Market Insights > First Look

First Look - Chinese oil refining levels fall to five-month low

Oil is trading lower on weak Chinese data
- Oil prices rose sharply last week to the high end of the range that prices have been trading in over the past several weeks
Chinese refining levels fall to a five-month low (BBG)
- China’s crude refining fell in November to the lowest level in five months as some state-owned refineries shut plants for maintenance
- Refiners in China processed about 14.3 MMBbl/d, the smallest level since June but about 0.2% higher than a year ago
- Apparent oil demand in China fell 2.1% in November year-over-year, while year-to-date oil demand is down about 3.3%

Natural gas prices are trading lower on warmer shifts in weather forecasts
- Lower 48 two-week forecasts warmed over the weekend for most regions
- Gas production is around 102 Bcf/d, after reaching as high as 102.6 Bcf/d last week
Feedgas deliveries to Plaquemines LNG to rise (S&P)
- Plaquemines received permission from FERC to begin introducing gas to parts of the facility in a move that likely precedes larger deliveries of feedgas
- The facility has been averaging about 30 MMcf/d in deliveries in recent weeks as it nears startup
- The export plant should have a capacity of 2.6 Bcf/d once it reaches its full capacity