A glance on the change in U.S. propane exports between the first half of 2015 and the first half of 2016. Graphic courtesy of EIA’s Petroleum Supply Monthly.
Speedy development in propane exports drove U.S. petroleum product export development in the first half of 2016, based on the U.S. Power Information Administration (EIA).
In the first half of 2016, the United States exported four.7 million barrels per day (bpd) of petroleum products. That’s an increase of 500,000 bpd over the first half of 2015 and almost 10 times the amount of crude oil export volume.
Although U.S. exports of distillate and gasoline elevated by 50,000 bpd and almost 140,000 bpd, respectively, propane exports elevated by more than 230,000 bpd. Propane is now the second-largest U.S. petroleum product export, surpassing gasoline, EIA studies. While total U.S. petroleum product exports grew, export destinations remained largely unchanged. Mexico, Canada and the Netherlands acquired the biggest volumes of U.S. petroleum products in the first half of 2016.
U.S. propane exports increased from 562,000 bpd in the first half of 2015 to 793,000 bpd in the first half of 2016. Exports to Asia and Oceania accounted for ninety four p.c of this growth, in line with EIA. Japan imported the most propane at 159,000 bpd in the primary half of 2016, an increase of 111,000 bpd from 48,000 bpd in the first half of 2015. Nevertheless, exports to Panama fell from 41,000 bpd in the first half of 2015 to 7,000 bpd in the primary half of 2016.
The big will increase in exports to Japan and decreases in exports to Panama might be the result of lowered ship-to-ship switch activity, following narrower price differentials between the U.S. and Asia, EIA provides. Among the propane exports from the U.S. that bear ship-to-ship transfers will cite the placement of the transfer and not the final destination of the propane. This often leads to larger-than-actual export numbers for the countries the place the ship-to-ship transfers happen, and in much less-than-precise numbers for some last locations.
As well as, U.S. propane inventories elevated to 103.Three million barrels as of Sept. 23. This degree is 4.5 million barrels larger than the level right now final 12 months. Gulf Coast and East Coast inventories increased by 1.7 and 0.2 million barrels, respectively, while Midwest and Rocky Mountain/West Coast inventories decreased by 0.Three and 0.1 million barrels, respectively.