EIA - Weekly Petroleum Report June 26
Posted: Wed Jun 26, 2019 10:05 am
BIG DRAW from crude oil storage as refiners ramp up production of transportation fuels.
EIA: Summary of Weekly Petroleum Data for the week ending June 21, 2019 My comments are in blue.
U.S. crude oil refinery inputs averaged 17.3 million barrels per day during the week ending June 21, 2019, which was 73,000 barrels per day more than the previous week’s average. Refineries operated at 94.2% of their operable capacity last week. < Refiners need to ramp up to more then 95% capacity and stay there through September. PA refinery fire may take that one offline for quite some time.
Gasoline production increased last week, averaging 10.5 million barrels per day. Distillate fuel production decreased last week, averaging 5.3 million barrels per day.
U.S. crude oil imports averaged 6.7 million barrels per day last week, down by 812,000 barrels per day from the previous week. Over the past four weeks, crude oil imports averaged about 7.4 million barrels per day, 10.2% less than the same four-week period last year. Total motor gasoline imports (including both finished gasoline and gasoline blending components) last week averaged 816,000 barrels per day, and distillate fuel imports averaged 33,000 barrels per day.
Inventories:
> U.S. commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) decreased by 12.8 million barrels from the previous week. At 469.6 million barrels, U.S. crude oil inventories are about 5% above the five year average for this time of year. < This is what is causing a short-covering rally in WTI today. - Dan.
> Total motor gasoline inventories decreased by 1.0 million barrels last week and are at the five year average for this time of year. Finished gasoline inventories increased while blending components inventories decreased last week.
> Distillate fuel inventories decreased by 2.4 million barrels last week and are about 7% below the five year average for this time of year.
> Propane/propylene inventories increased by 1.4 million barrels last week and are about 13% above the five year average for this time of year. < There is a "glut" (I do hate that word) of propane in the U.S., which is the primary reason NGL prices have dropped. - Dan.
>> Total commercial petroleum inventories decreased last week by 11.9 million barrels last week.
Total products supplied over the last four-week period averaged 20.6 million barrels per day, up by 1.8% from the same period last year. Over the past four weeks, motor gasoline product supplied averaged 9.7 million barrels per day, up by 2.1% from the same period last year. Distillate fuel product supplied averaged 3.9 million barrels per day over the past four weeks, up by 2.9% from the same period last year. Jet fuel product supplied was up 5.7% compared with the same four-week period last year.
---------------------------
This is obviously an extremely bullish report. As I mentioned in Saturday's podcast, "Days of Supply" is much more important than comparing inventories to the 5-year average. The U.S. now has dangerously low inventories of gasoline and jet fuel. If a major hurricane hits the Gulf Coast this summer, we could see regional gasoline shortages. Keep an eye on the weather forecasts and fill up your cars and trucks if tropical storms enter the Gulf. This is not just for those of us that live in states near the coast. Hurricane Harvey took down over 50% of U.S. refining capacity for more than a month.
EIA: Summary of Weekly Petroleum Data for the week ending June 21, 2019 My comments are in blue.
U.S. crude oil refinery inputs averaged 17.3 million barrels per day during the week ending June 21, 2019, which was 73,000 barrels per day more than the previous week’s average. Refineries operated at 94.2% of their operable capacity last week. < Refiners need to ramp up to more then 95% capacity and stay there through September. PA refinery fire may take that one offline for quite some time.
Gasoline production increased last week, averaging 10.5 million barrels per day. Distillate fuel production decreased last week, averaging 5.3 million barrels per day.
U.S. crude oil imports averaged 6.7 million barrels per day last week, down by 812,000 barrels per day from the previous week. Over the past four weeks, crude oil imports averaged about 7.4 million barrels per day, 10.2% less than the same four-week period last year. Total motor gasoline imports (including both finished gasoline and gasoline blending components) last week averaged 816,000 barrels per day, and distillate fuel imports averaged 33,000 barrels per day.
Inventories:
> U.S. commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) decreased by 12.8 million barrels from the previous week. At 469.6 million barrels, U.S. crude oil inventories are about 5% above the five year average for this time of year. < This is what is causing a short-covering rally in WTI today. - Dan.
> Total motor gasoline inventories decreased by 1.0 million barrels last week and are at the five year average for this time of year. Finished gasoline inventories increased while blending components inventories decreased last week.
> Distillate fuel inventories decreased by 2.4 million barrels last week and are about 7% below the five year average for this time of year.
> Propane/propylene inventories increased by 1.4 million barrels last week and are about 13% above the five year average for this time of year. < There is a "glut" (I do hate that word) of propane in the U.S., which is the primary reason NGL prices have dropped. - Dan.
>> Total commercial petroleum inventories decreased last week by 11.9 million barrels last week.
Total products supplied over the last four-week period averaged 20.6 million barrels per day, up by 1.8% from the same period last year. Over the past four weeks, motor gasoline product supplied averaged 9.7 million barrels per day, up by 2.1% from the same period last year. Distillate fuel product supplied averaged 3.9 million barrels per day over the past four weeks, up by 2.9% from the same period last year. Jet fuel product supplied was up 5.7% compared with the same four-week period last year.
---------------------------
This is obviously an extremely bullish report. As I mentioned in Saturday's podcast, "Days of Supply" is much more important than comparing inventories to the 5-year average. The U.S. now has dangerously low inventories of gasoline and jet fuel. If a major hurricane hits the Gulf Coast this summer, we could see regional gasoline shortages. Keep an eye on the weather forecasts and fill up your cars and trucks if tropical storms enter the Gulf. This is not just for those of us that live in states near the coast. Hurricane Harvey took down over 50% of U.S. refining capacity for more than a month.