The American Petroleum Institute reports inventory building prompted an 8% increase in U.S. crude and products imports to 9,566,000 b/d in the first quarter from a year ago.
Overall demand growth for the quarter was weak compared with a year ago.
However, in April, healthy economic growth fueled a rise of almost 3% in deliveries of petroleum products to the U.S. market from a year ago, API said.
And April marked another record high for U.S. oil imports.
First quarter
API said petroleum products supplied to the U.S. market, a key measure of demand, averaged 18,342,000 b/d for the quarter, up only 0.3% from a year ago.
"Warmer temperatures were responsible in part for the lackluster numbers, with deliveries flat for gasoline and distillate and down for kerosine jet fuel and residual (heavy) fuel oil."
It said data for March were similar: 18,233,000 b/d of products supplied to the market and imports averaging 9,664,000 b/d.
"Gasoline deliveries were flat for March, continuing a pattern that has persisted since late last year. Gasoline deliveries for the quarter were the weakest showing since the fourth quarter of 1993. Retail gasoline prices, about 10% higher than a year ago, decreased gasoline sales."
Regarding the summer gasoline outlook, API said stocks are low, but unless unexpected events disrupt supplies, refiners will supply enough gasoline to meet increased demand.
"This would come from an increase in domestic gasoline production plus imports of gasoline and refining components. Many analysts expect gasoline demand to rise moderately this summer, although the exact rate of change will be influenced by oil prices and the health of the economy."
API said U.S. crude production averaged 6,432,000 b/d for the quarter, down 1.4% from a year ago, but natural gas liquids production rose 6.5% to an average 1,847,000 b/d.
It said for the quarter, gasoline deliveries were 7,534,000 b/d and distillate deliveries 3,628,000 b/d, both up 0.3%. Kerosine jet fuel deliveries fell 2.1% to 1,565,000 b/d, and residual fuel oil deliveries dropped 4.7% to 913,000 b/d. Refinery utilization was 90%.
Crude and products stocks were 925,700,000 bbl at the end of March, compared with 920,400,000 bbl at the end of February and 892,800,000 bbl at the end of March 1996.
April results
API said April deliveries were up for gasoline 2.3%, distillate (diesel fuel and home heating oil) 4.7%, and jet fuel 2.5%.
Total deliveries of petroleum products averaged 18,357,000 b/d, up 2.9% from April 1996.
Imports of crude oil and petroleum products were a record 10,136,000 b/d in April, up 8.3% from a year ago. The previous high of 9,997,000 b/d was set in February 1977.
API said it was remarkable that it took 20 years for imports to return to that level, since during that period the economy has expanded by more than 60% while energy consumption has risen by almost 20%.
April crude production was up 0.1% at 6,450,000 b/d, while NGL production was up 1.3% at 1,860,000 b/d.
Crude oil production in the Lower 48 reached its highest level in more than a year, offsetting a decline in Alaskan production.
Stocks of crude oil rose 7 million bbl, standing at 315 million bbl at the end of April. Gasoline stocks dropped 5 million bbl during the month to 191 million bbl, 12 million lower than a year earlier. Distillate inventories declined about 2 million bbl, but were 7 million bbl ahead of a year ago.
At refineries, input to distillation units continued to rise from the year's low in February, reaching almost 14.5 million b/d in April.
API said April gasoline deliveries averaged 8,053,000 b/d, up 2.3% from a year ago; distillate (light fuel oil) was 3,543,000 b/d, up 4.7%; kerosine jet fuel deliveries averaged 1,543,000 b/d, up 2.5%; and residual (heavy fuel oil) deliveries were 718,000 b/d, down 3.6%.
Crude oil imports averaged 8,004,000 b/d, and petroleum products imports averaged 2,132,000 b/d, for a total of 10,136,000 b/d of imports, up 8.3 % from April last year. Refinery utilization in April was 93.8%.
Total stocks of crude and products totaled 933,900,000 bbl at the end of April, up 1.1% from the end of March and up 2.1% from a year ago.
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