U.S. crude oil exports averaged 5.6 million barrels per day in May, the highest monthly total on record, according to data from analytics firm Kpler cited by Asia Today. The figure topped the previous record of 5.2 million barrels per day set in April.
The increase was fueled by strong demand from Asian and European refiners as supply disruptions in the Middle East caused by the ongoing conflict involving Iran reduced available crude from the region. Refiners in both regions turned to American crude as a substitute.
The price gap between the U.S. benchmark West Texas Intermediate and the global benchmark Brent crude made American barrels especially attractive. The spread widened to as much as $20.69 a barrel in March, the largest gap in 13 years. In April, the gap averaged $8.86 a barrel, wider than the prewar average of $4.85, according to market data.
Asia imported an average of 2.45 million barrels per day from the United States, making it the largest destination for U.S. crude for a second consecutive month. Japan led Asian buyers at 808,000 barrels per day, up 32% from the previous month.
Europe ranked second, importing 2.4 million barrels per day. Italy was the top European buyer at 335,000 barrels per day. Bulgaria, Croatia, Turkey and Greece also made rare purchases of U.S. crude, according to Kpler data.
Industry analysts expect the export surge to moderate in the coming months. Consulting firm Energy Aspects projected exports would fall to an average of 4.9 million barrels per day in June and 4.6 million barrels per day in July. Sources and analysts cited declining West Texas Intermediate inventories in the United States, which are expected to encourage domestic storage and reduce export volumes.