Vasko
1.7K posts
I just really, really hate the concept of capitalism. I don’t want to work my job every day. I want to make art. I want to be in my garden. I want to feel something.
#Syria: Baniyas Oil Terminal never witnessed such activity as in these recent days. Night & day work is underway to adapt the infrastructure & logistics to handle incoming Iraqi oil, following a recent agreement aimed at bypassing closure of the Strait of Hormuz. The quantities received will increase in the coming weeks - the plan is to reach 500,000 metric tons per month.
🔥A MUST READ:🔥🔥🔥 This is a fascinating development in the oil markets! Iraq has been unable to export its crude oil through the Strait of Hormuz due to ongoing disruptions. The country's only current crude export route is the pipeline through Turkey, which is running at roughly 200 kb/d. To work around this, Iraq has started exporting fuel oil via hundreds of tanker trucks. The route takes them across the western Iraqi desert, into Syria, and all the way to the Mediterranean port of Banyas (see black arrow in the map below). The tanker Asahi Princess recently delivered a fuel oil cargo to Syria from Saudi Arabia. It is scheduled to load Iraqi fuel oil today and is expected to depart the port on Friday or Saturday. This represents approximately 700,000 barrels of fuel oil. What's particularly noteworthy is that almost all analysts are not yet factoring this volume into their supply-demand balances. It is small, but continues.
Markets don’t price oil at 100 vs 94. They price the barrel that doesn’t exist. Meanwhile, Hormuz is functionally closed and won’t reopen overnight. The path back will be complex and painful. Conditions will likely have to worsen before incentives align. More on that in the coming episodes. The executive summary is open to everyone, with plenty of data. Enjoy open.substack.com/pub/alexanders…
President Trump issues a statement following his meeting with Secretary-General Rutte