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POST DOE WRAP: NYMEX futures mixed after crude inventory increase
HOUSTON, December 21, 2016 (PCW) -- NYMEX crude and products futures prices were mixed early Wednesday after government figures showed an increase in crude stocks.
The US remains long in crude, gasoline and diesel. Refinery crude inputs were up; gasoline stocks fell and exports are bullish.
As of 10:01 am CST, February NYMEX WTI fell $0.21/bbl to $53.09/bbl; January gasoline was up 1.20 cpg to 160.56 cpg and January diesel was down 0.86 cpg to 166.02/gal
Crude inventories up 2.3m barrels
The US Energy Information Administration statistics for the week ending December 16 showed a 2.3 million barrel increase in crude inventories to 485.4 million barrels (“at the upper limit of the average range,” per the EIA). Domestic crude oil production was put at 8.786 million b/d, down 10,000 b/d for the week, and 393,000 b/d lower versus the same period last year.
Imports of crude were up 1.1 million b/d to 8.5 million b/d on the week. Over the past four weeks, crude imports averaged 7.9 million b/d, an increase of 0.9% compared to last year at this time.
Gasoline imports fall to 447,000 b/d
Gasoline imports were put at 447,000 b/d, down from 624,000 b/d the previous week; for the same period last year the figure was 334,000 b/d. Distillate imports were 211,000 b/d, down from 233,000 b/d on the week; the figure for last year was 168,000 b/d (typically the US imports products to the US East Coast and exports from the US Gulf Coast).
Total product demand over the past four weeks was put at 19.8 million b/d, down 1.3% versus the same period last year.
Total gasoline inventories (including blendstocks) were off 1.3 million barrels to 228.7 million barrels (“well above the upper limit of the average range,” per the EIA), 8.2 million barrels over last year. Demand was 9.0 million b/d over the past four weeks, down 3.0% from the same period last year.
Distillate stocks fall 2.4m barrels
Distillate stocks were put at 153.5 million barrels, 2.4 million barrels below last week, and 2.2 million barrels over last year. Distillate demand over the past four weeks was 4.0 million b/d, up 11.7% compared to the same period last year.
Propane/propylene inventories on the week were 92.5 million barrels, down 3.1 million barrels on the week, and down 5.1 million barrels versus last year (“in the upper half of the average range”).
Total US refinery inputs averaged 16.7 million b/d, up 184,000 b/d compared to the previous week. Inputs of crude oil nationwide to refineries on a percentage basis were up 1.0% on the week, put at 91.5% of capacity. In the Gulf Coast (PADD III), inputs were up 1.2% to 94.2%.
Exports fall 155,000 b/d
Also, net exports of all products were put at 3.120 million b/d, down 155,000 b/d for the week, but still a bullish number. The US needs to export products to keep inventories manageable.
While domestic gasoline demand was put at 9.0 million b/d, total gasoline production came in 10.150 million b/d. Distillate demand was 4.0 million b/d, but production was 5.122 million b/d. -- Robert Sharp