• 2 minutes California to ban gasoline for lawn mowers, chain saws, leaf blowers, off road equipment, etc.
  • 6 minutes China and India are both needing more coal and prices are now extremely high. They need maximum fossil fuel.
  • 11 minutes Europeans and Americans are beginning to see the results of depending on renewables.
  • 1 hour The Climate Scare Stories Began With Far Left Ideology Per GreenPeace Co-Founder
  • 9 mins GREEN NEW DEAL = BLIZZARD OF LIES
  • 36 mins Monday 9/13 - "High Natural Gas Prices Today Will Send U.S. Production Soaring Next Year" by Irina Slav
  • 2 days "A Very Predictable Global Energy Crisis" by Irina Slav --- MUST READ
  • 6 hours Putin and Xi have decided not to attend the Climate Summit in Glasgow
  • 2 days Two Good and Plausible Ideas about Saving Water and Redirecting it to Where it is Needed.
  • 12 mins Biden Sets Target Of 50% EV Share In U.S. Car Sales In 2030
  • 2 days Are you aware of Oil Price short videos on our energy topics?
  • 3 days NordStream2
  • 2 days Is China Rising or Falling? Has it Enraged the World and Lost its Way? How is their Economy Doing?
  • 2 days "Here is The Hidden $150 Trillion Agenda Behind The "Crusade" Against Climate Change" - Zero Hedge re: Bank of America REPORT
  • 3 days Did China cherry-pick the factors that affected the economic slow-down?

Breaking News:

California Gasoline Prices Are Spiking

The Commercial Case For Green Hydrogen

The Commercial Case For Green Hydrogen

Hydrogen, especially green hydrogen, has…

5 Energy Stocks To Watch As Earnings Season Comes Up

5 Energy Stocks To Watch As Earnings Season Comes Up

As earnings season comes back…

Oil And Gas Stocks Are Popular Once Again

Oil And Gas Stocks Are Popular Once Again

Energy stocks, particularly oil and…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Oil Slips And Bounces Back After EIA Reports Significant Builds Across The Board

Amid growing bearish sentiment towards oil prices, the Energy Information Administration reported a build of 4.1 million barrels in crude oil inventories for the week to January 6, a day after the American Petroleum Institute had estimated inventories were 1.5 million barrels higher in the period.

Analysts had expected EIA to report a build of 930,000 barrels. Last week, the agency reported a weekly decrease of 7.1 million barrels, injecting some optimism into markets but not for long as doubts about the OPEC production cut deal deepen.

According to EIA, commercial crude oil inventories as of January 6 stood at 483.1 million barrels, within seasonal limits, near the upper end.

Refineries operated at 93.6 percent of capacity, processing 17.1 million barrels of crude and producing 9.7 million barrels of gasoline and 5.3 million barrels of distillate daily.

Gasoline inventories for the period were 5 million barrels higher than in the previous week, after an 8.3-million-barrel build in the last week of 2016.

Crude oil imports in the seven days to January 6 stood at 9.1 million barrels daily, up from a daily import rate of 7.2 million barrels in the week before.

EIA’s figures are unlikely to reverse the slow but steady slide that we’ve been seeing since the start of this week. Among the factors weighing down on international prices, besides the worry about the OPEC deal, are also expectations for higher output from the U.S. shale patch, which would further dampen optimism about an end to the global glut. Related: India’s 2016 Oil Demand Jumps 11% To Record Highs

Despite reports about OPEC members and non-OPEC producers starting to implement the agreed cuts to their output, doubts about how long this compliance will last remain and grow, especially after it emerged that Iraq, the cartel’s second-largest producer, plans to raise oil exports in February.

At the same time, shale producers are rushing to raise production, using the price rally while it lasts, not least because of their often substantial debt burdens. The way things are going, the rally is unlikely to continue for very long unless a radical new change occurs.

At the time of writing, WTI was trading at US$51.44 a barrel and Brent was changing hands at US$54.37 a barrel.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • jman57 on January 11 2017 said:
    This report proves that OPEC is already cheating on their hyped-up "deal" on the first week! Why is oil rising on this report? Pure manipulation and deceit.

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News