WASHINGTON (MNI) – The following text is the summary of the
American Petroleum Institute’s monthly report on domestic petroleum
deliveries, gasoline deliveries and crude oil production for February
released Friday:
In February, total domestic petroleum deliveries, a measure of U.S.
petroleum demand, dropped 2.3 percent compared with the same month in
2011. Gasoline deliveries, a measure of consumer demand, increased 0.9
percent to 8.7 million barrels per day, the first increase in demand
since February 2011. Recent BLS data showed employment growth from
January to February for both seasonally adjusted and not seasonally
adjusted nonfarm payrolls. This is an improvement over the January
changes that reflected a large drop in not seasonally adjusted payrolls
but an increase in seasonally adjusted payrolls.
One must pay closer attention to not seasonally adjusted payrolls
to understand the impact on gasoline demand because seasonally adjusted
workers don’t buy gasoline – actual workers do – or don’t if they are
unemployed. Nevertheless, this increase in gasoline demand is not
enough to offset the secular changes due to the increase in
fuel-efficient cars on the road and the demographic changes in the
driving-age population. Peak gasoline demand occurred in July 2007 at
9.640 million barrels per day.
Deliveries of distillate fuel, which include both diesel and
heating oil, increased by 0.6 percent to 3.9 million barrels per day.
Ultra-low sulfur diesel deliveries showed slower growth of 2.6 percent
from last year but the high-sulfur type was down by 10.4 percent from
last year due to the relatively warm weather in February. Distillate
fuel deliveries have declined significantly since their peak of 4.582
million barrels per day in February of 2007.
Jet fuel deliveries increased 2.0 percent and residual fuel
deliveries were down 40.2 percent from February 2011 levels. The “other
oils” share of the domestic market decreased by 4.3 percent from last
year.
PETROLEUM SUPPLY
Domestic crude oil production rose by 2.9 percent to average 5.776
million barrels per day in February. Alaskan production was down by 0.2
percent from last February, at 610 thousand barrels per day. North
Dakota produced record levels of crude oil for the State at 546 thousand
barrels per day in January. The number of oil and gas rigs count
declined from 2003 in January to 1990 in February, according to the
latest reports from Baker-Hughes Inc.
Imports of crude oil and refined products fell in February by 0.7
percent to average 10.4 million barrels per day as increased domestic
production offset the lower import levels. Canadian crude imports
dropped by 3.0 percent in February to average 2.128 million barrels per
day.
Despite the recent announcements on declines in refinery capacity
due to closures in the North East region, February’s total refinery
inputs were higher than last year’s levels by 9.3 percent. Production of
all four major products – gasoline, distillate, jet fuel and residual
fuels was greater than demand for those products, so exports of refined
petroleum products increased by 18.1 percent.
Gasoline production at 9.1 million barrels per day was at a
record-high for the month of February and year to date. Distillate fuel
production at 4.4 million barrels per day was at a record-high for
February and year to date. Utilization rates were up in February this
year compared with last year.
In February, crude oil stocks were up 6.2 percent from last year
and slightly up from January levels. At 345.8 million barrels, crude oil
stocks were up 20 million barrels from last year. Gasoline stocks were
up from month-ago and down slightly from year-ago levels. Distillate
fuel inventories were down from month-ago and year-ago levels and
reached 140.9 million barrels. Jet fuel stocks were up from year ago
levels, but down from month ago levels. Stocks of “other oils” were down
from month ago and year ago levels. Total inventories of all oils were
down from month ago and year ago levels by about 5 percent.
** MNI Washington Bureau: 202-371-2121 **
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