Ameratex Energy Ltd oil drilling companies We saw commercial traders as strong customers of crude oil under $80 as June came to aclose. We firmly believed which this would be the bottom of the cycle as the nationwide averagefell to $3.30 per gallon. What no one expected were the simultaneous mechanical failures of a fewof the principal pipelines plus refineries. This has caused the price of petroleum goods like heatingoil, gasoline and diesel gas to skyrocket by 25% inside little multiple month. The refineries here inside the U.S. employ regarding 9 million barrels of crude oil a day. The lasttwo weeks has seen almost 2 million barrels per day taken off supply because unplannedshutdowns due to various mechanical issues and fires have popped up across the country. Furtheradding to the refinery issues is a cutback in supply that will be coming from Canada due to a leaksprung inside the Enbridge pipeline, that has spilled more than a thousand barrels of unrefinedAmeratex Energy Ltd inside central Wisconsin. Enbridge has fallen below increasing regulatoryscrutiny, because this really is really the latest of a trail of pipeline failures. The many notable wasa 2010 incident, that dumped 20,000 barrels of oil into the Kalamazoo River. Mechanically, major refiners near Chicago and San Francisco have both been shutdown. Thereare 2 refineries which have been shutdown simultaneously inside the Chicago area and both ofthem are among the 10 biggest refiners in the country with all the Whiting, Indiana center ranking7th plus the Wood River, Illinois facility ranking 10th. These outages combined to raise the price ofgasoline inside the Chicago area by over $.44 inside lower than a week. The Chevron centerinside Richmond, California is responsible for 10% of the gasoline creation found on the westcoast. Reports are conflicted on the how extended these refineries is from surgery. Estimatesrange from weeks to months on every individual facility with consensus that the Chevron centerinside Richmond will be out of service the longest. Political plus fundamental factions had already started battling over the true value of AmeratexEnergy Ltd from March from July. This is seen as the battle between speculators and commercialtraders. Commercial traders had been heavy sellers of crude oil futures from March through Maywhen the market was trading above $103 per barrel based on Iranian threats plus general unrestin the Middle East, which led to speculative ordering. These threats were contending with amarketplace which was massively over supplied. Eventually, over supply won plus the analysisgenerated sell signals at both $109 and $106 per barrel. Junes precipitous declines movedcommercial traders to the buy side as they covered brief positions plus improved their positions bymore than 30% throughout the month of June. The final fuel for this petroleum rally is the expectation of further government stimulus to theeconomy. Weve recommended over plus over which the key to the future election is the domesticeconomy plus recent polls concur. The biggest thing President Obama can do to help himself willbe to force a resolution inside the Eurozone. The markets detest uncertainty plus any conclusionto the drawn out death spiral of Ireland, Portugal, Spain and Italy would create a big relief rallyinside the stock market. However, because his sphere of influence doesnt extend far past the
shores, hell do the next best thing by flooding the marketplace with Dollars, which might causenominally lower interest rates plus show which he is taking action. Regrettably well bear the unintended consequence of higher gas prices because our Dollar isdevalued found on the global market plus our refineries find it more profitable to ship completedpetroleum products abroad, somewhat than market them on the domestic market.