• 3 minutes War for Taiwan?
  • 7 minutes How China Is Racing To Expand Its Global Energy Influence
  • 10 minutes Is it time to talk about Hydrogen?
  • 1 min U.S. Presidential Elections Status - Electoral Votes
  • 30 mins “Cushing Oil Inventories Are Soaring Again” By Tsvetana Paraskova
  • 2 days Supreme Court rules against Cuomo's coronavirus limits
  • 3 hours “Did Authorities Do Enough To Find Out Why Oil Prices Went Negative?” By Irina Slav – Nov 26th
  • 2 hours WTI / ​​​​​​​Price Forecasting 
  • 1 day Biden's Green New Deal- Short Term - How Will He Start to Transition Out Of Crude?
  • 1 day America Could Go Fully Electric Right Now
  • 2 days Saudi Arabia Seeks to Become Top Hydrogen Exporter
  • 1 day Mail IN Ballot Fraud

Breaking News:

Volkswagen Readies Compact EV For 2023

Brazil’s Oil Giant Slashes Its Five-Year Investment Plan

Brazil’s Oil Giant Slashes Its Five-Year Investment Plan

Brazil’s state oil giant Petrobras…

Did Authorities Do Enough To Find Out Why Oil Prices Went Negative?

Did Authorities Do Enough To Find Out Why Oil Prices Went Negative?

The Commodity Futures Trading Commission…

Colossal Crude Oil Inventory Draw Carries Prices Higher   

The American Petroleum Institute (API) has estimated a staggering crude oil inventory draw of 11.1 million barrels for the week ending Aug 22, compared to analyst expectations of a 2.112-million barrel draw.

The inventory draw this week adds onto last week’s draw in crude oil inventories of 3.45 million barrels, according to API data. The EIA estimated that week that there was an inventory draw of 2.7 million barrels.

After today’s inventory move, the net draw for the year is 19.08 million barrels for the 35-week reporting period so far, using API data.

Oil prices were trading up on Tuesday prior to the data release despite the appearance that the United States could be softening its stance on the Iranian nuclear deal and the subsequent oil exports that would be unleashed on the market in the rather unlikely event that the Iran vs. the West showdown wrap up in quick form. It also ignored news from China that it would seek to increase its domestic demand for products to weather the tariffs imposed by US strong-arming, indicating China’s future unwillingness to give up ground in the trade talks.

At 3:42pm EST, WTI was trading up $1.33 (+2.48%) at $54.97, or about $1.25 down from this time last week. Brent was trading up $0.89 (+1.53%) at $59.01--$1.10 down from last week’s levels.  

The API this week reported a 349,000-barrel draw in gasoline inventories for week ending Aug 22. Analysts predicted a draw in gasoline inventories of 388,000 barrels for the week.

Distillate inventories fell by 2.5 million barrels for the week, while inventories at Cushing fell by 2.4 million barrels.

US crude oil production as estimated by the Energy Information Administration showed that production for the week ending August 15 stayed the same at 12.3 million bpd, just 100,000 bpd off the all-time high of 12.4 million bpd.

The U.S. Energy Information Administration report on crude oil inventories is due to be released at its regularly scheduled time on Wednesday at 10:30a.m. EST.

By Julianne Geiger for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment
  • Victor Edwards on August 28 2019 said:
    This "collosal draw" is manufactured out of whole cloth, as the saying goes. If it it true, someone is dumping it into the ocean!

    Big Oil has not liked the low prices for oil, and they are getting desperate now, creating unreal "draws" that drive the prices artificially up.

    Time for government intervention, I think. We are not getting any real facts from Big Oil.
  • Bob Forbes on August 28 2019 said:
    And then tomorrow it will be Unexpected Crude Build Up creates surprise drop in oil price.

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News