ConocoPhillips deepwater discovery in the Gulf of Mexico
ConocoPhillips deepwater discovery in the Gulf of Mexico
On March 19th, ConocoPhillips had announced that they have discovered oil at the Shenandoah well. Yesterday, they had discovered another well in the Gulf of Mexico. ( The Coronado well).
"The Coronado discovery adds to our exploration success in the prolific Lower Tertiary Trend," said Larry Archibald, senior vice president, Exploration. "The exciting results from the Coronado and Shenandoah discoveries confirm the value of our portfolio in the Gulf of Mexico and provide visibility on our future plans to grow through organic exploration."
ConocoPhillips is one of the largest leaseholders in the deepwater Gulf of Mexico with approximately two million net acres. In 2013, the company plans to drill between five and eight wells, including the Ardennes prospect, which spud earlier this quarter, and the Thorn well, scheduled to spud in the second quarter of 2013.
http://www.heraldonline.com/2013/03/25/4721357/conocophillips-announces-second.html#storylink=cpy
Refineries are booming every year
Refineries are booming every year
“Refiners are set to beat all except three of 154 industry groups on the Standard & Poor's index for 2012, as a U.S. production glut let them buy oil at a record average of $17.46 a barrel below the global benchmark. That spread will diminish in 2013 as more than 20 new pipelines enter service and route oil to new buyers along the Gulf Coast, Deutsche Bank AG forecast.”
“While transportation projects including oil-by-rail and pipelines are booming, providing a natural diversification for refiners, some of the world's most successful investors are betting that the companies have at least another year of gains.”
With that being said, Valero Energy Corp., a San Antonio refiner that may create a crude transportation unit, was named the top energy stock pick of 2013. As well as your other larger companies such as Philips 66. They plan to earn as much from pipelines and making chemicals as refining crude.
http://www.tulsaworld.com/business/article.aspx?subjectid=49&articleid=20130101_49_E3_ULNShh264682
Keystone XL protesters raid TransCanada’s Houston Office
Keystone XL protesters raid TransCanada’s Houston Office
“A group of Keystone XL protesters managed to shut down part of TransCanada’s office in Houston on Monday after storming the building and staging a “die-in” while banging drums, blowing horns and piloting a “pipeline dragon” in circles around them.”
The group complained that the pipeline will be harmful to the people who live nearby as well as the animals in the environment.
“Although TransCanada does not yet have authorization to build the northern leg of the pipeline between Canada and the U.S., the southern leg from Oklahoma to Houston has already been the source of much protest in East Texas.”
http://www.rawstory.com/rs/2013/01/08/keystone-xl-protesters-raid-transcanadas-houston-office/
Denbury sells $1.3Billion of assets to Exxon Mobil
Denbury sells $1.3Billion of assets to Exxon Mobil
Denbury has sold its Bakken Shale assets to Exxon Mobil for 1.3B along with its properties in Texas and Wyoming.
“Denbury (NYSE: DNR) plans to use the proceeds of the deal to purchase additional oil fields in the Gulf Coast or Rocky Mountains. In September, Irving-based Exxon (NYSE: XOM) announced it would purchase about acquire about 196,000 net acres in Bakken Shale property in North Dakota and Montana.”
http://www.bizjournals.com/dallas/news/2012/12/26/exxonmobil-finishes-acquisition-of.html
Bakken Crude Express
Bakken Crude Express
Bakken Crude Express Pipeline would have been an approximately 2,092 km, crude-oil pipeline with the capacity to transport 200,000 bbl/d of light-sweet crude oil from multiple points in the Williston Basin in the Bakken Shale in North Dakota and Montana to the crude-oil market hub in Cushing, Oklahoma.
ONEOK Partners, LP, says that it did not receive sufficient long-term transportation commitments during its recently concluded open season for the Bakken Crude Express Pipeline. As a result, the partnership has elected not to proceed with plans to construct the pipeline.
http://pipelinesinternational.com/news/bakken_crude_express_not_to_proceed/079095/
Natural gas today
Natural gas today
“Surging gas production has led the drilling industry to seek out new markets for its product, and energy companies, increasingly, are setting their sights on the transportation sector.”
“Touting natural gas as a cheaper, cleaner-burning alternative to gasoline and diesel, drillers, public utilities and government officials are trying to boost demand for natural gas buses, taxis, shuttles, delivery trucks and heavy-duty work vehicles of all sorts, while simultaneously encouraging development of the fueling infrastructure that will be needed to keep them running.”
Natural gas costs about $1.50 to $2 per gallon equivalent less than gasoline and diesel. That can add up to tens of thousands of dollars in savings for vehicles that guzzle the most fuel.
http://abclocal.go.com/wtvd/story?id=8897561§ion=news/national_world
BP fines two engineers who may have been the cause of the explosion
BP fines two engineers who may have been the cause of the explosion
As you can recall, the damage caused in the Gulf of Mexico by the BP oil spill in 2010 was massive. The explosion killed 11 workers, lost between 50,000 and 75,000 barrels of oil a day and all the oil flowed into the gulf for more than 100 days killing many animals and endangering their habitats. BP has spent roughly about $42 billion dollars since then.
“…2 engineers made what turned out to be a catastrophic misjudgment about a critical safety test. Now the men face criminal charges in a court case starting later this month that experts say will be a tough test for both the prosecution and defense.”
“Don Vidrine, 65 years old, and Robert Kaluza, 63, are slated to appear in U.S. District Court in New Orleans on Nov. 28 on charges including "seaman's manslaughter" that could send them to prison for a decade or more.”
“The charges stem from their failure to properly interpret a key safety test on the drilling rig before the deadly blowout, which killed 11 people and caused the largest offshore oil spill in U.S. history. “
http://online.wsj.com/article/SB10001424127887323622904578127173280594296.html
Gas prices just under $3.00 in Oklahoma
Gas prices just under $3.00 in Oklahoma
“The statewide average price of a gallon of regular unleaded gasoline settled at $3.27 on Friday, down more than 46 cents over the past month, according to AAA's FuelGaugeReport.com. The price sets Oklahoma with the third-lowest statewide average, just behind Ohio and Missouri.”
This is exciting news for those of us who live in the states mentioned where the gas has dropped. I live near Tulsa, which means my V8 luxury car can fill up and not go over $60.
“The average price in Tulsa is $3.11, off 53 cents over the past 30 days.”
Similar information can be found on Gasbuddy.com, but the news is better for Oklahoma residents, as motorists there have been paying prices below $3.00 in parts of Oklahoma City and Tulsa. However, this could all change for the coming hurricane Sandy in the mid- Atlantic area. Refineries there could be shut down, for an unknown amount of time. Gas prices then might just go back up.
As of right now, it’s good news for us in Oklahoma, but diesel is not part of the major drop in prices of gas. ““Typically demand does not fluctuate with diesel because it is mostly used by 18-wheelers, which don't have a demand season or an off season,”
The Chocolate Industry Today
The Chocolate Industry Today
We’ve heard of pipelines used for oil to be transported, but what about chocolate? “Nowadays it is almost impossible to think about a chocolate industry without pigging technology. Not only chocolate masses and fillings can be transported through pipelines but also problematic products such as cocoa, nuts or crunches.”
How is chocolate transported? “Chocolate is transported through the pipeline with a temperature of 45-50°C. When the product has a lower temperature than that, there is no possibility to pump and / or store the chocolate.” There is no need to stop the flow of chocolate, except on the weekends, when most of the factories are closed. “The standing still of chocolate in a pipeline however may cause sediments to build in the pipe. The fructose in diet chocolate can crystallize and thus spoil the whole batch”
Pigging is also a very important factor in the chocolate pipelines. It means that the contents of a pipe is pushed out with a contoured plug aka the pig. This method is used all over the food industry. These types of plants are fully automated which means they are controlled by machines to optimize productivity in the production of goods and delivery of services.
http://www.piggingsystems.com/en/industries/chocolate-industry/
Marcellus Shale giving boost to US Midstream Firms
“Anticipated growth in Marcellus shale natural gas production likely will mean more long-term business for US midstream companies, Fitch Ratings said in a recent report in which analysts forecast Marcellus production during the next 5 years will grow to more than 10 bcfd from the current 4 bcfd.
Expanding Marcellus production will require midstream companies to expand gathering and processing services and provide pipelines to transport gas and associated natural gas liquids.”
“Marcellus production has begun displacing supplies that traditionally served eastern US markets and more gas is expected to be produced than the region can consume.
As Marcellus production ramps up, pipeline expansions and flow reversals will enable that gas to reach Canada, New England, the Atlantic states, the Gulf of Mexico region, the Midcontinent, and the Midwest.”
http://www.ogj.com/articles/2012/07/fitch-marcellus-shale-giving-boost-to-us-midstream-firms.html
