US crude stocks likely to build 3 million barrels: analysts

New York (Platts)--31Jan2011/356 pm EST/2056 GMT

Weekly oil data from the US Energy Information Administration and the American Petroleum Institute should show a build of about 3 million barrels in US commercial crude stocks for the reporting week ended January 21, analysts polled by Platts said Monday.

API is scheduled to release its weekly data at 4:30 p.m. EDT (2130 GMT) Tuesday. EIA's weekly oil statistics will be released at 10:30 a.m. EDT (1530 GMT) Wednesday.

Low refinery inputs and a steady rate of imports should result in another build in crude stocks. An influx of imports the past two weeks has caused US crude stocks to increase 7.453 million barrels.

Analysts are projecting another 0.5 percentage point decline in refinery utilization to 81.8%.

Gasoline inventories are expected to climb 2 million barrels.

Historically, gasoline stocks build at this time of year as demand edges down throughout the first quarter. But low run rates could moderate the amount of stock-building.

Stocks of middle distillates are expected to draw 1.5 million barrels, in line with seasonal tendencies. Demand for heating oil should increase as unseasonably cold temperatures two weeks ago caused a pull on inventories.

--Linda Rafield, linda_rafield@platts.com

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