Simple but discouraging arithmetic (on oil supply)

Heading Out writes: So now we come to August. The French are sensible and taking the month off. In the United States traffic on the highways is getting heavier even though our vacations are barely half as long as that of the Europeans. And as the political and governing folk disappear for a while, the consumption of oil does not take a holiday but continues to go up.

As mentioned yesterday US consumption is already up 0.5 mbd over last year, and with the economy building steam, one must assume that if anything this growth will get larger as the year moves on.

The OGJ has been running a series on China over the last month, and it is interesting to catch a couple of points from that study. The first is that the Chinese will start filling the tanks, now completed, that form the start of their Strategic Petroleum Reserve. The second is that they have been rapidly building new refineries to help meet the growing demands that have developed.

More after the jump at The Oil Drum.