|Day's range||52.76 - 53.06|
(Bloomberg) -- Oil fell after an industry report showed a sharp jump in U.S. inventories, adding to concern that supply keeps growing as demand ebbs.Futures in New York dropped as much as 1.1% after closing up 1% on Wednesday. The American Petroleum Institute reported crude inventories rose by 10.5 million barrels last week, according to people familiar with the data. That would be the biggest increase since February 2017 if confirmed by the official Energy Information Administration figures due Thursday.The Organization of Petroleum Exporting Countries faces a “serious challenge” to defend oil prices next year as fuel-demand growth could slow further amid a wave of new supply from the U.S., Brazil and the North Sea, the International Energy Agency warned on Wednesday. Progress toward a limited U.S.-China trade deal, while positive, isn’t likely to have a major impact on global economic growth unless existing tariffs are rolled back.See also: Oil Market’s Big Data Show OPEC+ Will Have to Cut Output AgainThe best-case scenario on U.S.-China trade would be a truce and no further tariff increases, Daniel Hynes and Soni Kumari, commodity strategists at ANZ Banking Group Ltd., said in a note. There’s also still a high chance of more supply disruptions in the Middle East, they said.West Texas Intermediate for November delivery dropped 55 cents, or 1%, to $52.81 a barrel on the New York Mercantile Exchange as of 7:24 a.m. in London. The contract added 55 cents on Wednesday, its first gain in three days.Brent crude for December settlement fell 54 cents, or 0.9%, to $58.88 on the London-based ICE Futures Europe Exchange. The global benchmark crude traded at a premium of $5.94 to WTI for the same month.If the EIA data also shows an increase in U.S. stockpiles that would be the fifth straight weekly gain, the longest run since February. American inventories probably rose by 3 million barrels last week, according to the median estimate in a Bloomberg survey.\--With assistance from James Thornhill and Dan Murtaugh.To contact the reporter on this story: Elizabeth Low in Singapore at firstname.lastname@example.orgTo contact the editors responsible for this story: Serene Cheong at email@example.com, Andrew JanesFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
A palm oil industry watchdog will adopt rules next month that will impose fines on consumer goods companies like Unilever and Nestle if they don't start buying more green palm oil to help curb deforestation in Southeast Asia, the regulating body said. Producers of palm oil, a commodity used in everything from ice cream to lipstick, are blamed for destroying millions of hectares of forest in Southeast Asia, in part by using slash-and-burn techniques that blanketed Singapore, Malaysia and Indonesia in smog in September. The growers, though, say palm oil buyers like Unilever , Nestle , Procter & Gamble Co and PepsiCo share responsibility because they don't buy enough sustainably produced oil, undermining efforts to reward those who adopt greener practises and reduce deforestation.
Oil prices fell by 1% on Thursday after industry data showed a larger-than-expected build-up in stocks in the United States, although losses were limited by comments by U.S. Treasury Secretary Steven Mnuchin on a U.S.-China trade deal. Global benchmark Brent crude oil futures was down by 57 cents, or nearly 1%, at $58.85 a barrel by 0629 GMT. U.S. crude oil futures were down 56 cents, or 1%, at $52.80.
The American Petroleum Institute has estimated a major crude oil inventory build of 10.45 million barrels, nearly 8 million barrels more than estimated
Natural Gas is coming up against increasingly strong resistance from environmental activists and the public in general, leading some to question whether it will face the same fate as coal
An Iranian National Security official claims to have evidence that Saudi Arabia, Israel and the U.S. were responsible for the attack on Iran’s oil tanker
(Bloomberg) -- A fire at a San Francisco-area fuel terminal is contained after spewing black smoke high in the air, snarling rush-hour traffic and prompting officials to ask residents to take shelter.Authorities are working to assess any health threat from the fire that affected two tanks at NuStar Energy LP’s Selby Terminal in Crockett, about 25 miles (40 kilometers) northeast of San Francisco, the Contra Costa Country fire department said on Twitter. The tanks held “very low volumes of ethanol” comprising less than 1% of their capacity, NuStar said.All operations have been suspended, and product shipments in and out of the facility are halted. All personnel are safe, the company said.NuStar’s shares fell 0.8% to $28.11 at 2:59 p.m. in New York on Wednesday.An order for residents to remain indoors has been lifted for all affected areas near the NuStar facility, the Contra Costa County Health Department said in a tweet. Since there is no longer any imminent danger to the public, a section of Interstate 80 near the terminal that had been closed in both directions has now re-opened, the California Highway Patrol said in a tweet.The blaze came less than a day after an earthquake forced Marathon Petroleum Corp. to shut units at its nearby Martinez refinery, threatening to push up gasoline prices that had just eased from the highest level in seven years. Disruptions at California refineries sent retail pump prices in the state well above $4 a gallon.The fire involved two tanks. Three others, holding ethanol and jet fuel, were checked for structural damage, found to be sound and then were vented, Steve Hill, a spokesman for the Contra Costa Fire Protection District, said at a televised news conference on Wednesday.Hill said new, smaller tanks were delivered by NuStar to collect a combination of waste ethanol, water and up to 15,000 gallons of fire-retardant foam from ponds near the burned tanks. He also said the small amount of product in storage had benefited the firefighting effort."We have dodged some bullets in the last 24 hours," Hill said. "Yes, those tanks were almost empty, but that also means they had extra amounts of oxygen inside."Hill said alternate piping was being installed to replace damaged equipment and reconnect the terminal to Northern California oil supply. He said a terminal contractor was briefly trapped in a nearby culvert Tuesday night before he was rescued.The two burned tanks contained a combined 250,000 gallons of ethanol. The blaze had spread to 15 acres of nearby vegetation. Between 12 and 20 nearby residents were evacuated.The incident comes a week after the state’s utility PG&E Corp. shut power to 738,000 homes and businesses to prevent wildfires similar to those that devastated the state last year, causing dozens of fatalities.Phillips 66, whose Rodeo refinery is less than a mile away, has not been impacted, Dennis Nuss, a company spokesman, said Wednesday. NuStar operates about 9,800 miles of pipeline and 74 terminal and storage facilities that store and distribute crude oil, refined products and specialty liquids. Its San Francisco-area facility has a capacity of about 3 million barrels of gasoline, diesel, jet fuel and ethanol, according to the company’s website.(Updates fourth paragraph with share price, seventh paragraph onward with details on the incident.)\--With assistance from Ann Koh, Natnicha Chuwiruch, Bill Lehane and Brian Eckhouse.To contact the reporters on this story: Robert Tuttle in Calgary at firstname.lastname@example.org;Jeffrey Bair in Houston at email@example.comTo contact the editors responsible for this story: David Marino at firstname.lastname@example.org, Jessica Summers, Mike JeffersFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Brazil's Senate passed the main text of a bill late on Tuesday defining the distribution of proceeds from a blockbuster auction of oil prospecting rights, a key milestone for the enormous offshore region known as TOR - the 'transfer-of-rights' area. The bidders who win exploration and production rights in the massive Nov. 6 auction will be obliged to pay the government a combined signing bonus of some 106.5 billion reais ($25.8 billion), making it the largest oil bidding round in history, according to Brazilian authorities. The fields are unique as Brazilian state-run oil firm Petroleo Brasileiro SA, better known as Petrobras, has already done significant exploration work in the area.
The White House is warning Chinese shipping companies against turning off their ships' transponders to hide Iranian oil shipments in violation of U.S. sanctions, two senior administration officials said. "We've been messaging very heavily to the shipping companies, you don't want to do this, it's not worth it," said one official, who spoke to Reuters on condition of anonymity. China is the largest remaining buyer of Iranian oil after U.S. President Donald Trump reimposed sanctions on Tehran's main export.
Investing.com - Oil prices slid further below the $59 a barrel level on Wednesday, pressured by ongoing concerns over the global demand outlook, as energy traders awaited inventory data for fresh insights on the supply side.
Crude oil bounced from its yesterday’s lows, and the oil bulls rebuffed another attempt to move lower earlier today. Does that mean that the upswing can continue now, or a cautious approach would win the day?
Malaysia will work diplomatically with India if it decides to restrict imports of Malaysian palm oil, Prime Minister Mahathir Mohamad said on Wednesday, according to the state news agency Bernama. Reuters reported last week that India was considering curbing imports of some Malaysian products, including palm oil, after Kuala Lumpur criticised New Delhi for its actions in Kashmir. Malaysia is the world's second-largest producer and exporter of palm oil after Indonesia, and India is Malaysia's third-largest market for the oil.
Oil rose on Wednesday, gaining support due to signs that OPEC and allied producers will continue to curb supplies in December, a weaker U.S. dollar and as traders covered short positions ahead of an industry report on U.S. crude inventories. U.S. crude gained 55 cents, or 1.04%, to settle at $53.36. U.S. crude inventories in the week to Oct. 11 rose to 432.5 million barrels, according to the American Petroleum Institute's weekly report ahead of government stocks data due on Thursday.
Investing.com - Oil prices recovered on Wednesday in Asia amid renewed hopes of a potential Brexit deal between the U.K. and the European Union.
China has refocused its attention on Iraq for its One Belt, One Road project, looking to take advantage of the Kurds weakened positioned and Russia’s strength in the region
NEW DELHI/MEXICO CITY (Reuters) - India's Nayara Energy has been using Russian giant Rosneft as an intermediary to acquire Venezuelan oil, paying it in fuel rather than cash to avoid violating U.S. sanctions, three sources with knowledge of the transactions said. The United States in January prohibited U.S.-dollar transactions for oil sales from Venezuela's PDVSA or its units, a measure intended to cut off cash flows and increase pressure on President Nicolas Maduro, whose 2018 re-election has been dismissed as a sham by Washington. The sanctions have made some banks wary of processing any transaction for Venezuelan oil, even if the seller is not the state-run company.