Quote:
Originally Posted by burn_this_city
Prior to the keystone pipeline spill last week there was barely any apportionment since Line 3 was completed. The crazy differential we've seen over the last few months is from the SPR releasing heavy crude, and Urals being sold to Asia for $30+ discounts. There is no export demand to Asia and India with Russian Urals selling at fire sale prices there. The other factor is elevated natural gas prices adding to the cost of refining a heavy barrel in the gulf coast.
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SPR releases have skewed to light sweet for a little while now (certainly longer than the Keystone spill). And to my point, Venezuelan crude is heavy, so obviously the US feels it needs to get that crude from somewhere and Canada is not it.