Fewest oil cargoes to US in at least five years

07 January 2019 | Economics

When inventories began rising, that started to help decrease the demand for imports. - Gene McGillian, VP: Tradition Energy

Collin Eaton - OPEC crude cargoes leaving for the United States in December dropped to the lowest level in at least five years, data from Refinitiv Eikon and market intelligence firm Kpler show.

Oil cargoes departing from OPEC nations to the United States fell to 1.63 million barrels per day (bpd) last month, down from 1.80 million bpd in November and 1.78 million bpd in October, the data show.

Saudi Arabia, the biggest producer in the Organisation of the Petroleum Exporting Countries, and several others curbed supplies in the face of rising US production and inventories, analysts said.

"Some of it was a decline in OPEC production," said Andy Lipow, president of Lipow Oil Associates in Houston. "But they're facing competition from US shale and Canadian production."

OPEC and allies including Russia agreed last month to cut crude production beginning this month by 1.2 million bpd, following a strategy to support prices when supplies overwhelm demand.

"Historically, Saudi Arabia has utilised crude export flows to the United States as a method of signaling the Kingdom's intentions, given the transparency of the US market," said Reid I'Anson, an energy economist at Kpler.

Vessels last month carried about 534 000 bpd from Saudi Arabia to the United States, down from 632 000 bpd in November. Algeria sent 10 000 bpd, down 94 000 bpd, and Nigeria shipped 103 000 bpd, down by 48 000 bpd, according to Kpler.

One major exception to the decline was Iraq, which sent 295 000 bpd to the United States, up by 140 000 bpd from November. Shipments from Venezuela increased 22 738 bpd.

Booming US shale production and growing stockpiles also crimped the nation's appetite for imported crude. US commercial crude stocks rose to 441 million barrels in the week ended Dec. 21, up from 394 million barrels in mid-September, according to the US Energy Information Administration.

"When inventories began rising, that started to help decrease the demand for imports," said Gene McGillian, vice president of market research at Tradition Energy in Stamford, Connecticut. "We could see even lower imports from OPEC." – Nampa/Reuters

Similar News

 

Móre red growth figures

1 hour ago | Economics

Namibia’s economy grew by -2.0% annually in the first quarter of 2019, the worst quarterly performance since the last three months of 2017.Data released by...

Red hurricane on trade balance

1 day - 19 June 2019 | Economics

Jo-Maré Duddy – China has claimed the top spot for third consecutive time as Namibia’s export destination in the first three months of 2019.In addition,...

AfCFTA coming into force: What’s next?

1 day - 19 June 2019 | Economics

At an extraordinary African Union meeting in Kigali on 21 March 2018, 44 out of 55 African states signed the African Continental Free Trade Area...

ANC row over Reserve Bank unnerves investors

1 day - 19 June 2019 | Economics

Olivia Kumwenda-Mtambo and Alexander Winning - A row within South Africa's African National Congress (ANC) about the role of the central bank has unnerved investors...

Nam's trade deficit shrinks

6 days ago - 13 June 2019 | Economics

Namibia recorded a trade deficit of N$2.95 billion in the first quarter of 2019, a drop of about N$6.3 billion or nearly 68.3% compared to...

Inflation ebbs in May

1 week ago - 13 June 2019 | Economics

Annual overall inflation in May came in at 4.1%, down from 4.5% the previous month.In May 2018, annual overall inflation was 3.8%.Figures released by the...

BoN keeps repo unchanged

1 week ago - 12 June 2019 | Economics

The Bank of Namibia (BoN) this morning kept its repo rate unchanged at 6.75%.This means the prime interest rates of local commercial banks will remain...

'Be worried'

1 week ago - 10 June 2019 | Economics

Landless People's Movement (LPM) leader Bernadus Swartbooi has accused the government of moving N$10 billion from the Government Institutions Pension Fund (GIPF) to the Bank...

Another recession year expected in Namibia

2 weeks ago - 05 June 2019 | Economics

Namibia is likely to remain in recession in 2019 – the third consecutive year of negative economic growth, the International Monetary Fund (IMF) says.The IMF...

Driving the fiscal borrowing agenda

2 weeks ago - 05 June 2019 | Economics

Jo-Maré Duddy – Government has ensured that it will be able to raise about N$7 billion from the domestic market in 2019/20 by compelling local...

Latest News

Katjavivi breaks silence on Nust

12 hours ago | Education

The turmoil at the Namibia University of Science and Technology (Nust) has taken another turn with the university's chancellor and National Assembly speaker, Dr Peter...

Ndeitunga flaunts Kalahari successes

12 hours ago | Crime

Police chief Sebastian Ndeitunga has flaunted the successes of Operation Kalahari Desert, saying 871 suspects have been arrested including for murder, attempted murder, rape, serious...

Oncologist tusk case postponed

12 hours ago | Justice

The matter involving renowned Windhoek oncologist Dr Thomas John Brown van Wyk, who was arrested for the alleged illegal possession of three elephant tusks, has...

Killing dreams

12 hours ago | Opinion

The school sport fraternity has rightfully greeted the news that there will be no government financial assistance when it comes to international participation with a...

Congo general awarded N$12m settlement

12 hours ago | Justice

Congolese general Francois Olenga was awarded a settlement of US$850 000 (N$12 350 500 at yesterday's exchange rate) by the High Court of Namibia on...

Fresh water could turn hepatitis...

12 hours ago | Health

Unless the lack of clean running water and toilets within informal settlements is tackled urgently, the 19-month tide of hepatitis E infections across the country...

Namibia on its way to...

12 hours ago | Fishing

STAFF REPORTER The first public consultative meeting of the inter-ministerial blue economy committee will take place today. The meeting will be take place at the...

Union, MMI cement relationship

12 hours ago | Labour

MMI Holdings Limited (MMI) yesterday formally recognised the Namibian Bank Workers Union (NBWU) through the signing of a recognition agreement. MMI Holdings Namibia interim group...

Schools no place for political...

12 hours ago | Education

The education executive director Sanet Steenkamp has called on the public to refrain from using schools for gatherings, campaigns and fundraising activities for political gain.In...

Load More