Oil prices increased Mar. 26 with crude up 1.4% to its highest close in a month on the New York market, buoyed by improved US economic data and near-resolution of the Cyprus crisis. Natural gas climbed 2.8% with cooler weather and field machining.

“Brent performance, although less spectacular, was nevertheless good,” said Marc Ground at Standard New York Securities Inc., the Standard Bank Group. The price spread between Brent and West Texas Intermediate ended the day near $13/bbl.

In Houston, analysts at Raymond James & Associates Inc. said, “The volatility of the oil markets again leaves us scratching our heads. Since Mar. 1, the WTI-Brent spread has narrowed from $20/bbl to $13/bbl. However, the story doesn’t end there as Light Louisiana Sweet crude (LLS) has built in a premium to Brent, keeping the Gulf Coast LLS-WTI spread at a higher $16/bbl. Much has been written about the WTI discount, but why the $3/bbl spread between LLS and Brent? More importantly, why is LLS actually at a premium to Brent (in contrast to our LLS discount thesis)?”

Mactech’s Take:
While this article on crude oil prices is interesting, what I find more interesting is the advertisements to the right of the article. An ad for ASME promoting pipeline training. An ad for Mobil promoting onshore and offshore productivity in the oil and gas industry. And my personal favorite, an ad for BNSF asking potential customers to “mix some rail in your crude.”

Three very different business services associated with the oil and gas industry that all play a part in the development of crude. Ironically, Mactech can and does play a part in all three of these associated industries. We have been providing services for the Rail Industry for years, we operate in field machining and subsea machining both onshore and offshore, and we have industrial pipe cutting machinery involved in the pipeline industry.

Whether it by train, by pipe or by sea… we’ve got you covered.

Read more from the source: ogj.com