Published: Sun, October 14, 2018
Money | By Armando Alvarado

OPEC cuts oil demand estimate in 2019

OPEC cuts oil demand estimate in 2019

Beard added that USA infrastructure limitations would limit US crude exports that could otherwise compensate and new refining capacity coming online in 2019 would add further tightness. The minister further said that India was discussing its options to buy Iranian oil with all authorities.

Volumes for Brent are four times the average for the Asian timezone, while WTI contracts were about 75 percent above typical turnover, McCarthy said.

USA oil prices further dived 3.01 percent Thursday amid a rise in petroleum stockpiles and a deep fall of stock markets.

Media reports suggest that India's largest refiner, International Olympic Committee is importing the "usual" monthly volumes of oil from Iran.

EIA estimated Brent crude oil spot prices averaged 79 dollars a barrel in September, up 6 dollars from August.

That's down from at least 2.5 million bpd in April, before President Donald Trump in May withdrew the United States from a 2015 nuclear deal with Iran and reimposed sanctions.

Oil has rallied this year on expectations the sanctions, coming into force on November 4, will strain supplies by lowering shipments from Iran, OPEC's third-largest oil producer.

Aaron Ramsey says he will see out season with Arsenal
Ramsey was speaking after Wales lost 4-1 to Spain in front of 50,232 at the Principality Stadium, the first match at the ground since 2011.

Beyond weather, traders remain focused on Iranian exports which continue to fall.

In the U.S. Gulf of Mexico, producers have cut daily oil production by roughly 42 percent due to the storm, the Bureau of Safety and Environmental Enforcement said.

"This is due to a weaker economic outlook, trade concerns, higher oil prices and a revision to Chinese data", said the IEA, which advises industrialized countries on energy policy.

Iran's crude exports fell further in early October as buyers sought alternatives ahead of US sanctions that take effect on November 4, according to tanker data and an industry source.

Indian Oil Corp (IOC) and Mangalore Refinery and Petrochemicals Ltd (MRPL) together have placed order for 1.25 million tonne (MT) of crude oil from Iran. But the actual volumes imported may be far less as private sector companies like Reliance Industries Limited (RIL) have totally stopped purchasing oil from Iran and Nayara Energy, formerly Essar Oil, too has made a decision to stop oil import from the Persian Gulf nation.

A release of USA strategic oil stocks to ease the loss of Iranian supplies looked remote and would have limited impact anyway, and a plan by European nations aimed at maintaining trade with Iran was unlikely to help, he added.

Saudi Arabia, the world's biggest oil exporter, will supply Indian buyers with an additional 4 million barrels of crude oil in November, several sources familiar with the matter said. The tankers are sailing to India, China and the Middle East. The world will need nearly 900,000 fewer barrels from the group each day in 2019 - equivalent to Libya's average output this year. As per the tanker tracking data of Refinitiv Eikon and as quoted by Reuters, none of the tankers was directed to Europe in the first week of October. Greece, Spain, Italy, Turkey and South Africa were main customers of Iranian oil before the 2012 sanctions were instituted on Tehran.

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