EIA Weekly Petroleum Report - May 10

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dan_s
Posts: 34471
Joined: Fri Apr 23, 2010 8:22 am

EIA Weekly Petroleum Report - May 10

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Summary of Weekly Petroleum Data for the week ending May 5, 2023

U.S. crude oil refinery inputs averaged 15.7 million barrels per day during the week ending May 5, 2023, which was 10 thousand barrels per day more than the previous week’s average.
Refineries operated at 91.0% of their operable capacity last week. < They need to ramp up to over 95% by the end of May to meet summer demand for gasoline and diesel.
Gasoline production increased last week, averaging 9.8 million barrels per day.
Distillate fuel production increased last week, averaging 4.6 million barrels per day.

U.S. crude oil imports averaged 5.6 million barrels per day last week, decreased by 843,000 barrels per day from the previous week. Over the past four weeks, crude oil imports averaged about 6.2 million barrels per day, 1.0% more than the same four-week period last year.
Total motor gasoline imports (including both finished gasoline and gasoline blending components) last week averaged 853,000 barrels per day, and distillate fuel imports averaged 111,000 barrels per day.

Inventories
> U.S. commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) increased by 3.0 million barrels from the previous week. At 462.6 million barrels, U.S. crude oil inventories are about 1% below the five year average for this time of year. < I think we are still draining oil from the SPR.
> Total motor gasoline inventories decreased by 3.2 million barrels from last week and are about 7% below the five year average for this time of year. Both finished gasoline and blending components inventories decreased last week.
> Distillate fuel inventories decreased by 4.2 million barrels last week and are about 16% below the five year average for this time of year.
> Propane/propylene inventories increased by 3.1 million barrels from last week and are 29% above the five year average for this time of year.
>> Total commercial petroleum inventories increased by 0.5 million barrels last week.

Total products supplied over the last four-week period averaged 19.9 million barrels a day, up by 2.5% from the same period last year.
Over the past four weeks, motor gasoline product supplied averaged 9.0 million barrels a day, up by 2.2% from the same period last year.
Distillate fuel product supplied averaged 3.9 million barrels a day over the past four weeks, up by 0.1% from the same period last year.
Jet fuel product supplied was up 10.2% compared with the same fourweek period last year.
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This morning's dip in oil prices has nothing to do with this report, which IMO is bullish since gasoline and distillate inventories are too low heading into the peak demand period of the year. "Fear of Recession" remains a headwind for oil prices.
Dan Steffens
Energy Prospectus Group
dan_s
Posts: 34471
Joined: Fri Apr 23, 2010 8:22 am

Re: EIA Weekly Petroleum Report - May 10

Post by dan_s »

Republicans ask watchdog to assess US oil reserve management
Story by Reuters • Monday, May 8, 2023

WASHINGTON (Reuters) -Two Republicans on Monday asked a congressional watchdog to assess the Biden administration's management of the Strategic Petroleum Reserve and audit its modernization program, saying sales from the SPR have undermined U.S. energy security.

Senator John Barrasso, ranking member of the Senate energy committee, and Representative Cathy McMorris Rodgers, head of the House energy committee, asked the Government Accountability Office (GAO) to evaluate the Department of Energy's (DOE) management of the reserve after the administration oversaw sales of about 250 million barrels from the facility last year.

The sales have pushed levels of the reserve to the lowest since 1983.

"DOE's mismanagement of the SPR has undermined America’s energy security, leaving the nation more vulnerable to energy supply disruptions, and increasing the ability for OPEC and Russia to use energy as a geopolitical weapon," the lawmakers wrote to Gene Dodaro, the head of the GAO.

A DOE spokesperson said the department is committed to refilling the reserve "in a manner that will deliver the best value for American taxpayers and protect U.S. national (and economic) security interests, while abiding by congressional mandates and undertaking necessary maintenance that is also part of good stewardship."

Over about six months last year, the Biden administration conducted a record sale of 180 million barrels of oil to combat high gasoline prices after Russia's invasion of Ukraine.

The Republican lawmakers said they were concerned the SPR sales may have caused structural damage to its pipelines and caverns, compromising its ability to meet its energy security mission in the event of a supply disruption.

The Biden administration said last month the sales did not damage the SPR, and the lab that monitors the sites even said the record drawdown may extend the longevity of the underground storage caverns.

Energy Secretary Jennifer Granholm has said purchases to replenish the SPR could begin late this year after life extension work is complete at two of the reserves' four sites on the coasts of Louisiana and Texas and after a congressionally mandated sale.

The lawmakers said they were concerned about delays and cost overruns in the SPR modernization program authorized by Congress in 2015.
Dan Steffens
Energy Prospectus Group
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