The charts are telling us the story here:
Looks like their rally is being extended:
Pemex Explosion Mexico:
The Oil and Gas Industry Appears To Be Under Attack
By Raz Putin
There have been a number of incidents/accidents in 2019 in the oil & gas industry in the U.S.A and worldwide that should raise some eyebrows.
The recent “drone attacks” on Saudi Arabian oil production as a very obvious example. The potential loss of 5 million barrels a day (roughly 5% of total worldwide oil production) already have oil futures looking up after flirting with the rock bottom pricing early in the week. Saudi Arabia has now officially announced that it will be halving it’s overall production. Iran via it’s proxies in Yemen is being blamed for these latest attacks. No surprise for this reader. Add to this attack the recent attacks on oil tankers in the Persian Gulf and the Gulf of Oman and it appears that their is a concerted effort going here. Who’s really to blame and who really gains from higher oil prices? A quick Internet search will reveal many possible results.
Recent Oil & Gas Production and Distribution Incidents and Accidents In The USA
Recently you may remember a major explosion that occurred at a South Philadelphia oil refinery (at Philadelphia Energy Solutions).
The explosion and fire there after caused the refinery to close it’s operations (bankruptcy in progress). This resulted in a reported loss of a thousand+ jobs. Philadelphia Energy Solutions facility had a capacity of 335,000 barrels per day and was reported to be the largest refinery on the East Coast. The refinery facility is made up of two refineries. The fire occurred at the Girard Point refinery.The refinery originally went into operation in 1926.
In this case it is worth noting that the parent company
Pes Holdings LLC was severely cash strapped and in financial decline.
The company had just reemerged from Chapter 11 bankruptcy just a year before the accident occurred on June 21, 2019.
It’s also worth noting that the refinery had another fire 11 days before on June 10 with no injuries reported.
Federal investigators are still seeking the cause of this accident.
4 People Injured In Major Explosion, Fire At Oil Refinery In South Philadelphia, Officials Say (6.21.2019)
Another recent incident/accident on March 17, 2019 at Intercontinental Terminals Deer Park, Texas Facility resulted in the Houston Ship Channel being closed for a number of days at a cost of a potential billion dollars to the US energy sector.
It is worth noting that Intercontinental Terminals had a long history of environmental violations going back to 2009.
Deer Park Plant on fire at Intercontinental Terminals Co. has history of environmental violations”
List of pipeline explosions, leaks and incidents for 2019 to date
(courtesy of wikipedia)
On January 17, a natural gas and oil explosion occurred resulting in the loss of 1.4 million dollars worth of natural gas and oil, and a fire lasting all day, in Watford city, North Dakota. There were no injuries or deaths.
On January 29, 2019, a pipeline ruptured, near the town of Lumberport in Harrison County, West Virginia. The rupture was located at a girth weld of an elbow on the 12-inch interstate pipeline. The root cause investigation concluded that a landslide about 150 yards from the rupture moved the pipeline approximately 10 feet from its original location causing excessive stress on the pipe resulting in the rupture.
On January 30, a crude oil spill, caused by an apparent open valve, occurred in Enid, Oklahoma. This incident resulted the loss of 750 barrels or 31,500 gallons into the environment the oil extending 5 miles down a creek.
On February 2, a fire was intentionally set in Pittsylvania county, Virginia. This fire caused $500,000 worth of damage to mountain valley pipeline construction. There were no injuries or deaths.
On March 3, an Energy Transfer Partners 30 inch natural gas pipeline exploded and burned, destroying a house, that was under construction previously, in Audrain County, Missouri. There were no deaths and no one was injured. The cause was Stress Corrosion Cracking. During hydrostatic testing of this pipeline, after the failure, 4 other sections of pipeline failed. It is estimated that 91,719 cubic feet of natural gas was released during the incident. 
On April 24, a Magellan Midstream Partners pipeline was detected to be losing pressure. Investigation found a leak in the pipeline, near Cottonwood, Minnesota. About 8,400 gallons of diesel fuel had leaked from the pipeline.
On August 1, an Enbridge 30 inch gas transmission pipeline exploded and burned, in Stanford, Kentucky. One person was killed, and, 5 others injured. Five homes were destroyed and at least four were damaged in the Indian Camp mobile home park in Stanford, where the explosion occurred. Flames reached more than 300 feet and melted tar on nearby roads, officials said.
Many of the incidents maybe attributed to a maxed out US Oil and Gas Sector. The industry has been trying to ring out as much oil and gas as possible to facilitate the Trump Administrations goal of energy self sufficiency and domination.
With Saudi Arabia’s diminished capacity the US has become the world’s #1 producer for the moment.
However all of these events (incidents or accidents) have had a beneficial effect on the price of oil on the world markets for those oil producing nations.
That said you have to wonder are Trump and the U.S.A.the intended target here. Because all of these events don’t bode well for Trump’s dream of making America great again.
The increased cost/price of oil will have a detrimental economic affect at a time when Trump is trying very hard to ward off a recession before the next election.
Concerted effort or coincidences?
Place your bets...