The Latest News and Data About Ethanol Production

The Latest News and Data About Ethanol Production

U.S. crude stocks fell 5.3 million barrels in the week to September 7 to 396.2 million barrels, the lowest since February 2015 and about 3 percent below the five-year average for this time of year, the U.S. Energy Information Administration (EIA) said on Wednesday.

“In addition, there is a risk to growth from an escalation of trade disputes, ” the Paris-based agency said.

OPEC, on Wednesday said August crude production by the cartel, rose 278,000 barrels a day to average 32.56 million barrels a day.

Brent crude futures climbed 30 cents, or 0.4 per cent, to $79.36 a barrel.

Though weekly output slipped, the United States likely surpassed Russian Federation and Saudi Arabia earlier this year to become the world's largest crude oil producer, based on preliminary estimates from the Energy Information Administration.

Crude briefly pared gains after the OPEC report was released but later rallied to trade above Dollars 80 a barrel, a level reached earlier this year for the first time since 2014, supported by expectations for a further drop in Iranian exports.

Meanwhile, France and South Korea are shunning Iranian crude, forcing the Islamic Republic to effectively remove some oil from global markets.

The EIA's most recent weekly ethanol production data shows production reached 1.087 million barrels per day the week ending August 31, up from 1.07 million barrels per day the previous week.

She said: "The hurricane story is transitory but the oil market us particularly sensitive to such events as we have a pretty tight supply situation looming". The sanctions will target Iran's oil exports from November.

"We are entering a very crucial period for the oil market", the IEA said in its latest monthly report.

Refinery crude runs rose by 210,000 barrels per day, EIA data showed.

But with the crisis in Venezuela showing no sign of abating, and with new United States sanctions on Iran's oil industry set to come into force on November 4, other producers may have to ramp up production even further if they want to limit the impact on the market. The U.S. Treasury department in conjunction with the United International locations on Wednesday imposed sanctions on a number one Libyan militia chief for his attacks on necessary oil facilities in June.

Looking further ahead, however, Opec lowered its forecast, albeit modestly, for oil demand growth in 2019, saying rising challenges in some emerging and developing countries could negatively impact the global economy. Higher volumes by Saudi Arabia and Nigeria and an increase in production in Iraq and Libya helped to outweigh the drops.

It did not change its forecast that worldwide demand will rise 1.4 million barrels a day this year and 1.5 million a day in 2019.