Bill Bush | 202.682.8114 | bushw@api.org

WASHINGTON, January 20, 2011 – Total petroleum deliveries (a measure of demand) fell 1.2 percent to an average of 18.9 million barrels a day in 2011 compared with 2010.Except for 2008, this was the largest drop in annual domestic deliveries over the past decade. December 2011 petroleum deliveries were down 5.9 percent from December 2010, declining to an average of 18.6 million barrels per day, the lowest level in 15 years. Gasoline deliveries showed declines for 2011 as a whole and for the month of December.

"The weakness in gasoline demand in 2011 reflected the overall weakness in consumer spending," said API chief economist John Felmy. "This carried through the year, with retail sales down in December and gasoline demand slipping more than four percent for the month."

Despite the decline in demand for refined products, supplies remained ample, with gasoline production for the year averaging a record high of 9.1 million barrels per day, up 0.5 percent over 2010. Distillate production at 4.5 million barrels per day was up 6.1 percent for the year. Refinery inputs fell by 1.5 percent in 2011 compared with 2010.

Total petroleum imports dropped 5.6 percent in 2011 from the year before. Although up slightly in December, crude oil imports for the year fell by 3.4 percent.Refined product imports decreased 14 percent for the year and were down more than 33 percent for December.

Total petroleum exports (almost all of which were product exports) were up 25.5 percent in 2011 compared with 2010.

Crude oil production rose 2.5 percent in 2011 to an average of 5.6 million barrels per day. In December, crude oil production rose by 0.5 percent to an eight-year high for the month. The total number of oil and gas rigs stayed above 2,000 for the month, according to the latest Baker-Hughes Inc. report, and averaged 1,875 for the year, a three-year high.

Crude oil stocks ended the year slightly up from 2010 and were at a 17-year high for December.Motor gasoline stocks were up in December 2011 from the prior month. Distillate stocks fell to a five-year low for December.

API represents more than 490 oil and natural gas companies, leaders of a technology-driven industry that supplies most of America's energy, supports 9.2 million U.S. jobs and 7.7 percent of the U.S. economy, delivers more than $86 million a day in revenue to our government, and, since 2000, has invested over $2 trillion in U.S. capital projects to advance all forms of energy, including alternatives.