World's Cheapest Crude Hits Record Low as Oil Slump Deepens
- Western Canadian Select grade falls below $20 a barrel
- More production shut-ins expected: Auspice Capital Advisors
Will Oil Oversupply End in the Next 6 to 12 Months?
This article is for subscribers only.
A deepening oil market slump is adding fresh pain for producers of the world’s cheapest crude, raising the prospect that more production will be curtailed.
Spot prices for the Western Canadian Select grade fell to $19.81 a barrel on Wednesday, the lowest since tracking began in 2008, according to data compiled by Bloomberg. The benchmark, made up of heavy conventional production and bitumen blended with synthetic crude and condensate, fell with global grades after U.S. gasoline inventories surged the most in 22 years and crude supplies at the American storage hub in Oklahoma climbed to a record.