INDUSTRY NEWS
Light Oil Set To Flood Global Market
While the U.S. became the world’s largest oil producer last year thanks to shale and found a place among the top ten oil exporters in the world, it changed the blend mix on global markets, Eni said in its report. Thanks to shale, the portion of light sweet crudes on international markets increased to more than 20 percent.
Surf’s Up: Second wave of LNG is here
The long-anticipated “second wave” of liquefied natural gas projects is here as tsunami of final investments decisions get made and construction contracts awarded, executives and analysts said.
Millions Of ‘Hidden’ Iranian Barrels Set To Hit Oil Markets
In what appears to be a gesture of contempt for Washington, Chinese companies have continued to import Iranian crude, but instead of reporting the crude imports, which would violate US sanctions, they're storing the oil in bonded storage tanks situated at Chinese ports.
Oil Tanker Off Yemen Coast Close To Exploding
The vessel in question is loaded with some 1 million barrels of crude oil with energy experts fearing that the gas build up might eventually lead to a blast and a spill. A UN team has tried to approach it to assess the situation, but the Houthis who control the area where the tanker is moored have refused to grant them access.
Hill Country pipeline opponents threaten lawsuit over golden-cheeked warbler habitat
A state district judge in Austin tossed the lawsuit in June but Hays County and the others are expected to file an appeal. Kinder Morgan maintains that the route was carefully chosen to impact the fewest number of landowners and that the company will protect environmentally sensitive areas.
Fracking Under Fire In California
Last week, California Governor Gavin Newsom sacked the state’s top oil regulator after the Desert Sun reported that fracking permits in California doubled in the first six months of this year without the Governor’s knowledge. The Desert Sun report was based on data from FracTracker Alliance and Consumer Watchdog, two organizations that keep tabs on the industry.
Persian Gulf Conflict Could Send Oil Beyond $325
The possibility of Iran attempting to close the Strait of Hormuz to tanker traffic has increased significantly in recent weeks, as has the possibility of a Persian Gulf War, especially with the Islamic Republics’ intentional destruction of a U.S. surveillance drone on June 20.
Saudi King Says Iran Threatening Global Oil Supplies
Saudi King Salman Bin Abdulaziz accused Iran of threatening global oil supplies and shipping at a meeting of Arab leaders that called on the international community to confront Tehran following attacks on shipping and rising tensions in the oil rich region.
Judge tosses out lawsuit against Kinder Morgan’s Permian Highway Pipeline
Livingston heard testimony from both sides of the case during a two-day hearing in late May. After nearly four weeks of reviewing evidence and testimony, the judge sided with Kinder Morgan and the Railroad Commission. In a statement, Kinder President of Natural Gas Pipelines Tom Martin said the company was pleased with the ruling.
US Oil Production Hits New All Time High
“These milestones were achieved despite less drilling activity, which is testament to productivity but also pipeline infrastructure expansions that helped enable drilled but uncompleted wells to come to market,” the API report stated.
Iran Says News Of Oil Reduced Exports is “Absolutely Wrong”
Zanganeh did not provide different figures, adding that it was not in the country’s best interest to do it. Since the levying of sanctions by the United States, Iran has used tactics such as switching off transponders that would allow its oil exports to be quantified and tracked, making the estimates of its oil exports just that—estimates. Iran is now claiming it has new tactics to shield its exports, as well as new destinations for its oil, but failed to provide further details.
Gasoline prices fall again, but rebound coming
Houston gasoline prices fell for the sixth straight week, but the streak is likely to end after crude prices rallied on increasing tensions between Iran and the United States.
U.S. Oil Sanctions Trigger Recession In Iran
After the U.S. ended all sanction waivers for Iran’s oil customers on May 2, Iran’s crude oil exports dropped significantly in May this year compared to April and plunged by more than 2 million bpd off their 2.5-million-bpd peak in April 2018, just before the U.S. withdrew from the Iran nuclear deal and moved to re-impose sanctions on Iran’s oil industry.
U.S. Oil Sanctions Trigger Recession In Iran
After the U.S. ended all sanction waivers for Iran’s oil customers on May 2, Iran’s crude oil exports dropped significantly in May this year compared to April and plunged by more than 2 million bpd off their 2.5-million-bpd peak in April 2018, just before the U.S. withdrew from the Iran nuclear deal and moved to re-impose sanctions on Iran’s oil industry.
Permian Oil Output Set to Keep Growing
The U.S. Energy Information Administration (EIA) has forecasted that Permian oil production will hit 4.226 million barrels per day (MMbpd) next month in its latest drilling productivity report.
Goldman: No One Knows What’s Going On In Oil Markets
Bloomberg this week quoted Goldman Sachs’ commodities chief Jeffrey Currie as saying it has become “increasingly difficult to know what production levels will balance the market.” Currie was referring to the decision OPEC+ needs to make at the start of next month on whether to continue cutting production or start increasing it. The analyst attributed this higher difficulty to the lack of clarity around Iranian exports and steadily rising U.S. production.
Tankers struck near Strait of Hormuz; US blames Iran
The U.S. blamed Iran for suspected attacks on two oil tankers Thursday near the strategic Strait of Hormuz, denouncing what it called a campaign of "escalating tensions" in a region crucial to global energy supplies.
OPEC’s No.2 Steps In To Replace Lost Iranian Oil
U.S. sanctions on Iran’s oil industry were bound to be good news for fellow OPEC producers in the Middle East even if it wouldn’t have been good manners to acknowledge it openly. Yet Saudi Arabia and Iraq were quick to assure market players that they were ready to step in and replace lost Iranian supply. While Saudi Arabia has been wary of reversing its production cuts, however, Iraq has wasted no time in raising its crude oil exports.
Pipe Protesters Could Face 20-Year Sentence Under Trump Plan
Under the federal plan released Monday, protesters who block the construction of a crude or natural gas pipeline could face up to 20 years in prison. It’s one of several changes to U.S. law sought by Transportation Secretary Elaine Chao as part of a periodic reauthorization of pipeline safety rules.
This Giant Oil Field Just Hit An Impressive Production Record
The giant Kashagan oil field in Kazakhstan hit a record-high oil production of 400,000 bpd on Tuesday, a few weeks after returning from planned maintenance, three sources familiar with the field’s production data told Reuters on Wednesday.