No glut in Australian petroleum inventories
The Australian Capital’s daily newspaper Canberra Times started the New Year by reprinting an article of the Daily Telegraph referring to an abundance of oil – without checking whether this also applies to Australia, especially after a year of political football games between a Senate committee and energy bureaucrats on one side and between the Industry and Foreign Ministers on the other, over Australia’s non-existent strategic oil reserve.
So let’s check on Australia’s commercial stocks, using the Australian Petroleum Statistics
http://www.industry.gov.au/Office-of-the-Chief-Economist/Publications/Pages/Australian-petroleum-statistics.aspx of the Department of Industry.
Consumption cover
Fig 1: Gasoline stocks and consumption cover in days
Average Gasoline stocks over 5 years were 740 Kt with seasonal fluctuations of around ±100 Kt (table 6). These stocks cover consumption of around 21 days or 3 weeks (table 7). The month-to-month fluctuations are caused by the arrival of tanker ships.
Fig 2: Diesel stocks and consumption cover in days
Average diesel stocks are 860 Kt equal to a consumption cover of only 17 days.
Fig 3: Jet fuel stocks and consumption cover in days
Average jet fuel stocks are 300 Kt equivalent to 18 days’ consumption.
Fig 4: LPG stocks and consumption cover in days
Average LPG stocks are 160 Kt equal to 27 days’ consumption.
Fig 5: Crude oil stocks and refinery input cover
Crude oil stocks have been reduced after the closure of 2 oil refineries.
The Shell refinery in Sydney (85 kb/d) closed in September 2012 which is about 340 Kt/month.
The Caltex refinery in Sydney (135 kb/d) closed in December 2014 equivalent to 550 Kt/month. So at around one month refinery input in stocks, these refinery closures would explain a drop in stocks of around 900 Kt.
The next refinery closure will be BP in Brisbane (100 kb/d)
Net import cover
As a member of the IEA and a net oil importer Australia is obliged to keep stocks of 90 days of net oil imports (crude and products)
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