The US oil exports hit a record in 2022, as releases from the Strategic Petroleum Reserve (SPR) nearly matched the increase in domestic production to boost supply to countries looking to replace Russian crude. This Wednesday, the barrel of West Texas Intermediate (WTI) oil, a reference for the United States, ended at its lowest closing price since December 2021in a market agitated by the turmoil in the banking sector.
United States oil exports increased 22% since 2021 to a high of 3.6 million barrels per day (bpd) last year as higher demand from Europe offset lower exports to India and China, the US Energy Information Administration (EIA) said on Wednesday. . US production in 2022 rose 629,000 bpd, or 5.6%, to 11.9 million bpd, still far from its 2019 all-time high of 12.3 million bpd.
However, combined with 607,000 bpd of releases from the SPR last year, total US oil supplied to the market reached 12.5 million bpd, up from 12.4 million bpd in 2019.
South Korea, the Netherlands, the United Kingdom and Canada were the main destinations for US crude, while European buyers increased their purchases by 41% from 2021 to replace Russian supplies.
“EU sanctions applied in December 2022 banning all maritime oil imports from Russia to Europe make it likely that demand for US crude will continue into 2023”the EIA said.
Meanwhile, exports to India and China, which have bought cheap Russian oil at a discount, collectively fell 19% year-on-year.
Substitution of Russian oil for US crude
One of the countries that replaced Russian oil with American oil was Finland, which during 2022 suspended the imports of crude of the Urals, according to data from Refinitiv Eikon. Until last year it was one of the EU members most dependent on Moscow.
European Union countries banned all maritime imports of oil from the Russian Federation from December 5 last year, but many countries had already reduced their purchases before then.
Finland imported its last shipment of oil from the Urals in July 2022according to the annual report of the only state refiner, Neste Oil, ending its purchases of Russian oil, even under long-term contracts.
Russian oil imports, at 1.5 million tons, accounted for just 17% of Finland’s total crude imports in 2022, up from 84% the year before. Shipments from Norway more than quadrupled to reach 5.65 million tonnes, or 65% of the total.
He oil price plummeted this Wednesday March 15 and registered his lowest value since September 2021 for him Brent. He West Texas Intermediate (WTI) For its part, the US follows it in the downward trend and touches US$66, its lowest value since December 2021.
He WTI for April delivery tumbled 5.21% to $67.61 after falling as low as $65.65 during the session, a bottom in more than 15 months.
Source: Ambito
