More oil supply at risk

[dan_s]

Ecuador unrest disrupts oil. Ecuador’s President Lenin Moreno is fending off nationwide protests after his decision to remove fuel subsidies. He moved his government out of Quito, temporarily decamping to Guayaquil. Protestors seized some oil installations, disrupting 165,000 bpd, or nearly a third of production. On Wednesday, Ecuador’s state-owned oil company declared force majeure on trading operations. The cuts came as part of IMF prescriptions in conjunction with $4.2 billion in loans. U.S. West coast refiners are most exposed to the disruption, such as Marathon’s (NYSE: MPC) refineries in L.A. and San Francisco.