of U.S. Gulf of Mexico oil production is offline due to Tropical Storm Harvey, the U.S. Department of the Interior's Bureau of Safety and Environmental Enforcement (BSEE) said on Sunday.

Motiva Enterprises chose to close its 603,000bpd plant in Port Arthur, Texas, while Total halved the output of its refinery, which is in the same area. Onshore, numerous nation's refineries remain offline because of heavy flooding in and around the Houston area.

Oil investors are bracing themselves for a turbulent week as Hurricane Harvey continues to tear through Texas - the core of the U.S. oil industry.

Crude markets were also looking at disruptions in Libya and Colombia.

"Around 2-3 million bpd (barrels per day) of refining capacity is offline or in the process of shutting down". Jefferies bank said it was lowering its fourth-quarter Brent oil price estimates to $55 a barrel from $60 and its 2018 forecast to $57 from $64.

При любом использовании материалов сайта и дочерних проектов, гиперссылка на обязательна.
«» 2007 - 2018 Copyright.
Автоматизированное извлечение информации сайта запрещено.

Код для вставки в блог

Other News

Trending Now

Doklam standoff ends ahead of Prime Minister Narendra Modi's China visit
Earlier on Monday, Indian authorities claimed that both the sides had mutually agreed to withdraw their respective troops. Beijing had accused India of transgressing into its territory and demanded immediate withdrawal of Indian troops.

Weekend Box Office Report: 'The Hitman's Body Guard' Protects Top Spot
The late summer months aren't a traditionally strong week for movies, but this weekend's barren slate was historically bad. The film's $15 million two-week total, though, isn't the movie industry game-changer its makers hoped it would be.

This Week at NASA: The Epic Solar Eclipse and More
Although Monday's eclipse was peaking over two minutes in the path of totality, the 2024 eclipse will have peaks of 4½ minutes. Eclipse-viewing glasses that provided a safe way to look at the sun during the eclipse were in short supply nationwide.

Local lawmakers react to House passing education bill
The Republican's Monday signing comes a year after he vetoed a similar measure over concerns about voter fraud. But some of Illinois' largest teacher unions have already lined up against the measure, saying Republican Gov.

Qatar To Return Ambassador To Iran Amid Regional Crisis
Even after Qatar withdrew its ambassador from Iran in 2016, the two countries maintained their valuable commercial ties. Qatar has denied the charge and said this week it was anxious pilgrims from the emirate would be treated badly.

India guru rape case: almost 30 die in violent protests
The guru's Dera Sacha Sauda sect claims to have 50 million followers and campaigns for vegetarianism and against drug addiction. Authorities ordered internet and cellphone services shut down across both Haryana and Punjab as a security precaution.

Economy Grows Faster than Previously Thought in the Second Quarter
The economy grew 2.1% in the first half of 2017 but economists said it was unlikely growth this year would meet Trump's goal. Commerce also revised upward its estimate of business investment, to a 0.6 percent pace from the initial 0.4 percent.

Turtle-linked Salmonella outbreak sickens 37 in 13 states
The Center for Disease Control is investigating salmonella outbreaks in people from 13 states linked to contact with pet turtles . Although no deaths have been recorded, at least 16 people have been hospitalized as a result of contracting the bacteria.

India win series amid crowd trouble
While Dananjaya delivered the spell of his life, Sri Lanka's remaining bowlers were again largely unable to make breakthroughs. Thirimanne, playing his first global match since June 2016, scored 80 off 105 deliveries including five boundaries and a six.

After Peaceful Demonstration in San Francisco, Second Counter-Protest Expected in Berkeley
A few antifa members violently beat up a couple of alleged neo-Nazis. "Do not!" said Tur-Ha Ak of the Anti-Police Terror Project. The violence in Berkeley on Sunday stood in stark contrast to the peaceful counter demonstrations in San Francisco on Saturday.