Oil storage capacity growth in the Gulf Coast and Cushing, Oklahoma, have accounted for 85% of the nation’s increase in crude storage since 2011, according to the Energy Information Administration. Crude oil inventories in those two locations reached a record high of 309.4 million barrels as of Nov. 27, which helped the price of crude oil drop below $40 per barrel for the first time since August. The Gulf Coast and Cushing currently account for 67% of the nation’s crude oil inventories.
Meanwhile, refinery utilization increased by 2.5 percentage points, a sign that refiners are wrapping up seasonal maintenance.
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