Markets oil saudi arabia saudi aramco

Days, Weeks, Months? Oil Plunges As ‘Sources’ Say Saudis ‘Close’ To Restoring 70% Of Production

Let's play headline hockey.

The manic headline hockey around the restoration of Saudi oil production continued apace on Tuesday, with reports indicating output could be fully restored within "two to three weeks". That's according to two unidentified sources who spoke to Reuters. One of the people said the kingdom is "close to restoring 70%" of the 5.7 million barrels per day of capacity lost over the weekend in the attacks on Abqaiq and Khurais. The outage left traders staring at the biggest supply disruption in the history of the oil market, causing prices to spike by a record when trading started on Monday. Competing accounts of Aramco's progress in restoring lost capacity have littered the tape over the last 48 hours. The new information from Reuters tips a much more optimistic timeline, and prices responded accordingly, plunging more than 6%. Again, this is a rather abrupt about face. Less than 24 hours previous, sources said it could take "months" to restore full capacity. You can expect these competing accounts to continue unabated in the days ahead, until there's a definitive, on-the-record statement from Aramco. The company's dollar bonds rebounded on Tuesday after dropping to start the week in
Subscribe or log in to read the rest of this content.

2 comments on “Days, Weeks, Months? Oil Plunges As ‘Sources’ Say Saudis ‘Close’ To Restoring 70% Of Production

  1. mfn says:

    As my mother would say, this whole thing stinks to high heaven.

  2. Anonymous says:

    The people with former Dresser Industries engineers actually there talking into Iridium handsets have had a distinct advantage all along. Bloomberg has, in general, dropped the ball here with extensive filtering of opinions, and highly opinionated technologically illiterate correspondents.

Leave a Reply to Anonymous Cancel reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Skip to toolbar