Posted on 01/18/2019 1:48:01 PM PST by bananaman22
Refiners in the United States are stocking up on heavy crude, pushing prices higher, as the Trump administration prepares to slam more punitive measures on Caracas after the inauguration of Nicolas Maduro as president of Venezuela for a second term after elections considered illegitimate by Washington.
Reuters reports that officials from the presidential administration met with oil industry executives to discuss the measures on the table, including the suspension ofrefined product exports to Venezuela or Venezuelan crude oil imports into the United States.
Gulf Coast refiners have a limited choice of supplier when it comes to heavy crude. Besides local grades such as Mars, they import the heavy crude they need to produce more than just gasoline from Canada, Venezuela, and Mexico.
(Excerpt) Read more at oilprice.com ...
I quit buying Citgo some time ago.
So if some refineries need more “heavy” crude, can’t they just get loads of Canadian sand oil and cut it in?
Shipping by ship to Gulf Coast refineries is WAY cheaper and the “bandwidth” is easily expanded.
“...after the inauguration of Nicolas Maduro as president of Venezuela for a second term after elections considered illegitimate by Washington.”
As if we are in ANY POSITION to comment on the legitimacy of elections.
True conservatives would want to help those farmers and fishermen. Not make their lives even worse.
Right? I’m thinking 6-8 years ago minimum. Long before Maduro.
There’s politics, and there’s living expenses. I can’t afford a big jump in the price of fuel oil. It’s already one of my worst expenses.
Arm them. And let the Venezuelans deal with the Commie Filth.
Are we shipping LNG into the NE?
We are shipping LNG and Propane to Europe.
No we are not shipping LNG to NE. To do so would require a US flagged LNG ship (Jones Act). There are none. NE has to get LNG from overseas.
No, we don’t get our fuel from there, but a price rise in one part of the world tends to spread around.
Canada has no options available to send more oil to the U.S. For the last month production in Canada has been cut due to no more storage space, existing pipelines are at capacity, and further rail capacity is not available. Their heavy oil was selling at a $40 discount instead of a typical $22 below WTI. WCS became unprofitable to extract and process.
O.C. representing the Bronx had a hand in protest against pipelines. The Keystone Pipeline was the preferred way to supply American refinery with Canadian heavy oil. The Albertan sourced oil competed with Venezuelan crude for that spot. Obama favored Chavez and used various strategies to block completion of the pipeline linking the U.S. and Canada.
About 35 years ago I was in line to sail as chief mate on the first US LNG carrier (Jones Act) being planned, AK to CA. CA killed the project.
Ozark Tom: O.C. representing the Bronx had a hand in protest against pipelines. The Keystone Pipeline was the preferred way to supply American refinery with Canadian heavy oil. The Albertan sourced oil competed with Venezuelan crude for that spot. Obama favored Chavez and used various strategies to block completion of the pipeline linking the U.S. and Canada.
Thanks Ozark Tom.
Why is propane leaving the USA? We need it here. Greed my friend greed.
I burn propane here in TX. We have NG in town, but at our farm it is propane.
Yes. I understand. Thanks.
That is crazy. If we have our own NG, why not use it here first?
Why would US refiners want that tar?
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