• 3 minutes Could Venezuela become a net oil importer?
  • 7 minutes Reuters: OPEC Ministers Agree In Principle On 1 Million Barrels Per Day Nominal Output Increase
  • 12 minutes Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf
  • 3 hours Oil prices going Up? NO!
  • 2 days Could Venezuela become a net oil importer?
  • 5 hours Renewables to generate 50% of worldwide electricity by 2050 (BNEF report)
  • 4 hours Reuters: OPEC Ministers Agree In Principle On 1 Million Barrels Per Day Nominal Output Increase
  • 2 days Gazprom Exports to EU Hit Record
  • 10 hours Oil prices going down
  • 13 hours Could oil demand collapse rapidly? Yup, sure could.
  • 2 days Oil Buyers Club
  • 2 days Why is permian oil "locked in" when refineries abound?
  • 11 hours Tesla Closing a Dozen Solar Facilities in Nine States
  • 3 hours China’s Plastic Waste Ban Will Leave 111 Million Tons of Trash With Nowhere To Go
  • 10 hours Saudi Arabia turns to solar
  • 2 days EVs Could Help Coal Demand
  • 59 mins Are Electric Vehicles Really Better For The Environment?
  • 1 day Russia's Energy Minister says Oil Prices Balanced at $75, so Wants to Increase OPEC + Russia Oil by 1.5 mbpd
  • 12 hours Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf
Alt Text

OPEC Edges Closer To Production Agreement

A successful OPEC agreement in…

Alt Text

Oil Markets Turn Bearish Ahead Of OPEC Meeting

Oil prices fell on Tuesday…

Alt Text

OPEC’s Agreement Sends Oil Prices Soaring

Oil prices spiked on Friday…

Editorial Dept

Editorial Dept

More Info

Trending Discussions

Are Crude Inventories Falling Fast Enough?

Oil

Friday August 18, 2016

In the latest edition of the Numbers Report, we’ll take a look at some of the most interesting figures put out this week in the energy sector. Each week we’ll dig into some data and provide a bit of explanation on what drives the numbers.

Let’s take a look.

1. Shrinking ambitions for OPEC cut

(Click to enlarge)

- The IEA revised some of its projections for the oil market in its latest report, estimating that the global market will need much less OPEC supply than previously thought. The IEA said that it had previously overestimated demand from developing nations.

- That means that the market will need 400,000 bpd less from OPEC than previously thought.

- But a smaller “call on OPEC” does not mean that OPEC will produce less. The result will be a much narrower decline in global inventories in the third and fourth quarters, and an inventory build in 2018.

- On the flip side, the IEA upgraded its total global demand figure to 1.5 mb/d, up from 1.4 mb/d in its July estimate.

2. Inventories have moved back into the (radically different) five-year range

(Click to enlarge)

- The chief objective for OPEC with its production cuts is to bring inventories back to average levels. Specifically, back into the “five-year range.”

- Recently, they have made significant progress on that goal, with U.S. crude inventories dipping below…

To read the full article

Please sign up and become a premium OilPrice.com member to gain access to read the full article.

RegisterLogin

Trending Discussions





Oilprice - The No. 1 Source for Oil & Energy News