ESAI: Rising medium, heavy refiner demand pushing OPEC deal to an end

Oil & Gas Journal: The rise in medium and heavy refiner demand was already pushing the production-cut agreement among members of the Organization of Petroleum Exporting Countries as well as some non-members towards an end by 2019, ESAI Energy points out in its May Global Crude Oil Outlook. The US request for more crude oil and apparent willingness of Saudi Arabia and Russia to respond provides additional rationale.

ESAI Energy’s Managing Principal Sarah Emerson said, “This refining investment is coming to fruition at the same time as the fastest global expansion of light, sweet crude supply in the history of the oil market, driven by the Permian shale basin.”

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