PeakOil is You
There is No Gas Shortage
Re: There is No Gas Shortage
by TonyPrep » Thu 03 Apr 2008, 14:36:03
$this->bbcode_second_pass_quote('muon', 'D')oes the world have 3 million barrels per day excess production capacity online? Is this what he's referring to? If the answer is yes, how does that all belong to the US?
The article, as quoted in the opening post, isn't very clear. It seems to be mixing world production with US supply. There is almost certainly no excess production at the moment (see the second post for a link to EIA data) and excess capacity is purely speculation. The US has been able to increase stocks (not by 3 mbpd but of the order of 2 mb per week) in recent months but that must be at the expense of other countries' stocks. The overall situation remains very tight.-
TonyPrep - Intermediate Crude
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Re: There is No Gas Shortage
by DantesPeak » Thu 03 Apr 2008, 18:50:48
$this->bbcode_second_pass_quote('TonyPrep', '')$this->bbcode_second_pass_quote('muon', 'D')oes the world have 3 million barrels per day excess production capacity online? Is this what he's referring to? If the answer is yes, how does that all belong to the US?
The article, as quoted in the opening post, isn't very clear. It seems to be mixing world production with US supply. There is almost certainly no excess production at the moment (see the second post for a link to EIA data) and excess capacity is purely speculation. The US has been able to increase stocks (not by 3 mbpd but of the order of 2 mb per week) in recent months but that must be at the expense of other countries' stocks. The overall situation remains very tight.To refresh everyone's memory, in late 2007 the US begged for more supplies from the Mideast - and got them. The US was given a price advantage over east Asia. By about February that prive advantage was removed, while supplies in the East fell. Higher supplies in the US made it appear that high oil prices were caused by speculators.
Now the East has to build up its low supplies fast. South Korea has already halted product exports. Guess who's exporting diesel to make up the difference? The US, even as truckers protets high prices.
I congradulate OPEC on their ability to conceal the effects of PO.
$this->bbcode_second_pass_quote('', '4')/3/08 Oster Dow Jones 15:30:01
April 3, 2008
DJ OPEC Exports In 4 Wks To Apr 19 Seen Up 100,000 B/D -Tracker
LONDON, Apr 03, 2008 (Dow Jones Commodities News via Comtex) -- Crude oil shipments from members of the Organization of Petroleum Exporting Countries are projected to rise by 100,000 barrels a day in the four-week period to April 19 with most sailings heading to Asian markets in an abrupt change from previous weeks, U.K.-based tanker tracker Oil Movements said Thursday.
The consultancy's head, Roy Mason, said that "there has been a very marked switch" and that a much greater proportion of sailings were headed east toward Asian markets and "much less" going west to North America.
"I think the message is that eastern markets are still crude short," Mason said.
Mason added that crude oil inventories in Japan are at three-year lows and that stocks in other Asian markets could be low, too. Insight into stock levels in China and other Asian consumers can be less clear because data tends to be late or sometimes unavailable.
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