Morning Oil Report 09/11/20

Brent crude futures for January climbed 94 cents, or 2.4%, to $40.39 a barrel by 0710 GMT, while U.S. West Texas Intermediate crude for December was at $38.07, up 93 cents, or 2.5%. This increase came after a 4% fall on Friday as a result of continuing uncertainty over the race for the White House.

 

It appears Biden has declared himself as the President-elect of the United States of America as he narrowly defeated Trump in the race to win Pennsylvania, a triumph that has left the Trump camp scrambling to launch lawsuits at the alleged miscounts of votes across the region, with the world media keeping a keen eye on the POTUS’ twitter account.

 

Libyan oil supply has reached the one million barrel per day mark after the eight-month blockade was lifted earlier in the year. Output was scheduled to meet the one million barrel per day mark in mid-November, but production has since surged to be able to produce the one million mark from the OPEC nation. (S&P Global Platts)

 

Oil market participants are cautious of the fact a new democratic president intent on reducing the reliance on oil in the US will bring about renewed frustrations, as foe-turned-ally Trump went from being a critic of the cartel, to facilitating record cuts from the oil producing nation in a bid to sustain prices for producers. If Biden were to favour a relaxation out output, it could spell even more trouble for members who are looking to balance supply and demand in the market. (Reuters)

 

The Singapore VLSFO opened up largely stable from the tail end of last week, with the demand for the HSFO expected to increase over the course of the next few weeks according to bunker suppliers in Singapore. (S&P Global Platts)

 

INDEX: (MTD Estimates)

* Sing 380: 249.88

* Rott 3.5%: 237.65

* Sing 0.5%: 310.90

* Rott 0.5%: 292.85

 

MARKETS NEWS:
* China Crude Imports May Rise 10% in 2020, Sinopec Executive Says
* China’s Oct. Crude Oil Imports -12.22% M/m to 42.56m Tons
* U.S. Oil Rig Count Up 5 to 226, Baker Hughes Says
* Iraqi Kurds Resume Oil Exports via Turkey After Pipeline Fixed
* Tunisian Energy Output Resumes in Southern Area as Protests End
* World’s Biggest Oil Storage Company Has No Room at Main Hubs
* Mexican Main Oil Ports Shut for 9th Day on Storm Eta

OTHER NEWS:
* Commodities Must Juggle Biden’s Win With OPEC, Powell and Dollar
* China’s Commodities Imports Decline as Seasonal Slump Weighs
* China’s Softer Commodities Imports Belie Strong 2020 Demand
* Japan Eyes Replacing Oil With Hydrogen Amid Carbon Neutral Push
* Tropical Storm Eta Set to Strike Florida Keys Within Hours
* Venezuela Assembly Bill Opens Up Oil to Private Sector: Lawmaker
* Americans to Keep Driving Despite Lockdowns, Ethanol Makers Say

OIL PRODUCT NEWS:
* U.S.: Margin Goes Over $9 While Refiners Step Out
* ASIA: China’s Fuel Price Floor; Asian LPG Dilemma
* EUROPE: ICE Gasoil Contango Narrowest Since March

ECONOMIC DATA: (Times are London)

* ADIPEC 2020 Virtual Strategic Conference, first day of four;
** Speakers include Saudi Energy Minister Prince Abdulaziz Bin Salman, Russia Energy Minister Alexander Novak
* EARNINGS: Occidental Petroleum, Oil India

 

Rotterdam 3.5% INDIC                                 

Dec20    232.25   /             234.25

Jan21     231.25   /             233.25

Feb21    231.75   /             233.75

Mar21   232.25   /             234.25

Apr21    232.50   /             234.50

May21  232.50   /             234.50

Q1-21    231.75   /             233.75

Q2-21    232.50   /             234.50

Q3-21    232.50   /             234.50

Q4-21    231.75   /             234.75

CAL21    231.50   /             234.50

 

Singapore 380 INDIC                                     

Dec20    246.75   /             248.75

Jan21     245.75   /              247.75

Feb21    246.00   /             248.00

Mar21   246.50   /             248.50

Apr21    247.00   /             249.00

May21  247.50   /             249.50

Q1-21    246.25   /             248.25

Q2-21    247.50   /             249.50

Q3-21    248.75   /             250.75

Q4-21    249.50   /             252.50

CAL21    247.75   /             250.75

 

Rott VLSFO 0.5% INDIC                                 

Dec20    296.00   /              301.00

Jan21     296.00   /              301.00

Feb21    297.00   /              302.00

Mar21   298.25   /              303.25

Apr21    299.75   /              304.75

May21  301.25   /              306.25

Q1-21    297.25   /              302.25

Q2-21    301.25   /              306.25

Q3-21    305.50   /              311.50

Q4-21    309.75   /              315.75

CAL21    303.25   /              309.25

 

Singapore VLSFO 0.5% INDIC                                     

Dec20    314.00   /              319.00

Jan21     313.50   /              318.50

Feb21    314.00   /              319.00

Mar21   314.75   /              319.75

Apr21    316.25   /              321.25

May21  317.75   /              322.75

Q1-21    314.25   /              319.25

Q2-21    317.75   /              322.75

Q3-21    321.75   /              327.75

Q4-21    326.00   /              332.00

CAL21    319.75   /              325.75

 

Sing 10ppm GO INDIC                                   

Dec20    44.20     /              44.34

Jan21     44.49     /              44.69

Feb21    44.83     /              45.03

Mar21   45.23     /              45.43

Apr21    45.65     /              45.85

May21  46.04     /              46.24

Q1-21    44.85     /              45.05

Q2-21    46.04     /              46.24

Q3-21    47.35     /              47.55

Q4-21    48.28     /              48.48

CAL21    46.53     /              46.93

 

ICE Gasoil 10ppm INDIC                               

Dec20    329.09   /              331.09

Jan21     332.60   /              334.60

Feb21    336.24   /              338.24

Mar21   339.74   /              341.74

Apr21    342.85   /              344.85

May21  346.37   /              348.37

Q1-21    336.20   /              338.20

Q2-21    345.63   /              347.63

Q3-21    356.90   /              358.90

Q4-21    362.31   /              364.31

CAL21    350.26   /              352.26

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