China, India Shrug at U.S. Crude Exports With Wrong Blend

23 Nov 2016   exports

Two of the world’s fastest-growing economies have barely noticed the first year of unrestricted U.S. crude exports since the 1970s. In the first year since the U.S. lifted a 40-year-ban on most exports, less than 3 percent have gone to China and India even as their demand for oil grew. India hasn’t taken a drop, according to U.S. Census data. “The growing appetite of China and India is not met by the barrel that we are offering,” Harold “Skip” York, principal analyst at Wood Mackenzie in Houston, said in a telephone interview. It’s not hard to see why. There’s a mismatch of what the U.S. is selling and what those nations are buying. About 98 percent of the American exports are light crude, Census data show. Most of China and India’s refining capacity of about 19 million barrels a day is geared to take heavy oil, Kunal Agrawal, Bloomberg […]

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