The French Oil blockage seems to be unlocking slowly with the government now prodding markets to take advantage from European supply. There is a question about how this might affect the consumer and the broader supply/demand fundamentals as currently 1,84 million bbls/day of refined capacity is now offline.
Tag Archive 'industrial action'
France’s strategic reserves are currently under threat: roughly 90 days worth *10% refined produce = 9 days worth of stock. These stocks are now down by 7 days. The industrial action continued to pick up pace with refineries still idled and emergency strategic reserves being the only conduit for ongoing fuel delivery. Unfortunately, as previously discussed, this does not seem to provide adequate slack within BAU logistical plans for refined petroleum delivery in the French mainland.
The trouble with fundamentals is they sometimes hit the mark. France now faces shortages at gas stations that risk causing further damage to an ailing economy.
Posted in Market Comments on Oct 16th, 2010
France is undergoing, yet again, another month of strikes. The one sticking point, unfortunately, is that this time both refineries and the oil industry are being used as leverage in the debate.
The beginning of September marks an old French tradition, much like hay fever in May, the street come alive with the sounds of… No, not music, nor cars or school kids returning to school; think instead union slogans, badly tuned loudspeakers with increased reverb and atrocious feedback – yep, you got it, it’s Manif Season (read demonstration fever), back on the street for another attack at the system, or something.