Oil Rises as Libyan Oilfields Shut Down
Libya’s national oil company declared a force majeure on their Sharara and El Feel oil fields on Monday. The two major oilfields in southwest Libya began shutting down on Sunday after forces loyal to Khalifa Haftar closed a pipeline, potentially cutting national output to a fraction of its normal level. The projected outages are roughly 700,000 barrels per day. The outages are expected to be short-lived unless conflict escalates further in the coming days.
U.S. energy markets are closed on Monday for Martin Luther King Jr Day, but Brent crude oil modestly rose on the news as the time at this was written. The country has dealt with civil conflict continuously for years, ultimately reducing the price risk as the market most likely priced in any further outages from the country.
Union Pacific CEO: PSR is dead. Long live PSR
Union Pacific Railway (UP) CEO, Lance Fritz, believes that Precision Scheduled Railroading (PSR) is an outdated phrase. The company has been implementing its PSR strategy since October 2018 and believes the transition is complete. Fritz has been living by the late Hunter Harrison—”Don’t do work you don’t have to.” The strategy allows the company to move railcars as deep and as quickly as they can by having one primary service instead of a boutique service. Fritz considers the transition a success, because they may not run as many lanes as before PSR, but their service is “fundamentally different today.”
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Saudi Aramco said it netted an additional $3.8 billion from its record initial public offering as it sold more shares to meet investor demand, boosting Crown Prince Mohammed bin Salman’s war chest to reshape the country’s oil-dependent economy.
U.S. companies are underwriting the European Union’s ambitious climate goals, fueling the bloc’s green-energy transition with power deals that cut emissions and costs.
Oil prices rose to their highest in more than week on Monday after two large crude production bases in Libya began shutting down amid a military blockade, risking reducing crude flows from the OPEC member to a trickle.
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Retailers project a slow beginning to 2020 before imports pick up in the spring and the eastbound trans-Pacific trades return to normal seasonal trends. Retailers say US import comparisons with early 2019 will be skewed due to tariffs and the timing of the Lunar New Year.
A federal judge halted California’s attempt to regulate trucking companies’ use of independent drivers under the state’s new “gig economy” law, extending a temporary bar on enforcement of the measure while an industry challenge plays out in court.
Precision-scheduled railroading (PSR) is an outdated phrase, Union Pacific Railroad CEO Lance Fritz told the Midwest Association of Rail Shippers’ Winter Meeting in Lombard, Illinois, Wednesday.
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Trucking employment fell in December for the first time in a decade, continuing a months-long decline during a period of weak freight demand and low unemployment.
December retail sales, a measure of purchases at stores, restaurants and online, increased a seasonally adjusted 0.3% from a month earlier, the Commerce Department said Thursday.
The U.S. and China trade deal signed this week is likely to provide extra fuel for growth in 2020 and prompt a pickup in business investment, economists surveyed by The Wall Street Journal said.