- Nov 9, 2003
- 16,512
- 5,865
Thanks go to autofixer and FWAAA for filling in during my absence.
Domestic Crude Production (4 week average) was 5,030,000 bbls/day, down 8.5% YoY.
Net Crude Imports (4 week average) were 9,709,000 bbls/day, down 3.2% YoY.
Input to refineries (4 week average) was 14,648,000 bbls/day, down 3.7% YoY. Refineries operated at 85.6% of capacity for the week.
Net refined product imports (4 week average) were 2,034,000 bbls/day, up 30.1% YoY.
Refined product supplied (4 week average) was 20,624,000 bbls/day, up 0.1% YoY.
Crude oil stocks in storage on 4/7/06 was 345,000,000 bbls, up 7.8% YoY and 0.9% WoW.
Jet fuel stocks on 4/7/06 was 41,300,000 bbls, up 9.0% YoY but down 1.4% WoW.
- East coast was 10,800,000 bbls
- Midwest was 8,400,000 bbls
- Gulf coast was 12,100,000 bbls
- Rocky Mountain was 700,000 bbls
- West coast was 9,200,000 bbls
Jet fuel production (4 week average) was 1,500,000 bbls/day (1,347,000 commercial & 153,000 military).
- East coast was 99,000 bbls/day (all commercial)
- Midwest was 200,000 bbls/day (184,000 commercial)
- Gulf coast was 775,000 bbls/day (670,000 commercial)
- Rocky Mountain was 25,000 bbls/day (20,000 commercial)
- West coast was 401,000 bbls/day (374 commercial)
Jet fuel supplied (4 week average) was 1,628,000 bbls/day, also up 0.1% YoY.
On Friday, 4/7/06, spot prices were:
NY Harbor jet fuel - $1.9926/gal, down 1.94 cents
Gulf Coast jet fuel - $1.9839, up 3.39 cents
Los Angeles jet fuel - $2.0100, up 5.75 cents
WTI Cushing crude oil - $67.02/bbl, up 77 cents
Bloomberg is showing WTI Cushing @ $69.32 as of the close on 4/13/06.
Before the chart (yup, the same one as last week), some tidbit about tankers from Petroleum Weekly....
-----
Clean and Dirty: Not Just Your Laundry!
Oil market analysts talk about the dearth of spare capacity in both the upstream and downstream sectors of the petroleum industry throughout the world, and how this is a serious factor putting upward pressure on oil prices. However, at least in the popular press, another significant limitation of the petroleum industrial infrastructure is often overlooked: transportation of both refined products and crude oil.
Most international oil shipments move in oceangoing tankers. There are many different sizes of tankers used in the international transportation of oil, with capacities ranging from 50,000 deadweight tons to over 550,000 deadweight tons.
Tankers are further divided by whether they are providing “clean†or “dirty†service. Dirty tankers carry loads of crude oil and residual fuels, while clean tankers carry lighter products such as gasoline, diesel, No.2 heating oil, and jet fuel. Light products cannot be carried in dirty tankers because they will become contaminated and no longer meet product specifications. Generally, smaller tankers carry clean cargoes of refined products, while the larger tankers carry crude oil and other dirty products.
Increased demand coupled with decreased flexibility in the fleet have led to very tight capacity in both clean and dirty tankers, with the effect being felt most keenly in clean tankers. Tanker rates increased steeply in the wake of Hurricanes Katrina and Rita as exporters booked shipments to the U.S. for both light products and crude oil.
Unusually high refinery maintenance in the U.S. and Asia-Pacific this spring has pushed down freight rates to the lowest level yet this year, as lower refinery input has reduced the need for crude oil imports, thus reducing the demand for tankers. However, cheap freight rates and a softening market in Europe have opened up the trans-Atlantic arbitrage in gasoline, and gasoline imports will continue to come from Europe through the summer if the price differential holds. Import levels and tanker rates usually display an inverse relationship, with low tanker rates encouraging higher imports and high tanker rates putting downward pressure on import levels. Freight rates for clean tankers usually are lowest in early autumn, after prime driving season in the U.S. but before the start of heating season.
Tanker tracking indicators point to the possibility that crude oil imports could begin to increase sometime in April. Should imports of both crude oil and light products increase this summer, the increased demand for tankers could raise freight rates again and add to the cost of crude oil and light products, but probably not by more than a few pennies per gallon. While the lack of flexibility in the tanker market may not get as much publicity as the lack of spare production and refinery capacity, it is another factor that could lead to higher prices this summer.
-----
Now the chart, brought forward from last week's update:
View attachment 4771
Last, with Monday being a holiday the EIA weekly report will be posted Thursday instead of Wednesday.
Jim
Domestic Crude Production (4 week average) was 5,030,000 bbls/day, down 8.5% YoY.
Net Crude Imports (4 week average) were 9,709,000 bbls/day, down 3.2% YoY.
Input to refineries (4 week average) was 14,648,000 bbls/day, down 3.7% YoY. Refineries operated at 85.6% of capacity for the week.
Net refined product imports (4 week average) were 2,034,000 bbls/day, up 30.1% YoY.
Refined product supplied (4 week average) was 20,624,000 bbls/day, up 0.1% YoY.
Crude oil stocks in storage on 4/7/06 was 345,000,000 bbls, up 7.8% YoY and 0.9% WoW.
Jet fuel stocks on 4/7/06 was 41,300,000 bbls, up 9.0% YoY but down 1.4% WoW.
- East coast was 10,800,000 bbls
- Midwest was 8,400,000 bbls
- Gulf coast was 12,100,000 bbls
- Rocky Mountain was 700,000 bbls
- West coast was 9,200,000 bbls
Jet fuel production (4 week average) was 1,500,000 bbls/day (1,347,000 commercial & 153,000 military).
- East coast was 99,000 bbls/day (all commercial)
- Midwest was 200,000 bbls/day (184,000 commercial)
- Gulf coast was 775,000 bbls/day (670,000 commercial)
- Rocky Mountain was 25,000 bbls/day (20,000 commercial)
- West coast was 401,000 bbls/day (374 commercial)
Jet fuel supplied (4 week average) was 1,628,000 bbls/day, also up 0.1% YoY.
On Friday, 4/7/06, spot prices were:
NY Harbor jet fuel - $1.9926/gal, down 1.94 cents
Gulf Coast jet fuel - $1.9839, up 3.39 cents
Los Angeles jet fuel - $2.0100, up 5.75 cents
WTI Cushing crude oil - $67.02/bbl, up 77 cents
Bloomberg is showing WTI Cushing @ $69.32 as of the close on 4/13/06.
Before the chart (yup, the same one as last week), some tidbit about tankers from Petroleum Weekly....
-----
Clean and Dirty: Not Just Your Laundry!
Oil market analysts talk about the dearth of spare capacity in both the upstream and downstream sectors of the petroleum industry throughout the world, and how this is a serious factor putting upward pressure on oil prices. However, at least in the popular press, another significant limitation of the petroleum industrial infrastructure is often overlooked: transportation of both refined products and crude oil.
Most international oil shipments move in oceangoing tankers. There are many different sizes of tankers used in the international transportation of oil, with capacities ranging from 50,000 deadweight tons to over 550,000 deadweight tons.
Tankers are further divided by whether they are providing “clean†or “dirty†service. Dirty tankers carry loads of crude oil and residual fuels, while clean tankers carry lighter products such as gasoline, diesel, No.2 heating oil, and jet fuel. Light products cannot be carried in dirty tankers because they will become contaminated and no longer meet product specifications. Generally, smaller tankers carry clean cargoes of refined products, while the larger tankers carry crude oil and other dirty products.
Increased demand coupled with decreased flexibility in the fleet have led to very tight capacity in both clean and dirty tankers, with the effect being felt most keenly in clean tankers. Tanker rates increased steeply in the wake of Hurricanes Katrina and Rita as exporters booked shipments to the U.S. for both light products and crude oil.
Unusually high refinery maintenance in the U.S. and Asia-Pacific this spring has pushed down freight rates to the lowest level yet this year, as lower refinery input has reduced the need for crude oil imports, thus reducing the demand for tankers. However, cheap freight rates and a softening market in Europe have opened up the trans-Atlantic arbitrage in gasoline, and gasoline imports will continue to come from Europe through the summer if the price differential holds. Import levels and tanker rates usually display an inverse relationship, with low tanker rates encouraging higher imports and high tanker rates putting downward pressure on import levels. Freight rates for clean tankers usually are lowest in early autumn, after prime driving season in the U.S. but before the start of heating season.
Tanker tracking indicators point to the possibility that crude oil imports could begin to increase sometime in April. Should imports of both crude oil and light products increase this summer, the increased demand for tankers could raise freight rates again and add to the cost of crude oil and light products, but probably not by more than a few pennies per gallon. While the lack of flexibility in the tanker market may not get as much publicity as the lack of spare production and refinery capacity, it is another factor that could lead to higher prices this summer.
-----
Now the chart, brought forward from last week's update:
View attachment 4771
Last, with Monday being a holiday the EIA weekly report will be posted Thursday instead of Wednesday.
Jim
