OPEC To Boost Shipments On Chinese Demand, Oil Movements Says
by Grant Smith
The Organization of Petroleum Exporting Countries will increase shipments through late October as refiners in China resume operations after seasonal maintenance, according to tanker tracker Oil Movements.
OPEC, which supplies about 40 percent of the world’s oil, will raise exports by 100,000 barrels a day, or 0.4 percent, to 23.97 million a day in the four weeks to Oct. 19 compared with 23.87 million a day in the period to Sept. 21, the researcher said today in a report. The figures exclude two of OPEC’s 12 members, Angola and Ecuador.
“Chinese refiners are pulling out of maintenance so their demand is climbing up,” Roy Mason, the company’s founder, said by phone from Halifax, England. “The West is in maintenance, and refiners there are in deep trouble, as crude demand in the West is plummeting.”
Refiners boost operating rates in the fourth quarter to meet higher demand for heating fuel during the Northern Hemisphere winter. Brent crude was at $109.21 a barrel as of 4:13 p.m. today on the ICE Futures Europe exchange in London, having advanced 6.1 percent in the third quarter.
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