Oil End of Day Summary: Crude Up Marginally on Week

Crude prices are down on the day but set for marginal gains of 0.2% on the week. Support comes from Mideast tensions and attacks on Russian oil refineries, although upside is capped by a stronger USD.

• WTI MAY 24 down 0.4% at 80.73$/bbl
• US combined oil and gas rigs fell by 5 on the week to 624 rigs, according to Baker Hughes data. This puts US rigs down 134, or 17.7%, on the year. Oil: 509 (-1) – down 14.2% on the year
• The reduction in Russian refining rates due to the latest Ukrainian drone attacks could raise Russian seaborne crude flows by 200-250kbpd to 3.7-3.8mbpd: Kpler.
• The US has urged Ukraine to halt attacks on Russian energy infrastructure, sources told the FT. However,
• Ukraine's Euro-Atlantic integration minister said that Russian oil refineries were legitimate targets for Ukraine's forces.
• All of India’s refiners are now refusing Russian oil delivered on PJSC Sovcomflot tankers due to US sanctions according to Bloomberg sources.
• The Sovcomflot sanctions issue means there are fewer tankers to deliver Russian crude, according to Bloomberg sources.
• A second cargo of Access Western Blend has been sold to an APAC buyer this week as Canada’s Trans Mountain Expansion nears completion.
• The Russian oil and gas industry does about 80% of its business in rubles and yuan according to Deputy Prime Minister Alexander Novak.
• Russian primary crude processing volumes are expected to decline by 300-400kbpd to an average of 5-5.2mbpd.
• Crude loadings from Guyana are planned at 21m bbl, or 677k b/d in May.
• At least 10 cargoes of Nigerian crude for loading in April are still looking for buyers, according to Bloomberg.