Energy Tomorrow Blog
Posted May 21, 2015
Fort Worth Star-Telegram (Weinstein): Thanks to what’s sometimes called the “shale revolution,” America has re-emerged as an energy superpower.
Even with prices 40 percent lower than a year ago, we remain the world’s No. 1 producer of crude oil and other liquid hydrocarbons. Imports of oil have dropped from 60 percent of consumption to about 35 percent just in the past five years. We’re also the world’s largest producer of natural gas.
Both our oil and natural gas output would be even higher if not for regulatory and infrastructure constraints.
Posted May 14, 2015
Wall Street Journal: After slashing production for months, U.S. shale-oil companies say they are ready to bring rigs back into service, setting up the first big test of their ability to quickly react to rising crude prices.
Last week, EOG Resources Inc. EOG, -0.08% said it would ramp up output if U.S. prices hold at recent levels, while Occidental Petroleum Corp. OXY, +0.93% boosted planned production for the year. Other drillers said they would open the taps if U.S. benchmark West Texas Intermediate CLM5, -0.88% reaches $70 a barrel. WTI settled at $60.50 Wednesday, while global benchmark Brent LCOM5, -0.13% settled at $66.81.
An increase in U.S. production, coupled with rising output by suppliers such as Russia and Brazil, could put a cap on the 40% rally in crude prices since March and even push them lower later in the year, some analysts say.
“U.S. supply could quickly rebound in response to the recent recovery in prices,” said Tom Pugh, a commodities economist at Capital Economics. “Based on the historical relationship with prices, the fall in the number of drilling rigs already looks overdone, and activity is likely to rebound over the next few months.”
Posted May 8, 2015
The Hill: Sen. Lisa Murkowski (R-Alaska) took her biggest step to date toward a large-scale overhaul of federal energy policy on Thursday, introducing 17 bills she said could make up parts of an energy reform package this session.
The bills cover a myriad of topics, from electricity reliability to the Strategic Petroleum Reserve to the production of methane, hydropower or helium. Any of the bills could make up the backbone of a broad energy reform effort, something Murkowski, the chairwoman of the Senate Energy and Natural Resources Committee, has made one of her top priorities this session.
“Does this mean all of them are going to part of a broader bill? No,” she said at a briefing with reporters. “But does it mean these are my ideas I would like to have folks catch up on? Yes, absolutely.”
One high-profile piece of legislation missing from the slate introduced Thursday: a bill to lift the federal ban on crude oil exports. Murkowski said she will release that bill separately next week.
Posted March 27, 2015
Posted March 26, 2015
A welcome development in the larger effort to see the U.S. become a major player in the global energy marketplace: groundbreaking ceremonies this week at Maryland’s Cove Point liquefied natural gas (LNG) facility.
Gov. Larry Hogan joined other golden shovel-wielding dignitaries at Cove Point, built as an LNG import terminal but which is undergoing a $3.8 billion expansion to allow LNG export capability.
Cove Point and other proposed LNG export terminals are the key needed infrastructure for the world’s leading producer of natural gas to get its LNG to market.
Posted March 24, 2015
Posted March 4, 2015
AEI Carpe Diem Blog: The Energy Information Administration (EIA) released new state crude oil production data last week for the month of December, and one of the highlights of that monthly report is that oil output in America’s No. 1 oil-producing state – Texas – continues its phenomenal, eye-popping rise. Here are some details of oil output in “Saudi Texas” for the month of December and the economic impact that production is having on the state and national economies:
For the ninth straight month starting in April 2014, oil drillers in Texas pumped out more than 3 million barrels of crude oil every day (bpd) during the month of December.
Posted February 25, 2015
Posted January 30, 2015
Posted January 29, 2015