Mid-Month to Mid-Month: Propane Strengthens
Monday, September 21, 2015
The energy industry remained focused on the global glut of crude oil and refined products at press time, and increasingly below-breakeven production prices in a lower-demand environment. Forecasters were calling for the period of market imbalances to extend longer than expected.
Low Oil Prices Prompt Selloff
Monday, September 21, 2015
The collapse of oil and gas prices has forced French oil major Total to sell off assets in the North Sea to cut costs. Total, which has been operating in the U.K. since 1962, will offload some gas pipelines to U.S.-based private equity firm Arc Light Capital’s North Sea Midstream Partners in a £585-million deal. The deal includes the Frigg pipeline and Shetland Island Regional Gas Export System, as well as the St. Fergus gas terminal.
Fossil Fuel Reduction Cut From California Climate Bill
Monday, September 21, 2015
Legislation that would have required slashing California fossil fuel use under a measure before state legislators has been dropped from a key climate change bill. Gov. Jerry Brown and other lawmakers cut a major portion of the state’s plan to fight climate change and amend S.B. 350. The bill’s original markup called for a 50% reduction of petroleum-based fuels by 2030.
U.S. Propane Inventories Grow By 1.1 MMbbl
Monday, September 21, 2015
Primary U.S. propane stocks the week ended Sept. 11 increased by 1.1 MMbbl to reach 97.7 MMbbl, according to the Energy Information Administration’s (EIA) Sept. 16 “This Week in Petroleum” report. As of that reporting period, inventories stood 20.3 MMbbl, or 26.2%, higher than a year ago. East Coast, Midwest, and Rocky Mountain/West Coast volumes all rose by 0.3 MMbbl, while the Gulf Coast was 0.2 MMbbl higher, EIA said.
Enterprise Completes Second Segment of Aegis Ethane Pipeline
Monday, September 21, 2015
Enterprise Products Partners LP (Houston) has completed construction of the Beaumont, Texas to Lake Charles, La. segment of its Aegis pipeline, which is now ready to deliver ethane to additional Gulf Coast petrochemical facilities. The new 48-mile segment, along with the initial 60-mile segment currently in service, provides ethane supplies to petrochemical facilities between Mont Belvieu and Lake Charles.
Mexico Crude Swaps Likely To Provide Economic Benefits
Monday, September 21, 2015
Under licenses approved by the Bureau of Industry and Security, an office within the U.S. Department of Commerce that administers export controls on crude oil, volumes of crude produced in the U.S. and Mexico up to an approved volume cap will be exchanged. These swaps will likely involve U.S. light, sweet crude, such as the growing output from shale formations in the U.S. and Mexican heavy sour crude, notes the Energy Information Administration (EIA).
Pembina Places $650 Million Of New Assets Into Service
Monday, September 21, 2015
Pembina Pipeline Corp. (Calgary) has commissioned several projects within its Gas Services and Conventional Pipeline businesses, placing about $650 million worth of assets into service. Pembina has commissioned 260 MMcfd of new processing capacity and pipeline infrastructure in Alberta and Saskatchewan for a combined capital investment of about $320 million, which represents a 7% savings versus the original project budget.
Propane Council of Texas Hosts Safety Training Program
Monday, September 21, 2015
The Propane Council of Texas (ProCOT) is hosting a two-day propane safety training program for the state’s emergency responders at the Brayton Training Field in College Town Sept. 28-29. The fire field, operated by Texas A&M Engineering Extension Service (TEEX), hosts more than 45,000 emergency responders from across the state for the council’s training.
DOE Announces $11 Million For Alternative Technologies, Deadline Oct. 8
Wednesday, September 16, 2015
The U.S. Department of Energy Department announced $11 million in available funding to support development and demonstration of innovative alternative technologies for medium- and heavy-duty vehicles, designed to help reduce U.S. reliance on gasoline, diesel, and oil imports. The funding opportunity includes two areas including the Heavy-Duty Vehicle Dual Fuel Fleet Demonstration.
Phillips 66, Spectra Energy to Strengthen DCP Midstream
Thursday, September 10, 2015
Houston-based Phillips 66 and Spectra Energy, 50/50 joint venture owners of DCP Midstream LLC (Denver), have signed a nonbinding letter of intent to contribute assets to strengthen DCP Midstream. The transaction is expected to provide DCP with a stronger balance sheet and increased financial flexibility, and position the company to grow through commodity price cycles.
Honors For Global LPG Innovation
Thursday, September 3, 2015
The World LPG Association’s World Forum’s Global Technology Conference (GTC) is known for featuring the latest innovations in the use of propane, and this year’s conference is no exception. The World Forum takes place Sept. 29 to Oct. 2, and during GTC on Sept. 29, Mark Walls of the Southwest Research Institute will be announced as the 2015 WLPGA Innovation Award winner.
PERC Names Chief Marketing Officer
Wednesday, September 2, 2015
Dennis Vegas has joined the staff of the Propane Education & Research Council as its new chief marketing officer.
U.S. Propane Inventories Rise 1.1 MMbbl
Friday, August 21, 2015
Primary U.S. propane stocks the week ended Aug. 14 gained another 1.1 MMbbl to reach 93.9 MMbbl, according to the Energy Information Administration’s (EIA) Aug. 19 “This Week in Petroleum” report. As of the last reporting period, inventories stood 21 MMbbl, or 28.9%, higher than a year ago at the same time, according to EIA. Gulf Coast volumes increased by 0.6 MMbbl and the Midwest and Rocky Mountain/West Coast regions both rose 0.2 MMbbl. East Coast supplies remained unchanged.
The Slide of LPG Prices Worldwide
Friday, August 21, 2015
At the end of July, a decline in global oil prices pushed diesel below the cost of unleaded gasoline for the first time in 14 years as supplies worldwide outstripped demand, bringing down wholesale costs. This comes as crude oil dipped below $50 (U.S.) per barrel several weeks ago, putting it at less than half of its level last summer. This situation was driven by record production in Saudi Arabia, which opened two new oil refineries this year, as well as slowing growth in China.
Topping Off...
Friday, August 21, 2015
…BP’s 413,000-bbld Whiting, Ind. refinery is expected to be shut down for at least a month for repairs. A malfunction is reported to have damaged a heavy sour crude oil unit at the facility, known as Pipestill 12, centerpiece of a refit of the refinery to run more sour crude from Canada’s oil sands fields in Alberta. Examination of the damaged crude unit was continuing as of press time…
DOE Authorizes LNG Exports From Terminal in Medley, Florida
Friday, August 21, 2015
The U.S. Department of Energy (DOE) has issued a final authorization to American LNG Marketing LLC to export domestically produced liquefied natural gas to countries that do not have a Free Trade Agreement with the U.S. American LNG is authorized to export LNG up to the equivalent of 0.008 Bcfd of natural gas for a period of 20 years from its liquefaction facility near Medley, Fla. in Miami-Dade County using approved ISO LNG carriers.
Kinder Morgan Expands Tanker Fleet for U.S. Jones Act Trade
Friday, August 21, 2015
Kinder Morgan Inc. (KMI, Houston) is expanding its fleet of Jones Act product tankers and has signed a $568-million agreement with Philly Tankers LLC for the construction of four 50,000-deadweight-ton Tier II tankers. The vessels will be built at the Aker Philadelphia Shipyard in Philadelphia. The four new vessels will increase Kinder Morgan’s Jones Act tanker fleet to 16 ships by late 2017, of which 14 are under long-term contracts.
Oil and Natural Gas Boost 2015 U.S. Trade Balance
Friday, August 21, 2015
A mid-year trade report released Aug. 5 by the U.S. Department of Commerce (DOC) shows that the oil and natural gas industry continues to drive economic gains in 2015, a trend that could accelerate under free trade policies, reports the American Petroleum Institute (API). “Despite a very competitive global market, the U.S. energy revolution continues to push our trade balance in a positive direction,” said John Felmy, API chief economist.
Canadian Propane Inventories Rise 8.5% in July
Friday, August 21, 2015
Canadian underground propane inventories in July climbed 8.5% to post a month-over-month gain of
116.1 Mcm, according to the National Energy Board (NEB). As of Aug. 1, stocks stood at 1484.7 Mcm, the
equivalent of 9.4 MMbbl. Compared to a year earlier, volumes were higher by 1.8%, or 25.7 Mcm.
New CSA Codes Reflect Latest Technology Advances
Friday, August 21, 2015
CSA Group, a Canada-based standards development organization and a global provider of testing and certification services, has published new editions of CSA B149.1-15: Natural Gas and Propane Installation Code and CSA B149.2-15: Propane Storage and Handling Code.
Hess Establishes Bakken Midstream Joint Venture
Friday, August 21, 2015
Hess Corp. (New York, N.Y.) has completed the sale of a 50% interest in Bakken midstream assets to New York City-based Global Infrastructure Partners for cash consideration of $2.675 billion. As planned, Hess and Global have created a midstream joint venture—Hess Infrastructure Partners.
Propane Council of Texas Highlights Landscape Options
Friday, August 21, 2015
The Propane Council of Texas, a nonprofit organization dedicated to educating the public on cleaner-burning propane, seeks to assist the landscape industry adopt greener operations while saving on fuel and operational costs. The council attended the Nursery/Landscape Expo Aug. 13-15 in Dallas hosted by the Texas Nursery & Landscape Association in an effort to extol the benefits of propane.