Algeria Blast Sends Oil To 10-Month Highs - Reuters

[hatrack]

NEW YORK - "Oil prices hit fresh 10-month highs on Tuesday as a huge blast at a liquefied natural gas (LNG) plant in Algeria added to concerns over wafer-thin U.S. oil supplies, which are being tested amid bitter winter cold. The explosion in Algeria -- the world's second largest LNG exporter -- closed the OPEC member's largest refinery and main oil export terminal. It has delayed shipment of some cargoes as result of the blast.

U.S. light crude futures for February delivery CLc1> hit a new 10-month high of $36.20 a barrel, up $1.13, the highest level since the U.S invasion of Iraq in March. London Brent crude futures LCOc1> for March rose 55 cents to trade at $31.12 a barrel.

EDIT

U.S. crude prices have shot up more than $8 a barrel, or 30 percent, since late September when OPEC agreed to cut official output limits by 900,000 barrels per day. Since then, demand has risen with the onset of the Northern Hemisphere winter and U.S. fuel inventories have fallen to the lowest levels since the mid-1970s. Saudi Arabia has said it is too early to predict what action OPEC will take when it reviews production policy at its next meeting on Feb. 10 in Algiers. On Tuesday Qatar said the cartel should not rush to set its output level.

OPEC is worried that a big overhang of oil will trigger a collapse in prices in the second quarter when demand normally tails off at the end of winter. It is already pumping about 1.5 million bpd above its official ceiling of 24.5 million bpd, which excludes Iraq output."

EDIT

http://www.planetark.com/dailynewsstory.cfm/newsid/23532/story.htm

[spinbaby]

1. What explosion in Algeria?

Did I miss something?

[hatrack]

2. In the article - major refinery blast

No sabotage suspected, but it pretty much trashed the biggest LNG facility in the country, along with three LNG trains.

[wryter2000]

3. Nail in Whistle Ass's coffin

As I was filling up this morning, it occurred to me that if the predictions are right and gas goes to $3.00/gallon this summer, that'll be the end of WA. That'll finally tick off the morons driving around with the Murkan flags on their big, honkin' SUV's. There go the soccer moms and NASCAR dads. (No offense meant to NASCAR.)

[Systematic Chaos]

4. Why the heck not?

I offend NASCAR whenever I get the chance! Nothing but a bunch of people with nonstop morbid curiosity willing to watch cars going around to the left until finally there's a nice wreck with mangled cars and paramedics. BFD to me, but then that opinion and 35 cents will get you a phone call here in Vegas, UNLESS you're in one of the casinos and then it's 50 cents.

[Nihil]

7. Nah, not much difference to Bu$h

The increase to $3/gallon (or whatever) might equate to a loss of
x% votes ... but on the other hand it results in a gain of $yM for
the oil corps so that will require a few $zk donations in order to
buy back x% or more votes ... Yay! Go fer it!

That's the kind of counting he CAN do ...

[jmcgowanjm]

5. go to Environment/Energy/Science:

Skikda LNG complex destroyed.

27 deaths, 9 missing.

And Indonesia will be an oil importer
by the end of 2004

And China has surpassed Japan in oil
consumption.

And:
http://www.platts.com/features/lng/europe.shtml

Note the # of times Algeria LNG is mentioned in
above article.

Algeria's LNG is no longer w/ us.

[jmcgowanjm]

6. Imagine Texas City/Fertilizer Explosion

http://www.local1259iaff.org/disaster.html
But bigger