• 4 minutes Projection Of Experts: Oil Prices Expected To Stay Anchored Around $65-70 Through 2023
  • 7 minutes Oil prices forecast
  • 11 minutes Algorithms Taking Over Oil Fields
  • 14 mintues NIGERIAN CRUDE OIL
  • 4 mins UK, Stay in EU, Says Tusk
  • 12 hours Socialists want to exorcise the O&G demon by 2030
  • 7 hours How Is Greenland Dealing With Climate Change?
  • 9 hours Blame Oil Price or EVs for Car Market Crash? Auto Recession Has Started
  • 3 hours Venezuela continues to sink in misery
  • 7 hours German Carmakers Warning: Hard Brexit Would Be "Fatal"
  • 9 hours WSJ: Gun Ownership on Rise in Europe After Terror Attacks, Sexual Assaults
  • 3 hours Maritime Act of 2020 and pending carbon tax effects
  • 1 day "Peace Agreement" Russia vs Japan: Control Over Islands Not Up For Discussion
  • 1 day Regular Gas dropped to $2.21 per gallon today
  • 15 hours Orphan Wells
  • 10 hours Trump inclined to declare national emergency if talks continue to stall - Twitter hides this as "sensitive material"
  • 16 hours Solid-State Batteries
Canada’s Crude Oil Production Cuts Are Unsustainable

Canada’s Crude Oil Production Cuts Are Unsustainable

With Canada’s pipeline bottlenecks weighing…

US Oil To The Rescue As Italy Runs Short On Libya/Iran Challenges

Oil tanker

Libya’s oil disruptions would normally wreak havoc in Italy—one of Libya’s top oil consumers—but the United States is serving as a pinch hitter in the wake of civil unrest in the troubled African nation.

Trade flow data from Thomas Reuters and Kpler shows that Italy’s imports of US crude spiked as Libya struggled to ship oil under force majeure in recent months.

In June, Italy imported a record 4.93 million barrels of crude oil from the United States, or 165,000 barrels per day, according to Kpler. That represents a noteworthy increase to the 3.3 million barrels shipped from the US to Italy in May and 1.9 million barrels in April. Kpler predicts that 2.14 million barrels are set to ship from the US to Italy in July.

On the flip side, Libya’s shipments to Italy were 9.73 million barrels in May, followed by a drastic decrease in June to 3.45 million barrels.

Libya had reopened its eastern oil ports in mid-July after they had been shuttered for weeks, but within days, the NOC declared a force majeure on loadings from Zawiya, following an attack and an abduction of oil workers. Production was set to decline substantially as a result of the closure, but Ras Lanuf, Zuwetina, Hariga, and Es Sider have either resumed or are expected to resume shortly. Yesterday, reports surfaced that even more production capacity in Libya was expected to come online as other fields gear up for restart, including Waha and Elephant.

Related: Oil Investors Look To Utah For Long-Term Riches

Libya’s short shipments of oil come at a particularly bad time for Italy, who has also had to dial back imports of Iranian oil; another of Italy’s top oil suppliers. Trading sources in Italy who normally purchase Iranian crude oil told S&P Global Platts that August loading stems would likely be their last, as logistical concerns including financial, shipping, and insurance matters prove difficult for European refiners.

Libya’s shortcomings and Iran’s blacklisting are proving a boon for US oil, and may also be a boon for Iraq’s oil, which also offers a light grade.

By Julianne Geiger for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment
  • randy lessard on July 23 2018 said:
    If we are going to ween countries off Iran's oil, and ship us crude to cover the loss overseas can only mean one thing. Higher prices in the usa
  • Terry on July 22 2018 said:
    Africans fight over 'free stuff' but they don't make anything but babies, and fried food.
  • Geno Fazzoli on July 22 2018 said:
    US to the rescue to prevent the largest bad hair day in Italian history.
  • Pete Townsend on July 21 2018 said:
    Don't worry there is plenty to go around. Some people are making a mountain out of a mole hill. The US is very kind to step up to the plate and feed Italy the juice.

Leave a comment

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