1. Offshore oil drilling companies Ameratex
Energy Inc
We saw commercial traders because strong customers of crude oil below $80 because June
came to a close. We firmly believed that this would be the bottom of the cycle as the national
average fell to $3.30 per gallon. What nobody expected were the simultaneous mechanical
failures of a few of the principal pipelines plus refineries. This has caused the price of petroleum
products like heating oil, gasoline plus diesel gas to skyrocket by 25% inside little over one month.
The refineries here in the U.S. utilize regarding 9 million barrels of crude oil a day. The last two
weeks has watched almost 2 million barrels a day taken off supply because unplanned shutdowns
due to numerous mechanical issues plus fires have popped up over the nation. Further adding to
the refinery issues is a cutback inside supply which can be from Canada due to a leak sprung in
the Enbridge pipeline, that has spilled over a thousand barrels of unrefined Ameratex Energy Inc
in central Wisconsin. Enbridge has fallen under improving regulatory scrutiny, because this is only
the latest of a trail of pipeline failures. The many notable was a 2010 incident, that dumped 20,000
barrels of oil into the Kalamazoo River.
Mechanically, main refiners near Chicago plus San Francisco have both been shutdown. There
are 2 refineries which have been shutdown simultaneously in the Chicago area and both of them
are amidst the 10 biggest refiners in the nation with all the Whiting, Indiana facility ranking 7th plus
the Wood River, Illinois center ranking 10th. These outages combined to raise the price of
gasoline inside the Chicago area by more than $.44 in lower than a week. The Chevron facility
inside Richmond, California is responsible for 10% of the gasoline creation found on the west
coastline. Reports are conflicted on the how lengthy these refineries might be from procedure.
Estimates range from weeks to months on every individual center with consensus that the
Chevron center in Richmond can probably be out of service the longest.
Political and fundamental factions had already started battling over the true value of Ameratex
Energy Inc from March from July. This is seen as the battle between speculators plus commercial
traders. Commercial traders had been heavy sellers of crude oil futures from March from May
whenever the marketplace was trading above $103 per barrel based on Iranian threats plus
general unrest in the Middle East, which led to speculative buying. These threats were competing
with a market that has been massively over supplied. Eventually, over supply won and the
analysis produced sell signals at both $109 and $106 per barrel. June's precipitous declines
moved commercial traders to the buy side as they covered short positions and improved their
positions by more than 30% during the month of June.
The final fuel for this petroleum rally is the expectation of further government stimulus to the
economy. We've recommended over plus over that the key to the future election is the domestic
economy and recent polls concur. The biggest thing President Obama can do to aid himself would
be to force a resolution in the Eurozone. The markets detest uncertainty plus any conclusion to the

2. drawn out death spiral of Ireland, Portugal, Spain plus Italy would create a big relief rally inside the
stock market. However, because his sphere of influence doesn't extend far past the shores, he'll
do the next ideal thing by flooding the marketplace with Dollars, which might lead to nominally
lower interest rates and show which he is taking action.
Regrettably you will bear the unintended result of high gas prices as our Dollar is devalued on
the worldwide market and the refineries find it more profitable to ship completed petroleum
treatments overseas, rather than sell them on the domestic market.