Sign up
Log in Sign up
This is a legacy page. Please click here to view the latest version.
Wed 16 May 2018, 07:58 GMT

Brent reached new highs of $79.47 before retracing to $78.2


By A/S Global Risk Management.

Michael Poulson, Global Risk Management.
Image credit: Global Risk Management
Yesterday, the American Petroleum Institute (API) released the weekly inventory stats which showed a build in crude of 4.85 mbbl, a draw on gasoline of 3.37 and a draw on distillates of 0.77 mbbl. However, U.S. crude inventories overall have been building during the year.

Global demand remains strong and OPEC seems compliant to the production cut deal. On top of that, re-imposing sanctions on Iran could jeopardize about half a million barrels daily unless other OPEC producers offset those barrels. Adding even more tightness in the market is the situation in Venezuela, which does not seem to improve. The U.S. shale production is, however, surging, but it appears that those many new barrels produced are having a difficult time reaching the global market. The dynamic can as well be observed by looking at the difference between the Brent price and the WTI price. Both are getting more expensive, but the Brent is becoming relatively more expensive than WTI - meaning that the difference (the so-called spread) is increasing.

The EIA is releasing the inventories stats today, but likely the build reported by the API is already priced in. Volatility around release is however expected. Also later today the International Energy Agency (IEA) will release the monthly oil market outlook.

Container ship at harbour. Skuld warns of unusual chemical compounds in Southeast Asian marine fuels  

Marine insurer reports fuels meeting ISO 8217 standards but containing high levels of hydrocarbon compounds.
Arsenio Dominguez, IMO. IMO chief urges progress on net-zero framework amid Hormuz crisis  

Arsenio Dominguez calls for constructive dialogue as MEPC 84 tackles greenhouse gas measures and ballast water regulations.
Monjasa Shaker vessel. Monjasa reflags UAE-based tankers to Emirates registry  

Marine fuels supplier transitions first of three vessels from Liberian to UAE flag.
Ammonia bunkering at Port of Ulsan. Lotte Fine Chemical completes world’s first commercial ammonia bunkering at Ulsan  

South Korean chemical company claims to have established a complete green ammonia value chain.
London skyline. Propeller Fuels seeks bunker trader for London office  

Marine fuel supplier advertises for trader to manage procurement, sales and client relationships.
Windward Hamburg vessel. Fincantieri’s VARD launches first of four offshore wind vessels for Windward Offshore  

VARD 4 19 design vessel features battery hybrid propulsion and green methanol preparation.
Singapore Maritime Week panel session. Singapore industry leaders call for regulatory clarity on maritime energy transition  

SSA councillors highlight need for government support and clear policies to enable alternative fuel adoption.
Aerial view of container vessel at sea. Seaspan and Technolog unveil LNG feeder design with four-week ammonia conversion pathway  

Lloyd’s Register grants approval for a 3,370 TEU vessel concept designed for swift transition to zero-carbon fuel.
David Foo, MPA. Singapore’s MPA backs LNG as part of multi-fuel strategy for shipping decarbonisation  

Authority emphasises regulatory frameworks and workforce development as sector navigates geopolitical uncertainty and energy transition.
ABS and PIL sign MoU. ABS and PIL partner on book-and-claim emissions verification  

Classification society to verify fuel consumption and emissions data for shipping line’s alternative fuel claims.

↑  Back to Top


 Recommended