Posts Tagged ‘gasoline’

Who is scalping a ticket to the US gasoline trade? It’s all legal, and for some it’s all good

The old saying goes that if you like my offer that is too good to be true, I’ve got a piece of the Brooklyn Bridge I can sell you, too.

Hey, at least that offer is for something you can touch.

A recently established trade in the US gasoline markets has market players spending thousands on something they cannot smell, taste, put their hands on or really even see.

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Did crude oil export supporters rush to crow about EIA report?

Shortly after the US Energy Information Administration released a report last week on what drives US gasoline prices, the American Petroleum Institute declared its findings a significant argument in favor of dropping all restrictions on US crude oil exports.

The EIA report “confirms that lifting trade restrictions on U.S. crude oil could benefit U.S. consumers and promote America’s economic growth,” the oil and gas industry’s key trade association said in a statement.

That same day, the Producers for American Crude Oil Exports, a lobbying group backed by independent oil companies including Anadarko Petroleum, ConocoPhillips and Hess, said the EIA report backed the group’s calls for liberalizing the crude export restrictions which have been in place for nearly 40 years.

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The 10% ethanol blendwall is once again looming

Don’t look now, but the ethanol blendwall is back.

That 10% cap of how much ethanol can be blended into the US gasoline pool was a fiery issue in the Big Oil vs. Big Farm battle in 2013.

And believe it or not, the number has quietly but quickly crept back up into dangerous territory.

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EIA analysis: a big decline in gasoline inventories

This week’s EIA oil inventory data recorded a big drop in US gasoline inventories for last week. You can see our analysis of the numbers here.

The Oil Big Five: Is anyone surprised that Iraq tops our list?

Welcome to The Oil Big Five for July 2014, where we list the big issues that are keeping our Platts oil experts busy around the globe. You can find our last posting here, which had the problem of not posting comments for a short time when it first went up. We really appreciate everyone who commented on the blog once it was fixed, though, as well as those who sent us feedback on Twitter. The latest round-up of reader comments can be found here, and be sure to comment again for the follow-up to this post.

Here are the biggest oil issues or trends that our editors and experts nominated to be a part of the post this month. Read the rest of this entry »

Refinery change leaves Louisiana boaters high and dry in gasoline search

The ExxonMobil-operated Chalmette Refinery will no longer distribute ethanol-free gas from the rack, a move that is making it more difficult for Louisiana boaters to find compatible fuel for their boats.

In early May, the Chalmette Refinery in St. Bernard Parish announced that it would no longer distribute ethanol-free (conventional) gasoline to the local rack. The 200,700 b/d refinery had previously been the largest resource of ethanol-free gasoline for the area, with many area businesses purchasing fuel from the rack, a local distribution terminal. ExxonMobil, the operator and co-owner of the refinery with PDVSA, continues to sell to the commercial market, but acknowledges that the local market is affected by the change at the rack. The decision was pushed through in an effort to “better comply with the EPA’s Renewable Fuel Standards,” said Patrick Trahan, a spokesman for the refinery.

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EIA analysis: record US output of gasoline

The highlight of this week’s EIA statistical report is the record output of gasoline reported for last week. You can see our  analysis of the numbers here.

Will US summer gasoline demand beat expectations?

US gasoline demand during the peak summer driving season this year is almost certain to rise for the second time in two years, buoyed by a recovering economy. But by just how much is open to question, with some market observers arguing that the US government estimates are failing to capture the likely size of the increase.

After several years of stagnating demand, gasoline demand in 2013 rose by 90,000 b/d, or 1.1%, above 2012 levels. And this year, the US Energy Information Administration is forecasting demand will rise again to 8.79 million b/d, 20,000 b/d above last year.

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US gasoline demand showing signs of rising as summer approaches

The start of 2014 has seen signals that US driver demand for gasoline is picking up, heading into the summer driving season.

Motor gasoline consumption has grown by 90,000 bbl/d, the largest increase since 2006, according to the EIA’s short-term energy outlook. So why are people consuming more gasoline than in recent years?

Carl Larry, the president of Energy Outlooks thinks motor gasoline consumption relates to the rise in employment. “We have more cars on the road now because more people are working. More people are buying cars showing a shift in the general economy,” said Larry.

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Cheaper line space says a lot about the strength of US oil product markets

For the pulse of the fuels markets, it’s always best to look at the price of spot pipeline space, and a steady-to-weakening market for pipeline capacity in the US Gulf Coast and Atlantic Coast markets is reflecting how motivated traders are to ship gasoline and distillates along the nation’s busiest products pipeline.

Space on the Colonial Pipeline’s 1.16 million b/d Line 2—which ships diesel, heating oil and jet fuel in parallel to the gasoline-specific Line 1 from Pasadena, Texas, to the hookup with Line 3 in Greensboro, North Carolina—was trading at a discount Friday and Monday. Sources said the space was offered at minus 25 points/gal Monday after trading at 25 points/gal and 50 points/gal Friday.

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