Record U.S. crude exports, rising shale output boosts oil flow to Houston

FILE PHOTO: The Houston Ship Channel and adjacent refineries, part of the Port of Houston, are seen in Houston By Arathy Somasekhar HOUSTON (Reuters) – Oil pipelines from the top U.S. shale field to Houston that have run half empty are filling again as rising output has absorbed most of the space on lines to the main south Texas export hub in Corpus Christi. U.S. crude exports climbed to a record of about 4.5 million barrels per day (bpd) in March, spurred by recovering Chinese demand and competitive pricing for U.S. oil. Sanctions on Russian crude purchases by the European Union and Britain also have boosted demand. Pipelines that move oil from the Permian basin in West Texas to Corpus Christi are more than 90% full as buyers snap up the light, sweet oil, encouraging shippers to seek alternate routes, analysts said. Houston, previously the top U.S. export hub before an expansion in capacity made Corpus Christi the main export hub, has ample room. Its pipeline utilization averaged 57% in 2022, up from 49% the year before, according to researcher East Daley Capital. That paves the way for new production from the Permian basin to flow to Houston. "We […]

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