U.S. Propane Inventories Sink by 6.2 MMbbl
Friday, January 29, 2016
U.S. propane stocks the week ended Jan. 22 fell by 6.2 MMbbl to stand at 83.7 MMbbl, according to the U.S. Energy Information Administration’s (EIA) “This Week in Petroleum” report. As of that reporting period, inventories were 14.4 MMbbl, or 20.8%, higher than a year ago. Gulf Coast volumes dropped by 4 MMbbl, the Midwest 1.7 MMbbl, the East Coast 0.4 MMbbl, and the Rocky Mountain/West Coast 0.1 MMbbl.
EIA: Crude Prices Will Remain Low Through 2016 and 2017
Friday, January 29, 2016
The Energy Information Administration’s (EIA) January “Short-Term Energy Outlook” forecasts that Brent crude oil prices will average $40/bbl this year and $50/bbl in 2017. Forecast West Texas Intermediate (WTI) crude oil
Key Senate Leaders Join NFIB In Push for Permanent Expensing
Friday, January 29, 2016
Dan Danner, president and CEO of the National Federation of Independent Business (NFIB), is thanking Senate Majority Leader Mitch McConnell (R-Ky.) and Sens. Ron Johnson (R-Wis.) and Susan Collins (R-Maine) for boosting support for a tax extenders legislative package that made permanent small business expensing in the tax code.
Honeywell to Supply Processing Plant and Systems to PV Gas
Friday, January 29, 2016
Honeywell (Des Plaines, Ill.) said Jan. 12 it will supply a 250-MMcfd modular gas processing plant and advanced automation systems to PetroVietnam subsidiary PV Gas. PV Gas, Vietnam’s primary gas provider, will use Honeywell’s plant to separate LPG from natural gas at its Ca Mau facility near the southern tip of Vietnam. PV Gas’s capital investment for the project is about $498 million.
Greenkraft Secures EPA, CARB Certifications for Propane, CNG
Friday, January 29, 2016
Southern California-based Greenkraft has received both Environmental Protection Agency and California Air Resources Board certifications for 2016 vehicles with CNG- or propane-powered 6.0-liter engines from General Motors. Greenkraft offers both Isuzu NPR trucks converted to the alternative fuels and its own vehicles based on imported chassis.
State Severance Tax Revenues Decline as Fossil Fuel Prices Drop
Friday, January 29, 2016
Several states that collect significant revenue from severance taxes on fossil fuel extraction are reevaluating current and upcoming operating budgets and taxation structures to address revenue shortfalls, reports the Energy Information Administration (EIA). Severance taxes are often imposed on the extraction of nonrenewable resources such as crude oil, natural gas, and coal.
Additional Research Finds No Groundwater Contamination
Friday, January 29, 2016
Ohio University’s Voinovich School recently conducted a clean water test using 10 samples from injection well sites in Athens, Ohio. Researchers tested for volatile organic compounds which, if found, could indicate oil and natural gas development was contaminating groundwater. Researchers found zero systemic groundwater contamination from oil and natural gas.
Indiana’s Largest Propane Bus Fleet Deploys in Warren Township
Friday, January 29, 2016
Eleven alternative fuel school buses have rolled out for service in the Metropolitan School District of Warren Township. The fleet represents the largest deployment of propane autogas school buses in Indiana. The Blue Bird Vision buses, purchased through MacAllister Transportation (Indianapolis), include ten 78-passenger models and one bus outfitted with a wheelchair lift.
AltaGas Advances Canadian West Coast Export Facility
Friday, January 29, 2016
AltaGas Ltd. (Calgary) said Jan. 20 that a sublease and related agreements have been signed with Ridley Terminals Inc. (Prince Rupert, B.C.) to develop, build, own, and operate a proposed Ridley Island propane export terminal,
Women in Propane Launch Knowledge Mentoring Program
Friday, January 29, 2016
The Women in Propane Council has introduced Knowledge Exchange, a mentoring program aimed at providing a platform for men and women to develop professional-level skills. The council has partnered with a mentor leadership team and Dr. Liz Selzer to provide a dynamic mentoring program.
Home Heating Costs Cut By Weather, Low Oil Prices
Friday, January 29, 2016
A combination of warmer-than-expected temperatures and lower-than-expected oil prices have contributed to a reduction in forecast average heating expenditures this winter compared to the Energy Information Administration’s (EIA) forecast in its October 2015 “Winter Fuels Outlook.” Winter 2015-2016, October through March, was initially expected to have lower temperatures than winter 2014-2015.
NFIB Laments President’s Veto of Employer Mandate
Friday, January 15, 2016
The National Federation of Independent business (NFIB) is disputing President Obama’s claim that the Affordable Care Act represents progress, while lamenting his decision to veto a bill that would have repealed some of the most painful provisions of the act. NFIB noted that the president’s veto “was as predictable as the sunrise, but regrettable nevertheless.”
Nebraska Clean Motor Fuel Rebate Program Is Under Way
Friday, January 15, 2016
The Nebraska Propane Gas Association reports that the Nebraska Clean-Burning Motor Fuel Development Rebate Program has launched, making available rebates for conversions, new vehicle purchases, and fuel dispensing equipment. The rebate program is funded under Legislative Bill 581 passed by the state’s nonpartisan, unicameral legislature in May 2015. The Nebraska Energy Office is tasked with administering the program.
GPA Questions Costs of PHMSA Proposed Rule
Friday, January 15, 2016
The Gas Processors Association (GPA) has filed comments with the Pipeline and Hazardous Materials Safety Administration (PHMSA) on its proposed rule on the safety of hazardous liquid pipelines. GPA’s comments specifically highlighted that the proposed rule’s $22-million estimated cost is grossly underestimated.
November Propane Exports Up 59.2% Year on Year
Friday, January 15, 2016
Propane exports from the U.S. in November stood at 20,271,600 bbl, according to the Department of Commerce (DOC), 5.1%, or 976,537 bbl, higher than the October total and marking a sharp 59.2%, or 7,541,704 bbl, gain from a year earlier when exports were at 12,729,896 bbl. Meanwhile, November propane imports, at 3,927,146 bbl, were down 8.5%, or 363,435 bbl, from October but up 19.5%, or 640,221 bbl, for the year.
Retaining Restart Suspension Provides Benefit for Trucking
Friday, January 15, 2016
Leaders of the American Trucking Associations (ATA) have thanked the U.S. Congress for recognizing the harm done by the Federal Motor Carrier Safety Administration’s (FMCSA) 2013 hours-of-service restart restrictions and requiring the agency to meet an appropriate safety, driver health, and driver longevity standard before re-imposing those restrictions.
Propane Industry's People on the Move
Wednesday, January 13, 2016
Hawaii Gas (Honolulu) has named Kyle Ginoza as general manager of its Maui operations, with responsibility for overseeing all activities on Maui. This includes propane supply and distribution, new gas service installation, customer service, and pipeline operations and maintenance.
Uncertainty for propane MLPs tax status and motor fuel tax incentives
Wednesday, January 13, 2016
By Joe Colaneri . . .

Paul Ryan’s new House speakership promises to challenge the propane industry politically as it hasn’t been challenged by any speaker, Democrat or Republican, in a generation. The leadership changes on Capitol Hill will bring a new sense of urgency to the policy debates and all but guarantee that tax reform will be a top agenda item in this and the next Congress or until it is enacted.

Speaker Ryan Will Challenge the Political Status Quo
CB&I Awarded Contract for China Dehydrogenation Plant
Tuesday, January 12, 2016
China-based Hengli Petrochemical (Dalian) Refinery has awarded a contract to Chicago Bridge & Iron Co. (CB&I; The Woodlands, Texas) to use its Catofin catalytic dehydrogenation technology for a new propane and butane dehydrogenation plant to be constructed in Dalian, Liaoning Province.
Up to $1 Million Per Well at Stake in Colorado Drilling Case
Friday, January 8, 2016
The energy consultancy Wood Mackenzie reports that as the Colorado Supreme Court considers a case on whether state or local governments have the authority to regulate hydraulic fracturing, from $750,000 to $1 million per well in potential tax benefit could be lost to the state, with more than $3 million per well foregone in overall energy development spending.
PHMSA Withdraws Proposal for Wet Lines on DOT Tanker Trucks
Friday, January 8, 2016
Complying with a provision in the new highway bill, Fixing America’s Surface Transportation (FAST) Act, the Pipeline and Hazardous Materials Safety Administration (PHMSA) has withdrawn a notice of proposed rulemaking that would have amended hazardous materials regulations regarding the transportation of flammable liquid material in unprotected external product piping, commonly known as wet lines.
FAST Act Advances Key Trucking Industry Priorities
Friday, January 8, 2016
Leaders of the American Trucking Associations (ATA) are praising the U.S. House and Senate for coming together on a long-term highway funding bill that advances the cause of trucking safety and efficiency. Signed into law by President Obama Dec.