Saturday, February 28, 2015

Crude Storage

And these are the just the amounts that we have extracted and stored above ground...

Meanwhile reports are surfacing that storage may soon reach limits of capacity.

Current U.S. refinery input is running at just above 15 Mbpd,


Ignacio said...

You have to pump or fire people and close the shop, as long as you don't get broken.

Factories keep producing while they get some inventory rotation, otherwise they are in trouble.

They probably are hoping for a bounce of oil, but the Saudis have both the stocks of oil and money to keep people on payroll and keep pumping despite lower prices (and their operating costs are lower).

Anyway, the oil above the ground has no correlation with the oil below the ground (which depends on the EROI of that oil below the ground).

Unknown said...

Storage is really not the issue here. If there is still crude oil around then storage can be sorted out later!