Monday, October 31, 2016

Algeria Oil - Export In October Will Be Higher Than In September

Algeria Oil: Export In October Will Be Higher Than In September
Oct.31.16 | About: The United (USO)

Algeria oil exports slowed after 10th October.
Yet, total October figure will be higher than in September.
Despite promise by media, no tanker went from Algeria directly to Cuba.

Algeria is the second largest oil producer in Africa. According to the
most recent OPEC Monthly Oil Market Report, Algeria produces 1,089kbbl/d
of oil. This North African country tries to reduce its dependence on
hydrocarbons by diversifying its economy. Algeria intends to boost its
oil output by 30% by 2020.

Algeria experiences one of the strongest negative effects of current oil
price environment among OPEC countries. That is why this country has a
strong incentive to support the decision to cut oil production, or at
least to freeze it. Algeria's Minister of Energy Noureddine Boutarfa has
contributed a lot to reduce tensions between Saudi Arabia and Iran.

Algeria was going to send an oil tanker to Cuba in September. Cuba and
Algeria have ties in such areas of cooperation as tourism, healthcare,
education and research. Then, tanker departure was thought to happen in
October. Algerian Prime Minister visited Cuba in the first half of
October. So, if oil flow from Algeria to Cuba was an important matter,
it would be resolved at the meeting of heads of state. Then, we would
see tanker departed from Algeria and headed to Cuba. However, my tanker
data shows that no such delivery took place neither in September, nor in

Interestingly enough, Cuba sought this foreign oil in order to
compensate for Venezuela's declining production. Although no tankers
went directly from Venezuela to Cuba (however, they could have gone
through other Central American countries), Venezuela's oil production is
not declining in October, as my tanker tracking data shows. This is
despite everything that is going on in that country.

Source: Algeria Oil: Export In October Will Be Higher Than In September
- The United States Oil ETF, LP (NYSEARCA:USO) | Seeking Alpha -

No comments:

Post a Comment