EnergyScan

Christmas outages

ICE Brent crude prices rebounded, with ICE Brent February contract touching 75 $/b while time spreads were back in backwardation. Indeed, outages in OPEC countries continue to stack, with Libyan production likely to be down by 0.8 mb/d due to political tensions between the NOC and the oil ministry. Yesterday, we also learned that Shell had declared force majeure on its Forcados port January loading program (200 kb/d on average). The situation around Ecuador’s pipeline outage appears to be unresolved too. This will likely leave the Atlantic sweet crude market tight throughout Q1 22, despite a seasonal slowdown in refining runs. In the US, crude stocks continued to draw by more than 6 mb, without a significant export number as many expected the ad valorem tax incentive to influence US balances throughout year-end. Gasoline stocks built by more than 5 mb, a good sign for 2022 RBOB’ summer balances. Jet demand, at 1.5 mb/d, continued to be increasingly close to 2019’s pre-COVID levels while stocks continued to be drained. 

Share this news :
Share on twitter
Share on linkedin
Share on email

You might also read :

ES-power
April 26, 2022

A quick reversal of carbon prices

The European power spot prices inched up yesterday as forecasts of higher demand and falling wind production were mostly offset by expectations of improved French…
Join EnergyScan

Get more analysis and data with our Premium subscription

Ask for a free trial here

Don’t have an account yet?  Sign up here!

[booked-calendar]