Energy Today - March 30, 2011
Posted March 30, 2011
ExxonMobil's Perspectives Blog: DOI's "Use It or Lose It" report: Politics trumps common sense: The Department of Interior's so-called "use it or lose it" report was delivered to the White House yesterday. Rather than being an unbiased analysis of the status of oil and natural gas leases in the United States, the report sadly perpetuates the misguided charge that the oil and gas industry is not developing its existing leases. For the record, ExxonMobil is actively producing or working 93 percent of its federal leases. Of the remaining 7 percent that are currently inactive, the majority of those leases expires this year and will be returned to the U.S. government. Back to the report. It claims that "more than two-thirds of offshore leases in the Gulf of Mexico and more than half of onshore leases on federal lands remain "idle." New York Times: Obama to Speak on Energy Policy, Set Goal of One-Third Cut in Oil Imports: With gasoline prices rising, oil supplies from the Middle East pinched by political upheaval and growing calls in Congress for expanded domestic oil and gas production, President Obama on Wednesday will set a goal of a one-third reduction in oil imports over the next decade, aides said Tuesday. The president, in a speech to be delivered at Georgetown University, will say that the United States needs, for geopolitical and economic reasons, to reduce its reliance on imported oil, according to White House officials who provided a preview of the speech on the condition that they not be identified. More than half of the oil burned in the United States today comes from overseas and from Mexico and Canada.
MarketWatch: Inventories rise above expectations, API reports: Crude-oil inventories rose 5.7 million barrels for the week ended March 25, the American Petroleum Institute said late Tuesday. That compares to analyst expectations of an increase of 2.2 million barrels, according to analysts polled by Platts. Gasoline stocks declined 1.9 million barrels, in line with analyst forecasts. Inventories of distillates, which include diesel and heating oil, declined 112,000 barrels. The analysts surveyed had expected a decline of 1.4 million barrels. The API weekly report comes ahead of more closely watched government data due Wednesday at 10:30 a.m. Eastern.
Observer: Dispatch: 5 things to know why it costs a bundle to fill your gas tank: Dave St. Onge, of Utica, was astounded Monday when it cost him $58 to fill up his car with gasoline. "It's ridiculous," he said. "I should win a prize right now. I'm waiting for a balloon." St. Onge, a correction officer outside New York City, travels a great distance for work each week, and he questions why fuel prices have risen so high. "It seems like it's just New York state," he said. St. Onge is not off the mark. New York state ranks second in the nation (California is first) for the highest gasoline tax rates, according to the American Petroleum Institute. Here are answers to some other questions you might have about fuel.
Institute for Energy Research: Secretary Salazar Discovers That Sun Doesn't Shine At Night: The White House continues to dust off old arguments in an attempt to keep taxpayer-owned resources in the Outer-Continental Shelf and on federal lands under lock and key. Today, a report from the Department of the Interior reports that millions of acres that have been leased are not producing oil or being explored. This revelation is nothing new. In fact, it is a historical fact that only about 30 percent of leases will ever produce energy. The report itself states that historically, "producing acres as a percentage of leased acres have averaged about 30%." Two weeks ago, Michael Bromwich, the director of the Bureau of Ocean Energy Management, Regulation, and Enforcement, told the House Appropriations committee that companies are "doing well" if they find oil or gas on one out of every three offshore leases.