US Energy Information Administration news

The US Department of Energy has released 30 million bbl of crude oil from the US Strategic Petroleum Reserve to ensure an adequate supply of petroleum in response to Russia’s further invasion of Ukraine.

In 2020 and 2021, more than 2000 miles of new liquids pipelines were brought into service. This expansion has allowed natural gas processing plants to process more natural gas and to ship the extracted Y-grade mix to fractionation plants, at low cost.

In its February 2022 Short-Term Energy Outlook, the EIA introduced new forecasts for biodiesel, renewable diesel and other biofuels.

Imports of natural gas by both pipeline and as LNG provided more than 80% of the supply of natural gas to the EU and the UK in 2020, up from 65% a decade earlier.

In November 2021, there was more consumption of residual fuel oil (RFO) in the US, measured as product supplied, than for any month since January 2017.

A mild start to this winter’s heating season has caused US propane prices to decline from the highest starting prices since 2014.

After starting the winter heating season below its previous five-year average, Lower 48 working natural gas in storage surpassed its five-year average in mid-December during one of the warmest Decembers on record.

In its January Short-Term Energy Outlook, the EIA forecasts that OPEC petroleum production will increase by nearly 2.7 million bpd in 2022 – the largest y/y increase in OPEC production since 2004.

The EIA’s January ‘Short-Term Energy Outlook’ forecasts that rising electricity generation from renewable energy resources will reduce generation from fossil fuel power plants over the next two years.

Persistent withdrawals from global oil inventories have led to increases in crude oil prices, but the EIA forecasts that global oil markets will begin to balance through 2023, leading to a drop in prices.