The EIA’s were released on Wednesday and they were bullish, with a very small national build. We’re now below the five year average nationally, nearly 10 million below last year’s levels and 5.6 million down in the Midwest. The Gulf is 800k below last year but still ahead of five year averages. Crude oil showed a smaller than expected draw and crude is off over a dollar as of this writing. Even with crude off, propane went soaring with the eagles immediately after the inventory reports came out, up over four cents per gallon in wet barrel in spot trading. It’s pulled back over a penny from those midmorning highs, but it’s still up on the day quite a bit. These were the highs for the year and the highest prices we’ve seen in two, two and half years:
Propane inventories were flat at 61.9 million in the week ending 8/16/13, as reported by the Energy Information Administration. That’s 9 million below last year’s inventory level at this time and 1.4 million below the 5-year average of 63.3 million.
Mid-Con showed the only gains with a build of 100,000 to 21.6 million. Gulf fell 100,000 to 34.6 million, East was flat again this week at 3.2 million and West was flat at 2.5 million.
Historical Averages: Mid-Con is down 5.6 million from this time last year and is down 4 million from the 5-year average of 25.6 million. Gulf coast inventory is 800,000 below last year and 4.1 million above the 5-year average of 30.5 million. East Coast is down 2.7 million from last year and is 1.2 million below the 5-year average of 4.4 million.
Propane imports grew by 28,000 to 85,000 bpd. East Coast was up 3,000 to 20,000; Midwest was up 24,000 to 60,000; Gulf remains flat at zero and West was up 2,000 to 6,000. Propane exports dropped for the first time in weeks by 30,000 bpd to 222,000 bpd.
Other Inventory Numbers:
Crude Down: -1.4 mm
Motor Gas Down: -4.0 mm
Distillates Up: +0.9 mm
- Refineries Ramp Up Production While Crude and Gasoline Supply Shrinks (247wallst.com)
- Oil Maintains Loss After U.S. Inventory Report (bloomberg.com)