World Wonders About Crude Oil and Product Supply

---

Editorial by Geoffrey Lakings for Industrial Info Resources (Sugar Land, Texas) - January 2023. As the world wonders about crude and product supply in a tight supply/demand energy market place--while likely getting tighter thanks to G7 Sanctions on the Russian barrel...

..Russia in Ukraine for the Long Haul

Researched by Industrial Info Resources (Sugar Land, Texas) -- ... Russia announced they are in Ukraine for the "..long haul..". And, with recent G7 sanctions applied onto the Russian barrel it means in the New Year the world's oil markets will have to prepare for even fewer Russian barrels and of course Russian refined products. What the world has been trying to adapt to for much of this past year; however Russian crude oil & clean product exports have been resilient -- to say the least.

as well as no seeming supply relief from Iranian Sanctions. Not to mention a world which is dealing with a volatile gas market.

Natural Gas Markets Move into Volatile 2023

Researched by Industrial Info Resources (Sugar Land, Texas) -- Welcome to yet another volatile new year ahead for the global gas markets, even as natty in North America has returned to trading at a $4 handle. But for how much longer one wonders? Hhhhm. Likely will be back over $6 before the end of winter. A winter which is still coming, having already experienced Winter Storm Elliot in North America.

Then natty prices will again be pushing $7 Stateside (..and flirting with $40 in Europe..) by the time summer rolls around. Wait a minute, isn't that what happened in 2022?

There is little wonder but rather surprise in regards to petrochemicals/NGLs as sneakily NGL production--Stateside--has been coming on strong and will find its way to export markets; though prices themselves might struggle because of the economic outlook. To recession or not to recession, that remains the question...

East Daley Analytics Releases 2023 Outlook on Midstream Energy Sector Trends

...East Daley expects bullish production for NGLs in the near-term, but more fractionation capacity is needed to manage NGL production without excessive flaring. Add in recession risks that are keeping petrochemical utilization rates down and little domestic demand growth from new ethane cracker projects, NGL prices may be heading for a rough patch.

And with all of this NGL production providing a surplus of feedstock there likely will be a boon in either building or expanding petrochemical facilities in the US.

Ohio River Valley Institute: Appalachia is Fueling a Global Petrochemical Buildout

Although the world is awash in plastics and other petrochemical products, the industry is planning for decades of more growth. If its expansion plans come to pass, much of it will be driven by Appalachia, the very region where the industry got its start.

Fortunately, IIR's dedicated market research is there to provide in-depth information and analysis to such a buildout.

Global Chemical Processing Coverage

..Our comprehensive coverage of the chemical industry allows you to evaluate the installed base of plants and units globally by commodity, sector or geography while also keeping track of relevant market trends that influence future capital and maintenance investments.

Our range of products and solutions enable our end-users to analyze and track the size, shape and location of plant and asset ownerships and their capital and maintenance spending, pinpoint current and prevailing technology demand requirements, and analyze plant and asset ownerships. All of which is updated daily.

As the world can expect this NGL market to grow by 4.8% (..or more..) in the coming years.

Digital Journal: Global Natural Gas Liquids Market Report With Top Countries Data..

The global market for Natural Gas Liquids ..(is).. growing at a CAGR of 4.8% during the forecast period 2022-2028. Some of which is due to refiners looking to new opportunities as they will be squeezed by electrification's impact on transportation.

McKinsey and Company: From crude oil to chemicals: How refineries can adapt to shifting demand

Many analysts forecast that the world's energy transition will soon result in a peak in the use of oil-based fuels followed by a decline. The transportation sector is at the forefront of this trend, with total global demand expected to peak in the next one to two years and then begin a gradual decline.

Other reasons are the world -- already awash in petrochemical products -- needs yet more.

Gulf Times: Ras Laffan ethane cracker to meet rising global demand for high-density polyethylene

At the agreement signing with partner Chevron Phillips Chemical (CPChem), HE the Minister of State for Energy Affairs, Saad bin Sherida al-Kaabi said: "We are delighted to enter into this exciting new venture with Chevron Phillips Chemical -- a leading and highly respected international petrochemicals company, and a long-term partner with whom we have achieved many successes together building and operating plants safely and efficiently for more than 20 years. Together, our large and diverse portfolio will not just help meet the world's growing needs for advanced plastics and petrochemicals, but will also enable balanced growth and facilitate human development in a responsible and sustainable manner."

..Therefore let IIR Energy's Dedicated Market Research place the world at your fingertips.. Tomorrow's News Today.. Ask us! We have Answers!!

As your feedback is very important to us. Please let us know if we may provide additional color or answer any other market questions you may have by replying to this note.

Additional IIR Resources:

• IIR Team Email: iirteam@iirenergy.com
·
• Latest IIR Crude & Products Market Scorecard

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 Trillion (USD).