U.S. crude oil loaded onto vessels at Corpus Christi, Texas, last week hit an average 1 million barrels per day (MMbbl/d) following the opening of new pipelines from West Texas shale fields, according to consultancy RBN Energy.
Crude pipelines owned by EPIC Midstream and Plains All American Pipeline LP, able to carry up to 1.07 MMbbl/d combined, started operations last month, easing an inland bottleneck by funneling oil to the South Texas export hub.
Last week's record in Corpus Christi was nearly double July's average of 525,000 bbl/d. Nearly half of last week's loadings occurred at Moda Midstream LLC's export terminal in Ingleside, near Corpus Christi, RBN Energy's analysis of vessel-tracking data showed.
Pipeline operators recently have cut tariff rates to the U.S. Gulf Coast, encouraging flows and reducing the spread between Midland and Houston oil prices.
Crude inventories in Corpus Christi recently climbed almost 1 million to 12.7 MMbbl in the week ended Aug. 23, with storage utilization reaching 52%, according to market intelligence firm Genscape.
West Texas crude inventories last week fell by 2 million to 21.3 MMbbl at monitored facilities, Genscape said. Permian Basin output rose to 4.35 MMbbl/d last month from 3.91 MMbbl/d in January, according to U.S. government figures.
Waterborne crude prices in Corpus Christi this week firmed to a $1.20 to $1.50 per bbl discount to Brent crude futures, the global benchmark. That compared with a discount as wide as $2.50 per bbl in early August and July, traders said.
Recommended Reading
IOCs See Opportunity in Offshore Mexico, Despite Potential for Policy Changes
2024-08-14 - Five IOCs with offshore experience and capital—Eni, Harbour, Talos, Wintershall Dea and Woodside—continue to pursue promising opportunities offshore Mexico despite the country’s energy sovereignty push in favor of state-owned entities Pemex and CFE.
OPEC Gets Updated Plans From Iraq, Kazakhstan on Overproduction Compensation
2024-08-22 - OPEC and other producers including Russia, known as OPEC+, have implemented a series of output cuts since late 2022 to support the market.
Chevron Gets Approval for Farm-in Offshore Uruguay
2024-09-26 - Chevron Corp. received approval for farm-in at the AREA OFF-1 block offshore Uruguay and along with partner CEG Uruguay SA eyes the acquisition of 3D seismic over the remainder of 2024.
Chevron Boosts Oil, NatGas Recovery in Gulf of Mexico
2024-09-03 - Chevron’s Jack/St. Malo and Tahiti facilities have produced 400 MMboe and 500 MMboe, respectively.
CNOOC Makes Ultra-deepwater Discovery in the Pearl River Mouth Basin
2024-09-11 - CNOOC drilled a natural gas well in the ultra-deepwater area of the Liwan 4-1 structure in the Pearl River Mouth Basin. The well marks the first major breakthrough in China’s ultra-deepwater carbonate exploration.