As broader markets steady themselves after Friday’s failed coup attempt in Turkey, the crude complex is starting the week focusing on strong supply, potentially faltering demand to sell off strongly. Hark, here are five things to consider in oil markets today:
1) This morning’s post out on RBN Energy is powered by our ClipperData, digging into the Caribbean crude storage market. The Caribbean has nine crude and refined product terminals, with capacity of over 140 million barrels.
PdVSA, Venezuela’s state-run oil company, accounts for the majority of the terminals located in the southern Caribbean. It operates a number of blending and storage operations offshore Venezuela; the chart below illustrates how crude flows into Curacao are dominated by Venezuela. Imports from other regions such as the U.S. Gulf and West Africa are reflective of the need for Venezuela’s heavy crude to be blended with lighter crude or diluent to be more easily transported.
2) Developments on the Libyan front continue apace. The latest twist and turn has come in the form of the closure of the Hariga oil terminal due to unpaid salaries; workers have apparently not been paid for five months. Our ClipperData show that the Hariga port has been the source of