SPR Release -- December 11, 2021

Disclaimer: I often make simple arithmetic mistakes. In a note like this there will be content and typographical errors. 

Link here.

• Brandon's swap: 32 million bbls
• global crude oil demand: 100 million bbls / day
• US crude oil demand: "I don't have those numbers in front of me."
• US SPR in round numbers: 600 million bbls
• US SPR: degree of protection --- many different ways of reporting; see below
• next release, next week: 18 million bbls -- which just about equals one day of US total crude oil demand
• XOM will get almost 25% of that release -- or about six hours of US crude oil consumption
• unsaid but China, India will probably bid on the rest
• one way of looking at the US SPR, degree of protection, for calendar year 2019, as of December 31, 2019, the SPR's crude oil inventory was 635 million bbls; equivalent to approximately 1,069 days of supply of total US petroleum net imports. Link here.
• comment: from my perspective, this is all a "conventional" way of thinking going back to the 1973 OPEC embargo and really doesn't have anything to do with how things are in 2021/2021 -- but, then, that's just me, I guess
• others suggest the US SPR has only about 100 days of US demand, but as noted, one can do many different calculations using different assumptions
• 600 million bbls in the SPR; US imports average 6 million bbls/day, gross, not net -- rounding;  

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Active Rigs And Frack Spreads -- US Data

Link here. 

For newbies, a "frack spread" is the "whole enchilada" for fracking a well: trucks, frackers, pumps. 

Spend some time on this graphic; one can make some interesting observations: