The June Brent futures contract has seen a strong morning, opening around $89/bbl levels before seeing a small correction down to $88.70/bbl at 08:45 BST before rebounding and rallying up to $89.30/bbl levels at 10:30 BST. Pemex, Mexico’s state energy company, is halting crude exports to the tune of 436 kbbls/d over this month as it prepares for domestic oil processing at the new Dos Bocas refinery, according to Reuters. Meanwhile, Formosa Petrochemical’s Taiwan refinery, producing 540 kbbls/d, has ceased operations at its Mailiao port following a 7.2 magnitude earthquake, with expectations to resume production on Wednesday afternoon. Market participants await today’s OPEC+ panel, expected to maintain current oil output policies, along with U.S. EIA inventory data, following reports of a 2.3 million barrel crude inventory draw on Tuesday by the API. The Jun/Jul and Jun/Dec Brent spreads are at $0.99/bbl and $5.28/bbl respectively.
