Oil
US weekly crude stocks, output, imports rise
- Rise in oil imports, due to delayed imports in December for tax purposes, drive inventories up

Crude oil inventories, production and imports rose in the U.S. for the week ending Jan. 6, the country's Energy Information Administration (EIA) announced Wednesday.

Stocks of crude rose by 4.1 million barrels, or 0.9 percent, from the previous week to reach 483.1 million barrels.

"The rise in crude stocks was driven by a jump in net imports," Thomas Pugh, a commodities economist at London-based Capital Economics, said in a note.

Imports increased by 1.9 million barrels per day (bpd) to 9.05 million bpd for the week ending Jan. 6, according to the EIA.

"This is likely due to refineries having delayed imports in December for tax purposes," Pugh explained.

U.S. oil production rose by 176,000 bpd to reach 8.97 million bpd during the same period, the EIA data showed.

"Higher U.S. oil output will be a concern for OPEC as the group starts to cut its own output," Pugh noted.

As Saudi Arabia and non-OPEC Russia trim their production levels, higher oil prices will give more room for American production to increase and fill the void in the global oil market, according to some analysts.

By Ovunc Kutlu in New York

Anadolu Agency

ovunc.kutlu@aa.com.tr
 

 

 

12 Jan,2017
OIL NEWS