Posted on 01/13/2016 6:48:20 AM PST by thackney
The ink is barely dry on legislation to lift a 40-year-old ban on exporting U.S. crude and energy companies already are jockeying to ship American oil overseas.
Two tankers filled with freely traded U.S. oil have pulled out of Texas ports in the past two weeks, with more shipments expected. The first American oil sales abroad are flowing to Europe but, in the longer term, Latin America and Asia could become natural markets, according to industry experts.
U.S. oil sales to foreign buyers have been quick to start after President Barack Obama signed the bill that abolished the crude export ban less than a month ago. Big energy infrastructure companies including Plains All American Pipeline LP and Enterprise Product Partners LP have spent the past five years pouring billions of dollars into building new pipelines, oil storage tanks and dock space at ports.
The first freely traded cargo of U.S. oil was shipped from Corpus Christi, Texas, on New Year's Eve. ConocoPhillips pumped the oil from around Karnes County, Texas, 60 miles south of San Antonio. From there it will travel about 5,000 miles to Bavaria in Germany.
A second cargo of U.S. oil shipped from Enterprise's Houston terminal at the start of the year is sailing to Marseilles, France. From there it will move by pipeline to a refinery in Switzerland.
During the drilling boom, infrastructure companies reworked the country's pipeline network so American crude could move from inland shale fields in West Texas and North Dakota to the coasts where most refineries are located. One such hub is Corpus Christi, where pipeline company NuStar Energy Inc. has been quietly building out its oil network with an eye toward exports.
(Excerpt) Read more at wsj.com ...
If you’ve ever been to NE Penn you would know of what I speak. LOL!
I have been.
5% boost in demand isn’t going to be tremendous.
When you are at the bottom economically, anything is a boon.
When you are in the pit, 10 ft deep, rising up to 9’6” deep really doesn’t change your situation, at least not tremendously.
God Bless.
If you are looking down at others, they do. And fracking is the only thing that has saved NE Penn. Economically speaking.
I’ve never found looking down on others to actually lift me up.
;-)
You realize we do import oil, right? So domestic users can already but from foreign or domestic sources? So there is one market setting one price.
You seem to believe that America should or does live in a price vacuum from the rest of the world. Oil is $30/bbl. Everywhere.
Yes I realize that, I stated as much, we import oil... We need to import oil to meet our demands, because we cannot produce enough to meet our needs. You don’t export a crucial resource unless you have a surplus of it, which we do not.
Exporting oil just guarantees US consumers will pay more for everything that uses petroleum.. because we cannot PRODUCE more to lower the price.. as someone tried to argue. All we have done is guarantee that the domestically produced product will now cost MORE for the consumer... Allowing the export of oil is IDIOTIC on every level for a nation that needs it as a critical resource and cannot produce enough to meet its needs.
You EXPORT things you have surpluses for or do not need, you do not export one of the most crucial products your economy needs when you have no surplus of production and must import large quantities of it just to mee your needs... this is a policy for the “special kind of stupid” . Good for the domestic producers bottom lines, at the cost of the nation and citizenry... this is the kind of policy that gets bought and sold by special interest money in washington, not the best interests of our nation or its citizenry.
Unless they were trying to hold you down.
“”Exporting oil just guarantees US consumers will pay more for everything that uses petroleum.. because we cannot PRODUCE more to lower the price.. as someone tried to argue. All we have done is guarantee that the domestically produced product will now cost MORE for the consumer...””
Domestic oil sells for the same price as imported oil in the US.
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