Tue 19 Dec 2017, 07:41 GMT

Brent remains in the mid-$63s


By A/S Global Risk Management.



News of oil workers' strike in Nigeria, drop in U.S. oil rigs, Forties outage support prices.

Earlier this month, we saw Brent prices nearly touching 61$, but then came news of the north western European Forties pipeline closing due to a damage, and prices inched towards $66. Yesterday saw very low volatility as the market seems to be coping with the shock. But likely the closure is still holding a hand under prices. The pipeline will likely not be running for another 1-3 weeks.

So, what could affect the price during this week? A Nigerian oil union just began an indefinite strike yesterday. Nigeria produces 1.69 mbdp, and it is possible that some of this supply could be endangered. But currently there is no information on if and how many barrels are affected. This event, though, is less likely to cause substantial volatility.

Also, most likely the market will be looking at API inventory count later today, and those of EIA tomorrow.

The year is coming to an end, and some of the large banks are publishing their forecasts of the Brent price next year. Most of the banks are bullish as they raised their forecasts.


MAmmoSS graphic. Mitsubishi Shipbuilding receives order for ammonia fuel handling system  

MAmmoSS system will support shop testing of ammonia marine engines from two licensors.

Neoliner Origin vessel. Kongsberg Maritime to lead EU Horizon project targeting wind-assisted propulsion at scale  

A 15-partner European consortium will use two full-scale vessel demonstrators to validate wind propulsion technology.

Petrobras logo. Petrobras warns of extended MGO and VLSFO supply suspension at Port of Itaqui  

Fuel distributor announces pipeline maintenance shutdowns affecting both MGO and VLSFO supply.

Richard Berkling, PowerCell Group. PowerCell secures SEK 50m marine fuel cell order for two liquid hydrogen cargo ships  

Swedish fuel cell maker wins contract to power two North Sea hydrogen vessels by 2028.

Wärtsilä hydrogen engine. MatH2 consortium launched to tackle hydrogen materials barriers  

New Finnish-led alliance targets materials compatibility challenges holding back hydrogen adoption.

CMA CGM Berenice vessel. CMA CGM takes delivery of fifth methanol dual-fuel boxship in series from Jiangnan Shipyard  

15,000-teu vessel is the penultimate ship in a six-vessel series due for completion in September.

VeriSphere logo. VPS launches VeriSphere Webshop in push to digitise marine fuel services  

Veritas Petroleum Services unveils self-service digital platform giving customers direct access to fuel data tools.

Titus vessel. ExxonMobil and Wallenius Wilhelmsen complete first trial of biofuel blend made from FAME distillation residue  

Vehicle carrier bunkered in Zeebrugge with B30 VLSFO blend.

Chimbusco and Shenergy green methanol agreement signing. 'China’s largest single-order green methanol procurement deal' announced  

Chimbusco and Shenergy seal agreement for 6,000 tonnes of methanol.

Moriond vessel. Exmar takes delivery of third dual-fuel LPG midsize gas carrier in newbuild programme  

Belgian shipping group Exmar takes delivery of the 41,000-cbm LPG carrier Moriond.