U.S. crude oil exports reached a new all-time high of 3.3 million barrels per day (mb/d) in June 2019, a 1.1 mb/d year-over-year increase, according to the American Petroleum Institute. This latest milestone came as the U.S. continued to sustain world-leading crude oil production of 12.2 mb/d, including 5.0 mb/d in West Texas’ Permian Basin. Increasing U.S. crude oil exports are a net positive for American consumers who have benefited from significant declines in energy expenditures since the rise of the shale revolution.
Other highlights from the June 2019 MSR include:
- U.S. petroleum demand reached its highest level for June since 2005;
- Domestic and international crude oil prices decreased despite geopolitical tensions in the Strait of Hormuz and tropical activity in the Gulf of Mexico;
- Refinery inputs – the 2nd highest on record for June – drove petroleum inventories above the 5-year average; and
- U.S. petroleum net imports fell to 1.3 mb/d in June from 2.9 mb/d in June 2018.
“The U.S. appears to be making substantive progress towards becoming a net energy exporter in 2020, as projected by the EIA, with production continuing to sustain its upward climb despite oil prices having declined 10% between May and June,” said API Chief Economist Dean Foreman. “This trend has been driven in part by increasingly low breakeven prices, strong productivity gains in key production regions, and the incremental additions of new pipeline infrastructure needed to bring these resources to market.”