Global Oil Stocks Near Eight-Year Low as US Inventories Fall and Russian Tax Price Reaches $94.87
Global oil inventories near an eight-year low as Goldman Sachs warns depletion accelerated and US crude, distillate and gasoline stocks declined last week. Heightened Strait of Hormuz tensions and the US Navy's 'Project Freedom' plan coincide with April's Russian tax price hitting $94.87 per barrel, the highest since September 2014.
1. Inventory Declines and Supply Tightness
Global oil inventories have approached an eight-year low as depletion rates accelerate, with US crude, distillate and gasoline stocks also posting draws last week, intensifying supply concerns across major benchmarks.
2. Strait of Hormuz Tensions
Heightened tensions in the Strait of Hormuz, including recent Iranian drone attacks on a tanker, have underscored risks to a corridor that carries approximately 20% of seaborne oil, amplifying market tightness.
3. US Navy's Project Freedom Initiative
Under Project Freedom, the US Navy will deploy additional assets to escort or evacuate commercial vessels in the Hormuz corridor, aiming to mitigate supply disruptions from Iranian threats and reassure shippers.
4. Russian Tax Pricing Hits Highest Since 2014
April’s average Russian oil price used for taxation climbed to $94.87 per barrel, the highest level since September 2014, driven by sustained gains in global benchmark prices.