API: US November petroleum demand rose 4.9%

U.S. oil demand rose 4.9% year-on-year in November on signs of broader strengthening in the nation’s economy, the American Petroleum Institute said Thursday.

At 19.435 million barrels a day, demand in the world’s biggest oil consumer was the highest since December 2010.

API’s report shows strong gains in demand for gasoline, the most widely used petroleum product in the U.S., as well as in diesel fuel and jet fuel.

“Last month’s increase in demand reflected gathering strength in the broader economy,” John Felmy, API’s chief economist, said in a prepared statement.

The trade group said U.S. crude oil output continued to climb, topping eight million barrels a day for the first time in 25 years.

Demand for gasoline rose 5.4% in November, to 8.941 million barrels a day, the highest demand in the month since 2007.

November demand for distillate fuel, the umbrella grouping for diesel and heating oil, rose 3.7% from a year earlier, to 3.992 million barrels a day, a two-year high for the month. Within that figure, demand for ultralow sulfur diesel, used to fuel trucks and trains and as home-heating oil, rose 6.5%, to 3.703 million barrels a day.

U.S. output of crude oil and condensates rose 13.8% from a year earlier to a 8.010 million barrels a day. New technology, such as hydraulic fracturing and horizontal drilling, is unlocking oil deposits trapped in shale rock in several areas of America.

The higher domestic output cut crude-oil imports 5.4% from a year earlier, to 7.739 million barrels a day. Total imports of crude oil and refined products were down 5.7% from a year earlier, at 9.602 million barrels a day.

Both crude imports and total imports dropped to a 17-year low, API said.