Oil swoons to start week
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
About The Author
Matt is a Director of Commodity Research at ClipperData. Matt specializes in extracting key themes from technical and fundamental analysis of the global energy market, and communicating these through daily and weekly deliverables. He also provides oil and natural gas analysis and commentary to national and international media outlets that include CNBC, Fox Business, Russia 24, the Wall Street Journal, MarketWatch, AFP, Bloomberg, Reuters, and the Oil Daily. Prior to joining ClipperData, he worked for eight years at Schneider Electric / Summit Energy as a Global Commodity Analyst, where he also founded and authored the blog, Energy Burrito. He started his career at the Royal Bank of Canada in the UK, spending eight years with the bank. During that time, he managed $55 million in assets as a portfolio manager and financial analyst.