USA Crude Oil Stocks Drop

U.S. commercial crude oil inventories, excluding those in the Strategic Petroleum Reserve (SPR), decreased by 2.5 million barrels from the week ending June 7 to the week ending June 14, the U.S. Energy Information Administration’s (EIA) latest weekly petroleum status report highlighted.

U.S. crude oil stocks, not including the SPR, came in at 457.1 million barrels per day on June 14, 459.7 million barrels per day on June 7, and 463.3 million barrels per day on June 16, 2023, the report showed. Crude oil in the SPR stood at 370.9 million barrels per day on June 14, 370.5 million barrels per day on June 7, and 350.0 million barrels per day on June 16, 2023, the report revealed.

Total petroleum stocks in the U.S. – including crude oil, total motor gasoline, fuel ethanol, kerosene type jet fuel, distillate fuel oil, residual fuel oil, propane/propylene, and other oils – stood at 1.658 billion barrels on June 14, the report highlighted. This figure was up 0.2 million barrels week on week and up 39.6 million barrels year on year, the report outlined.

“At 457.1 million barrels, U.S. crude oil inventories are about four percent below the five year average for this time of year,” the EIA noted in the report.

“Total motor gasoline inventories decreased by 2.3 million barrels from last week and are about one percent below the five year average for this time of year. Both finished gasoline and blending components inventories decreased last week,” it added.

“Distillate fuel inventories decreased by 1.7 million barrels last week and are about eight percent below the five year average for this time of year. Propane/propylene inventories increased by 1.6 million barrels from last week and are 10 percent above the five year average for this time of year,” it continued.

U.S. crude oil refinery inputs averaged 16.8 million barrels per day during the week ending June 14, according to the report, which highlighted that this was 281,000 barrels per day less than the previous week’s average.

“Refineries operated at 93.5 percent of their operable capacity last week,” the EIA said in the report.

“Gasoline production increased last week, averaging 10.2 million barrels per day. Distillate fuel production decreased last week, averaging 4.8 million barrels per day,” it added.

U.S. crude oil imports averaged 7.1 million barrels per day last week, the report noted. The EIA highlighted that this figure decreased by 1.3 million barrels per day from the previous week.

“Over the past four weeks, crude oil imports averaged about 7.3 million barrels per day, 11.6 percent more than the same four-week period last year,” the EIA stated in the report.

“Total motor gasoline imports (including both finished gasoline and gasoline blending components) last week averaged one million barrels per day, and distillate fuel imports averaged 150,000 barrels per day,” it added.

Total products supplied over the last four-week period averaged 20.0 million barrels a day, up by 0.2 percent from the same period last year, the EIA stated in the report.

“Over the past four weeks, motor gasoline product supplied averaged 9.1 million barrels a day, down by 1.0 percent from the same period last year,” the EIA added.

“Distillate fuel product supplied averaged 3.7 million barrels a day over the past four weeks, down by 1.5 percent from the same period last year. Jet fuel product supplied was up 5.0 percent compared with the same four-week period last year,” it continued.

In a report sent to Rigzone by the Macquarie team this week, prior to the release of the EIA’s latest weekly petroleum status report, Macquarie strategists revealed that they were forecasting that U.S. crude inventories would be down 5.5 million barrels for the week ending June 14.

“This compares to a 3.7 million barrel build for the week ending June 7, with the total U.S. crude balance realizing modestly looser than we had anticipated last week,” the strategists stated in the report.

“From refineries, we model crude runs minimally higher to a stout ~17.1 million barrels per day. Among net imports, we model a very large nominal decrease, with exports sharply higher on a nominal basis (+1.3 million barrels per day) and imports also down heavily (-1.5 million barrels per day),” they added.

“Timing of cargoes could add a degree of volatility to this week’s crude balance. From implied domestic supply (prod.+adj.+transfers), we look for a rebound (+1.5 million barrels per day) this week, following a very soft nominal print last week,” they continued.

“Rounding out the picture, we anticipate a fairly similar increase in SPR inventory (+0.4 million barrels) on the week,” the Macquarie strategists went on to state in that report.

Source: www.rigzone.com