There are still "experts/naysayers" over on twitter parsing the story saying that Saudi Arabia may be back to full "production" but they still have "export terminal" issues. Doesn't matter. The headline drives the price.
Which is very, very bothersome. I only follow about eight accounts, and I "vet" them very carefully. I consider them reliable, but I'm starting to have my doubts. Trust but verify. LOL.
Agree completely. It is interesting to see how Saudi Arabia, others try to spin the story -- that production is back to normal. By the way, that has always been a pet peeve of mine -- Reuters, for example, always posting Saudi oil production, but not posting what is actually exported. That is very, very seasonal -- Saudis use a lot of oil domestically for summer air conditioning needs.
btw, i just checked on the Abqaiq refinery... https://en.wikipedia.org/wiki/Abqaiq
The 250-hectare complex can process 7 million barrels of oil a day. and The chief purpose of Abqaiq is to remove hydrogen sulfide from crude oil and reduce the vapor pressure, making the crude safe to be shipped in tankers. Abqaiq is the world's largest facility for this stabilization.
hence, damage to that fits in with their switch from sweet to sour crude exports...
Thank you. I've brought that forward as a stand-alone post here: https://themilliondollarway.blogspot.com/2019/09/the-reason-saudi-is-switching-from.html.
That didnt take long! Now what does Iran do? Short of nuking the Saudi desert, whats left in their toolbox?
ReplyDeleteThere are still "experts/naysayers" over on twitter parsing the story saying that Saudi Arabia may be back to full "production" but they still have "export terminal" issues. Doesn't matter. The headline drives the price.
DeleteProving, once again, the Twitterverse can be a dangerous place to live!
ReplyDeleteWhich is very, very bothersome. I only follow about eight accounts, and I "vet" them very carefully. I consider them reliable, but I'm starting to have my doubts. Trust but verify. LOL.
Deleteproduction is not refining capacity. what did that big Abqaiq refinery do? i thought i read that it removed sulfur from oil before export...
ReplyDeleteAgree completely. It is interesting to see how Saudi Arabia, others try to spin the story -- that production is back to normal. By the way, that has always been a pet peeve of mine -- Reuters, for example, always posting Saudi oil production, but not posting what is actually exported. That is very, very seasonal -- Saudis use a lot of oil domestically for summer air conditioning needs.
Deletebtw, i just checked on the Abqaiq refinery...
ReplyDeletehttps://en.wikipedia.org/wiki/Abqaiq
The 250-hectare complex can process 7 million barrels of oil a day.
and
The chief purpose of Abqaiq is to remove hydrogen sulfide from crude oil and reduce the vapor pressure, making the crude safe to be shipped in tankers. Abqaiq is the world's largest facility for this stabilization.
hence, damage to that fits in with their switch from sweet to sour crude exports...
Thank you. I've brought that forward as a stand-alone post here:
Deletehttps://themilliondollarway.blogspot.com/2019/09/the-reason-saudi-is-switching-from.html.