Tag Archives: economy

Growth in Propane Exports Drove US Petroleum Product Export Growth in 1st Half of 2016

In the first half of 2016, the United States exported 4.7 million barrels per day (b/d) of petroleum products, an increase of 500,000 b/d over the first half of 2015 and almost 10 times the crude oil export volume. While U.S. exports of distillate and gasoline increased by 50,000 b/d and nearly 140,000 b/d, respectively, propane exports increased by more than 230,000 b/d. Propane surpassed motor gasoline to become the second-largest U.S. petroleum product export, after distillate. Although total U.S. petroleum product exports grew, export destinations remained largely unchanged. Mexico, Canada, and the Netherlands received the […]

Lack Of Pipeline Capacity Could Force Down Canadian Crude Prices

The pipelines carrying Canadian heavy crude to the U.S. are running at capacity and soon, more oil will have to start being transported by railway as oil sands operators ramp up production. The bad news for these producers is that railway transportation of crude is costlier than pipelines, and they will have to increase the discount at which they sell their oil. Canadian oil exports to its southern neighbor have exceeded 3 million bpd for the last six weeks, except for one, when the average daily dipped to 2.95 million barrels. At the same time, pipeline projects, both local […]

Big Oil Begins To Worry About Trump’s Wall

Donald Trump’s idea to build a wall along the southern border of the U.S. has been called everything from controversial to harebrained, but—to the likely dismay of some of the oil majors—it’s now officially part of the Republican Party’s platform. As it turns out, the idea has been on the GOP table for a while, and Trump was just the man to voice it loudly and persistently enough. Trump’s wall is on the agenda, should he become president. A wall stopping people and vehicles from illegally crossing into the U.S. may appear to be a […]

Alaska Governor Limits Annual Oil-Wealth Checks to $1,000

ANCHORAGE, Alaska (AP) — Facing a multibillion-dollar deficit, Alaska’s governor on Wednesday cut in half the annual checks that give all residents a share of the state’s oil wealth, but he kept enough money in place to award everyone a $1,000 payout. Gov. Bill Walker’s administration said the checks had to be reduced in order to save the program. The veto “preserves that ability to provide a check to every citizen in this state forever,” his budget director, Pat Pitney, said. If nothing was done, Walker said the Alaska Permanent Fund — worth about $52 […]

Memorial Day Gasoline Prices Lowest since 2009

May 2016, Vol. 243, No. 5

The U.S. average retail price for gasoline was $2.30 per gallon (gal) on May 23, 47 cents per gallon (cents/gal) lower than at the same time last year, and the lowest average price just before Memorial Day weekend (the start of the summer driving season) since 2009. Lower gasoline prices reflect lower crude oil prices, with the spot price of North Sea Brent crude $16 per barrel (b) lower than at the same time last year, despite a price increase of more than $20/b since the last week of January. Average retail gasoline prices for […]

Why $50 Oil Is Here To Stay

May 2016, Vol. 243, No. 5

Now that oil prices have rebounded to $50 per barrel, will U.S. shale drillers turn the taps back on? That is the million dollar question that the oil markets still do not have a clear answer on. Last year, when oil prices rebounded from $44 per barrel in March to $60 in June, the rig count leveled off. Some drillers even redeployed some rigs, stepping up drilling ahead of what they believed would be a swift rebound in prices. The renewed drilling spooked the markets and crude plunged again, and since August of last year, […]

2015 Worst Year For Oil Discoveries Since 1952

May 2016, Vol. 243, No. 5

A report by Rystad Energy has revealed that new oil discoveries in 2015 totaled 12.1 billion barrels, which is the least amount of new oil discovered in a single year since 1952. Last year was also the fifth year in a row in which the amount of new reserves discovered was smaller than in the previous year. E&Ps have slashed their exploration budgets repeatedly in a bid to weather the effects of the oil price drop. They’ve laid off hundreds of thousands of staff and have focused on staying afloat, lacking not just the money, […]

Industrial, Electric Power Sectors Drive Projected Growth for US Natural Gas

May 2016, Vol. 243, No. 5

U.S. consumption of natural gas is projected to rise from 28 trillion cubic feet (Tcf) in 2015 to 34 Tcf in 2040, an average increase of about 1% annually, according to EIA’s Annual Energy Outlook 2016 (AEO2016) Reference case. The industrial and electric power sectors make up 49% and 34% of this growth, respectively, while consumption growth in the residential, commercial, and transportation sectors is much lower. Much of this growth in natural gas consumption results from relatively low natural gas prices. In the AEO2016 Reference case, average annual U.S. natural gas prices at the […]

AP Interview: Qatar Energy Minister Wants ‘Fair’ Oil Price

May 2016, Vol. 243, No. 5

DOHA, Qatar (AP) — The oil market is slowly recovering from its steep drop over the past two years but crude is still not trading at a “fair price” to encourage necessary investment, Qatar’s energy and industry minister said Tuesday, ahead of next week’s meeting of OPEC producers. Speaking to The Associated Press from his high-rise office in the capital, Doha, Mohammed bin Saleh al-Sada said a minimum price of $65 a barrel is “badly needed at the moment.” He cautioned that the security of future supplies is as risk because of the price slump […]

BP To Sell Minority Stake In Forties Pipeline

May 2016, Vol. 243, No. 5

Oil Major BP is reportedly considering the sale of a minority stake in the Forties pipeline in the North Sea. The company said that it opened negotiations with potential buyers but failed to reveal details on the sale. The pipeline system is capable of carrying and processing some 1 million barrels of oil per day from 50 North Sea oil fields. Earlier this month, BP officials said they had been refreshing its North Sea portfolio by bringing new fields into production, redeveloping and renewing existing producing facilities and divesting some of its more mature or […]

U.S. Oil Rig Count Holds Fast, Breaks 8-Week Freefall Streak

May 2016, Vol. 243, No. 5

The total U.S. rig count (both oil and gas) fell again this week from 406 to 404. While the U.S. oil rig count held fast at 318 as reported by Baker Hughes’ latest oil rig count, the U.S. gas rig count fell from 87 to 85. Last week, it was the number of U.S. oil rigs that had fallen, with U.S. gas rigs up by one. This time, it’s the other way around. In normal times, an unchanged oil rig count would be so-so news. But even though the total oil rig count was stable […]

New Horizons in LNG: New Opportunities and Threats in Rapidly Changing Industry

May 2016, Vol. 243, No. 5

Global gas prices have continued to sink, with European and Asian import prices falling 30% over the last year,[1] and Henry Hub prices reaching a more than 16-year low.[2] So after multiple years of construction and some delays, it has been a less than auspicious year for many of the United States and Australian liquefied natural gas (LNG) developments to approach commissioning. And with expectations of continued market softness in the short to medium-term, 2016 might be an even worse year to sanction any new liquefaction and export projects. However, LNG investments consist of a...

Join PGJ Insider

Want to Read The Full Article? Become a PGJ Insider for FREE!

Continue reading this exclusive article. Login Sign Up! Join Today!

Join P&GJ Insider
PGJ Insider Benefits
  • Receive Monthly PGJ eNewsletter
  • Access pgjonline.com Premium Content on (in-depth coverage; analysis; research)
  • Access PGJ Special Reports (e.g. PGJ 500)
  • Access PGJ Studies
  • Access PGJ Surveys
  • Access PGJ Whitepapers
  • Access PGJ Buyer’s Guide
  • Access PGJ magazine back-issues
  • Receive PGJ eMail Alerts - breaking industry news
  • Early invitation to PGJ Webinars
  • Early invitation to PGJ Events (e.g. Pipeline Opportunities Conference)
  • Enhanced no-charge listing in PGJ Buyer’s Guide

For over 150 years, Pipeline & Gas Journal (PGJ) has been the trusted source for information about the oil & gas pipeline industry worldwide. Join the Pipeline & Gas Journal (PGJ) community today as a PGJ Insider. Obtain access to valuable information and enhanced content. Receive important notifications.

1 2 3 8