Strong El Niño Reduces U.S. Winter Heating Demand, Prices
Friday, May 6, 2016
Acknowledging what is already widely known among propane marketers, the Energy Information Administration (EIA) reports that above-normal temperatures during the 2015-2016 winter were a key factor in lowering heating demand and winter fuel expenditures. Compared with the 2014-2015 winter, propane demand fell 16% and fueloil by 45%. Residential electricity demand decreased 6%.
U.S. and Canada to Require $546 Billion in Infrastructure
Friday, May 6, 2016
The United States and Canada will require annual average midstream natural gas, crude oil, and natural gas liquids midstream infrastructure investment of about $26 billion a year, or $546 billion over the 21-year period from 2015 to 2035, a new study finds.
Attendance Record Set at NPGA Nashville Convention
Thursday, May 5, 2016
The National Propane Gas Association (NPGA) reports more than 4100 were in attendance at its 69th Southeastern Convention & International Propane Expo in Nashville, Tenn. April 8-10. The tally broke a previous record set in 2006 and resulted in the ninth consecutive increase for the annual event, held this year at Music City Center. Attendance by propane marketers grew by more than 35%, while supplier participation was up by 22%.
House Panel Approves Study Of Community Propane Systems
Thursday, May 5, 2016
The House Energy & Commerce Committee April 27 approved an amendment to H.S. 5050, the Pipeline Safety Act of 2016, to include a study of regulations affecting propane jurisdictional systems, reports the National Propane Gas Association (NPGA). The amendment, offered by committee chairman Fred Upton (R-Mich.) and ranking member Frank Pallone (D-N.J.), was approved by a voice vote and included in the passage of H.R. 5050.
U.S. Oil Producers Strike Back With Call for Import Quota Plan
Thursday, May 5, 2016
The Texas Panhandle, a center of American oil since early in the 20th century, is answering OPEC and Saudi Arabia with a call for a presidential proclamation to establish quotas on imports of foreign oil. Supporters of such quotas are calling their campaign a counter to the recent Doha meeting of world producers that resulted in no output limitation agreements and a “line in the sand” against further price and supply wars by foreign suppliers.

 

AHRI Calls on DOE to Follow Its Own Rules in Rulemaking
Thursday, May 5, 2016
The Air-Conditioning, Heating, and Refrigeration Institute (AHRI) is calling on the U.S. Department of Energy (DOE) to follow its own procedures when promulgating rules, and is seeking suspension of a current rulemaking for revising commercial boiler efficiency standards until the established process is followed.
February Propane Exports Decline, Imports Move Higher
Thursday, April 21, 2016
Propane exports from the U.S. dipped 4.5% in February to stand at 25,650,037 bbl, according to the U.S. Department of Commerce (DOC), 1,194,945 bbl lower than the January total. Compared to the previous year, exports declined 0.3%, or 75,798 bbl, from the 25,574,239 bbl that left the nation’s shores.
Warm Weather Slows Demand
Thursday, April 21, 2016
The North Sea oil and gas industry has suffered a further blow after U.S. energy giant Conoco Phillips threatened to pull the plug on a key pipeline. The future of the Lincolnshire gas pipeline and the Theddlethorpe gas terminal have been thrown into doubt after Conoco Phillips announced it was reviewing the two operations.
Shale Gas Expansions Drive U.S. Bulk Chemical Exports
Thursday, April 21, 2016
Despite low crude oil prices, new U.S. shale gas-derived chemical expansions continue to move forward, and more than 100 million metric tons (MMT) of new capacity will be added in the U.S. chemical industry by 2025. Much of that new capacity will be converted to plastics, significantly increasing the U.S. net export position for these materials, according to new research by IHS. Major U.S.
Mountaineer NGL Hosting Nonbinding Open Season
Thursday, April 21, 2016
Mountaineer NGL Storage LLC (Denver) is hosting a nonbinding open season for up to 1.6 MMbbl of initial storage capacity with more than 25,000 bbld of load-in and load-out. The storage will be made available through a natural gas liquids storage facility, the Mountaineer NGL Storage Project, in Monroe County, Ohio near Clarington along the Ohio River.
Logistical Challenges Lead to Ship-to-Ship Propane Transfers
Thursday, April 21, 2016
U.S. propane exports have increased significantly over the past three years, but only after market participants overcame several transportation challenges to reach export customers, notes the Energy Information Administration (EIA). The first challenge was to build sufficient export capacity, which has mostly already taken place.
GPA Midstream New Name for Gas Processors Association
Friday, April 15, 2016
The Gas Processors Association (GPA) has changed its name to the GPA Midstream Association. The change was approved April 11 during the group’s 95th annual general session in New Orleans. GPA Midstream was selected to more clearly identify the midstream industry that the organization has evolved into in recent years, while keeping the equity of the GPA reference for which the energy association is most popularly
Ineos, Rex Energy Join to Purchase Appalachian NGLs
Friday, April 15, 2016
Ineos Europe AG (Rolle, Switzerland) and Rex Energy Corp. (State College, Pa.) have formed a partnership for the sale and purchase of natural gas liquids covering ethane, propane, and butane. The NGLs will be transported through the Mariner East infrastructure and exported by sea to Ineos’ European cracker complexes. Transportation of ethane supplies commenced this month. Propane and butane supplies will start with the completion of the Mariner East 2 pipeline in 2017.
Pembina, PIC Evaluate Integrated Polypropylene Facility in Alberta
Friday, April 15, 2016
Pembina Pipeline Corp. (Calgary) is conducting a joint feasibility study with Petrochemical Industries Co. KSC (PIC), a subsidiary of Kuwait Petroleum Corp., for the evaluation of a world-scale combined propane dehydrogenation (PDH) and polypropylene upgrading facility in Alberta. The project represents an opportunity to develop new market demand for propane in Alberta.
Industry "People in the News" and "In Memorium"
Thursday, April 7, 2016
Mike Vigliotti has joined Bergquist Inc. (Toledo, Ohio) as tank monitor sales specialist. In this position, he will provide service and training for Gaslog remote cellular tank monitors from Silicon Controls. This is the first time Bergquist has hired a sales representative for a single product.
People Vigliotti
Natural Gas Liquids Market Seen Rising Through 2024
Wednesday, April 6, 2016
Albany, N.Y.-based Transparency Market Research has released a new report that forecasts the global natural gas liquid market is likely to grow at a compound annual growth rate of 7.16% between 2016 and 2024. According to the report, the global NGL market stood at 7982.63 kilo barrels/day (7,982,630 bbld) in 2015 and is expected to reach 14,806.59 kilo barrels/day (14,806,590 bbld) over the next eight years.
Williams Begins Operations at 2nd Liquids Extraction Plant
Wednesday, April 6, 2016
Williams (Tulsa) said March 23 it had started the second offgas liquids extraction plant to serve its Canadian midstream and petrochemical complex. The new plant boosts domestic production of petchem feedstocks and significantly reduces emissions in the oil sands production process while recovering valuable natural gas liquids and olefins.
Prohibiting Hydraulic Fracturing Would Shatter U.S. Economy
Wednesday, April 6, 2016
If the U.S. prohibited hydraulic fracturing tomorrow the nation would lose massive amounts of jobs, investments, and domestic oil and gas reserves—both those proven today and others in the future, writes Paul Sullivan, professor of economics at the National Defense University and adjunct professor of security studies at Georgetown University. He adds that natural gas has been taking the place of coal in electricity production.
Gulf of Mexico Oil Production Projected to Reach Record High
Wednesday, April 6, 2016
U.S. Gulf of Mexico crude oil production is estimated to increase to record high levels in 2017, even as oil prices remain low. The Energy Information Administration (EIA) projects Gulf production will average 1.63 MMbbld in 2016 and 1.79 MMbbld in 2017, reaching 1.91 MMbbld in December 2017. Gulf of Mexico production is expected to account for 18% and 21% of total forecast U.S. crude oil production in 2016 and 2017, respectively.
U.S. Oil Production Declines, Now Below Year-Ago Level
Wednesday, April 6, 2016
The Energy Information Administration (EIA) said March 9 that U.S. crude oil production in December 2015 continued to decline as production reached its lowest level since November 2014. Production also fell from year-ago levels for the first time in more than four years. This continued production decline is the result of lower crude prices, which has fallen more than 70% since the summer of 2014.
Spectra Energy to Sell Empress NGL Business to Plains Midstream
Wednesday, April 6, 2016
Spectra Energy Corp. (Houston) said April 4 its subsidiary, Westcoast Energy Inc., has entered into a definitive agreement to sell its ownership interests in Spectra Energy’s Canadian NGL business to Plains All American Pipeline LP (Houston) subsidiary Plains Midstream Canada ULC (PMC). A cash purchase price of about $150 million is reported, plus customary closing adjustments.
WAPA Switches to Propane To Fuel Richmond Power Plant
Wednesday, April 6, 2016
The Virgin Islands Water and Power Authority’s (WAPA) project to convert to propane as a primary source of fuel to generate electricity has achieved another milestone on Saint Croix. WAPA April 5 introduced propane to one of its retrofitted generating units as the conversion from fueloil to propane continues to take shape. WAPA and Vitol oversaw the commissioning of Unit 20.