Tag: EIA

As of 1 January 2018, US operable atmospheric crude distillation capacity totaled 18.6 million b/cd, a slight decrease of 0.1% since the beginning of 2017, according to EIA. Annual operable crude oil distillation unit capacity had increased slightly in each of the five years before 2018.

As China's domestic energy consumption has grown, the country has become a significant destination for US energy exports. Namely, China has been among the largest importers of US exports of crude oil, propane, and LNG. In 2017, more US crude oil was sent to China than any other destination except Canada.

The fossil fuel share of total US energy consumption in 2017 was the lowest share since 1902, at a little more than 80%, as US fossil fuel consumption decreased for the third consecutive year, according to EIA. This decline was driven by slight decreases in coal and natural gas consumption.

US natural gas plant liquids production has almost doubled since 2010, surpassing the natural gas production growth and set an annual record of 3.7 million barrels per day in 2017. NGPLs accounted for a growing share of marketed natural gas production between 2010 and 2017, making up 15% of total marketed production in 2017.

In its June 2018 update of the Short-Term Energy Outlook, EIA predicts that crude oil prices will average $71 per barrel in 2018 and $68/b in 2019. The 2019 forecast price is also $2/b higher than in the May STEO.  Crude oil prices have increased greatly as global oil inventories have generally declined from January 2017 through April 2018.

Global LNG trade reached 38.2 billion cubic feet per day in 2017, the largest annual volume increase on record, according to the Annual Report on LNG trade by GIIGNL. 2017 saw 19 LNG exporting countries and 40 LNG importing countries. Australia and US were among the countries with the largest increases in exports.

Global petroleum inventories declined through 2017 and the first quarter of 2018, marking the end of an extended period of oversupply in global petroleum markets that began before the OPEC 2016 agreement to cut production, according to EIA's Short-Term Energy Outlook issued earlier this month.

The United States remained the world's top producer of petroleum and natural gas hydrocarbons in 2017, reaching a record high, according to US EIA, noting that, since 2008, US petroleum and natural gas production has increased by nearly 60%. US has been the world's top producer of natural gas since 2009.

After the US decided to withdraw from the Joint Comprehensive Plan of Action regulating Iran’s nuclear activities, there is a change in the the focus of oil market analysis from the fundamentals to geopolitics. There is a 180-day period for customers to adapt their purchasing strategies and it remains to be seen other aspects of the sanctions will be implemented. When sanctions were imposed, Iran’s exports fell by about 1.2 mb/d. Namely, EIA said: It is too soon to say what will happen this time, but we should examine whether other producers could step in to ensure an orderly flow of oil to the market and offset a disruption to Iranian exports. However, neither Venezuela nor Mexico can raise output in the short term, but some of the 1.5 mb/d that have been reduced by other producers under the Vienna Agreement might be available to keep markets well supplied. In Venezuela, the decline of oil production is accelerating and by the end of this year output could have fallen by several hundred thousand barrels a day. The possible supply shortfall by Iran and Venezuela could cause a major challenge for producers to diverge from sharp price rises and fill the ...

EIA’s May Short-Term Energy Outlook predicts that Brent crude oil prices will average $71 per barrel in 2018, $7/b higher than last month’s STEO. EIA’s forecast for regular gasoline retail prices increased to an average of $2.79/gallon in 2018, $0.15/g higher that in last month’s STEO. Monthly average Brent crude oil spot prices have increased in 9 of the past 10 months.