re: Oil Glut is Over

BWAHAHAHAHA

Some of those news photos are of dry bulk carriers not tankers. That being said it isn't like 2016 was in the Gulf of Mexico. CA imports from Persian Gulf already, Hawaiian refineries definitely import from there, cheaper freight than from elsewhere and Alaskan crude has to high sulfur for the metallurgy for Hawaiian refineries.

I’m hearing very positive sounding news on this front as well.

This week alone Crude prices have slowly but steadily rebounded. Probably driven by: storage shortages ended not being as dire as forecasted, lockdowns beginning to ease this demand beginning to increase, and news of a COVID vaccine looks promising.

Higher stock prices recently of some of the O&G big players is likely due to when demand was low, they had to devalue their reserves (write-offs) on balance sheets. Now that demand forecasts are improving, they will look to rebook some of this value thus higher stock prices

Disclaimer for those on the OT that think the hundreds of thousands of people employed directly or indirectly by the O&G industry can all be lumped into your tired insult of “truck nuts” aka uneducated rig hands: no one is saying NA O&G is BACK, but reading the tea leaves over the last week or so have shown some promising signs as CitizenK has eluded to.

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Money board?

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Why would this need to be on the money board?

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No, its because you dont actually have a barge with 650,000 bbls of crude oil.

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To be fair, he said terminal

We still have a glut in my opinion. I mean, North American rigs counts are around 30% of what they were this time last year.

Price is reacting more to the 9-week rig reduction, positive COVID news, and relaxed restrictions.

Yeah I worry a little that a ton of shut in production will return at once in June and drive the price back down. Even with oil currently in the 30’s many producers are looking at well head in the teens due to the weak front half of the month. Some refineries are making sweeter deals to get crude because so much has shut in. I’d guess we end up balancing upper 20’s june to july should the situation remain similar. We have to hope people wake up and start moving or else this could be a brutal price through summers end.

You obviously know little about business. Maybe you have a consumer goods store not able to be open, and your bag boy job is suffering