US oil demand in December hits its highest level since before the pandemic -EIA | Investment News
(Reuters) – U.S. oil demand in December hit its highest level since the start of the coronavirus pandemic, the U.S. Energy Information Administration (EIA) said on Monday, with a product supplied at nearly 21 million barrels per day (bpd).
Overall fuel demand rose 10% year-over-year in December to 20.8 million bpd, its highest level since August 2019. Product supplied is a proxy for consumer demand , as it primarily reflects fuels processed from US crude oil for consumption and export.
Rapidly rising demand for oil in the United States, while production remains slow to return to record highs, has forced energy companies to pull a massive amount of crude from storage over the past year and has helped push oil futures to their highest level since 2014. [O/R]
Crude oil production fell about 206,000 bpd to 11.57 million bpd in December, the EIA said in its Petroleum Supply Monthly report. This is about 9% less than the 12.83 million bpd produced before the February 2020 pandemic.
Crude inventories at the Cushing storage center in Oklahoma, the delivery point for the New York Mercantile Exchange (NYMEX) oil futures contract, fell to their lowest level since September 2018, according to the weekly report. on the EIA’s state of oil last week.
U.S. crude exports, meanwhile, hit 3.45 million bpd in December.
U.S. gross monthly natural gas production in the lower 48 states rose 0.1 billion cubic feet per day (bcfd) to a record 108.3 bcfd in December, the EIA said in its monthly production report 914.
It was the second month in a row that Lower 48 gross gas production hit a record high. The previous all-time high was 108.2 bcfd in November.
In major gas-producing states, monthly production rose 0.6% in Texas to a record 30.3 billion cubic feet per day and 1.1% in Pennsylvania to a record 22.0 billion cubic feet per day.
(Reporting by David Gaffen, Scott DiSavino and Stephanie Kelly in New YorkEditing by Marguerita Choy)
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