Posted on 07/20/2015 8:25:12 PM PDT by aimhigh
Saudi Arabia is pumping more crude oil than ever before. In June, it produced 10.6 million barrels a day. That’s the highest on record, . . . . ..
And it’s pretty clear that Saudi Arabia is settling in for the long run. The country borrowed $4bn on the bond markets this week, selling bonds for the first time in eight years.
(Excerpt) Read more at moneyweek.com ...
Oil prices are going down and my gas prices jumped a dime last week. Go figure.
California gasoline prices rise further as lengthier supply chain is strained
http://www.freerepublic.com/focus/f-news/3312567/posts
Do you think they intentionally blow up their own refineries?
ExxonMobil importing Asian gasoline for the first time since LA-area refinery explosion
http://www.platts.com/latest-news/shipping/houston/exxonmobil-importing-asian-gasoline-for-the-first-21642766
It is why the West Coast is processing less crude oil than in recent years.
http://eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=WCRRIP52&f=W
And is importing more Refined Products from other nations and from other areas of the country.
http://eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=WTXIM_R50-Z00_2&f=W
http://eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=MPEMXP5P41&f=M
http://eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=MPEMXP5P31&f=M
It is the California special recipe that makes it more difficult and more expensive to source gasoline from outside sources when conditions are upset. The special blend must be made outside of normal runs.
Are you under the impression the EPA and other government regulations have not added cost and extra processing since the 1950 for refineries?
There is little in common with a refinery from that time period to today. Even the oil is often different with far more heavy sour crude used that requires more processing.
It was amazing how, a few months ago when gas got cheap, there was another refinery fire and gas went back to where it was. Seems like those fires never happen when gas is high.
Valero acquired the Benicia Refinery in 2000. Built as a grass-roots project in 1968, this plant has undergone significant modifications and upgrades to become what it is today one of the most complex refineries in the United States. Approximately 70 percent of the refinery’s product slate is CARB gasoline, California’s clean-burning fuel. The refinery also has significant asphalt production capabilities and produces 35 percent of the asphalt supply in northern California. Currently, the refinery processes domestic crude from the San Joaquin Valley in California and the Alaska North Slope, along with foreign sour crudes.
http://www.valero.com/ourbusiness/ourlocations/refineries/pages/benicia.aspx
“Approximately 70 percent of the refinery’s product slate is CARB gasoline, California’s clean-burning fuel.”
Yeah, that’s the stuff that used to have a $hitload of MTBE in it and now has so much ethanol that you can probably get high running your chainsaw. And speaking of chainsaws, this crap is so bad on two-cycle stuff, that JP is now making 94 octane “small engine fuel” that has no alcohol in it. You can leave it in your tools for a year and it’s still good. Only problem is that it costs $6.99 a QUART! But at least you don’t have to rebuild a tool before you use it if it’s been sitting for awhile. Alcohol is a decent fuel, but it’s corrosive as all get out, particularly on aluminum. That’s why racers who run alcohol as a fuel, have to purge their engines with gasoline at the end of the day.
And it’s always a “good idea” to burn your food instead of eating it.
“Do you think they intentionally blow up their own refineries?”
No but the Teamsters (whom I guess took over the OCAW) will do it in a heartbeat if they have some sort of a hard on for the company. BTW I used to work for Shell, so I have an understanding of the business.
Your words:
“Yeah the oil companies out here always have some lame excuse as to why the prices are high. Right now, it’s “refineries down for maintenance.” “
California’s refining capabilities are over 2 million barrels a day, their entire production is below 600 thousand BPD. Where do you think the other 1.5 mil is coming from? You have oil coming in from the east by pipeline and from Canada by rail and from foreign countries by sea. California is a net importer of oil.
So those tankers are all a figment of my imagination?
What needs to happen is that California’s one state law that requires specially formulated gasoline be repealed so that the citizens are not held hostage to the refiners within the state. If they had any real competition, our gas prices would fall into line with the rest of the country.
Prior to the Refinery explosions, the west coast was getting ~200,000 BPD of crude oil from East of the Rockies.
http://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=pet&s=mcrmx_r50-r20_1&f=m
http://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=pet&s=mcrmxp5p31&f=m
http://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=pet&s=mcrmx_r50-r40_1&f=m
Those truck’s are probably hauling to the refinery from the field locally or hauling from the refinery to deliver locally. Here they haul to central hubs that pump directly into pipelines that go to refineries and some deliver straight to the refinery. Some go to refineries down in Houston and west to New Mexico to their refineries.
Quick glance at the map show’s 6 pipelines going west to Cali or intersecting with existing lines in Cali Kinder Morgan is trying to build a line from Wink TX to the Bakersfield Pentland terminal.
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