Gulf Oil Export Losses Shrink to 5-6 Million BPD as Brent Falls Below $90
Updated
Updated · Reuters · Jun 12
Gulf Oil Export Losses Shrink to 5-6 Million BPD as Brent Falls Below $90
3 articles · Updated · Reuters · Jun 12
Summary
Traders and shippers now estimate disrupted Gulf crude exports at 5-6 million barrels per day, far below the 12-15 million bpd initially feared after Iran said the Strait of Hormuz was closed.
136 million barrels of non-Iranian crude moved through Hormuz and Gulf of Oman routes from early April to June 10, Kpler said, while Saudi Arabia kept 4-5 million bpd flowing from its Red Sea port of Yanbu.
Alternative logistics — including tankers sailing with transponders off — plus stronger U.S. exports, a 400-million-barrel emergency stocks release and weaker Chinese buying helped push Brent from nearly $120 to below $90.
Inventories are still tightening: the EIA said stockpiles in major economies are heading for their lowest since at least 2003, and S&P Global Energy put key U.S. hub stocks at 351 million barrels versus a 325 million danger zone.