Crude Oil Prices Overview

Market Overview

Quarterly update on Global Crude oil market
 
For the quarter ending December 2020
 
Asia
 
Crude oil market in Asian countries experienced a fair growth in the final quarter of 2020 as the effect of pandemic slowed down. Nation wise lockdown in major countries created a devastating situation for crude oil sector. In October most of the Asian countries like India and China considerably revived from the effects of Covid19 and opened their economies again. Moving to November the petroleum sector rebounded effectively by a promising number of around 10% and thus at the end of the fourth quarter demand came close to the normal conditions. The demand is likely to witness a further boom in first quarter of 2021 as the aviation sector is on the road to utilize its full capacity. Aviation sector rebounded at around 13% per month (in India) in the final quarter of 2020, after suffering from an immense drop in the first half of the year. Thus, on the last day of 2020, OPEC daily basket prices of Brent Crude climbed to USD 51.80 barrel while US West Texas Crude reached USD 48.52 a barrel.
 
North America
 
Backed by the presence of various players, North America maintains a huge crude oil production capacity. In the final quarter of 2020, production rates remained similar to pre Covid-19 levels however the demand was still facing setbacks due to slowed rebound in some of the downstream industries. Contrary to the expectations, in October crude oil prices dropped further 4% in USA. Fall in prices affected most of the oil producing companies and thousands of people lost their jobs. Although Storm Zeta in the Gulf of Mexico temporarily eased the fall in its prices due to the forced measured declared on several production facilities of that region. Number of rigs in USA increased by the end of the quarter but USA as well as Canada was heard looking forward to slow down the crude oil production in upcoming years just to reduce their carbon emission.
 
Middle East
 

Last quarter of 2020 was not good for some middle east countries, they faced huge financial crises due to consistent fall in crude oil prices. In addition, OPEC imposed an oil production quota on its member countries to limit the production of crude oil. The quota made the situation worst for countries like Iraq as their economies are majorly dependent on Crude oil production. However, Kurdistan, an independent oil producing country based in Middle East was heard taking advantage of OPEC’s mandate and thus catered enhanced revenue over its commodity peers bound under OPEC. Market sentiments turned optimistic in the end of fourth quarter of 2020, when OPEC gave hopes to ease the strict mandate from January.

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Services
Market Analysis

Company-wise installed capacity, production volume and plant operating efficiency is captured directly from manufacturers. Import and Export volume is captured from government sources and demand for Acrylonitrile is calculated considering the production, import, export and inventory-levels on the country and regional level markets.

Pricing Analysis

Acrylonitrile price is correlated with the price trend of crude oil, demand-supply gap, Propylene and with movement across the downstream derivatives such as acrylonitrile-butadiene-styrene (ABS), styrene-acrylonitrile (SAN) etc.

Company Profile

Basic details and information on financial performance of leading global players in the Acrylonitrile market is presented in a visually captivating manner. Expansion plans and the company’s strategy is also captured to understand the vision and mission of the company to help understand the areas where companies need to focus more.

News & Deals

Daily updates on industry-specific and product-specific news, exclusive primary-based news capturing plant shutdowns/outages/closures, capacity expansions, operating rates, insights on demand-supply situation, awarding of technology licenses, new product launch and deals specifying mergers and acquisitions, strategic investments and disinvestments, to help players capitalize on market opportunity.

Methodology

ChemAnalyst gathers information through primary research surveys conducted with various Crude Oil manufacturers, spread across the domestic and international market, suppliers and dealers/distributors to gain insights into value-chains and demand-supply scenario to assess the market situation. Thorough study of company’s annual reports and secondary sources such as exhaustive search on credible paid databases, including our internal database is done to verify the information. All the collected information is analyzed, evaluated and presented in chronological order to depict a meaningful and clear picture of the concerned market.
 
Our dedicated team of industry experts comprehensively monitors and analyzes various aspects of the Global Crude Oil market. The team analyzes various industrial segments, strategic viewpoints and provides an analysis of the industry’s performance in the long run. This would enable our clients in efficiently plan their future investments, mitigate risk, understand the cost dynamics and strike out a balance amidst market volatility.
 
Critical examination of the impact of COVID-19 pandemic on the global supply chains and shift in demand patterns with change in buying behavior of consumers across the globe.
 
Several ongoing development projects across industries are tracked, followed by the details of major projects in the development stage, which can positively or negatively influence Global Crude Oil market.
 
Pricing is captured through exhaustive primary interviews with domestic and international manufacturers, traders and importers and customers on daily, weekly, monthly, and yearly basis.
 
Finally, region-specific markets for Petroleum are analyzed and region-wise demand pattern is tracked.

About

Crude Oil, also known as Petroleum, is a naturally found fossil fuel composed of hydrocarbons which is found beneath the earth surface in a special geological place. Crude oil is refined to obtain crucial usable products like Petrol/gasoline, diesel, LPG, kerosine, aviation fuel etc. Since it is a non-renewable source of energy, there exists only limited number of its stocks. Crude oil provides wide range of important products and has been in high demand from many decades, that is why it is becoming difficult retain it for several more centuries. Crude oil refining is done in the given steps, desalting, distillation, down streaming process, and purification. As of the now, major crude oil producing countries are USA, Saudi Arabia, Russia, Canada etc. The immense dependency on crude oil is compelling countries to switch to other renewable sources of energy resources. Although this may not end our dependency on crude oil but can reduce it. Major economies like USA, China and India have already started taking initiative to reduce carbon emission thus they are looking forward to new renewable fuel alternatives to limit crude utilization.