Search
EN Down
Language
Hi, user_no_name
Live Chat

Hurricane Delta’s impact on US oil output continues.

Much of the US’ on and offshore production and refining capability lies in the hurricane’s path.

Prior to Delta’s landfall on October 8th, 90% of offshore production was closed. 800,000 of 2.4 million b/pd refinery capacity was shuttered too.

The focus is now on reopening such facilities, alongside maritime export hubs along the Texas-Louisiana border.

Slipping European demand for US crude

Even as export ports come back online, they may have to find new final destinations.

While China remains an enthusiastic buyer of US crude, Europe is less enthusiastic.

S&P Global Platts analysis suggests that European consumers are turning away from US-grades, preferring more locally sourced oil.

On October 2nd, US exports had slipped to 2.66 million b/pd, according to the US Energy Information Administration. As well as slowing European demand, falling yields on overseas fields are forecast to provoke further export slippage.

Norwegian & Libyan production blockages overcome

Price concerns have also been raised following on from developments in Norway and Libya.

On the Norwegian front, a successful conclusion of a production-disrupting strike has resulted in the reopening of its largest oil field once again. This brings 8% of Norwegian output back online.

Meanwhile, Libya is pushing ahead at production at Sahara, the nation’s largest oilfield.

Despite this, the current outlook for US oil stocks is bullish, holding at around $40.20 – $40.35 per barrel as of lunchtime October 13th.

Latest news

Repeated warnings from Tokyo appear to support Japanese yen vs. strong USD

Friday, 12 April 2024

Indices

Japanese yen gains vs. USD as authorities repeat warnings

Dollar index soars to 5-month highs as investors eye ECB cuts in June

Friday, 12 April 2024

Indices

Dollar index soars on June ECB cut expectations, euro sinks

Gold prices are rallying on geopolitical concerns as the dollar

Friday, 12 April 2024

Indices

Uncertainty pushes gold price, dollar up on CB divergence

Copper prices scale 15-month highs as Citi points to bull market

Friday, 12 April 2024

Indices

Copper prices climb to 2024 high as Citi signals bull market

Live Chat