• 3 minutes China has *Already* Lost the Trade War. Meantime, the U.S. Might Sanction China’s Largest Oil Company
  • 7 minutes Saudi and UAE pressure to get US support for Oil quotas is reportedly on..
  • 11 minutes China devalues currency to lower prices to address new tariffs. But doesn't help. Here is why. . . .
  • 15 minutes What is your current outlook as a day trader for WTI
  • 3 hours Will Uncle Sam Step Up and Cut Production
  • 44 mins In The Bright Of New Administration Rules: Immigrants as Economic Contributors
  • 8 hours Domino Effect: Rashida Tlaib Rejects Israel's Offer For 'Humanitarian' Visit To West Bank
  • 19 mins Long Range Attack On Saudi Oil Field Ends War On Yemen
  • 8 hours Gretta Thunbergs zero carbon voyage carbon foot print of carbon fibre manufacture
  • 4 mins * 8 to 10 "good" years left in oil industry * UAE model for Economic Deversification * Others spent oil billions on terrorism, wars, lopping off heads * Too late now
  • 9 hours Continental Resource's Hamm wants shale to cut production. . . He can't compete with peers.
  • 3 hours CLIMATE PANIC! ELEVENTY!!! "250,000 people die a year due to the climate crisis"
  • 14 hours NATGAS, LNG, Technology, benefits etc , cleaner global energy fuel
  • 22 hours Significant: Boeing Delays Delivery Of Ultra-Long-Range Version Of 777X
  • 1 day Strait Of Hormuz As a Breakpoint: Germany Not Taking Part In U.S. Naval Mission
  • 21 hours Why Oil is Falling (including conspiracy theories and other fun stuff)
  • 12 hours Trump vs. Xi Trade Battle, Running Commentary from Conservative Tree House
  • 4 hours US Petroleum Demand Strongest Since 2007
Alt Text

Will Shale Rise From The Dead?

The shale oil business is…

Alt Text

Could This Be A Turning Point For Petrobras?

Brazil’s Petrobras is making some…

Alt Text

Saudis Scramble To Arrest Oil Price Slide

Saudi Arabia has approached other…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

EIA Takes Markets By Surprise, Reports Major Crude Oil Inventory Draw

Amid growing pessimism regarding an extension of OPEC’s oil production deal, and a day after the American Petroleum Institute reported an estimated increase of 897,000 barrels in U.S. commercial inventories, the EIA reversed the mood with a draw of 3.6 million barrels for the week to April 21.

Analysts had expected a respite for oil prices with a decline in inventories of 1.6 million barrels and though they were out of luck with API, EIA exceeded the expectations.

The EIA reported that crude inventories stood at 528.7 million barrels at the end of last week, still near the upper seasonal limit despite refineries increasing their runs after the end of maintenance season, which some analysts argued was the reason for the hefty weekly inventory increases that we saw over the last couple of months.

They may well have been right, as refinery runs averaged 17.3 million barrels in the week to April 21, up 347,000 bpd on the previous week, with refineries operating at 94.1 percent of capacity. Gasoline production averaged 9.7 million barrels, compared with 9.8 million barrels in the previous week.

Gasoline inventories increased by 3.4 million barrels and are still near the upper limit for this time of year, and distillates increased 2.7 million barrels.

Oil prices have been hovering around four-week lows in the past week, pressured by the global inventory situation and wilting hopes that an OPEC extension would this time do the trick and take care of the excess supply.

Still, yesterday Brent and WTI picked up a little on analyst expectations that the API would report a draw in U.S. inventories, but that came after six straight sessions in the red for the benchmarks. Now, EIA’s figures are bound to provide a boost for benchmarks.

source: oilprice.com/oil-prices

Even so, analysts seem to share the opinion that the first OPEC deal was a failure, despite the high compliance rate. The cartel and its external partners will have to cut deeper and for longer if they are to influence oil prices in any meaningful way.

Amid all this, Russian government officials have been reported to suggest that the country’s oil production could hit the highest in 30 years in 2017, if OPEC does not agree to extend the cuts, adding to headwinds for oil prices.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage


Leave a comment
  • Bud on April 26 2017 said:
    Total oil stocks were up near double at 6.6 million barrels due to increase in imports and gasoline inventory.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play