*** ...now we are hearing that not only has Asian demand bottomed, but demand may surprise substantially to the upside; and if it does - ''supplies will be tight.'' We allready know that there are not enough Rigs working in the US to support normalized US Natural Gas demand and a ''tight supply'' for Nat Gas is virtually assured. Here is a link to theStreet.Com and an article on Asian demand & a link to Bloomberg article on Nat Gas demand.... it is looking good !
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thestreet.com
For Oil in Asia, It's All Uphill From Here
By Mavis Scanlon
Staff Reporter
3/30/99 7:01 PM ET
<<Observers put the crude inventory overhang at about 150 million barrels over 1996 and 1997 levels, when oil prices averaged about $20 and $24 per barrel, respectively. But if demand does indeed show signs of life and supply falls, by the end of the year, "the market is going to be squeaky tight," says Evans. >>
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Energy News
Tue, 30 Mar 1999, 7:45pm EST
Natural Gas Rises to Three-Month High on U.S. Nuclear Power Plant Outages
bloomberg.com
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Crude inventories were expected to rise; per the below Bloomberg commentary:
<<While producers are set to cut output April 1, it will take
several weeks to show up in tallies of U.S. inventories. The
American Petroleum Institute is expected to report tonight that
crude oil inventories rose in the week ended March 26.
Crude oil inventories should increase and petroleum products
in storage should fall, according to a survey of nine analysts
and traders by Bloomberg News.
Crude inventories are expected to rise between 400,000
barrels and 1.8 million barrels, according to the average of
analysts' estimates. Gasoline inventories are expected to
decrease 1.7 million to 2.9 million barrels, the analysts said,
on average. Distillate supplies, including heating oil, are
expected to fall 900,000 to 2 million barrels. Refinery use is
expected to be little changed from last week.
Some analysts said the U.S. could see a wave of crude
imports because the OPEC agreement begins Thursday and producing countries may want to maximize revenue prior to the agreement.''We could have really big builds in crude oil because it's
the last week before the OPEC cuts,'' said Chester Irvin, a
trader at ABN Amro Inc. in New York. Irvin is predicting a 3.5
million barrel to 4.5 million barrel increase in inventories.
''It's like going on a diet tomorrow, so they'll just send this
stuff over now.'' >> |
