PIRA Energy Group has reported that on the week, US crude stock draws widened commercial stock deficits. In Japan, crude runs dropped again but crude stocks built.
- The Baiji refinery is likely to be idle for a prolonged period, requiring Iraq to import additional products.
- There is capability to import products at the southern port of Basrah, but deliveries by truck from neighbouring countries will also be needed.
- If all of Baiji’s light product production needed to be replaced, imports would need to increase by an additional 120 000 bpd.
- Northern Iraqi exports are unlikely to return soon but the 2.6 million bpd of current southern exports remain relatively well protected.
- Crude runs dropped another 65 000 bpd.
- Crude imports dropped but crude stocks built for a third week.
- Finished products drew slightly.
- Refining margins were slightly softer this week with margins remaining near statistical lows despite ongoing refinery downtime.
- Total commercial stocks built the week ending June 13, but crude oil stocks drew, contributing to the widening out of the total commercial stock deficit.
- The four major refined products built, compared with last year.
- Crude stocks are now approximately – 13 million bbls under their recent peak during late April.
- LPG prices rallied this week on a lower than expected inventory increase and higher crude prices.
- Ethanol prices declined the week ending June 13 due to growing production, building, inventories, and falling corn costs.
- Ethanol production hit a new record of 972 000 bpd for the week ending 13 June.
- Ethanol blended gasoline production neared the record with an increase from 8.798 million bpd to 8.931 million bpd.
Adapted from press release by Claira Lloyd
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