API report: Petroleum demand, deliveries rose in October

Total petroleum deliveries in October moved up 3% from October 2015 to average 20.1 million barrels per day (BPD), and were the highest October deliveries in nine years, since 2007, according to API’s latest Monthly Statistical Report.

For the year to date, total domestic petroleum deliveries moved up 0.3% compared to the same period last year. According to the Bureau of Labor and Statistics (BLS) 4 November report, the overall economy in the United States showed signs of improvement in October with an estimated 161,000 jobs added to the economy. The unemployment rate and the total number of unemployed persons were essentially unchanged from September, at 4.9% and 7.8 million, respectively.

Gasoline deliveries in October were down from the prior month, but up from the prior year, and the prior year to date. Total motor gasoline deliveries, a measure of consumer gasoline demand, moved up 0.2% from October 2015 to 9.3 million BPD. These were the lowest deliveries since April, but remained the second highest October deliveries on record.

“Gasoline deliveries continue to be near historical monthly highs as consumers have been enjoying low fuel costs throughout the year relative to 2015,” said Chief Economist Erica Bowman.

Domestic crude oil production in October was higher compared to the prior month, but was lower than the prior year, and the prior year to date. At an average of 8.6 million BPD, US crude oil production in October decreased 8% from October 2015, but increased from September by 0.2%. October’s crude oil production was the third highest since 1985 and the second highest year to date in 31 years, since 1985.

US total petroleum imports in October averaged nearly 9.8 million BPD, down 2% from the prior month, but up 10.4% from the prior year. October’s total petroleum imports were the fourth lowest imports for the month in 21 years, since 1995. Year to date total imports were up 6.3% to average 10.0 million BPD compared with year to date 2015. Meanwhile, crude oil imports in October were up compared with the prior year, increasing 8% from October 2015 to average 7.7 million BPD. Compared to the prior month, crude imports were down 0.9%. Compared to year to date 2015, crude imports were up 7.3%. Last month’s crude imports were the fourth lowest October imports in 21 years since 1995.

Crude oil stocks, excluding lease stocks, ended in October averaging at 483.7 million barrels–the highest October inventory level in 86 years, since 1930. Crude stocks were up 3.2%, or 15.1 million barrels from the prior month, and were up by 6.3%, or 28.5 million barrels from the prior year. Stocks of motor gasoline ended in October down by 1% from last month, but were up by 2.6% from last year to average 223.0 million barrels. These were the highest motor gasoline stocks for the month in 32 years, since 1984.