U.S. gasoline production in May reached a record high of more than 8 million b/d as refiners built stocks ahead of stronger gasoline demand in the summer driving season, American Petroleum Institute reported.
API said U.S. refinery runs reached 15,106,000 b/d, the highest level since December 1979. Gasoline production of 8,036,000 b/d, including downstream blending, exceeded the previous record of 7,843,000 b/d set in June 1995.
Production of distillate (diesel fuel and home heating oil) also set a record for May.
Deliveries of petroleum products to the U.S. market, a key measure of demand, strengthened considerably in May compared with the first quarter, when growth was flat.
Deliveries averaged 18,325,000 b/d, up 2.6% from May 1996, reflecting robust economic growth and lower product prices.
May gasoline prices were 6¢/gal less than a year ago.
API said gasoline deliveries were up 1.7% at 8,137,000 b/d, kerosine jet fuel was up 5.2% at 1,531,000 b/d, and distillate was up 6.1% at 3,308,000 b/d. Low-sulfur distillate deliveries set a new high, up 150,000 b/d from a year ago, as transportation fuel demand grew. Residual fuel oil deliveries fell 3.1% to 800,000 b/d.
API said refineries operated at 96.8%, eclipsing the previous record of 96.4% set in August 1994.
Imports, stocks, production
Total U.S. imports of crude oil and petroleum products were a record 10,226,000 b/d in May, surpassing the previous record of 10,136,000 b/d set in April.
Total stocks of crude and petroleum products at the end of May were 997,100,000 bbl, up 3.9% from a month prior and 6.8% from a year ago. Stocks ended the month at their highest level since last September.
Gasoline stocks ended May more than 10 million bbl above recent-year lows.
U.S. crude oil production of 6,400,000 b/d was up slightly at 0.5% compared with a year ago, while natural gas liquids production of 1,880,000 b/d was up 3.9%.
API also noted that 961 rotary rigs were active in the U.S. during May, an increase of 30% from last year.
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