Crude - SPR Filled to Capacity

Discussion in 'Energy Futures' started by CET, Jan 1, 2010.

  1. CET

    CET

    During the weekly petroleum report this past week on CNBC, John Kilduff said the SPR was now completely full. Does anyone know about how much "demand" this will remove each month? I would guess the monthly additions to the SPR varied somewhat, but I am curious how much overhead this will add on the price of crude. The price continues to creep up even though there appears to be plenty of supply. TIA for any info.
     
  2. new$

    new$

    cl is up $8.00 in dec and i also have been wondering why? something coming in the middle east?
     
  3. any chance they mentioned the average price that the US paid to fill it over the last yr or yrs ?

    I hope that bush and cheney and company did not "pay up"

    when prices were skyrocketing to almost $150 for front month WTI and were able to take advantage of the price decline
    to low $30's to "average down" SPR
     
  4. CET

    CET

    I found some data on the EIA site:

    http://tonto.eia.doe.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=WCSSTUS1&f=W

    These are rough numbers (in millions of barrels) of the additions by month for 2009. The data in the link above is in thousand barrels, but I rounded for ease of posting here. It appears the SPR was completely full after the first week in December, but a non-factor on demand since early fall.

    Jan - 1.7, Feb - 1.4, Mar - 6.1, Apr - 1.4, May - 5.0, Jun - 1.7, Jul - 0.7, Aug - 0.0, Sep - 1.0, Oct - 0.0, Nov - 0.5, Dec - 0.5
     
  5. CET

    CET

    IMO the price has been holding up, because many believe there will be a slow steady recovery. China still appears to be posting strong growth numbers if the numbers are accurate, but that is anyone's guess.
     
  6. RedSun

    RedSun

    The SPR has not been a factor recently on the CL market, and it should not in the near future.

    The CL is up $8, but it was down $10 early in the month. The market is well supplied, and no one wants to store more. The spread is not that high to cover the carry cost.

    Besides, the year-over-year surplus continues to shrink, pretty much like the NG story. If the econ does recover quickly, we'll see CL going even higher.

    Most of the investors like to long CL...
     
  7. It is being maniplated to this level in order to keep Middle East states stable and also to keep Russia from defaulting on $400 Billion owned to Western European Banks.

    Oil should be around $30 bucks a barrel.
     
  8. I think that there is a good deal of truth to his contention. Unless the Western economies recover more robustly than their current pace I think we will see oil come down. The US government in particular is juggling big numbers in its efforts to keep up the illusion that all is well. If, as I think is possible, housing prices have another leg down their capacity to sustain that illusion will be strained to the breaking point.

    Even the US government has limits to its power.
     
  9. m22au

    m22au

    I think you should be reported to the SEC / Treasury for these comments.

    How dare you suggest that housing prices could fall and that the US govt has limits to its power.


     
  10. I actually should be reported for stating the obvious as if I were saying something. It is truly criminal to try to pass off my comments as something of value.
     
    #10     Jan 3, 2010