Prices go down as American stockpiles fell by 1.163 million barrels

Prices go down as American stockpiles fell by 1.163 million barrels

Prices go down, as American stockpiles fell by 1.163 million barrels

Prices go down as American stockpiles fell by 1.163 million barrels: On Tuesday 17th August 2021 the American petroleum institute (API)
declared a drawback in stockpiles by 1.163 million barrels by the week ending August 13th.

Thus the American stockpiles fell to more than 56 million barrels in 2021, according to data by the (API).

Analysts expected a drawback in stockpiles by 1.259 million barrels this week.

The API declared a drawback by 816.000 barrels for the previous week,
which is less than analysts’ 1.050 million barrels expectations

The API said that gasoline stocks drew back by 1.1979 million barrels by the week ending August 13th compared with the previous week’s drop by 1.114 million barrels.

Distillate stockpiles rose by 502.000 barrels throughout the week compared with the previous week’s rise by 673.000barrels.

Cushing stockpiles fell by 1.735 barrels this week as they dropped by 673 barrels in the previous week.

Crude oil prices for the week

West Texas Intermediate crude fell by 1% by Tuesday afternoon before data publishing,
to reach 66.58$ in trades (dropped by 50$ on the day and less by 2$ in the week) while Brent crude fell 0.45% to 69.20$.

Oil production weekly rates

Although American stockpiles continued to drawback, American oil production rose from 11 million barrels per day
at the beginning of the year to 11.2 million for now (a rose by 100.000 barrels throughout the week.)

Saudi Aramco sells gas pipelines assets

Some resources mentioned to Reuters that Saudi Aramco is trying to get 17 billion dollars by selling a big share of its gas pipelines,
this would be more than the 12.4 billion dollars gotten by oil pipeline sale if Aramco succeeded in selling this share.

They mentioned that Aramco will get in contact with potential bidders including North American private equity
and infrastructure funds and also state-backed funds in China and South Korea through its advisors
before conducting a formal sale process in the next few weeks.

Reuters has been told that the deal may include 3.5 billion dollars of equity and the remainder will be funded by bank debt.

Also, the deal size may be more than 20 billion dollars.

A resource said that the deal is mainly concerned with the long-term vision of gas utilization and use in Saudi Arabia.

According to the 2030 vision, more industries will turn to gas, which will lead to a rise in oil demand domestically.

Aramco is already working on the deal with JPMorgan and Goldman Sachs to make use of potential buyers.

Companies being used include companies shared in the sale process of oil pipelines belonging to Abu Dhabi national oil,
bought by a union of investors including Global Infrastructure Partners, Brookfield,
Singapore sovereign wealth fund GIC, and European gas infrastructure owner and operator SNAM.

Brazil offers low carbon projects to the biggest oil companies

“Brazil tries to attract the biggest oil companies to new projects which use low carbon technology,” Reuters mentioned, according to sources.

Exxon and Total Energies were aiming to make potential talks about whether the new fields will be sold in December, according to Reuters.

Brazil is about to be the world’s biggest oil exporter, Brazil will shape 23% of sea oil by 2025,
by 1.3 million barrels per day, due to the progress in its giant stockpiles.

Which succeeded in getting more interest because of production low costs.

Brazil is the homeland of BUZIOS, the world’s biggest deepwater field by the production of nearly 600.000 barrels per day,
but PETROBRAS plans to increase production three times more than it is in the next decade.

PETROBRAS the biggest oil company controlled by the state aims to raise its production of oil equivalent from 2.7 million barrels per day to 3.3 million barrels per day by 2025, aiming at this the company tries to improve new fields near to borders with Giana,
it is a site of new discoveries series made by Exxon and its partner Stabroek Block Hess.

Libya’s oil industry needs a new national budget

“Libya is doing its best to maintain crude oil production to its levels in case
the state fails in solving a long-term struggle for the budget.

” Libya’s oil minister Muhammad Oun in a statement.

Oun said to Bloomberg that Libya aims to raise production to 1.5 million barrels,
which is near to current production by 1.3 million barrels per day.

Sources mentioned that OPEC estimated Libya’s oil production in July by 1.165 million barrels, also,
Libya’s direct production of crude oil reached 1.273 million barrels, according to the latest monthly oil market report by OPEC.

But the success of such a plan is still in danger as discrimination on the first national budget in a decade is rising.

Unless an agreement on the budget is reached, there will be difficulties in maintaining production rates, Oun said.

Libya isn’t included in OPEC’s reductions for now.

Libya’s oil production stopped for eight months after the port surroundings in January 2020,
even after lifting the surrounding in September Libya’s oil production didn’t stabilize, as oil constructions guards protested for not being paid their salaries and lack of money needed for infrastructure maintenance and repairs.

The last cut in production was caused by a leak in a pipeline to low production by 70.000 barrels per day,
as repairs and damages were conducted.  


Prices go down as American stockpiles fell by 1.163 million barrels

Leave a Comment

Your email address will not be published. Required fields are marked *