Oil on water levels have reduced by as much as 17% since the beginning of the year according to new figures generated by Vortexa, a newly launched analytics platform focused on the oil markets.
The figures point to the effect of the December 2016 agreement between OPEC and 11 non-OPEC member countries, aimed at correcting the global over-supply of oil.
Co-Founder and CEO Fabio Kuhn commented: “The effect of the OPEC agreement on the global balances of crude oil is one of the most important questions in the oil market at the moment, but until now access to accurate and reliable data on the topic has been limited.
“We have seen a significant reduction in global oil supply since January, with oil on water going from 978 million barrels on January 1st to 812 million barrels on April 3rd.
“With an average level of 930 million barrels over the last year, oil on water volumes are sizeable and are known to be the first level of stock to respond to changes in oil supply.
“These changes are a signal that the rebalancing is happening faster than many in the market believe.”
Vortexa is an analytics platform that absorbs billions of data points from hundreds of sources using AI, deep learning algorithms and Bayesian reasoning to reveal the past, present and future movement of oil globally.
It is the first analytics platform using AI capabilities in the energy trading industry to provide an unprecedented view of global oil movements.
Founded by a team with extensive energy market and technological expertise, Vortexa’s launch comes following a successful test phase with five of the industry’s largest physical energy traders, and backing from prominent tech investors in Europe.
Key features of the Vortexa platform:
- Live view of global oil – Nearly every seaborne oil movement in real-time and what is expected in the next few months along with prediction of destination, cargo volumes and more than 600 grades, covering more than 94% of all cargos globally.
- Historical flow analysis – View of seaborne oil flows from and to any location in the world over the last two years. Figures are built on a cargo-by-cargo basis, a capability that also provides an early view of import/export figures for OPEC, trading regions or individual countries.
- Advanced alerting – Using an easy and intuitive rule setting mechanism, traders are notified of any new oil movement in their area of interest.
Kuhn further commented: “The massive growth in data, particularly coming from new satellite constellations, together with recent breakthroughs in artificial intelligence allow Vortexa to solve extremely complex, large-scale problems directly relevant to the energy industry.
“With Vortexa, oil traders now have access to information on crude oil flows worldwide with a superior level of detail, accuracy and speed. In the next few months, we will also be covering refined products followed by a real-time view of the global supply and demand balance for oil, across the barrel.
“We are very excited about the future of the energy trading industry — and our role in it.”
Co-Founder and Chairman Etienne Amic commented: “Vortexa’s primary role is to provide our clients with a systematic, data-driven understanding of physical oil flows, which have a real impact on their trading decisions.
“More importantly, Vortexa provides immediately accessible information to traders when they need it the most, not in reports weeks or months later.
“ The strong feedback we have received during our beta testing period from some of the best names in the energy trading industry has given us the confirmation that the market is ready for Vortexa.”
Vortexa is backed by investors including Skype co-founder Jaan Tallinn, Michael Halbherr, former CEO of HERE, one of the largest mapping, navigation services and location solutions companies in the world; and venture capital firm Mosaic Ventures, whose partners have a proven track record of investing in category leading innovative companies such as Alibaba, Criteo and King.