Oil price falls defying US the crude inventory draw

[hemanthaa@mail.com + 64]

The price of crude oil has been falling while defying the inventory draw reported by the EIA, US Energy Information Administration. This happens when some analysts starts questioning on the reliability of the data and other question the way inferences are made from the data; there are others who question both!

In his second article on the issue, Alex Kimani, writing to oilprice.com, has highlighted the his concerns about the data - and of course, its impact on the current oil prices.

Please read here for more:

[RichieRich216 + 454]

The President of the United States was and still is draining the Petroleum National Reserve at the worst time ever.

The initial costs of replacing this will be wildly expensive when what is released, most of which cannot be refined.

[notsonice + 1,255]

19 minutes ago, RichieRich216 said:

The Retarted President of the United States was and still is draining the Petroleum National Reserve at the worst time ever.

The initial costs of replacing this will be wildly expensive when what is released, most of which cannot be refined.

awe the  price is falling and you are upset. Sleepy Joe once again has outsmarted you (that is pretty easy). Enjoy $3.00 gas is coming to a station near you this next week, thanks to Sleepy Joe.

 

PS The initial costs of replacing this will be wildly expensive??? everything he has sold can now be replaced with cheaper oil........He sold it at better than $90 and now the price is $87....looks like he sold it at a higher price than what it is worth today. Enjoy the thoughts.......

Edited September 1, 2022 by notsonice

[notsonice + 1,255]

Department of Energy

DOE Issues Fifth Emergency Notice of Sale of Crude Oil From the Strategic Petroleum Reserve

July 26, 2022

Notice is Part of Biden-Harris Administration’s Continued Actions to Help Protect Americans from Putin’s Price Hike at The Pump

DOE Issues Fifth Emergency Notice of Sale of Crude Oil From the Strategic Petroleum Reserve

July 26, 2022

 

 

 

WASHINGTON, D.C.—The U.S. Department of Energy’s (DOE) Office of Fossil Energy and Carbon Management (FECM) today announced an additional Notice of Sale of up to 20 million additional barrels of crude oil from the Strategic Petroleum Reserve (SPR). This Notice of Sale is part of President Biden’s announcement on March 31, 2022 authorizing the sale of crude oil from the SPR to address the significant market supply disruption caused by Putin’s war on Ukraine and help lower energy costs for American families.

The President’s announcement called to release one million barrels of SPR crude oil per day over six months. This historic release of SPR crude has provided a record amount of crude oil supply to the U.S. economy and will continue until the end of October 2022.   

DOE plans to release, from the SPR, up to 2.8 million barrels of sour crude oil and 17.2 million barrels of sweet crude oil, totaling 20 million barrels with deliveries from September 16 until October 21, 2022. DOE must receive bids for this notice no later than 10:00 a.m. Central Time on August 2, 2022. Contracts will be awarded to successful offerors no later than August 11, 2022. 

The sale will be conducted with crude oil from the following three SPR sites:

• Up to 7.6 million barrels from Big Hill
• Up to 9.6 million barrels from West Hackberry
• Up to 2.8 million barrels from Bryan Mound

The SPR is the world's largest supply of emergency crude oil, and the federally owned oil stocks are stored in underground salt caverns at four storage sites in Texas and Louisiana. The SPR has a long history of protecting the economy and American livelihoods in times of emergency oil shortages.

Any company registered in the SPR’s Crude Oil Sales Offer Program is eligible to participate in this and other SPR crude oil sales. Other interested companies may register through the SPR’s website: Crude Oil Sales Offer Program.

For more information on the SPR please visit Infographic: Strategic Petroleum Reserve and Fact Sheet: Strategic Petroleum Reserve. Sign up to receive future FECM news alerts here

Edited September 1, 2022 by notsonice

[RichieRich216 + 454]

On 9/1/2022 at 4:00 PM, notsonice said:

awe the  price is falling and you are upset. Sleepy Joe once again has outsmarted you (that is pretty easy). Enjoy $3.00 gas is coming to a station near you this next week, thanks to Sleepy Joe.

 

PS The initial costs of replacing this will be wildly expensive??? everything he has sold can now be replaced with cheaper oil........He sold it at better than $90 and now the price is $87....looks like he sold it at a higher price than what it is worth today. Enjoy the thoughts.......

Well it was filled when oil was between $1.80 and $2.25 per barrel.

 

[Boat + 1,324]

That oil goes to the world market because sleepy wants to help the world. The US is oil independent and doesn't need the oil. As demand drops because of Elon Musk it will be easy to replace that oil. Oil prices will collapse in a few million cars. Those trillions of solar panels coming? Yep, gas going to Europe till investment becomes increasingly stranded. Time everything right and invest away. Ethane for plastics is a bright spot. Lose 40 mbpd and gain a couple. 

[Ecocharger + 1,477]

3 hours ago, Boat said:

That oil goes to the world market because sleepy wants to help the world. The US is oil independent and doesn't need the oil. As demand drops because of Elon Musk it will be easy to replace that oil. Oil prices will collapse in a few million cars. Those trillions of solar panels coming? Yep, gas going to Europe till investment becomes increasingly stranded. Time everything right and invest away. Ethane for plastics is a bright spot. Lose 40 mbpd and gain a couple. 

EVs are less than 1% of the transportation market by value and by transportation miles, just a pinprick in the overall picture.

Edited September 3, 2022 by Ecocharger

[Boat + 1,324]

20 hours ago, Ecocharger said:

EVs are less than 1% of the transportation market by value and by transportation miles, just a pinprick in the overall picture.

Yet you Mongolian coal boys spend so much time on Musk and the Chinese. The transportation market is behemoth. We keep saying a couple of decades along with tech improvements are still needed. Talking to an ideology with no woke makes it hard to find consensus. 

[Ecocharger + 1,477]

9 hours ago, Boat said:

Yet you Mongolian coal boys spend so much time on Musk and the Chinese. The transportation market is behemoth. We keep saying a couple of decades along with tech improvements are still needed. Talking to an ideology with no woke makes it hard to find consensus. 

Decades from now the picture will much the same as today, a fossil fuel related industry.

[Michael Sanches + 187]

On 9/3/2022 at 6:21 AM, Boat said:

That oil goes to the world market because sleepy wants to help the world. The US is oil independent and doesn't need the oil. As demand drops because of Elon Musk it will be easy to replace that oil. Oil prices will collapse in a few million cars. Those trillions of solar panels coming? Yep, gas going to Europe till investment becomes increasingly stranded. Time everything right and invest away. Ethane for plastics is a bright spot. Lose 40 mbpd and gain a couple. 

"That oil goes to the world market because sleepy wants to help the world."

Biden is not world ruler. He is not responsible for the world. The reserve is to protect the US. 

"The US is oil independent and doesn't need the oil."

This not why people have a savings account. You save in times of plenty for times of scarcity so you can SURVIVE. 

Wholesale price of gasoline is going back up. Diesel is already going up.

"Those trillions of solar panels coming?"

Yup, Solyndra is filling your solar panel order at this very moment. Watch for the mailman every day.

 

 

 

[Boat + 1,324]

Of course Biden is the world leader and Alpha dog. WWII and the worlds largest military make it so. If the US needed a savings account of oil we could just use the Canadian oil that’s now shipped on the open market. Besides we’re all going electric so playing with extra oil is not a big deal. Apparently you foreigners missed the decades scale and ramp up time needed to end the need for ice cars and nat gas for electricity. In a couple years Tesla will make over 50,000 semis per year. In a decade kiss diesel demand goodbye. You boys just can’t grasp the changes coming. 

[footeab@yahoo.com + 2,192]

52 minutes ago, Boat said:

Of course Biden is the world leader and Alpha dog. WWII and the worlds largest military make it so. If the US needed a savings account of oil we could just use the Canadian oil that’s now shipped on the open market. Besides we’re all going electric so playing with extra oil is not a big deal. Apparently you foreigners missed the decades scale and ramp up time needed to end the need for ice cars and nat gas for electricity. In a couple years Tesla will make over 50,000 semis per year. In a decade kiss diesel demand goodbye. You boys just can’t grasp the changes coming. 

Utopia a decade or two away does not help.  Its called PLANNING... Or more precisely rational thought instead of dreams

[Ecocharger + 1,477]

On 9/4/2022 at 10:07 PM, Boat said:

Of course Biden is the world leader and Alpha dog. WWII and the worlds largest military make it so. If the US needed a savings account of oil we could just use the Canadian oil that’s now shipped on the open market. Besides we’re all going electric so playing with extra oil is not a big deal. Apparently you foreigners missed the decades scale and ramp up time needed to end the need for ice cars and nat gas for electricity. In a couple years Tesla will make over 50,000 semis per year. In a decade kiss diesel demand goodbye. You boys just can’t grasp the changes coming. 

The US is top dog thanks to the military...which is reliant on oil and gas, and always will be.

[Jay McKinsey + 1,490]

16 minutes ago, Ecocharger said:

The US is top dog thanks to the military...which is reliant on oil and gas, and always will be.

US Army: 

The Army set an ambitious goal for deploying 1 gigawatt (GW) of renewable energy projects – enough to supply approximately 250,000 homes – by 2025.

• Development of large-scale renewable energy projects will help strengthen energy security while supporting the Army’s energy goals.
• The Army needs 2.5 million MWh a year to meet its goal of 25 percent renewable energy by 2025.

[Jay McKinsey + 1,490]

On 9/4/2022 at 8:11 PM, Michael Sanches said:

"That oil goes to the world market because sleepy wants to help the world."

Biden is not world ruler. He is not responsible for the world. The reserve is to protect the US. Biden is acting like a traitor.

"The US is oil independent and doesn't need the oil."

This not why people have a savings account. You save in times of plenty for times of scarcity so you can SURVIVE. 

Wholesale price of gasoline is going back up. Diesel is already going up.

"Those trillions of solar panels coming?"

Yup, Solyndra is filling your solar panel order at this very moment. Watch for the mailman every day.

 

 

We created the oil reserve when we thought we were running out of oil. Now we know we aren't so our oil reserve is now called the Permian Basin.

Wholesale price of gasoline is dropping fast:

 

[notsonice + 1,255]

On 9/2/2022 at 12:26 PM, RichieRich216 said:

it was filled when oil was between $1.80 and $2.25 per barrel.

$3 gas in my neck of the woods....

What do you think a good price is to start filling it up again???

$50? $60?  you can bet he will do it at the right time and when Oil is hurting in the US I figure mid next year. 

SPR....Strategic is the first word and Sleepy Joe sure did have great strategic timing in the releases.....

price is headed down down down, Russias dream of using energy as a weapon of war has not broken NATO, and Saudi Arabia can go f itself and you can thank Sleepy Joe.

 

PS I do have a nice basement of my own...and you? does your trailer have a basement? 

[RichieRich216 + 454]

11 hours ago, notsonice said:

...$3 gas in my neck of the woods....

What do you think a good price is to start filling it up again???

$50? $60?  you can bet he will do it at the right time and when Oil is hurting in the US I figure mid next year. 

SPR....Strategic is the first word and Sleepy Joe sure did have great strategic timing in the releases.....

price is headed down down down, Russias dream of using energy as a weapon of war has not broken NATO, 

PS I do have a nice basement of my own...and you? does your trailer have a basement? 

When oil gets below , You don't own your house if you even have one, the bank does.

The nice thing about wealth is you little people do all the work! I have not cut my grass or yard care ever! I need people like you to do the little things.

[Ron Wagner + 710]

On 9/3/2022 at 6:21 AM, Boat said:

That oil goes to the world market because sleepy wants to help the world. The US is oil independent and doesn't need the oil. As demand drops because of Elon Musk it will be easy to replace that oil. Oil prices will collapse in a few million cars. Those trillions of solar panels coming? Yep, gas going to Europe till investment becomes increasingly stranded. Time everything right and invest away. Ethane for plastics is a bright spot. Lose 40 mbpd and gain a couple. 

What is bringing the price down is China redistributing and using more Russian oil and natural gas. Therefore, it does not need to import as much from other producers. The now Chinese (really Russian) oil and natural gas meets their needs and adds a retailers profit while Russia has to offer a lower price than they could have had from Europe if they were not so greedy.

Edited September 8, 2022 by Ron Wagner

[footeab@yahoo.com + 2,192]

2 hours ago, Ron Wagner said:

What is bringing the price down is China redistributing and using more Russian oil and natural gas. Therefore, it does not need to import as much from other producers. The now Chinese (really Russian) oil and natural gas meets their needs and adds a retailers profit while Russia has to offer a lower price than they could have had from Europe if they were not so greedy. Meanwhile they are losing land in southern Ukraine and spending lots of blood and money on Putin's failed war. That war is greatly damaging Russia and weakening it. 

Well, not really.  The speculators ran wild initially until reality reared and up and one noticed nations do not care about "insurance" as demanded by the Europeans for oil tankers when they own them.  Notice the oil is still flowing through the pipes to Europe... the NG has taken a hit.  IF Euro's stop actually buying Russian oil, then prices will go up.  Until then... Flat.  Or, China buys the Russian oil, pulls down their Chinese flag, throws up a Panamanian flag and finds the nearest Euro fool port to offload at. 

EDIT: My bad, the Corrupt Greeks will do it for them... https://www.msn.com/en-us/news/other/russian-oil-is-still-flowing-to-europe-as-dozens-of-vessels-have-made-ship-to-ship-transfers-off-the-greek-coast-since-the-invasion-of-ukraine-report-says/ar-AA11BrS2

Edited September 8, 2022 by footeab@yahoo.com

[Jay McKinsey + 1,490]

51 minutes ago, footeab@yahoo.com said:

Well, not really.  The speculators ran wild initially until reality reared and up and one noticed nations do not care about "insurance" as demanded by the Europeans for oil tankers when they own them.  Notice the oil is still flowing through the pipes to Europe... the NG has taken a hit.  IF Euro's stop actually buying Russian oil, then prices will go up.  Until then... Flat.  Or, China buys the Russian oil, pulls down their Chinese flag, throws up a Panamanian flag and finds the nearest Euro fool port to offload at. 

EDIT: My bad, the Corrupt Greeks will do it for them... https://www.msn.com/en-us/news/other/russian-oil-is-still-flowing-to-europe-as-dozens-of-vessels-have-made-ship-to-ship-transfers-off-the-greek-coast-since-the-invasion-of-ukraine-report-says/ar-AA11BrS2

The oil embargo and insurance cut doesn't begin until Dec. 5th.  The Egyptians certainly care very much about insurance and the cut is going to drastically slow the flow of oil to India and Saudi. All the way around Africa from Yamal, good times.

Edited September 8, 2022 by Jay McKinsey

[footeab@yahoo.com + 2,192]

1 hour ago, Jay McKinsey said:

The oil embargo and insurance cut doesn't begin until Dec. 5th.  The Egyptians certainly care very much about insurance and the cut is going to drastically slow the flow of oil to India and Saudi. All the way around Africa from Yamal, good times.

Why would the Egyptians care?  The Greeks are transshipping it off Russian tankers..... Indian's have bought up roughly 1M barrels.  These guys own their own tankers.  So do the Chinese.  So, of the currently sanctioned Russian oil with final cut off date of you said Dec. 5th(it will be pushed back) not being delivered to Europe currently, Greeks and Indian's by themselves have vacuumed up 50% of them.  China has also increased by a nice tidy ~50% or roughly another 500,000barrels/day. 

Just means that Russia with its own OWNED tankers will send the oil to Africa/S. America + a bit through the Arctic instead of Europe and Africa will send its oil to Europe. 

So, of the sanctioned oil, ~2/3 and INCREASING??? is already in hulls which do not care about sanctions or insurance issues.  Of course maximum terminal capacity has essentially already been reached so the INCREASING portion I do not expect.  So, total loss of Russian oil by my best guess will be around 2M barrels a day at worst.  Significant for sure, but not the, "OH MY GOD!" world is going to see ~8M barrels go offline. 

Edited September 8, 2022 by footeab@yahoo.com

[Jay McKinsey + 1,490]

Just now, footeab@yahoo.com said:

Why would the Egyptians care?  The Greeks are transshipping it off Russian tankers..... Indian's have bought up roughly 1M barrels.  These guys own their own tankers.  So do the Chinese.  So, of the currently sanctioned Russian oil with final cut off date of you said Dec. 5th(it will be pushed back) not being delivered to Europe currently, Greeks and Indian's by themselves have vacuumed up 50% of them.  China has also increased by a nice tidy ~50% or roughly another 500,000barrels/day. 

So, of the sanctioned oil, ~2/3 and INCREASING??? is already in hulls which do not care about sanctions or insurance issues.  Of course maximum terminal capacity has essentially already been reached so the INCREASING portion I do not expect.  So, total loss of Russian oil by my best guess will be around 2M barrels a day at worst.  Significant for sure, but not the, "OH MY GOD!" world is going to see ~8M barrels go offline. 

The Greeks won't be transshipping it after Dec. 5th. Owning the tanker is irrelevant to the issue of ports and canals accepting its insurance.

You keep saying the hulls don't care about insurance but they all have insurance today. You have absolutely no basis for your claim.

[footeab@yahoo.com + 2,192]

22 minutes ago, Jay McKinsey said:

The Greeks won't be transshipping it after Dec. 5th. Owning the tanker is irrelevant to the issue of ports and canals accepting its insurance.

You keep saying the hulls don't care about insurance but they all have insurance today. You have absolutely no basis for your claim.

When someone needs oil, they do not give a tinkers DAMN about insurance.  The only reason insurance is done today is not because the carriers want it.  Rather the opposite in fact.

[Jay McKinsey + 1,490]

2 minutes ago, footeab@yahoo.com said:

When someone needs oil, they do not give a tinkers DAMN about insurance.  The only reason insurance is done today is not because the carriers want it.  Rather the opposite in fact.

Insurance is not about the carriers, it is about the ports and canals. Of the many key parts you are missing, most notably is that if Egypt isn't getting the oil then why should they wave the insurance? Russia will have to pay them a lot of money to let a tanker through the canal without insurance.