CGES Sees Oil Levels Nearing Minimum

Oil inventories are getting so tight that commercial stockcover held by oil companies could hit minimum operating levels by early next year, London's Center for Global Energy Studies warned. The CGES reported that after a heavy draw in September, commercial inventories held in the industrialized nations of the OECD fell again in October - by an estimated 800,000 bpd in the United States and Europe. The OECD commercial stockcover has reportedly fallen from 57 days at the end of June to 54 days at the end of September and will reach 51 days at end-December. Worldwide stockcover was seen sliding from 85 days at end-June to 78 days at the end of the year.