WASHINGTON (MNI) – The following text is the summary of the
American Petroleum Institute’s monthly report on domestic petroleum
deliveries, gasoline deliveries and crude oil production for April
released Friday:

The U.S. economy struggled to gain momentum early in the second
quarter this year. Rising retail gasoline prices seem to have
crimped consumer demand for motor gasoline in April. Gasoline prices
were up by 6.6 percent in April from March, a gain of 24 cents per
gallon. Although gasoline deliveries, a measure of gasoline demand,
at 8.9 million barrels per day, dropped by 2.2 percent compared with
last year, deliveries of distillate fuel, at 4.2 million barrels per
day, rose by 15.2 percent from the prior year driven by a big surge
in ultra-low sulfur distillate deliveries that stood at an
eight-month high.

Total domestic deliveries for April 2011, at 19.9 million barrels
per day, rose by 5.2 percent compared with April 2010. A slow growth in
retail sales for the year, a smaller drop in unemployment claims
compared with the recent prior months and modest expansion in
manufacturing sector could be attributed to the mixed petroleum demand
conditions in April. Deliveries of jet fuel rose by 1.9 percent, while
that of residual fuel slipped by 0.5 percent compared with last year. A
relatively weak dollar and strong product output from refiners continued
to boost petroleum exports this year.

PETROLEUM SUPPLY

Crude oil production in April fell by 0.5 percent to 5.5 million
barrels per day, reversing small production volume gains made in March
from the prior year. On a year-to-date basis, crude oil production was
slightly up by 0.5 percent. Crude oil production in the lower 48 states
dipped by 0.6 percent to 4.8 million barrels per day while Alaskan crude
oil production increased marginally by 0.2 percent to 641 thousand
barrels per day. According to Baker Hughes Inc., the number of oil and
gas rigs jumped from March to April, up by 70 to 1790, a three-year
high. Oil rig counts outpaced the natural gas rig counts for the month
of April.

Total imports of crude and petroleum products were down by 9.9
percent in April compared with last year, a trend seen through all four
months of 2011. Crude imports dropped by 8.2 percent reversing prior
months gains and refined product imports continued their year-over-year
declines for the fourth month in a row, down by 15.8 percent in April.
The U.S. continued to be a net exporter of refined products from January
through April this year as some of the refined products such as
petroleum coke are relatively less useful for the domestic economy.
Refinery inputs were down in April, for the third month in a row, by 8.3
percent compared with last year.

Gasoline production fell for the first time this year, down by 3.1
percent to 8.8 million barrels per day. This level was still the second
highest for gasoline for any April in the past 10 years and the highest
on a year-to-date basis. Distillate fuel and jet fuel production showed
year over year gains up by 7.6 and 3.7 percent respectively while
residual fuel production fell by 15 percent in April compared with last
year. Distillate fuel production continued to be at record high for the
month and the year.

Inventories of crude oil, at 365.1 million barrels, were higher
from the prior month and the prior year by 2.7 percent and 1.2 percent
respectively. Crude stocks were at the second-highest level in the past
ten years for any April. Only April 2009 had higher crude inventories at
370.9 million barrels. Gasoline stocks at 210.8 million barrels were
lower than prior month and prior year by 4.5 percent and 4.0 percent
respectively. Inventories of distillate fuel, at 147 million barrels,
continued the same trend as in the prior three months, with
month-to-month declines but year-to-year gains. Stocks of jet fuel fell
for the ninth month in a row and have reached a three year low at 40.0
million barrels.

** Market News International Washington Bureau: 202-371-2121 **

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