EIA: US Propylene/Propane Stocks Drop to 33wks Low
1/13 10:30 AM
EIA: US Propylene/Propane Stocks Drop to 33wks Low OAKHURST, N.J. (DTN) --- U.S. propane/propylene inventories tumbled to a 33-week low as of Jan. 8 as a 13th straight weekly draw in Gulf Coast PADD 3 stocks left supplies at the lowest level since early April 2019 while draws were also reported in all of the other main PADDs, the latest data from the Energy Information Administration show. During the week profiled exports jumped 272,000 bpd to 1.347 million bpd, up 112,000 bpd from the same time in 2020. For the four weeks ended Jan. 8, EIA reported U.S. propane/propylene exports at 1.389 million bpd versus 1.132 million bpd in the same period in 2020. Total domestic propane/propylene supply fell an 11th consecutive week, plummeting 6.729 million bbl to 66.048 million bbl, the lowest level since the week ended May 22, 2020 at 64.240 million bbl while 19.3% below the corresponding week in 2019. Gulf Coast PADD 3 propane/propylene stocks plunged 10.7%, sliding 4.279 million bbl to 34.960 million bbl, the lowest level since April 5, 2019 at 34.298 million bbl. Stocks are a steep 33.8% below this time last year. East Coast PADD 1 stocks erased the prior week increase, falling 633,000 bbl to a 28-week low 7.508 million bbl, 17.2% above a year ago while Midwest PADD 2 propane/propylene stocks dropped a fifth week, sinking 8.3% or week, down 1.726 million bbl to a 28-week low 18.654 million bbl, 3.1% below the same time last year. Stocks in the Rockies and West Coast held lower, down about 100,000 bbl to 4.926 million bbl. EIA reported implied propane/propylene demand surged 403,000 bpd to 2.104 million bpd, 610,000 bpd higher than the same week in 2019. For the four weeks ended Jan. 8, demand at 1.713 million bpd was 10% above the corresponding four weeks in 2019 while cumulative demand at 2.104 million bpd was a significant 40.1% above a year ago. U.S. refiner and blender net production of propane/propylene rose 83,000 bpd in the week profiled to 2.340 million bpd, 95,000 bpd lower than a year ago. Four-week average output at 2.310 million bpd was nearly 100,000 bpd below the same time last year. Gulf Coast PADD 3 net production of propane/propylene increased 29,000 bpd to 1.418 million bpd while Midwest PADD 2 output rose 54,000 bpd to 487,000 bpd. (c) Copyright 2021 DTN, LLC. All rights reserved.