• Restoring sanity to SA

    We should be driven by the thought that SA belongs to all who live in it, says Solly Moeng.

  • Clamouring for action

    2017 will see battles between politicians as well as those tired of politicking, says Daniel Silke.

  • Realistic dreaming

    Preparation and sound advice will turn entrepreneurial dreams into reality, says Ian Mann.

All data is delayed
Loading...
See More

Oil up on completion of new US pipeline

Jan 14 2013 07:36
AFP

Singapore - Oil was up in Asian trade on Monday as a completed US pipeline expansion project reduced oversupplied US inventory stocks, giving oil futures a positive nudge, analysts said.

New York's main contract, light sweet crude for delivery in February, rose 60 cents to $94.16 a barrel and Brent North Sea crude for February delivery gained 34 cents to $110.98.

The Seaway Pipeline expansion completed on Friday means 400 000 barrels of crude oil can now be brought each day from the oversupplied midcontinent market around Cushing, Oklahoma, to refiners on the Gulf Coast.

Previously, only 150 000 barrels could be transported to refiners, leading to a build-up in stocks.

"Crude prices have been going up because the pipeline... started up with expanded capacity, reducing the crude inventory in Cushing," said Victor Shum, managing director of IHS Purvin and Gertz in Singapore.

A fall in inventory stocks usually indicates an increased demand for oil that supports prices.

The demand for oil in the United States, which is the world's largest oil consumer, has the ability to affect global oil prices.

Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.

commodities  |  markets  |  oil

NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
0 comments
Comments have been closed for this article.
 

Company Snapshot

We're talking about: SMALL BUSINESS

From fossils to finance – that’s been the career trajectory of Dr Merrill van der Walt, a palaeontologist until recently. She is now a statistician with a difference.
 

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

SA's avoidance of junk status by rating agencies: Moody's and Fitch

Previous results · Suggest a vote

Loading...