U.S. Oil Production, Petroleum Demand Holding Steady
Domestic crude production and overall petroleum demand both held essentially even last week, the U.S. Energy Information Administration (EIA) said Thursday.

Production for the period ended Sept. 2 was on par with the prior week at 12.1 million b/d, EIA said in its Weekly Petroleum Status Report. That kept output within striking distance of the 2022 high of 12.2 million b/d reached earlier in the summer.
Exploration and production (E&P) companies have been cautious about bolstering activity too aggressively amid political pressure to focus more on renewable energy and Wall Street demands to return capital to investors. However, E&Ps boosted production early in the summer and have since kept output near or above the 12 million b/d level to meet demand. While uneven week/week amid price volatility, consumption remains well above the pandemic-era lows of 2020 and early 2021.
U.S. benchmark West Texas Intermediate (WTI) prices hovered near $84/bbl Wednesday. That was down about 30% from the high mark of 2022 in June. Still, WTI is up more than 10% for the year.
Total petroleum demand for the latest EIA period, meanwhile, was 19.9 million b/d, off slightly from 20.0 million b/d a week earlier. Steady consumption of gasoline heading into the Labor Day Weekend supported the demand side.
Total products supplied over the last four-week period averaged 20.1 million b/d, according to EIA.
Oil refinery inputs averaged 15.9 million b/d last week, about 310,000 b/d less than the previous week’s average. Refineries operated at 90.9% of their capacity, EIA said.
U.S. commercial crude inventories for the Sept. 2 period, excluding those in the Strategic Petroleum Reserve, increased by 8.8 million bbl from the previous week. Oil imports averaged 6.8 million b/d last week, up by 824,000 b/d from the previous week.
Still, at 427.2 million bbl, stocks were about 3% below the five-year average.
The latest EIA data follow news from OPEC-plus earlier in the week. The cartel, led by Saudi Arabia in partnership with Russia, said it would reduce its crude oil output by 100,000 b/d in October.The move would effectively offset a targeted increase of 100,000 b/d in September. OPEC-plus had said in August that its production levels would return to pre-pandemic norms this month after a long recovery from the depths of the pandemic in 2020.
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