Best in Energy – 5 April 2023

[MUST READ] Cobalt, artisan mining and batteries

India’s power generation growth fastest since 1990

Iraq’s northern oil producers plan to restart exports

Russia’s distillate exports re-routed to Middle East

OPEC⁺ market power rises as U.S. shale decelerates

California’s logistics hub signals downturn ($WSJ)

EU/China summit attempts to de-escalate tensions

SINGAPORE’s inventories of distillate fuel oil are accumulating as the market moves into surplus. Stocks have risen in 12 of the last 15 weeks by a total of +3 million barrels. Inventories are still -1.5 million barrels (-14% or -0.83 standard deviations) below the prior ten-year seasonal average but the deficit has narrowed from -3 million barrels (-31% or -1.35 standard deviations) on December 18:

U.S. DURABLE GOODS orders for nondefense capital equipment other than aircraft were just +4.2% higher in February 2023 than in February 2022. But orders are measured in nominal terms so given rapid inflation the real volume is falling. Nominal orders have been flat since the third quarter of 2022 confirming a slowdown in business investment is underway:

Published by

John Kemp

Energy analyst, public policy specialist, amateur historian