New From PetroChem Wire . . . .
PetroChem Wire and Genscape have partnered to create NGLs Week, a comprehensive summary of price trends, upstream and downstream costs, operations news and supply/demand forecasts. The report contains everything you'll need to understand what's happening in the NGL markets.
For more information,
POST DOE WRAP: Crude increases despite inventory gain; production drops
HOUSTON, April 27, 2016 (PCW) -- NYMEX crude and products futures prices were mixed early Wednesday after government figures showed an increase in crude and gasoline inventories, while diesel stocks fell.
The US however remains very long in crude, gasoline, and diesel. Refinery runs decreased nationwide, and were lower in the Gulf Coast. Gasoline demand is good, but net exports of products fell.
As of 9:54 am CST, May NYMEX WTI was up $0.14/bbl to $44.18/bbl, May gasoline fell 0.85 cpg to 155.75 cpg, but May diesel was up 1.78 cpg to 135.03 cpg.
The US Energy Information Administration statistics for the week ended April 22 showed a 2 million barrel increase in crude inventories to 540.6 million barrels. Domestic crude oil production was put at 8.938 million b/d, down 15,000 b/d for the week, and 435,000 b/d lower versus the same period last year.
Tenth Week of Production Declines
This is the tenth week in the past eleven that crude production has fallen; nonetheless inventories increased(those inventories are “historically high” for this time of year, per the EIA).
Imports of crude were down 637,000 b/d to 7.6 million b/d. Over the past four weeks, crude imports averaged 7.7 million b/d, an increase of 1.2% compared to last year at this time.
Total product demand over the past four weeks was put at 20 million b/d, up 4.0% versus the same period last year.
Gasoline inventories were up 1.6 million barrels to 241.3 million (still “well above the upper limit of the average range,” per the EIA). Demand was 9.4 million b/d over the past four weeks, up 5.6% from the same period last year.
Propane/Propylene Supplies Gain
Propane/propylene inventories on the week were up 2.3 million barrels to 71.2 million, 12.0 million over last year.
Total US refinery inputs were 15.8 million b/d, down 257,000 b/d compared with the previous week. Inputs of crude oil nationwide to refineries on a percentage basis were down 1.3% on the week, put at 88.1% of capacity. In the Gulf Coast (PADD III), runs fell 1.2% to 90.5%.
Net exports of all products were put at 1.114 million b/d, down 731,00 b/d for the week, a fairly bearish number. The US needs to export products to keep inventories manageable. -- Robert Sharp
To keep up with the day's news and prices in refined products, gasoline blendstocks and refinery chemicals, click here to check out the PCW Daily Refinery Focus