EIA: Ethanol Stocks Down 600,000 Bbl

EIA: Ethanol Stocks Down 600,000 Bbl

CRANBURY, N.J. (DTN) -- The domestic supply of ethanol was drawn down a steep 600,000 bbl, or 2.6% during the week-ended Feb. 9, according to the Energy Information Administration, continuing the recent trend of volatile weekly changes in U.S. inventory.

The steep draw was joined by a 400,000 bbl build during the comparable year-ago period to narrow the surplus compared with the same week in 2017 by 1.0 million bbl to 400,000 bbl.

The drop in ethanol inventory occurred in the PADD 1 East Coast and PADD 2 Midwest producer region, with supply in the three other PADD regions unchanged on the week.

Ethanol supply along the East Coast dropped 400,000 bbl or 5.0% to 7.6 million bbl, which is 100,000 bbl less than year prior. For the Midwest, ethanol inventory was drawn down 200,000 bbl or 2.4% to 8.2 million bbl, while 500,000 bbl or 6.5% above the same week a year ago. U.S. ethanol plants produced 1.016 million bpd during the week reviewed, down 41,000 bpd or 3.9% from week prior with the output rate 21,000 bpd or 2.3% below year prior. During the four weeks ended Feb. 9, domestic output averaged 1.044 million bpd, down 8,000 bpd against the comparable period in 2017.

Refiner and blender net inputs of ethanol averaged 882,000 bpd during the week reviewed, up 14,000 bpd or 1.6% on the week and 35,000 bpd or 4.1% higher than a year ago. During the four-week period ended Feb. 9, blending demand for ethanol averaged 858,000 bpd, up 10,000 bpd from the 2017 pace.

Brian Milne can be reached at brian.milne@dtn.com