• 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
  • 6 hours Oil prices going Up? NO!
  • 2 days Could Venezuela become a net oil importer?
  • 8 hours Renewables to generate 50% of worldwide electricity by 2050 (BNEF report)
  • 7 hours Reuters: OPEC Ministers Agree In Principle On 1 Million Barrels Per Day Nominal Output Increase
  • 2 days Gazprom Exports to EU Hit Record
  • 12 hours Oil prices going down
  • 15 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?
  • 14 hours Tesla Closing a Dozen Solar Facilities in Nine States
  • 6 hours China’s Plastic Waste Ban Will Leave 111 Million Tons of Trash With Nowhere To Go
  • 12 hours Saudi Arabia turns to solar
  • 2 days EVs Could Help Coal Demand
  • 4 hours 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
  • 14 hours Battle for Oil Port: East Libya Forces In Full Control At Ras Lanuf

Oil Prices Down As API Reports Yet Another Crude Build

Rigs

The latest American Petroleum Institute (API) report shows a crude oil build more than two times larger than experts expected, after last week’s government report revealed a record 14.4 million barrel increase in domestic inventories.

The API reported a 4.4-million-barrel build in oil supplies in lieu of the two-million-barrel spike that Zerohedge’s industry insiders had anticipated.

Oil prices were down slightly after the API numbers were released. As of this article’s writing, West Texas Intermediate is down 0.13 percent at $44.83, while Brent is down 0.54 percent at $45.90.

Gasoline supplies saw a 3.6-million-barrel draw – more than two times bigger than the 1.5-million-barrel decrease forecasted. This is the third straight week of U.S. gas supply declines.

Taking on a 4.3-million-barrel draw, distillates saw the seventh week in a row of inventory drops.

The API’s results will either be confirmed or denied by the United States Energy Information Administration (EIA) report, which will be released tomorrow.

Related: The Pen Is Mightier Than The Pump: The Danger Of Shorting An OPEC Deal

The EIA’s report has been watched even more closely than normal due to growing doubts that OPEC will manage to hammer out an output freeze deal. In addition to Iraq’s insistence to be exempted from any such deal because of its urgent need for oil revenues to continue fighting IS, news came that Libya and Nigeria are quickly increasing their output, seeking to make up for lost revenues.

Hopes are dwindling that, even if an agreement is reached and even if Russia joins it, market balanced would be restored, as Libya and Nigeria – both already exempt from the freeze talks – added a combined 800,000 barrels to global oil supply last month.

Zainab Calcuttawala for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

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