Increased crude oil inventories at the Corpus Christi terminal have triggered early warnings of oversupply in the U.S. Gulf Coast crude market, a critical hub for domestic and export refining. The trend reflects a widening imbalance between incoming crude volumes and downstream demand.
- Crude oil inventories in Corpus Christi reached 32.4 million barrels in late December 2025
- Storage capacity utilization nears 98%, up from 75% a year earlier
- Incoming crude shipments average 1.6 million barrels per day over the past month
- Gulf Coast refining rates remain at 9.8 million barrels per day, below 2024 peak of 10.1 million
- WTI-Brent spread widened to $9.20 per barrel, up from $5.10 in November
- Midstream operators have reduced tanker scheduling to Corpus Christi terminal
Crude oil storage levels at the Corpus Christi terminal have climbed to 32.4 million barrels as of late December 2025, marking a 28% increase from the same period last year and approaching the 33.1 million-barrel capacity threshold. This rise coincides with sustained high inbound shipments, averaging over 1.6 million barrels per day during the past four weeks, driven by strong production from the Permian Basin and increased exports from the region. The surge in storage is particularly notable given that refining activity in the area has remained flat, with Gulf Coast crude processing rates holding at 9.8 million barrels per day—well below the 10.1 million-barrel peak seen in early 2024. This discrepancy suggests that demand from refineries is not keeping pace with the volume of crude arriving at terminals, raising concerns of a developing supply glut. The imbalance has already begun to impact pricing dynamics. West Texas Intermediate (WTI) crude futures for January delivery have dipped 6.4% since mid-December, with a widening spread between WTI and Brent crude, now at $9.20 per barrel—up from $5.10 in early November. This divergence signals increased discounting for U.S. crude relative to global benchmarks, especially for shipments not tied to long-term contracts. Market participants, including midstream operators and energy traders, are adjusting strategies. Several companies have delayed or reduced the scheduling of new tanker voyages to Corpus Christi, while others are exploring alternative loading points such as Houston and Freeport. The trend could lead to reduced throughput fees and lower utilization rates at key Gulf Coast terminals.