The US Strategic Petroleum Reserve was established at a time when US refining configuration and oil production profile looked very different. Given new realities, Energy Secretary Moniz is calling for system modifications. “The Government Accountability Office warned in 2006 that in an emergency, refineries configured to use heavy crude would not be able to efficiently… Keep reading →
The smart grid has been slow to materialize for a combination of factors including investment challenges, but 2014 featured some important advances. “But these challenges also helped define the opportunities for companies, utilities and regulators working on building the next stage of smart grid — a “smart grid 2.0,” if you will. From building on… Keep reading →
Long viewed as a more expensive short-term solution to pipelines, it appears transporting crude oil via rail is likely to continue in conjunction with pipeline infrastructure. As North American oil production crept steadily higher over the past several years, the output surge overwhelmed existing pipelines and producers turned to railroads to move their product.… Keep reading →
Record setting US oil production growth is altering physical oil flows, flipping supply-demand fundamentals and leaving market observers searching for tools that can provide insight into these new price formation elements. Pipeline reversals and infrastructure expansion along the Gulf has debottlenecked the Cushing, Oklahoma storage hub, which has redrawn traditional oil grade basis differentials. Energy market… Keep reading →
The US military and its regional allies conducted additional airstrikes against ISIS-controlled oil infrastructure in Syria and Iraq. “The U.S. said on Sunday that its forces along with Saudi Arabia and the United Arab Emirates targeted four modular refineries and a command facility north of Raqqa—Islamic State’s de facto capital in northeastern Syria. The U.S.… Keep reading →
Here’s an interesting look at the Los Angeles region’s long oil production history. One surprising photo shows drilling rigs lining the Long Beach oceanfront in the 1950’s, a level of industrial development that would be anathema today. However, local communities adapted over time to oil development infrastructure in their midst and the still-producing reservoirs now… Keep reading →
According to recent rail industry reports, US freight railroads are estimated to have carried 434,000 carloads of crude oil in the past year. Though oil-by-rail has proven its benefits relating to the efficient transport of oil from upstream to downstream, it has raised significant concerns regarding transportation safety and its environmental impacts. Due to recent… Keep reading →
In a hearing about the Keystone XL Pipeline on Capitol Hill last week, Sierra Club Executive Director Michael Brune provided testimony that argued against building the pipeline. Brune’s statements were immediately disputed by pipeline supporters. One of the main issues that has emerged as part of the pipeline debate is whether the oil transport system… Keep reading →
Various authorities have been playing regulatory catchup in the wake of unanticipated oil transport by rail increases and several associated accidents. Today’s big news is a US Transportation Department announcement that crude oil moving by rail will be subject to extensive testing for characteristics like vapor pressure and other properties that impact flammability. The testing… Keep reading →
Barclays’ senior geopolitical strategist Helima Croft is heavily quoted in this piece about the potential for escalating Iraqi violence to negatively impact the country’s oil & gas industry. “If they could get the political and security situation under control, Iraq could have tremendous upside advantage for investors. It would be a fantastic growth story,” said… Keep reading →
