U.S. crude oil stockpiles rose less than expected last week due to a drop in imports, while gasoline and distillate inventories fell as refiners slowed down production, the Energy Information Administration (EIA) said Jan. 30.
Crude inventories rose 919,000 barrels in the week to Jan. 25, compared with analysts' expectations for an increase of 3.2 million barrels.
Crude stocks at the Cushing, Okla., delivery hub for U.S. crude futures fell by 145,000 barrels, the EIA said.
"The report was supportive due to the much smaller-than-expected decline in crude oil inventories," said John Kilduff, partner at Again Capital Management.
Crude oil futures extended gains after the data was released, with U.S. crude up 95 cents a barrel at $54.26 by 9:51 a.m. CST (15:51 GMT).
Net U.S. crude imports fell last week by 1 million barrels per day (bbl/d).
"A precipitous drop in imports has helped stave off another big build to crude stocks," said Matthew Smith, director of commodity research at ClipperData.
The decline in imports helped offset the impact of a substantial drop in refining activity, he said.
Refinery crude runs fell by 586,000 bbl/d, EIA data showed. Refinery utilization rates fell by 2.8 percentage points to 90.1% of total capacity, the slowest rate of production since early November.
After eight straight weeks of builds, gasoline stocks fell 2.2 million barrels, compared with analysts' expectations in a Reuters poll for a 1.9 million-barrel gain.
Distillate stockpiles, which include diesel and heating oil, fell 1.1 million barrels, vs. expectations for a 1.4 million-barrel drop, the EIA data showed.
U.S. crude production was steady at 11.9 million bbl/d.
Recommended Reading
Oceaneering Won $200MM in Manufactured Products Contracts in Q4 2023
2024-02-05 - The revenues from Oceaneering International’s manufactured products contracts range in value from less than $10 million to greater than $100 million.
E&P Highlights: Feb. 5, 2024
2024-02-05 - Here’s a roundup of the latest E&P headlines, including an update on Enauta’s Atlanta Phase 1 project.
CNOOC’s Suizhong 36-1/Luda 5-2 Starts Production Offshore China
2024-02-05 - CNOOC plans 118 development wells in the shallow water project in the Bohai Sea — the largest secondary development and adjustment project offshore China.
TotalEnergies Starts Production at Akpo West Offshore Nigeria
2024-02-07 - Subsea tieback expected to add 14,000 bbl/d of condensate by mid-year, and up to 4 MMcm/d of gas by 2028.
US Drillers Add Oil, Gas Rigs for Third Time in Four Weeks
2024-02-09 - Despite this week's rig increase, Baker Hughes said the total count was still down 138 rigs, or 18%, below this time last year.