The US Crude Oil is poised for a rebound despite suffering its first m/m decline in May 2014, a Barclays report says. Annual US crude production growth is accelerating, reaching 1.07 mb/d in April and May, a pace of growth not seen since September 2013.May production declined, ending a four-month streak of m/m production gains, with Gulf of Mexico and Alaskan production dragging down growth elsewhere by -40 kb/d to 8.36 mb/d, the report said.

US crude oil imports dropped by close to 400 kb/d m/m in May, driven mostly by lower imports into PADD 3. In particular, Gulf Coast imports of medium light sour crude imports declined by 540 kb/d to 480 kb/d in May, similar to last summer’s levels. A decrease in Saudi Arabian crude imports contributed to most of the fall.

Crude exports reached record levels of almost 290 kb/d in May, 75% of which came from PADD3.
Exports of LPGs showed continued strength, reaching a new record 550 kb/d in May, 80% of which was propane.
Source: Barclays