• 4 minutes Is The Three Gorges Dam on the Brink of Collapse?
  • 8 minutes The Coal Industry May Never Recover From The Pandemic
  • 11 minutes China Raids Bank and Investor Accounts
  • 9 mins In a Nutshell...
  • 3 hours Is OilPrice a cover for Green Propganda
  • 13 hours Putin Paid Militants to Kill US Troops
  • 2 hours During March, April, May the states with the highest infections/deaths were NY, NJ, Ma. . . . . Today (June) the three have the best numbers. How ? Herd immunity ?
  • 7 hours Putin Forever: Russians Given Money As Vote That Could Extend Putin's Rule Draws To A Close
  • 7 hours Victor Davis Hansen on Biden's mental acuity " . . unfit to serve". 1 out of 5 Democrats admit it. How many Dem's believe it but will not admit it?
  • 2 days Biden admits he has been tested for Cognitive Decline several times. Didn't show any proof of test results.
  • 6 hours Tesla Model 3 police cars pay for themselves faster than expected, says police chief
  • 1 day Apology Accepted!
  • 13 hours The Political Genius of Donald Trump
  • 2 days Why Oil could hit $100
  • 3 days Biden came out of his basement today (Thursday) and said , "we have 120 Million deaths from Covid 19.
  • 2 days U.S. natural gas at major disadvantage in Europe and China.
  • 1 day Per most popular Indian websites it was Indian troops not Chinese troops breach of LAC that caused the clashes. If you know any Indian media that claim to the contrary please provide the link

Markets Impressed By Extra Saudi Production Cuts

After the uncertainty and stress of the past weeks, the mid-February oil market is definitely showing signs of a more favorable working environment for all of us. Saudi Arabia has provided some comfort to the markets, stating it would cut production below 10mpb, more than 0.5mbpd than it had initially agreed to during the OPEC/OPEC+ Vienna Agreement, easing concerns about global supply getting way out of balance. Even though US sanctions do continue to weigh on Venezuela, it has managed to reroute somewhat its exports, making the pressure on global benchmarks more manageable.

(Click to enlarge)

Source: Reuters.

1. US Crude Stocks Rise Further

(Click to enlarge)

- US Commercial crude stocks have risen 1.3 MMbbl w-o-w to 447.2 MMbbl during the week ended February 1, almost 25 MMbbl above the 5-year stock average.
- Robust exports have mitigated somewhat the stock buildup, increasing 0.93mbpd from the week earlier, to reach 2.9mbpd.
- In the meantime, the EIA raised its 2019 annual forecast for US crude production to 12.4mbpd, stating that Permian and eastern New Mexico will spearhead the output growth.
- The EIA estimates 2020 will witness a further 0.8mbpd production increase, bringing output levels at that point to 13.2mbpd.
- Gasoline inventories rose again by 0.5MMbbl to 258MMbbl, with net gasoline production dropping 48kbpd week-on-week.
- On the other hand, distillate stocks have dropped again during the…




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