Hi to all,
Here’s what I have for this week’s price changes:
*Heating oil, stove oil and Diesel all show a drop of 8/10ths of a cent a litre, and...
*Gasoline shows a drop of two cents a litre.
OPEC+ meeting cancelled
OPEC+ decided to cancel their next meeting on the 28th as the Joint Technical Committee met ahead of the meeting to discuss the potential for cancelling any additions to oil production by the group.
An announcement by the group earlier today did not see any potential drop in demand as affecting its policy of adding oil to the world market starting in May with the addition of 350,000 barrels from the OPEC+ group of 23 ministers and 250,000 barrels from Saudi Arabia.
Keep in mind however, that both Japan and India are experiencing outbreaks of Covid-19 that could force the OPEC+ group to revisit the additions to production.
The next meeting of the group is scheduled for June 1st.
US Energy Secretary Jennifer Granholm has warned major oil producers that they must diversify or risk becoming the next Kodak or Blockbuster Video of the energy world.
Granholm was speaking at a special event organised by Politico last week when the message was sent out to the industry that they can no longer keep oil alone in their energy mix, and that they must diversify to other areas of the energy world or risk closure. She invited energy companies to join the green transition or be left behind as the world turns to lower carbon.
US EIA inventories
The latest inventory data from the Energy Information Administration shows a gain in crude stocks of 600,000 barrels while gasoline also increased by 100,000.
Distillate stocks fell by 1.1 million barrels.
US refinery capacity was steady at 85 percent again this week as refined products were closely in balance with inventory results.
US gasoline supplied to the markets was 9.1 million barrels a day against 5.3 million barrels a day for the same timeframe last year.
US domestic production was recorded at 11 million barrels a day.
That’s it for this week!