U.S. Crude Production Shows No Signs Of Bottleneck

The Energy Information Administration reported that August crude oil production averaged 11.475 million barrels per day (mmbd), up 129,000 b/d from August. The gain was led by a 106,000 b/d increase in Texas, a 64,000 b/d rise in North Dakota and a gain of 24,000 b/d in Mexico. Seasonal factors affected the overall gain, as production fell by 147,000 b/d in the U.S. Gulf and rebounded by 43,000 b/d in Alaska.

permian basin

The EIA-914 Petroleum Supply Monthly (PSM) figure was 438,000 b/d higher than the weekly data reported by EIA in the Weekly Petroleum Supply Report (WPSR), averaged over the month, of 11.037 mmbd. Continue reading "U.S. Crude Production Shows No Signs Of Bottleneck"

US February Crude Production Shows Big Gain

Robert Boslego - INO.com Contributor - Energies - US February Crude Production


The Energy Information Administration (EIA) reported that February crude oil production averaged 10.264 million barrels per day (mmbd), up 260,000 b/d from January, setting a new all-time record for the U.S. The large increase reflected a gain from a level that was constrained by weather issues.

The largest increases were recorded in Texas (106,000 b/d), the Gulf of Mexico (89,000 b/d) and New Mexico (46,000 b/d).

US February Crude Production

The EIA-914 Petroleum Supply Monthly (PSM) figure was 26,000 b/d lower than the weekly data reported by EIA in the Weekly Petroleum Supply Report (WPSR), averaged over the month, of 10.290 mmbd. EIA’s most recent weekly estimate for the week ending April 20th was 10.586 mmbd. Continue reading "US February Crude Production Shows Big Gain"

Updated World Oil Forecast For April

Robert Boslego - INO.com Contributor - Energies - World Oil Forecast


According to the Energy Information Administration (EIA), world oil production will exceed demand for much of the balance of 2018, and therefore global OECD oil inventories are projected to rise. Specifically, the EIA estimates that OECD inventories bottomed at the end of March at 2.784 million barrels (mmb) and will rise by 80 mmb through year-end, up 26 mmb from December 2017. And its projections through 2019 show another net stock gain of 34 mmb to end the year at 2.898 mmb.

World Oil Forecast

The DOE forecasts for 2018 and 2019 are based on dramatically different seasonal stock changes that occurred in 2017. OECD stocks fell by over 147 mmb from August through December, according to the latest estimates. But in 2018, it is predicting a net stock build over those same months.

World Oil Forecast

In 2019, it is forecasting a build similar to 2018, but without a first-quarter draw. Continue reading "Updated World Oil Forecast For April"

Analysis Of The EIA Crude Oil Statistics

Robert Boslego - INO.com Contributor - Energies - Crude Oil Statistics


According to the Energy Information Administration (EIA), U.S. petroleum inventories (excluding SPR) fell by 6.9 million barrels (mmb) last week. They stand about 52 mmb lower than the rising, rolling 5-year average and are about 149 mmb lower than a year ago. However, comparing total inventories to the pre-glut average (end-2014), stocks are 127 mmb above that average.

Crude Oil Statistics

Commercial crude stocks fell by 2.6 mmb, and SPR stocks were unchanged last week. Gasoline stocks fell by 1.7 mmb, and distillate stocks fell 2.0 mmb. Primary demand dropped 256,000 b/d to average 20.675 million barrels per day (mmbd). Continue reading "Analysis Of The EIA Crude Oil Statistics"

Oil Market Waiting For A Catalyst

Robert Boslego - INO.com Contributor - Energies


On November 15th, Saudi Energy Minister Khalid al-Falih said, “We need to recognize that by the end of March we’re not going to be at the level we want to be which is the five-year average, that means an extension of some sort.”

He went on to say that Saudi Arabia favors making an extension decision at the OPEC meeting at the end of this month. “My preference is to give clarity to the market and announce on November 30 what we’re going to do.”

At the conclusion of the last OPEC meeting in May, the Saudi minister had stated that the current production quotas will “do the trick” of rebalancing stocks to normal levels within six months. Earlier this month, the DOE projected that global OECD stocks at end-2017 would be right where they were at end-2016. And it projected that 2018 inventories will be higher, not lower.

Russia’s continued participation seems to be a linchpin, and the Russian energy minister, Alexander Novak, reportedly met with Russian oil producers about their view of extending the production deal. According to TASS, everyone but Gazprom Neft agreed to a six-month extension, not the nine-month extension favored by Mr. Al-Falih. Gazprom Neft expects to launch new projects in 2018. Continue reading "Oil Market Waiting For A Catalyst"