US Now a Net Exporter of Crude Oil
United States last week exported more Crude Oil and fuel than it imported for the first time on record, according to data released Thursday.
When adding in all imports and exports of crude and refined products, the US exported a net 211,000 BPD for the week through 30 November.
That is the 1st time that has happened, according to US Energy Department figures dating to Y 1973. That was on the back of a rise in Crude Oil exports to a weekly record of more than 3.2-M BPD.
The United States historically has been a heavy importer of Crude Oil in part due to a 40 yr ban on exports that was lifted in late Y 2015.
Petroleum exports until recently were dominated by products like gasoline and diesel, but that has changed since the U.S. shale revolution that has sped up drilling and extraction of oil, helping boost overall U.S. production to a record 11.7 million bpd.
The data comes on the same day that the Organization of the Petroleum Exporting Countries adjourned a meeting without announcing a supply-cut agreement as it grapples with sinking prices due in part to the surge in US output that has upended the global supply equation.
Crude inventories fell 7.3-M bbl last week, the 1st drawdown since September, as net Crude imports hit a record low of 4-M BPD, the U.S. Energy Information Administration said Thursday.
US Crude Oil prices have fallen about 33% since hitting a 4-year high near $76 a bl in Obctober.
US Crude Oil production is expected to average more than 12-M BPD inY 2019, according to the EIA, an increase of more than 3-M BPD in Y 2016. Shale production surged in the early part of the decade as companies started to use hydraulic fracturing, or fracking, to extract oil in basins in Texas, North Dakota and other states.
US Crude Oil prices ended Thursday lower, due to concern that planned OPEC production cuts will be smaller than originally anticipated. WTI Crude Oil futures lost 2.7% on the day, while ICE Brent Crude dropped by 2.4%.