OIL: Oil End of Day Summary: Crude Falls Despite OPEC Delay

Crude markets have moved into losses, erasing the initial jump driven by OPEC’s decision to extend delay its cut unwinding. The market seemingly lacks confidence in OPEC+’s ability to control global balances at present

• WTI OCT 24 down 0.3% at 68.96$/bbl
• OPEC+ has agreed to delay the planned oil production hike for two months, according to delegates cited by both Reuters and Bloomberg.
• EIA Weekly US Petroleum Summary - w/w change week ending Aug 30: Crude stocks -6,873 vs Exp -379, Crude production 0, SPR stocks +1,764.
• Total well permits in Texas rose to 814 in August, up 43 on the month, according to he Texas Railroad Commission’s monthly summary.
• Some Libyan exports continue despite recent disruption, Reuters said.
• AGOCO’s Sarir field in Libya is producing 135k b/d and Messla 54k b/d, according to two Bloomberg sources.
• Adnoc OSPs – Murban: $77.94/b, Upper Zakum: Murban minus $0.45/b, Das Crude: Murban minus $0.75/b.
• China’s August crude imports jumped 11% to a 10-month high of 10.3m b/d, Vortexa said.
• Nigeria’s crude loadings are scheduled to slip in October m/m to 1.41m b/d.
• NNPC will supply a total of 13 crude cargoes to the Dangote refinery in October.
• Venezuela exported 885k b/d bpd of crude and fuel in August according to LSEG tracking – over a four year high.
• Russia’s Sovcomflot made a strong return to its home turf to transport crude in August, keeping the share of Russia’s shipments outside of the G7 price cap above 80%, Platts said.
• The China demand situation has been the big headwind for oil markets this year, but focus has shifted to OPEC in the short-term according to RBC’s Helima Croft.
• HSBC said that brent price forecasts remain at $80/b for H2 2024 and $76.50/b for 2025.