PeakOil.com: Weekly Petroleum Supply Report 6.30.10

The main driver of the decrease in crude oil was imports, like it always is, in this case the Captain Jack theory was incorrect since pricing was good last week, but imports were down to only about 9.4 mbpd. I will say, though that domestic crude oil production numbers finally showed a little decrease this, week, for the first time in a long time…. Next week both the crude oil domestic production and the imports will be affected by the storm in the gulf.

In Unleaded, the main factor was 100,000 bpd extra production on the east coast, as well as an extra tanker of imports. Demand was about flat from last week.

Distillate inventories continued to go up, they’re at 159 million barrels, last November before the weather got cold the inventory of distillates maxed out at 171 million barrels, and at the current rate, 2 million barrels per week, this will be surpassed in 6 weeks. You have to go all the way back to the early 80s for the last time distillate inventories were this high….Distillate demand: if you have been following OF2’s thread, you know that there was a “blip” in distillate demand in May and it subsided the last couple of weeks, and it is continuing to subside this week….

Next week will be interesting. We will see some hurricane effects plus, it’s July 4th weekend, which means there will be some more demand.