{"id":6502,"date":"2015-03-14T18:47:18","date_gmt":"2015-03-14T23:47:18","guid":{"rendered":"http:\/\/olduvai.ca\/?p=6502"},"modified":"2015-03-14T18:47:18","modified_gmt":"2015-03-14T23:47:18","slug":"the-truth-about-u-s-crude-storage","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=6502","title":{"rendered":"The Truth About U.S. Crude Storage"},"content":{"rendered":"<h3><a href=\"http:\/\/oilprice.com\/Energy\/Energy-General\/The-Truth-About-U.S.-Crude-Storage.html\" target=\"_blank\">The Truth About U.S. Crude Storage<\/a><\/h3>\n<p>Despite the popular narrative that we keep hearing, the U.S is not running out of crude oil storage. Yet there are those who are predicting that oil prices are going to fall to $20 or $30 a barrel, pointing to the crude oil storage numbers and suggesting that we are near maximum capacity and therefore a price collapse is imminent. (Although Goldman Sachs\u00a0<a href=\"http:\/\/finance.yahoo.com\/news\/goldman-says-40-oil-call-070618448.html\">did some backpedaling<\/a>\u00a0on their forecast this week).<\/p>\n<p>The argument goes something like this:\u00a0<a href=\"http:\/\/news.yahoo.com\/us-running-room-store-oil-price-collapse-next-171025276--finance.html\">US running out of room to store oil; price collapse next?<\/a><\/p>\n<p><em>\u201cThe U.S. has so much crude that it is running out of places to put it, and that could drive oil and gasoline prices even lower in the coming months. For the past seven weeks, the United States has been producing and importing an average of 1 million more barrels of oil every day than it is consuming. That extra crude is flowing into storage tanks, especially at the country\u2019s main trading hub in Cushing, Oklahoma, pushing U.S. supplies to their highest point in at least 80 years, the Energy Department reported last week.\u201d<\/em><\/p>\n<p>At first glance, the argument seems to be pretty straightforward. But let\u2019s dig into the data a bit. Admittedly, if you look at the storage numbers in the nation\u2019s most important oil storage hub (and the price settlement point for West Texas Intermediate on the New York Mercantile Exchange) in Cushing, Oklahoma, it\u2019s easy to form the impression that storage is filling up and an oil price crash is inevitable:<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/oilprice.com\/images\/tinymce\/Evan1\/ada1963.jpg\" alt=\"WeeklingCushingStocks\" width=\"448\" height=\"300\" \/><\/p>\n<p>&#8230;click on the above link to read the rest of the article&#8230;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Truth About U.S. Crude Storage Despite the popular narrative that we keep hearing, the U.S is not running out of crude oil storage. Yet there are those who are predicting that oil prices are going to fall to $20 or $30 a barrel, pointing to the crude oil storage numbers and suggesting that we [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[3],"tags":[184,4166,4044,827,996,4165],"class_list":["post-6502","post","type-post","status-publish","format-standard","hentry","category-energy-2","tag-crude-oil","tag-cushing","tag-oil-storage","tag-united-states","tag-us-crude","tag-us-crude-storage"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/6502","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=6502"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/6502\/revisions"}],"predecessor-version":[{"id":6503,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/6502\/revisions\/6503"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=6502"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=6502"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=6502"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}