Railroads See Shipments Rise For Crude and Petroleum Products
Monday, September 15, 2014
The amount of crude oil and refined petroleum products moved by U.S railroads increased 9% during the first seven months of this year compared with the same period in 2013, reports the Energy Information Administration (EIA) citing data provided by the Association of American Railroads (AAR). In July, monthly average carloadings of oil and petroleum products were near 16,000 carloads a week, according to AAR. The increase in oil volumes transported by rail reflects rising U.S.
Kinder Morgan Hosts Binding Open Season for NGL Pipeline
Monday, September 15, 2014
Kinder Morgan Energy Partners LP (Houston) has launched a binding open season to solicit commitments for its Utica to Ontario Pipeline Access (UTOPIA) project, which will provide opportunities to transport ethane and ethane/propane mixtures from the Utica Shale area.
Propane Inventories Down Slightly
Monday, September 15, 2014
For the first time since the week ended March 21, U.S. propane inventories registered a decline for the most recent reporting period ended Sept. 5, according to the Energy Information Administration (EIA) in its Sept. 10 “This Week in Petroleum” report. Though minimal, the 0.1-MMbbl dip interrupted a months-long spring/summer build. The current change still found stocks soaring above year-ago levels by 11.5 MMbbl for a 17.9% gain.
Global Market for LPG Seen Reaching $291.4 Billion by 2020
Monday, September 15, 2014
The global market for LPG is expected to reach more than $219.4 billion by 2020, according to a new study by San Francisco-based Grand View Research Inc. The report notes that growing government initiatives, mainly in China, India, South Africa, and Indonesia, to promote the application of LPG to replace coal as a cooking fuel has been one of the major factors driving global demand for the fuel.
Mont Belvieu Spots Harden, Conway Up Fractionally
Monday, September 15, 2014
Spot propane at Mont Belvieu built on its early-week gains Thursday and strengthened by another 1.125 to 1.25 cents compared to the Monday email Update. The late-week rise in values followed prices moving 1.875 to 2 cents higher early in the week. Conway spots, meanwhile, were little changed between the two reporting periods, although prices did move up a scant quarter cent. At the same time, Belvieu’s premium to the Midwest stretched out to 1.25 to 1.5 cents late in the week, up from about a half cent Monday.
COMMENTARY Postings Up Again
Monday, September 15, 2014
Principal postings continued their rise over the week, and by Thursday prices had climbed a minimum of a quarter cent to as much as 2.5 cents compared to the Monday email Update. A single seller’s Dixie Pipeline postings were unchanged from Monday.

Most postings on the Dixie at Apex, N.C. were a penny to 2.25 cents higher, shifting prices to a low of 118.75 cents and a high of 120.00 cents/gal. At Conway, Kan., postings gained a quarter cent to 1.25 cents, and prices were from 109.76 to 110.75 cents.
NPGA Adds Matt Bisenius To Its Legislative Team
Monday, September 15, 2014
Matthew Bisenius has joined the National Propane Gas Association’s legislative team. Most recently, Bisenius served for more than six years on U.S. Rep. James Sensenbrenner’s (R-Wis.) staff in various capacities, including as senior legislative assistant.

In that capacity, he handled the congressman’s energy and environment portfolio, important topics given Sensenbrenner’s senior position on the House Science, Space, and Technology Committee.
API: Exports Magnify U.S. Economic, Diplomatic Strength
Monday, September 15, 2014
The American Petroleum Institute (API) comments that trade reports from the U.S. Department of Commerce (DOC) show American energy exports are revitalizing the economy and shifting the balance of power around the world. “Domestic oil and natural gas production helped drive record exports last year, and our ability to impact global markets continues to grow,” says John Felmy, API chief economist.
Tennessee Lawmaker Calls for Increased Offshore Development
Monday, September 15, 2014
U.S. Sen. Lamar Alexander (R-Tenn.) has signed a letter sent to U.S. Department of the Interior secretary Sally Jewell and co-signed by 21 Republican senators requesting that the department make all offshore oil and gas resources in the Outer Continental Shelf (OCS) available for oil and gas exploration and development. The letter, led by Sen. Lisa Murkowski (R-Alaska), requests that all offshore resources be in Interior’s five-year program.
Winnegabo Metro Link Offered With ICOM Autogas Option
Monday, September 8, 2014
Winnebago Industries Inc. (Forest City, Iowa) has launched a Go Green initiative for its Metro Link bus, joining with ICOM North America (New Hudson, Mich.) to offer bi-fuel and dedicated autogas systems for the entire lineup. The partnership will allow work-ready vehicles to be shipped directly from the factory to dealers and end users. Also offered are ICOM conversions for existing bus fleets.
September Topping Off...
Monday, September 8, 2014
…Energy Distribution Partners (EDP; Chicago) has acquired Quality Propane of Burnsville and Kellogg, Minn.. Terms of the transaction were not released. Quality Propane serves more than 2500 residential, commercial, and industrial customers in the greater Minneapolis area, as well as Hastings, Kellogg, and Utica, Minn. and Alma, Wis. The previous owners, as well as Quality Propane employees, will remain with the company, which will continue to operate under its previous name…
ProCOT Hosting 3rd Annual Emergency Responders Event
Monday, September 8, 2014
The Propane Council of Texas (ProCOT) is inviting propane professionals to its 3rd annual Texas Propane Emergency Responders Training event Sept. 29-30 at Texas A&M Engineering Extension Service’s Brayton Training Field in College Station. The emergency responders’ conference is a 16-hour education session that includes classroom training and live fire training. Instructors have extensive propane experience in addition to being firefighters.
Pembina Chooses Portland for West Coast Export Terminal
Monday, September 8, 2014
Pembina Pipeline Corp. (Calgary) said Sept. 2 it had selected the Port of Portland, Ore. as the site of its planned West Coast propane export terminal project. On Aug. 28, Pembina entered into an agreement with the Port of Portland that establishes the terminal, which includes an existing marine berth for development of the project. The terminal agreement outlines the commercial lease terms.
Oneok Completes Garden Creek II Natural Gas Processing Facility
Monday, September 8, 2014
Oneok Partners LP (Tulsa) said Aug. 26 that its 100-MMcfd natural gas processing facility in eastern McKenzie County, N.D., the Garden Creek II plant, is now operational. The new plant is part of the partnership’s $7-billion to $7.5-billion capital growth program that extends through 2016.
NPGA Urges Industry to Contact Senators for S. 2762
Monday, September 8, 2014
The National Propane Gas Association (NPGA) Sept. 3 issued a legislative alert urging its members to contact their U.S. senators and enlist them to cosponsor and support the Propane Supply and Security Act of 2014, S. 2762. NPGA notes that the legislation contains a number of favorable provisions that will help the propane industry respond to winter challenges in the future.
PERC Appoints New Director Of Ag Business Development
Monday, September 8, 2014
The Propane Education & Research Council (PERC) has appointed Cinch Munson as its new director of agriculture business development. Munson will lead PERC’s product development efforts in the agricultural market, which have already resulted in a number of new technologies that help farmers cut fuel costs and improve the efficiency of their operations. Examples include propane-powered irrigation engines, grain dryers, generators, and thermal weed and pest control products.
IC Bus Rolling Out Propane CE Series Models Next Year
Monday, September 8, 2014
School Bus manufacturer IC Bus (Lisle, Ill.) will introduce its CE Series with Power Solutions International’s (PSI; Wood Dale, Ill.) 8.8-liter propane engine next summer for the start of the 2015-2016 school year. With the launch, all three major U.S. school bus original equipment manufacturers will have propane offerings.
Conway, Mont Belvieu Spots Draw Nearly Even
Monday, September 8, 2014
Spot propane at Mont Belvieu and Conway, Kan. was in near-equal territory mid-morning Thursday just prior to the release of the Energy Information Administration’s (EIA) inventory report, delayed by a day due to the Monday Labor Day holiday. Values at both market hubs edged higher compared to the Friday, Aug. 29 email Update, with Belvieu gaining 0.875 to 1.125 cents and Conway hardening by 2.375 cents between the two reporting periods. Market watchers noted that on Wednesday front-month propane prices jumped a penny to two cents, rising along with crude oil.
Ferrellgas Expanding Eagle Ford Operations, Acquires 2 Facilities
Monday, September 8, 2014
Ferrellgas Partners LP (Overland Park, Kan.) said Sept. 2 it had entered into an agreement to acquire two saltwater disposal (SWD) wells in the Eagle Ford Shale region of South Texas from C&E Production LLC (C&E; Bryan, Texas) and its affiliates. The acquisition will increase Ferrellgas’ SWD wells in the region to eight.
EnLink to Expand Bearkat, Forms Joint Venture with Marathon
Monday, September 8, 2014
The EnLink Midstream companies, EnLink Midstream Partners LP and EnLink Midstream LLC (Dallas), have launched two growth projects to expand operations in West Texas and South Louisiana. The partnership will construct a new natural gas processing plant and expand its rich gas gathering system in the Permian Basin and build a new 30-mile NGL pipeline connecting EnLink’s Riverside fractionation and terminal complex to Marathon Petroleum’s Garyville, La. refinery on the Mississippi River.
COMMENTARY Postings Climb
Monday, September 8, 2014
With a single exception, principal postings gained compared to the Friday, Aug. 29 email Update and stood a half cent to as much as 3.25 cents higher Thursday. The single move down was by a quarter cent on TEPPCO by one seller. Meanwhile, Los Angeles Basin postings all rose 3 cents between the two reporting periods.
API Calls for U.S. to Open Offshore Areas for Development
Monday, September 8, 2014
The American Petroleum Institute (API) has released comments urging the Bureau of Ocean Energy Management (BOEM) to consider all Outer Continental Shelf areas for inclusion in the government’s offshore oil and natural gas leasing program for 2017-2022.