RBN’s Daily Energy Blog and Insights sharpen your energy IQ through fundamentals-based analysis that makes sense of North America’s energy market dynamics.
Two years ago in June 2011 Bentek forecast that crude production in the Williston Basin would grow to 900 Mb/d by 2016. Today’s production in North Dakota and Montana is already at that level.
By Al Troner, President Asia Pacific Energy Consulting (APEC)
Houston is getting swamped with crude that isn’t being consumed by area refineries. Light sweet crude prices are being discounted by up to $6/Bbl versus St James, LA. There is no pipeline capacity to move crude from Houston to Louisiana so it can only go by barge.
A few months back we introduced Whoville, the emerging NGL hub in a small corner of Pennsylvania and West Virginia. Now that hub is coming on like gangbusters. Between now and 2015 nearly 4.7 Bcf/d of additional cryogenic natural gas processing capacity is due to come online along wit
During the past two years the US domestic crude transportation business has been revitalized by a huge increase in shipments of crude oil by rail. In the Bakken region alone over 600 Mb/d of crude is shipped to market by rail.
Last week (May 3 2013) a very late winter snowstorm crossed the Rocky Mountains into the upper Midwest, dropping over a foot of spring snow from Colorado to Wisconsin. So-called winter Storm Achilles smashed snowfall records across the Upper Midwest.
The proposed $2 Billion Kinder Morgan Freedom pipeline project is conducting an open season for shipper commitments from West Texas to California. The California refining market has long operated like an island within the US and has so far received few supplies from new domestic production.
Kinder Morgan is conducting an open season to convert an El Paso Natural Gas pipeline to crude oil service from the Permian Basin in West Texas to California refineries. The ”Freedom Pipeline” project would cost as much as $2 Billion.
Crude Oil Permian provides detailed analysis of the fundamental drivers impacting the Permian Basin crude oil market including weekly data, analysis and market intelligence updates of: Permian crude oil supply and demand, pipeline outflows and capacity, prices, and infrastructure updates.
Bakken gas flaring is still close to 30 percent of production. At the end of April the North Dakota State Assembly passed legislation providing tax incentives for producers to reduce flaring by finding alternative uses for gas that would otherwise be flared.
Last week (April 29, 2013) the economics of crude-by-rail began to get real interesting as the differentials between inland crudes priced against West Texas Intermediate (WTI) and coastal crudes priced against Brent narrowed to less than $9/Bbl.
