• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 1 day GREEN NEW DEAL = BLIZZARD OF LIES
  • 5 days The United States produced more crude oil than any nation, at any time.
  • 4 days How Far Have We Really Gotten With Alternative Energy
  • 2 days Bad news for e-cars keeps coming
  • 4 days China deletes leaked stats showing plunging birth rate for 2023
  • 5 days The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
Growth in U.S. Oil and Gas Output Slows Down

Growth in U.S. Oil and Gas Output Slows Down

This year's increase in shale…

OPEC’s Trillion-Dollar Bet Against U.S. Shale

OPEC’s Trillion-Dollar Bet Against U.S. Shale

OPEC's strategy to defend market…

Bank Sees U.S. Shale Growing for Another 4 Years

Bank Sees U.S. Shale Growing for Another 4 Years

U.S. shale oil production has…

Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews. 

More Info

Premium Content

China Continues To Tap Crude Reserves Despite Plunge In Refining Activity

storage

The world’s largest oil importer, China, is estimated to have drawn some crude from its oil reserves in July, although its refining throughput fell to the lowest level in over a year, Reuters columnist Clyde Russell has estimated based on official Chinese data.

Last month, China is likely to have used 223,700 barrels per day (bpd) of its crude inventories, Russell calculates in an estimate of China’s crude imports plus domestic crude oil production, minus the refinery throughput.

The estimates showed that Chinese oil refinery throughput was roughly 223,700 bpd higher than the combined available crude from imports and domestic production in July.

China’s crude reserves, strategic and commercial, have always been the subject of speculation and guesstimates since Beijing doesn’t report inventories.

Chinese refiners boosted crude imports at low prices last year, and continued to import high crude volumes at the start of this year.

However, the oil price rally in the second quarter of 2021 slowed down Chinese purchases, which hit a 2021-low in June at 9.77 million bpd. Crude imports rebounded in July, to 10.07 million bpd, or, according to Reuters, 41.24 million barrels for the month in total. Yet, this was still lower than the rate of imports a year earlier: in July 2020, China bought 51.29 million tons of crude.

Analysts—including Rystad Energy, Energy Aspects, and Independent Commodity Intelligence Services (ICIS)—estimate that the recent clampdown on the import and tax practices of independent refiners, as well as the significantly higher oil prices this year, could result in flat or only slightly higher crude oil imports in China in 2021.

Earlier this week, data out of China showed that the world’s top crude importer had the lowest refinery throughput in July 2021 since May 2020, as independent refiners cut on fuel production amid lower second-half import quotas and weakening profit margins.

By Tsvetana Paraskova for Oilprice.com

ADVERTISEMENT

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News