Record U.S. Crude Exports Squeeze North Sea Oil

11 Oct 2017   exports, USA

Record-high U.S. crude oil exports are putting pressure on North Sea oil as American oil is now flowing to Europe and to the prized Asian market, which has become increasingly important for determining North Sea oil prices and the Brent benchmark. U.S. crude oil exports hit a record-high of 1.98 million bpd in the week to September 29, EIA data showed last week. This was the highest weekly average since the U.S. removed restrictions on crude oil exports at the end of 2015, after a four-decade ban. Last week’s figure also beat the previous record set by U.S. exporters, which was hit in the previous week, at 1.5 million bpd. Oversupply due to Harvey drove the higher exports, but most of all, it is the wide spread of around $6 between WTI and Brent prices that drives buyers to lust after the cheaper U.S. crude grade. The spread is […]

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