Kpler OIL (Kirkuk Crude Oil Disruptions)

Kirkuk Crude Oil Disruptions

Fighting in northern Iraq between the Kurdistan Regional Government (KRG) and Baghdad continues today as production disruptions persist within the Kirkuk region. Iraqi governmental forces have so far managed to take control of all major Kirkuk producing fields – Bai Hassan, Avanah, Baba Dome, Khabbaz and Jambur.Oil production from the Kirkuk region flows to the port of Ceyhan, in Turkey, through a pipeline presently controlled by the KRG. Historically, the Iraqi government has shared space on the pipeline. While the government of Iraq is claiming that all fields are producing normally, KPLER data indicates possible loading delays at the Kirkuk Oil Terminal, which is part of the broader Ceyhan Port Complex.


Kpler OIL (Venezuelan Loading Delays)

PADD 3 Oil-on-Water Remains High

Total oil-on-water in PADD 3 remains high at 39.4 million barrels – up 35% since last Friday. Nearly 100% of Gulf of Mexico crude production was taken offline as a result of Hurricane Nate over the weekend. Floating storage as a percentage of oil-on-water continues to decline following the 30% plus levels that became the norm for several weeks following Hurricane Harvey in late-August and early-September.

Kpler OIL (Reopening of Sharara Oilfield)

The Sharara Oilfield Reopens

Early this week, Libya’s Sharara oilfield, the largest of its kind in the north African nation-state, was taken offline because of a takeover by non-governmental militia forces. Such a disruption cut off significant production – Sharara yields 230,000 barrels-per-day.According to Libya’s National Oil Corporation, it appears that the dispute has ended and the Sharara field is once again fully operational. The Seaways Hatteras was originally expected to load at the Zawia export terminal, which is connected by pipeline to Sharara, on October 3rd. There was some uncertainty regarding whether this vessel would be able to load. Fortunately, it appears that she entered the berth on October 5th and is currently loading approximately 1 million barrels of crude.


Kpler OIL (Philadelphia Loading Delays)

Exports to Asia from the United States

Asian demand for U.S. crude has been strong over the past week. All 2,065 kbd was shipped to the Singapore Republic aboard the following vessels:

  • Gener8 Hera – loaded approximately 500,000 barrels on September 24th, and 527,000 barrels on September 25th through ship-to-ship transfers in Galveston Light. Fixture data holds an expected arrival date of November 6th.
  • Ast Sunshine – loaded approximately 1 million barrels on September 28th at Oxy Ingleside. Fixture data holds an expected arrival date of November 10th.

Kpler OIL (PADD 3 Oil-on-Water Congestion)

PADD 3 Oil-on-Water Congestion

Congestion continues in PADD 3 following the effects of Hurricane Harvey. Oil-on-water is only 3 million barrels lower than last Friday and floating storage as a percentage of total oil-on-water remains staunchly above 30%. Floating storage is designated as crude loaded on vessels traveling at less than 3 knots for at least the past seven days. There are currently 14 vessels tagged as floating storage near Port Arthur, the Port of Houston and the Galveston lightering zone.