When people think about applications for natural gas in the US some of the most iconic images are kitchen stove burner tips and large power plants. However, natural gas liquids are widely used in manufacturing thousands of everyday products, as well as fertilizers and other applications that people may not be as familiar with. Keep reading →
Summers in a Pennsylvania steel mill might seem like an unlikely place to find the future president of the American Fuel & Petrochemical Manufacturers association, but that’s where Charlie Drevna got his start. Now, it seems prescient as energy and manufacturing become ever more closely linked in the US.
When Drevna was working the mills, they were manufacturing drill pipe for oil and gas production in Oklahoma and other parts of the country where conventional hydrocarbon resources were being produced in volumes that many expected were in terminal decline. Keep reading →
The idea of powering energy intensive facilities with inexpensive methane from on-site rigs is gaining traction in the Marcellus Shale region. And one of the reasons for the interest is the intensifying focus by exploration and production companies on natural gas liquids.
NGLs, which include propane, hexane, butane, and pentanes, are produced by fractionation after well-gas is processed to separate them from methane and ethane (which can only be liquefied through cryogenic treatment). Keep reading →
Few industries are hit as hard by high oil prices than the airlines, which can spend close to 40% of their budget on fuel. With jet fuel prices near record highs, the drive to conserve is stronger than ever. Delta recently made headlines with its novel bid to buy an oil refinery, taking a more direct role in procuring fuel. But Delta and other airlines are experimenting with a number of other ways to cut costs. The entire industry is hoping a switch from radar to GPS-based navigation will cut the time it takes both to reach cruising altitude and land a plane.
Eni SpA, Italy’s biggest energy company by market value, said Tuesday that a refining boom in the Middle East is putting pressure on European refiners because the MidEast producers, who have lower costs, are now entering the market in Europe especially the Mediterranean. “Italy was a hub for Middle Eastern crude, but not anymore as Middle East [oil companies] are now vertically integrated,” Domenico Elefante, Eni’s executive vice president for refining, told Dow Jones Newswires on the sidelines of the Global Refining Summit in Barcelona. Elefante also said it isn’t a problem for Eni to replace Iranian barrels which are subject to western sanctions as the import volumes have been low. He didn’t provide further details on the volumes.
A plan by Delta Air Lines to buy a Pennsylvania refinery and save itself $300 million a year in jet fuel costs is an audacious move that may prompt its competitors to follow suit in a bid to control their biggest single expense, analysts said.
But the airline may also face bigger bills than it expects for restarting the currently idle plant and more than doubling its previous output of jet fuel. Keep reading →
While gas prices soar to record levels, many U.S. refineries that make and sell gasoline are going broke. Nearly 50% of the refining capacity on the East Coast has either shut down or may shut down within the next few months. If gas shortages develop due to the closed refineries, East Coast drivers could face higher prices than they otherwise would later this year. Sunoco , which closed its Philadelphia-area Marcus Hook refinery in December and is trying to sell another facility nearby, said its refining businesses has been losing $1 million dollars a day for three years running.
A new midstream service complex in Ohio is the subject of a recent deal that underpins a wider resurgence activity in the industrial sector driven by shale gas discoveries across the country, but particularly in the states underlying the Utica and Marcellus Shales.
An unexpected but common theme at the Wall Street Green Summit going on this week in New York is how unconventional natural gas development is strengthening the US manufacturing sector. Keep reading →
The possible permanent closure of three eastern Pennsylvania refineries would make the region more dependent on outside sources for petroleum products and force marketers to overhaul supply chains for gasoline, diesel heating oil, jet fuel and lubricants, state legislators heard on Monday.
But closure isn’t likely to have a big effect on prices or supply on the US East Coast because alternative sources such as the Gulf Coast, higher overseas imports and increased pipeline shipments from the Midwest will be found, according to a new study presented to lawmakers. Keep reading →