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<?xml version="1.0" encoding="UTF-8"?><rss version="2.0" xmlns:content="http://purl.org/rss/1.0/modules/content/" xmlns:wfw="http://wellformedweb.org/CommentAPI/" xmlns:dc="http://purl.org/dc/elements/1.1/" xmlns:atom="http://www.w3.org/2005/Atom" xmlns:sy="http://purl.org/rss/1.0/modules/syndication/" xmlns:slash="http://purl.org/rss/1.0/modules/slash/" > <channel> <title>Aresco</title> <atom:link href="http://www.arescotx.com/feed/" rel="self" type="application/rss+xml" /> <link>http://www.arescotx.com</link> <description></description> <lastBuildDate>Fri, 07 Jul 2017 00:00:00 +0000</lastBuildDate> <language>en-US</language> <sy:updatePeriod>hourly</sy:updatePeriod> <sy:updateFrequency>1</sy:updateFrequency> <item> <title>TerrAdapt™ Adaptive Drill Bit by Baker Hughes</title> <link>http://www.arescotx.com/terradapt-adaptive-drill-bit-by-baker-hughes/</link> <pubDate>Mon, 26 Jun 2017 04:00:44 +0000</pubDate> <dc:creator><![CDATA[SEOadmin]]></dc:creator> <category><![CDATA[Oil and Gas Current Events]]></category> <category><![CDATA[Oil and Gas Interesting Facts]]></category> <category><![CDATA[Baker Hughes]]></category> <category><![CDATA[TerrAdapt Drill Bit]]></category> <guid isPermaLink="false">http://www.arescotx.com/?p=15634</guid> <description><![CDATA[Baker Hughes has taken the term “work smarter, not harder” and applied ... ]]></description> <content:encoded><![CDATA[<div id="s-share-buttons" class="horizontal-w-c-circular s-share-w-c"><a href="http://www.facebook.com/sharer.php?u=http://www.arescotx.com/terradapt-adaptive-drill-bit-by-baker-hughes/" target="_blank" title="Share to Facebook" class="s3-facebook hint--top"></a><a href="http://twitter.com/intent/tweet?text=TerrAdapt™ Adaptive Drill Bit by Baker Hughes&url=http://www.arescotx.com/terradapt-adaptive-drill-bit-by-baker-hughes/" target="_blank" title="Share to Twitter" class="s3-twitter hint--top"></a><a href="https://plus.google.com/share?url=http://www.arescotx.com/terradapt-adaptive-drill-bit-by-baker-hughes/" target="_blank" title="Share to Google Plus" class="s3-google-plus hint--top"></a><a href="http://www.digg.com/submit?url=http://www.arescotx.com/terradapt-adaptive-drill-bit-by-baker-hughes/" target="_blank" title="Share to Digg" class="s3-digg hint--top"></a><a href="http://reddit.com/submit?url=http://www.arescotx.com/terradapt-adaptive-drill-bit-by-baker-hughes/&title=TerrAdapt™ Adaptive Drill Bit by Baker Hughes" target="_blank" title="Share to Reddit" class="s3-reddit hint--top"></a><a href="http://www.linkedin.com/shareArticle?mini=true&url=http://www.arescotx.com/terradapt-adaptive-drill-bit-by-baker-hughes/" target="_blank" title="Share to LinkedIn" class="s3-linkedin hint--top"></a><a href="http://www.stumbleupon.com/submit?url=http://www.arescotx.com/terradapt-adaptive-drill-bit-by-baker-hughes/&title=TerrAdapt™ Adaptive Drill Bit by Baker Hughes" target="_blank" title="Share to StumbleUpon" class="s3-stumbleupon hint--top"></a><a href="http://www.tumblr.com/share/link?url=http%3A%2F%2Fwww.arescotx.com%2Fterradapt-adaptive-drill-bit-by-baker-hughes%2F&name=TerrAdapt%E2%84%A2+Adaptive+Drill+Bit+by+Baker+Hughes" target="_blank" title="Share to Tumblr" class="s3-tumblr hint--top"></a><div class="pinit-btn-div"><a href="//www.pinterest.com/pin/create/button/" data-pin-do="buttonBookmark" data-pin-color="red" title="Share to Pinterest" class="s3-pinterest hint--top"></a></div> <script type="text/javascript" async defer src="//assets.pinterest.com/js/pinit.js"></script><a href="mailto:?Subject=TerrAdapt™%20Adaptive%20Drill%20Bit%20by%20Baker%20Hughes&Body=Here%20is%20the%20link%20to%20the%20article:%20http://www.arescotx.com/terradapt-adaptive-drill-bit-by-baker-hughes/" title="Email this article" class="s3-email hint--top"></a></div><a href="http://www.arescotx.com/wp-content/uploads/adaptive-drill-bit-bh.png" data-rel="lightbox-0" title=""><img class="alignleft wp-image-15636" src="http://www.arescotx.com/wp-content/uploads/adaptive-drill-bit-bh.png" width="300" height="163" srcset="http://www.arescotx.com/wp-content/uploads/adaptive-drill-bit-bh.png 761w, http://www.arescotx.com/wp-content/uploads/adaptive-drill-bit-bh-300x163.png 300w" sizes="(max-width: 300px) 100vw, 300px" /></a>Baker Hughes has taken the term “work smarter, not harder” and applied it to the oil and gas drilling industry in the form of the TerrAdapt™ Adaptive Drill bit. The TerrAdapt™ adapts to changing formation in the drilling process and adjusts depth-of-cut control elements to mitigate stick-slip and also acts as a shock absorber to help prevent impact damage. Baker Hughes claims that “the result is longer tool life and faster, more consistent rate of penetration (ROP)”. The following is an animation of the TerrAdapt™ Adaptive Drill Bit in action. <iframe width="500" height="281" src="https://www.youtube.com/embed/hOdlMTITbgA?feature=oembed&enablejsapi=1&origin=http://www.arescotx.com" frameborder="0" allowfullscreen></iframe> While the TerrAdapt was designed for the Permian Basin with its varying rock formations at different depths, it can also work in almost any location. DrillingContractor.org reporter Kelli Ainsworth interviews Danielle Fuselier of Baker Hughes at the SPE/IADC Drilling Conference and Exhibition in The Hague, The Netherlands. <iframe width="500" height="281" src="https://www.youtube.com/embed/8LEJk6exsIA?feature=oembed&enablejsapi=1&origin=http://www.arescotx.com" frameborder="0" allowfullscreen></iframe> Howard Hughes, Sr. revolutionized the drilling industry in 1909 when he introduced the two-cone rotary drill bit. Then again in 1933, two Hughes engineers invented the tricone bit which was the industry standard for decades. It is quite possible that Howard Hughes, Sr.’s legacy company, Baker Hughes has done it again with the TerrAdapt™ Adaptive Drill Bit. RELATED >> <a href="http://www.arescotx.com/microwave-technology-the-new-fracking/">Microwave Technology – The New Fracking?</a> <a href="http://www.txoilinvestments.com/"><img class="aligncenter size-full wp-image-4720" src="http://www.arescotx.com/wp-content/uploads/investing-in-permian-basin-oil.jpg" alt="Investing in Texas Permian Basin Oil" width="600" height="200" srcset="http://www.arescotx.com/wp-content/uploads/investing-in-permian-basin-oil.jpg 600w, http://www.arescotx.com/wp-content/uploads/investing-in-permian-basin-oil-300x100.jpg 300w" sizes="(max-width: 600px) 100vw, 600px" /></a> ]]></content:encoded> </item> <item> <title>Permian Shale Threatens OPEC Dominance</title> <link>http://www.arescotx.com/permian-shale-threatens-opec-dominance/</link> <pubDate>Tue, 20 Jun 2017 20:58:13 +0000</pubDate> <dc:creator><![CDATA[SEOadmin]]></dc:creator> <category><![CDATA[Oil and Gas Current Events]]></category> <category><![CDATA[Permian Basin Oil News]]></category> <category><![CDATA[Texas Oil and Gas Investing]]></category> <category><![CDATA[Crude Oil]]></category> <category><![CDATA[Drilling Technology]]></category> <category><![CDATA[Fracking]]></category> <category><![CDATA[Oil Production]]></category> <category><![CDATA[OPEC]]></category> <category><![CDATA[Permian Basin]]></category> <category><![CDATA[Shale Boom]]></category> <category><![CDATA[Shale Oil]]></category> <category><![CDATA[Texas Oil Production]]></category> <guid isPermaLink="false">http://www.arescotx.com/?p=15602</guid> <description><![CDATA[The fracking revolution has led to a shale boom ruled by the ... ]]></description> <content:encoded><![CDATA[<div id="s-share-buttons" class="horizontal-w-c-circular s-share-w-c"><a href="http://www.facebook.com/sharer.php?u=http://www.arescotx.com/permian-shale-threatens-opec-dominance/" target="_blank" title="Share to Facebook" class="s3-facebook hint--top"></a><a href="http://twitter.com/intent/tweet?text=Permian Shale Threatens OPEC Dominance&url=http://www.arescotx.com/permian-shale-threatens-opec-dominance/" target="_blank" title="Share to Twitter" class="s3-twitter hint--top"></a><a href="https://plus.google.com/share?url=http://www.arescotx.com/permian-shale-threatens-opec-dominance/" target="_blank" title="Share to Google Plus" class="s3-google-plus hint--top"></a><a href="http://www.digg.com/submit?url=http://www.arescotx.com/permian-shale-threatens-opec-dominance/" target="_blank" title="Share to Digg" class="s3-digg hint--top"></a><a href="http://reddit.com/submit?url=http://www.arescotx.com/permian-shale-threatens-opec-dominance/&title=Permian Shale Threatens OPEC Dominance" target="_blank" title="Share to Reddit" class="s3-reddit hint--top"></a><a href="http://www.linkedin.com/shareArticle?mini=true&url=http://www.arescotx.com/permian-shale-threatens-opec-dominance/" target="_blank" title="Share to LinkedIn" class="s3-linkedin hint--top"></a><a href="http://www.stumbleupon.com/submit?url=http://www.arescotx.com/permian-shale-threatens-opec-dominance/&title=Permian Shale Threatens OPEC Dominance" target="_blank" title="Share to StumbleUpon" class="s3-stumbleupon hint--top"></a><a href="http://www.tumblr.com/share/link?url=http%3A%2F%2Fwww.arescotx.com%2Fpermian-shale-threatens-opec-dominance%2F&name=Permian+Shale+Threatens+OPEC+Dominance" target="_blank" title="Share to Tumblr" class="s3-tumblr hint--top"></a><div class="pinit-btn-div"><a href="//www.pinterest.com/pin/create/button/" data-pin-do="buttonBookmark" data-pin-color="red" title="Share to Pinterest" class="s3-pinterest hint--top"></a></div> <script type="text/javascript" async defer src="//assets.pinterest.com/js/pinit.js"></script><a href="mailto:?Subject=Permian%20Shale%20Threatens%20OPEC%20Dominance&Body=Here%20is%20the%20link%20to%20the%20article:%20http://www.arescotx.com/permian-shale-threatens-opec-dominance/" title="Email this article" class="s3-email hint--top"></a></div><a href="http://www.arescotx.com/wp-content/uploads/permian-shale-39729008-m.jpg" data-rel="lightbox-0" title=""><img class="alignleft wp-image-15604" src="http://www.arescotx.com/wp-content/uploads/permian-shale-39729008-m.jpg" alt="Permian Shale Pumpjack" width="375" height="240" srcset="http://www.arescotx.com/wp-content/uploads/permian-shale-39729008-m.jpg 864w, http://www.arescotx.com/wp-content/uploads/permian-shale-39729008-m-300x192.jpg 300w, http://www.arescotx.com/wp-content/uploads/permian-shale-39729008-m-768x492.jpg 768w" sizes="(max-width: 375px) 100vw, 375px" /></a>The <a href="http://www.arescotx.com/tag/fracking/">fracking</a> revolution has led to a shale boom ruled by the Permian Basin. The OPEC cartel is having a hard time swallowing that fact. Crude output in the Permian has basically offset the production cuts imposed by <a href="http://www.arescotx.com/tag/opec/">OPEC</a>, which poses a threat to the stranglehold that OPEC has had on global oil markets for decades. “People just don’t seem to realize how big the Permian is. It will eventually pass the Ghawar field in Saudi Arabia, and that is the biggest in the world,” said Scott Sheffield, founder of Pioneer Natural Resources. Sheffield goes on to speculate that Permian crude production could reach as high as 10 million barrels per day within ten years, which is almost five times its <a href="http://www.eia.gov/petroleum/drilling/#tabs-summary-2" target="_blank">current production</a> rate. <a href="http://www.arescotx.com/contact-us/"><img class="aligncenter size-full wp-image-4787" src="http://www.arescotx.com/wp-content/uploads/permian-basin-investing-questions.gif" alt="Permian Basin Oil Investing Questions?" width="600" height="40"></a> OilPrice.com reported, “The Permian pays off better than any other field. Occidental Petroleum Corp., which thinks of the Permian as its ‘growth engine,’ has indicated it is keeping its primary focus on its 2.5 million acres there, where production costs are so low a price threshold below $40/barrel still assures profitability. The Permian’s so rich, one Occidental exec noted to <a href="http://www.naturalgasintel.com/articles/109379-oxy-tightens-ties-to-permian-basin-certain-global-plays" target="_blank">Natural Gas Intel</a>, “It is pretty hard to drill a dry hole there.” CNBC reported, “One of the <a href="http://www.cnbc.com/2017/03/03/oil-majors-move-deeper-into-shale-country-bumping-up-us-production.html" target="_blank">hottest stories this year is the bounty of the Permian Basin,</a> which runs beneath Texas and New Mexico and offers a new prosperity to the likes of even an <a href="http://data.cnbc.com/quotes/XOM" target="_blank">Exxon Mobil</a>, which can profit with $40 oil because of <a href="http://www.arescotx.com/tag/drilling-technology/">technological drilling advances</a> pioneered by the U.S. industry.” When OPEC started the price war over two years ago, the U.S. <a href="http://www.arescotx.com/tag/shale-boom/">shale boom</a> had the appearance of being all but over. However, its resilience was underestimated by OPEC. Instead of falling prey to Saudi Arabia and OPEC’s struggle for crude market share, the U.S. shale industry, particularly in the <a href="http://www.arescotx.com/tag/permian-basin/">Permian Basin</a>, continues to thrive and looks to usher in U.S. dominance in the global oil market. <a href="http://www.txoilinvestments.com/"><img class="aligncenter size-full wp-image-4720" src="http://www.arescotx.com/wp-content/uploads/investing-in-permian-basin-oil.jpg" alt="Investing in Texas Permian Basin Oil" width="600" height="200" srcset="http://www.arescotx.com/wp-content/uploads/investing-in-permian-basin-oil.jpg 600w, http://www.arescotx.com/wp-content/uploads/investing-in-permian-basin-oil-300x100.jpg 300w" sizes="(max-width: 600px) 100vw, 600px" /></a> RELATED >> <a href="http://www.arescotx.com/new-shale-boom/">New Shale Boom Could Be Bigger Than the First</a> RELATED >> <a href="http://www.arescotx.com/category/permian-basin-oil-news/">Permian Basin Oil News</a> RELATED >> <a href="http://www.arescotx.com/permian-basin-discovery-great-news-for-texas/">Permian Basin Discovery Great News for Texas!</a> ]]></content:encoded> </item> <item> <title>New Shale Boom Could Be Bigger Than the First</title> <link>http://www.arescotx.com/new-shale-boom/</link> <pubDate>Mon, 05 Jun 2017 21:00:29 +0000</pubDate> <dc:creator><![CDATA[SEOadmin]]></dc:creator> <category><![CDATA[Oil and Gas Current Events]]></category> <category><![CDATA[Donald J Trump]]></category> <category><![CDATA[Oil Market]]></category> <category><![CDATA[OPEC]]></category> <category><![CDATA[Shale Boom]]></category> <category><![CDATA[Shale Oil]]></category> <guid isPermaLink="false">http://www.arescotx.com/?p=15491</guid> <description><![CDATA[The recent upswing in domestic crude production, particularly in the Permian Basin, ... ]]></description> <content:encoded><![CDATA[<div id="s-share-buttons" class="horizontal-w-c-circular s-share-w-c"><a href="http://www.facebook.com/sharer.php?u=http://www.arescotx.com/new-shale-boom/" target="_blank" title="Share to Facebook" class="s3-facebook hint--top"></a><a href="http://twitter.com/intent/tweet?text=New Shale Boom Could Be Bigger Than the First&url=http://www.arescotx.com/new-shale-boom/" target="_blank" title="Share to Twitter" class="s3-twitter hint--top"></a><a href="https://plus.google.com/share?url=http://www.arescotx.com/new-shale-boom/" target="_blank" title="Share to Google Plus" class="s3-google-plus hint--top"></a><a href="http://www.digg.com/submit?url=http://www.arescotx.com/new-shale-boom/" target="_blank" title="Share to Digg" class="s3-digg hint--top"></a><a href="http://reddit.com/submit?url=http://www.arescotx.com/new-shale-boom/&title=New Shale Boom Could Be Bigger Than the First" target="_blank" title="Share to Reddit" class="s3-reddit hint--top"></a><a href="http://www.linkedin.com/shareArticle?mini=true&url=http://www.arescotx.com/new-shale-boom/" target="_blank" title="Share to LinkedIn" class="s3-linkedin hint--top"></a><a href="http://www.stumbleupon.com/submit?url=http://www.arescotx.com/new-shale-boom/&title=New Shale Boom Could Be Bigger Than the First" target="_blank" title="Share to StumbleUpon" class="s3-stumbleupon hint--top"></a><a href="http://www.tumblr.com/share/link?url=http%3A%2F%2Fwww.arescotx.com%2Fnew-shale-boom%2F&name=New+Shale+Boom+Could+Be+Bigger+Than+the+First" target="_blank" title="Share to Tumblr" class="s3-tumblr hint--top"></a><div class="pinit-btn-div"><a href="//www.pinterest.com/pin/create/button/" data-pin-do="buttonBookmark" data-pin-color="red" title="Share to Pinterest" class="s3-pinterest hint--top"></a></div> <script type="text/javascript" async defer src="//assets.pinterest.com/js/pinit.js"></script><a href="mailto:?Subject=New%20Shale%20Boom%20Could%20Be%20Bigger%20Than%20the%20First&Body=Here%20is%20the%20link%20to%20the%20article:%20http://www.arescotx.com/new-shale-boom/" title="Email this article" class="s3-email hint--top"></a></div><a href="http://www.arescotx.com/wp-content/uploads/shale-oil.jpg" data-rel="lightbox-0" title=""><img class="alignleft wp-image-15493" src="http://www.arescotx.com/wp-content/uploads/shale-oil.jpg" alt="Get ready for the next shale oil boom!" width="375" height="249" srcset="http://www.arescotx.com/wp-content/uploads/shale-oil.jpg 848w, http://www.arescotx.com/wp-content/uploads/shale-oil-300x200.jpg 300w, http://www.arescotx.com/wp-content/uploads/shale-oil-768x511.jpg 768w" sizes="(max-width: 375px) 100vw, 375px" /></a>The recent upswing in domestic crude production, particularly in the Permian Basin, is on pace to outperform the shale boom of 2011 through 2015. Julian Lee posted a <a href="https://www.bloomberg.com/gadfly/articles/2017-02-26/with-shale-oil-production-like-this-who-needs-trump">recent article</a> on Bloomberg that goes into great detail on the new shale boom and it affects OPEC and the world <a href="http://www.arescotx.com/tag/oil-market/">oil market</a>. Lee said, “The current boom in U.S. oil production is even stronger now than the run from July 2011 to April 2015. And this is with oil prices at half their previous level and before President <a href="http://www.arescotx.com/tag/donald-j-trump/">Donald Trump</a> has done anything to meet his pledge to ‘lift the restrictions on American energy and allow this wealth to pour into our communities.’ Output growth could accelerate if prices rise, or costs fall further.” Lee goes on to write about the OPEC price war targeting the U.S. shale industry, “OPEC launched a strategy to protect market share in 2014 with a specific aim to knock out high-cost oil production such as shale. After the group succumbed to internal financial pressures and agreed in November to cut output by around 1.2 million barrels a day, Saudi oil minister Khalid Al-Falih said he didn’t expect a big supply response from American shale producers in 2017.” <a href="http://www.txoilinvestments.com/"><img class="size-full wp-image-4787 aligncenter" src="http://www.arescotx.com/wp-content/uploads/permian-basin-investing-questions.gif" alt="Permian Basin Oil Investing Questions?" width="600" height="40"></a> During the first <a href="http://www.arescotx.com/tag/shale-boom/">shale boom</a>, crude production rose at an average monthly rate of 93,000 barrels per day. However, in the current shale boom, production rates are growing at an average monthly rate of 125,000 barrels per day. The U.S. shale industry is now ‘leaner and meaner’ as a result of the oil price plunge of 2015. The oilfield crews are the best of the best. Technology has improved and more automation is coming into play. The process is becoming more streamlined and efficient and companies are able to go into production more quickly and at less cost. This raises an interesting question, “Is it possible that the Saudi-led <a href="http://www.arescotx.com/tag/opec/">OPEC</a> price war against the U.S. shale industry backfired?” Perhaps OPEC underestimated the tenacity of U.S. oil producers and good ol’ American ingenuity. RELATED >> <a href="http://www.arescotx.com/staging-the-next-boom-shale-2-0/">Staging the Next Boom: Shale 2.0</a> ]]></content:encoded> </item> <item> <title>Permian to Corpus Pipeline Proposed by TexStar</title> <link>http://www.arescotx.com/permian-to-corpus-pipeline-proposed-by-texstar/</link> <pubDate>Mon, 22 May 2017 15:29:20 +0000</pubDate> <dc:creator><![CDATA[SEOadmin]]></dc:creator> <category><![CDATA[Oil and Gas Current Events]]></category> <category><![CDATA[Oil and Gas Interesting Facts]]></category> <category><![CDATA[Permian Basin Oil News]]></category> <category><![CDATA[Uncategorized]]></category> <category><![CDATA[EPIC Pipeline]]></category> <category><![CDATA[Permian Basin]]></category> <guid isPermaLink="false">http://www.arescotx.com/?p=15390</guid> <description><![CDATA[TexStar Midstream Logistics along with Castleton Commodities International and Ironwood Midstream Energy ... ]]></description> <content:encoded><![CDATA[<div id="s-share-buttons" class="horizontal-w-c-circular s-share-w-c"><a href="http://www.facebook.com/sharer.php?u=http://www.arescotx.com/permian-to-corpus-pipeline-proposed-by-texstar/" target="_blank" title="Share to Facebook" class="s3-facebook hint--top"></a><a href="http://twitter.com/intent/tweet?text=Permian to Corpus Pipeline Proposed by TexStar&url=http://www.arescotx.com/permian-to-corpus-pipeline-proposed-by-texstar/" target="_blank" title="Share to Twitter" class="s3-twitter hint--top"></a><a href="https://plus.google.com/share?url=http://www.arescotx.com/permian-to-corpus-pipeline-proposed-by-texstar/" target="_blank" title="Share to Google Plus" class="s3-google-plus hint--top"></a><a href="http://www.digg.com/submit?url=http://www.arescotx.com/permian-to-corpus-pipeline-proposed-by-texstar/" target="_blank" title="Share to Digg" class="s3-digg hint--top"></a><a href="http://reddit.com/submit?url=http://www.arescotx.com/permian-to-corpus-pipeline-proposed-by-texstar/&title=Permian to Corpus Pipeline Proposed by TexStar" target="_blank" title="Share to Reddit" class="s3-reddit hint--top"></a><a href="http://www.linkedin.com/shareArticle?mini=true&url=http://www.arescotx.com/permian-to-corpus-pipeline-proposed-by-texstar/" target="_blank" title="Share to LinkedIn" class="s3-linkedin hint--top"></a><a href="http://www.stumbleupon.com/submit?url=http://www.arescotx.com/permian-to-corpus-pipeline-proposed-by-texstar/&title=Permian to Corpus Pipeline Proposed by TexStar" target="_blank" title="Share to StumbleUpon" class="s3-stumbleupon hint--top"></a><a href="http://www.tumblr.com/share/link?url=http%3A%2F%2Fwww.arescotx.com%2Fpermian-to-corpus-pipeline-proposed-by-texstar%2F&name=Permian+to+Corpus+Pipeline+Proposed+by+TexStar" target="_blank" title="Share to Tumblr" class="s3-tumblr hint--top"></a><div class="pinit-btn-div"><a href="//www.pinterest.com/pin/create/button/" data-pin-do="buttonBookmark" data-pin-color="red" title="Share to Pinterest" class="s3-pinterest hint--top"></a></div> <script type="text/javascript" async defer src="//assets.pinterest.com/js/pinit.js"></script><a href="mailto:?Subject=Permian%20to%20Corpus%20Pipeline%20Proposed%20by%20TexStar&Body=Here%20is%20the%20link%20to%20the%20article:%20http://www.arescotx.com/permian-to-corpus-pipeline-proposed-by-texstar/" title="Email this article" class="s3-email hint--top"></a></div><a href="http://www.arescotx.com/wp-content/uploads/pipeline-welder.jpg" data-rel="lightbox-0" title=""><img class="alignleft wp-image-15391" src="http://www.arescotx.com/wp-content/uploads/pipeline-welder.jpg" alt="Pipeline Welder" width="375" height="250" srcset="http://www.arescotx.com/wp-content/uploads/pipeline-welder.jpg 847w, http://www.arescotx.com/wp-content/uploads/pipeline-welder-300x200.jpg 300w, http://www.arescotx.com/wp-content/uploads/pipeline-welder-768x512.jpg 768w" sizes="(max-width: 375px) 100vw, 375px" /></a>TexStar Midstream Logistics along with Castleton Commodities International and Ironwood Midstream Energy Partners are planning a 730-mile pipeline that extends from the Permian Basin southeast to Corpus Christi.  The pipeline, dubbed ‘EPIC,’ would have the capacity of carrying up to 40,000 barrels per day of crude and condensates from West Texas to Gulf Coast refineries and ports. “TexStar and its partners are excited to extend our business into the <a href="https://www.arescotx.com/category/permian-basin-oil-news/">Permian Basin</a>, where we see tremendous opportunity and continued growth. TexStar has a proven track record of building crude oil pipelines in emerging areas and looks forward to expanding upon its relationships with producers to make the project a success,” says Phil Mezey, CEO of TexStar’s general partner. <a href="http://www.txoilinvestments.com/"><img class="size-full wp-image-4787 aligncenter" src="http://www.arescotx.com/wp-content/uploads/permian-basin-investing-questions.gif" alt="Permian Basin Oil Investing Questions?" width="600" height="40"></a> TexStar was originally founded in San Antonio, TX in 2004 by Phil Mezey and Scott Martin. The <a href="http://www.arescotx.com/tag/epic-pipeline/">EPIC pipeline</a> is expected to be operational by the first quarter of 2019. ]]></content:encoded> </item> <item> <title>US Oil Production Could Hit 48-year High in 2018</title> <link>http://www.arescotx.com/us-oil-production-could-hit-48-year-high-in-2018/</link> <pubDate>Mon, 20 Feb 2017 04:30:15 +0000</pubDate> <dc:creator><![CDATA[SEOadmin]]></dc:creator> <category><![CDATA[Oil and Gas Current Events]]></category> <category><![CDATA[Oil and Gas Interesting Facts]]></category> <category><![CDATA[Permian Basin Oil News]]></category> <category><![CDATA[Texas Oil and Gas Investing]]></category> <category><![CDATA[Crude Oil]]></category> <category><![CDATA[Crude Oil Prices]]></category> <category><![CDATA[Domestic Oil Production]]></category> <category><![CDATA[Gas Prices]]></category> <category><![CDATA[Oil Production]]></category> <category><![CDATA[Permian Basin]]></category> <category><![CDATA[Texas Oil Production]]></category> <category><![CDATA[U.S. Oil Production]]></category> <guid isPermaLink="false">http://www.arescotx.com/?p=14535</guid> <description><![CDATA[As a result of expected OPEC production cuts, U.S. crude oil production ... ]]></description> <content:encoded><![CDATA[<div id="s-share-buttons" class="horizontal-w-c-circular s-share-w-c"><a href="http://www.facebook.com/sharer.php?u=http://www.arescotx.com/us-oil-production-could-hit-48-year-high-in-2018/" target="_blank" title="Share to Facebook" class="s3-facebook hint--top"></a><a href="http://twitter.com/intent/tweet?text=US Oil Production Could Hit 48-year High in 2018&url=http://www.arescotx.com/us-oil-production-could-hit-48-year-high-in-2018/" target="_blank" title="Share to Twitter" class="s3-twitter hint--top"></a><a href="https://plus.google.com/share?url=http://www.arescotx.com/us-oil-production-could-hit-48-year-high-in-2018/" target="_blank" title="Share to Google Plus" class="s3-google-plus hint--top"></a><a href="http://www.digg.com/submit?url=http://www.arescotx.com/us-oil-production-could-hit-48-year-high-in-2018/" target="_blank" title="Share to Digg" class="s3-digg hint--top"></a><a href="http://reddit.com/submit?url=http://www.arescotx.com/us-oil-production-could-hit-48-year-high-in-2018/&title=US Oil Production Could Hit 48-year High in 2018" target="_blank" title="Share to Reddit" class="s3-reddit hint--top"></a><a href="http://www.linkedin.com/shareArticle?mini=true&url=http://www.arescotx.com/us-oil-production-could-hit-48-year-high-in-2018/" target="_blank" title="Share to LinkedIn" class="s3-linkedin hint--top"></a><a href="http://www.stumbleupon.com/submit?url=http://www.arescotx.com/us-oil-production-could-hit-48-year-high-in-2018/&title=US Oil Production Could Hit 48-year High in 2018" target="_blank" title="Share to StumbleUpon" class="s3-stumbleupon hint--top"></a><a href="http://www.tumblr.com/share/link?url=http%3A%2F%2Fwww.arescotx.com%2Fus-oil-production-could-hit-48-year-high-in-2018%2F&name=US+Oil+Production+Could+Hit+48-year+High+in+2018" target="_blank" title="Share to Tumblr" class="s3-tumblr hint--top"></a><div class="pinit-btn-div"><a href="//www.pinterest.com/pin/create/button/" data-pin-do="buttonBookmark" data-pin-color="red" title="Share to Pinterest" class="s3-pinterest hint--top"></a></div> <script type="text/javascript" async defer src="//assets.pinterest.com/js/pinit.js"></script><a href="mailto:?Subject=US%20Oil%20Production%20Could%20Hit%2048-year%20High%20in%202018&Body=Here%20is%20the%20link%20to%20the%20article:%20http://www.arescotx.com/us-oil-production-could-hit-48-year-high-in-2018/" title="Email this article" class="s3-email hint--top"></a></div><a href="http://www.arescotx.com/wp-content/uploads/us-oil-production.jpg" data-rel="lightbox-0" title=""><img class="alignleft size-full wp-image-14541" src="http://www.arescotx.com/wp-content/uploads/us-oil-production.jpg" alt="US Oil Production" width="450" height="251" srcset="http://www.arescotx.com/wp-content/uploads/us-oil-production.jpg 450w, http://www.arescotx.com/wp-content/uploads/us-oil-production-300x167.jpg 300w" sizes="(max-width: 450px) 100vw, 450px" /></a>As a result of expected OPEC production cuts, U.S. crude oil production could reach levels not seen since 1970. According to the EIA’s Short-Term Energy Outlook, domestic crude production could average <a href="http://www.eia.gov/outlooks/steo/">9.53 million barrels per day in 2018</a>. That would be record crude production for the U.S. except for the 9.64 million barrels per day average seen in 1970. <a href="http://www.arescotx.com/wp-content/uploads/us-field-production-of-crude-oil.png" data-rel="lightbox-1" title=""><img class="aligncenter size-full wp-image-14537" src="http://www.arescotx.com/wp-content/uploads/us-field-production-of-crude-oil.png" alt="US Field Production of Crude Oil" width="1018" height="434" srcset="http://www.arescotx.com/wp-content/uploads/us-field-production-of-crude-oil.png 1018w, http://www.arescotx.com/wp-content/uploads/us-field-production-of-crude-oil-300x128.png 300w, http://www.arescotx.com/wp-content/uploads/us-field-production-of-crude-oil-768x327.png 768w" sizes="(max-width: 1018px) 100vw, 1018px" /></a> In a recent Bloomberg article, Michael Lynch, president of Strategic Energy & Economic Research in Winchester, Massachusetts, said, “Shale operators are more bullish with crude trading above $50. I’m sure that from Riyadh to Caracas people in oil ministries are watching the U.S. rig count with avid interest and a bit of dismay.” The Permian Basin is expected provide much of the increased production in 2018 now that cost reductions and new technology have lowered the breakeven points to $50 per barrel and below. The Wolfcamp Midland and Wolfcamp Delaware regions of the Permian have some of the best breakeven points of any shale basin in the U.S., averaging around $42 per barrel according to <a href="https://www.bloomberg.com/gadfly/articles/2017-02-02/oil-prices-70-s-the-new-100-for-shale-breakevens" target="_blank">Wood Mackenzie</a>. Some of the highlights of the EIA’s Short-Term Energy Outlook were as follows: <ul> <li>U.S. crude oil production averaged an estimated 8.9 million b/d in 2016. U.S crude oil production is forecast to average 9.0 million b/d in 2017 and 9.5 million b/d in 2018.</li> <li>Benchmark North Sea Brent crude oil spot prices averaged $55/barrel (b) in January, a $1/b increase from December. This price was $24/b higher than the January 2016 average, and it was the highest monthly average for Brent spot prices since July 2015.</li> <li>EIA forecasts Brent crude oil prices to average $55/b in 2017 and $57/b in 2018. West Texas Intermediate (WTI) crude oil prices are forecast to average about $1/b less than Brent prices in 2017. The NYMEX contract values for April 2017 delivery traded during the five-day period ending February 2 suggest that a range from $45/b to $65/b encompasses the market expectation of WTI prices in April 2017 at the 95% confidence level.</li> <li>U.S. regular gasoline retail prices are expected to decrease from an average of $2.35/gallon (gal) in January 2017 to an average of $2.27/gal in February and then rise to $2.33/gal in March. U.S. regular gasoline retail prices are forecast to average $2.39/gal in 2017 and $2.44/gal in 2018.</li> </ul> As <a href="http://www.arescotx.com/oil-prices-expected-to-recover-somewhat-in-2017/">oil prices</a> continue to recover and oil demand continues to grow throughout the world, we will likely see a steady uptick in domestic production and an area to keep an eye on is the <a href="http://www.arescotx.com/tag/permian-basin/">Permian Basin</a>. RELATED >> <a href="http://www.arescotx.com/2017-oil-outlook/">2017 Oil Outlook</a> <a href="http://www.txoilinvestments.com/"><img class="aligncenter size-full wp-image-9280" src="http://www.arescotx.com/wp-content/uploads/gulf-coast-oil-investment-opportunities.gif" alt="Gulf Coast Oil Investment Opportunities" width="728" height="40"></a> ]]></content:encoded> </item> <item> <title>Record Crude Exports to Asia Expected in February</title> <link>http://www.arescotx.com/record-crude-exports-to-asia-expected-in-february/</link> <pubDate>Mon, 13 Feb 2017 04:30:37 +0000</pubDate> <dc:creator><![CDATA[SEOadmin]]></dc:creator> <category><![CDATA[Oil and Gas Current Events]]></category> <category><![CDATA[Oil and Gas Interesting Facts]]></category> <category><![CDATA[Permian Basin Oil News]]></category> <category><![CDATA[Crude Oil]]></category> <category><![CDATA[Crude Oil Exports]]></category> <category><![CDATA[Crude Oil Prices]]></category> <category><![CDATA[OPEC]]></category> <guid isPermaLink="false">http://www.arescotx.com/?p=14488</guid> <description><![CDATA[In a recent article on Reuters it was stated that U.S. crude ... ]]></description> <content:encoded><![CDATA[<div id="s-share-buttons" class="horizontal-w-c-circular s-share-w-c"><a href="http://www.facebook.com/sharer.php?u=http://www.arescotx.com/record-crude-exports-to-asia-expected-in-february/" target="_blank" title="Share to Facebook" class="s3-facebook hint--top"></a><a href="http://twitter.com/intent/tweet?text=Record Crude Exports to Asia Expected in February&url=http://www.arescotx.com/record-crude-exports-to-asia-expected-in-february/" target="_blank" title="Share to Twitter" class="s3-twitter hint--top"></a><a href="https://plus.google.com/share?url=http://www.arescotx.com/record-crude-exports-to-asia-expected-in-february/" target="_blank" title="Share to Google Plus" class="s3-google-plus hint--top"></a><a href="http://www.digg.com/submit?url=http://www.arescotx.com/record-crude-exports-to-asia-expected-in-february/" target="_blank" title="Share to Digg" class="s3-digg hint--top"></a><a href="http://reddit.com/submit?url=http://www.arescotx.com/record-crude-exports-to-asia-expected-in-february/&title=Record Crude Exports to Asia Expected in February" target="_blank" title="Share to Reddit" class="s3-reddit hint--top"></a><a href="http://www.linkedin.com/shareArticle?mini=true&url=http://www.arescotx.com/record-crude-exports-to-asia-expected-in-february/" target="_blank" title="Share to LinkedIn" class="s3-linkedin hint--top"></a><a href="http://www.stumbleupon.com/submit?url=http://www.arescotx.com/record-crude-exports-to-asia-expected-in-february/&title=Record Crude Exports to Asia Expected in February" target="_blank" title="Share to StumbleUpon" class="s3-stumbleupon hint--top"></a><a href="http://www.tumblr.com/share/link?url=http%3A%2F%2Fwww.arescotx.com%2Frecord-crude-exports-to-asia-expected-in-february%2F&name=Record+Crude+Exports+to+Asia+Expected+in+February" target="_blank" title="Share to Tumblr" class="s3-tumblr hint--top"></a><div class="pinit-btn-div"><a href="//www.pinterest.com/pin/create/button/" data-pin-do="buttonBookmark" data-pin-color="red" title="Share to Pinterest" class="s3-pinterest hint--top"></a></div> <script type="text/javascript" async defer src="//assets.pinterest.com/js/pinit.js"></script><a href="mailto:?Subject=Record%20Crude%20Exports%20to%20Asia%20Expected%20in%20February&Body=Here%20is%20the%20link%20to%20the%20article:%20http://www.arescotx.com/record-crude-exports-to-asia-expected-in-february/" title="Email this article" class="s3-email hint--top"></a></div><a href="http://www.arescotx.com/wp-content/uploads/123rf-10926629_s.jpg" data-rel="lightbox-0" title=""><img class="alignleft wp-image-14490" src="http://www.arescotx.com/wp-content/uploads/123rf-10926629_s.jpg" alt="US Oil Exports" width="375" height="250" srcset="http://www.arescotx.com/wp-content/uploads/123rf-10926629_s.jpg 450w, http://www.arescotx.com/wp-content/uploads/123rf-10926629_s-300x200.jpg 300w" sizes="(max-width: 375px) 100vw, 375px" /></a>In a recent article on Reuters it was stated that U.S. crude exports for February could reach as high of 900,000 barrels per day with the majority of the exports heading to Asia. If that is the case, February would be a record month for U.S. crude exports. Here is an excerpt from the Reuters’ piece: NEW YORK/SINGAPORE Feb 3 Oil majors and trading houses are set to ship an unprecedented volume of U.S. crude oil to Asia in coming weeks, boosting already high flows to the region due to higher prices from OPEC production cuts. Traders have estimated that some 700,000 to 900,000 barrels per day is set to leave the United States in February, with the majority of the cargoes headed to Asia. That volume would be the highest monthly level on record, according to the U.S. Energy Information Administration, helping reduce an U.S. inventory glut that has pressured prices for two years. Read the full article at <a href="http://www.reuters.com/article/usa-oil-exports-asia-idUSL1N1FN1N4" target="_blank">Traders rush to ship U.S. oil as export window to Asia opens</a> A reduction in crude inventories is good news for U.S. shale basins because it could likely mean higher oil prices. RELATED >> <a href="http://www.arescotx.com/us-oil-exports-on-the-rise/">U.S. Oil Exports on the Rise</a> RELATED >> <a href="http://www.arescotx.com/us-crude-exports-in-2017-could-exceed-some-opec-nations/">US Crude Exports in 2017 Could Exceed Some OPEC Nations</a> <a href="http://www.txoilinvestments.com/" target="_blank"><img class="aligncenter wp-image-7301 size-full" src="http://www.arescotx.com/wp-content/uploads/oil-investment-opportunities.png" alt="Oil & Gas Investment Opportunities in Texas, the Gulf Coast, and Beyond" width="693" height="200" srcset="http://www.arescotx.com/wp-content/uploads/oil-investment-opportunities.png 693w, http://www.arescotx.com/wp-content/uploads/oil-investment-opportunities-300x87.png 300w" sizes="(max-width: 693px) 100vw, 693px" /></a> ]]></content:encoded> </item> <item> <title>US Crude Exports in 2017 Could Exceed Some OPEC Nations</title> <link>http://www.arescotx.com/us-crude-exports-in-2017-could-exceed-some-opec-nations/</link> <pubDate>Wed, 08 Feb 2017 14:49:17 +0000</pubDate> <dc:creator><![CDATA[SEOadmin]]></dc:creator> <category><![CDATA[Oil and Gas Current Events]]></category> <category><![CDATA[Crude Oil]]></category> <category><![CDATA[Crude Oil Exports]]></category> <category><![CDATA[Eagle Ford Shale]]></category> <category><![CDATA[Light Sweet Crude]]></category> <category><![CDATA[OPEC]]></category> <category><![CDATA[Permian Basin]]></category> <guid isPermaLink="false">http://www.arescotx.com/?p=14468</guid> <description><![CDATA[With a pro-oil administration now at the helm in the U.S., oil ... ]]></description> <content:encoded><![CDATA[<div id="s-share-buttons" class="horizontal-w-c-circular s-share-w-c"><a href="http://www.facebook.com/sharer.php?u=http://www.arescotx.com/us-crude-exports-in-2017-could-exceed-some-opec-nations/" target="_blank" title="Share to Facebook" class="s3-facebook hint--top"></a><a href="http://twitter.com/intent/tweet?text=US Crude Exports in 2017 Could Exceed Some OPEC Nations&url=http://www.arescotx.com/us-crude-exports-in-2017-could-exceed-some-opec-nations/" target="_blank" title="Share to Twitter" class="s3-twitter hint--top"></a><a href="https://plus.google.com/share?url=http://www.arescotx.com/us-crude-exports-in-2017-could-exceed-some-opec-nations/" target="_blank" title="Share to Google Plus" class="s3-google-plus hint--top"></a><a href="http://www.digg.com/submit?url=http://www.arescotx.com/us-crude-exports-in-2017-could-exceed-some-opec-nations/" target="_blank" title="Share to Digg" class="s3-digg hint--top"></a><a href="http://reddit.com/submit?url=http://www.arescotx.com/us-crude-exports-in-2017-could-exceed-some-opec-nations/&title=US Crude Exports in 2017 Could Exceed Some OPEC Nations" target="_blank" title="Share to Reddit" class="s3-reddit hint--top"></a><a href="http://www.linkedin.com/shareArticle?mini=true&url=http://www.arescotx.com/us-crude-exports-in-2017-could-exceed-some-opec-nations/" target="_blank" title="Share to LinkedIn" class="s3-linkedin hint--top"></a><a href="http://www.stumbleupon.com/submit?url=http://www.arescotx.com/us-crude-exports-in-2017-could-exceed-some-opec-nations/&title=US Crude Exports in 2017 Could Exceed Some OPEC Nations" target="_blank" title="Share to StumbleUpon" class="s3-stumbleupon hint--top"></a><a href="http://www.tumblr.com/share/link?url=http%3A%2F%2Fwww.arescotx.com%2Fus-crude-exports-in-2017-could-exceed-some-opec-nations%2F&name=US+Crude+Exports+in+2017+Could+Exceed+Some+OPEC+Nations" target="_blank" title="Share to Tumblr" class="s3-tumblr hint--top"></a><div class="pinit-btn-div"><a href="//www.pinterest.com/pin/create/button/" data-pin-do="buttonBookmark" data-pin-color="red" title="Share to Pinterest" class="s3-pinterest hint--top"></a></div> <script type="text/javascript" async defer src="//assets.pinterest.com/js/pinit.js"></script><a href="mailto:?Subject=US%20Crude%20Exports%20in%202017%20Could%20Exceed%20Some%20OPEC%20Nations&Body=Here%20is%20the%20link%20to%20the%20article:%20http://www.arescotx.com/us-crude-exports-in-2017-could-exceed-some-opec-nations/" title="Email this article" class="s3-email hint--top"></a></div><a href="http://www.arescotx.com/wp-content/uploads/us-crude-exports.jpg" data-rel="lightbox-0" title=""><img class="alignleft wp-image-14419" src="http://www.arescotx.com/wp-content/uploads/us-crude-exports.jpg" alt="US Crude Exports" width="375" height="249" srcset="http://www.arescotx.com/wp-content/uploads/us-crude-exports.jpg 450w, http://www.arescotx.com/wp-content/uploads/us-crude-exports-300x199.jpg 300w" sizes="(max-width: 375px) 100vw, 375px" /></a>With a pro-oil administration now at the helm in the U.S., oil exports are expected to grow in a big way in 2017. According to <a href="https://www.bloomberg.com/news/articles/2017-02-02/u-s-may-export-more-oil-in-2017-than-four-opec-nations-produce" target="_blank">Bloomberg analysts</a>, U.S. crude exports could reach as high as 800,000 barrels a day in 2017, up from an average of 526,000 from January through November of 2016. (The export ban was lifted in late 2015.) That exceeds the December 2016 production output of the OPEC nations of Libya, Qatar, Ecuador and Gabon. One of the main reasons for such rapid growth in crude exports is the setup in U.S. refineries. Domestic refineries were designed to process heavy, high-sulfur crude prevalent in the Middle East and other areas outside the U.S. The problem is that approximately 90% of the <a href="http://www.eia.gov/todayinenergy/detail.php?id=21512" target="_blank">crude production</a> growth in the U.S. since 2011 has come from tight resource formations which produced light sweet crude. Three of the top producing areas in the U.S., the Bakken, Eagle Ford, and the Permian Basin, all produce light crude. Until more refining capacity is created in the U.S. for light crude, we will likely see the continued rise in exports while still importing heavy crude. <a href="http://www.txoilinvestments.com/" target="_blank"><img class="aligncenter wp-image-7301 size-full" src="http://www.arescotx.com/wp-content/uploads/oil-investment-opportunities.png" alt="Oil & Gas Investment Opportunities in Texas, the Gulf Coast, and Beyond" width="693" height="200" srcset="http://www.arescotx.com/wp-content/uploads/oil-investment-opportunities.png 693w, http://www.arescotx.com/wp-content/uploads/oil-investment-opportunities-300x87.png 300w" sizes="(max-width: 693px) 100vw, 693px" /></a> RELATED >> <a href="http://www.arescotx.com/us-oil-exports-on-the-rise/">U.S. Oil Exports on the Rise</a> ]]></content:encoded> </item> <item> <title>U.S. Oil Exports on the Rise</title> <link>http://www.arescotx.com/us-oil-exports-on-the-rise/</link> <pubDate>Mon, 09 Jan 2017 21:18:02 +0000</pubDate> <dc:creator><![CDATA[SEOadmin]]></dc:creator> <category><![CDATA[Oil and Gas Current Events]]></category> <category><![CDATA[Oil and Gas Interesting Facts]]></category> <category><![CDATA[Permian Basin Oil News]]></category> <category><![CDATA[Crude Oil]]></category> <category><![CDATA[Crude Oil Export Ban]]></category> <category><![CDATA[Crude Oil Exports]]></category> <category><![CDATA[Crude Oil Prices]]></category> <category><![CDATA[Domestic Oil Production]]></category> <category><![CDATA[Eagle Ford Shale]]></category> <category><![CDATA[Energy Information Administration (EIA)]]></category> <category><![CDATA[Oil Production]]></category> <category><![CDATA[Saudi Arabia]]></category> <category><![CDATA[Shale Oil]]></category> <category><![CDATA[Sweet Crude Oil]]></category> <category><![CDATA[U.S. Oil Production]]></category> <guid isPermaLink="false">http://www.arescotx.com/?p=14080</guid> <description><![CDATA[Times are changing due to the lifting of the U.S. oil export ... ]]></description> <content:encoded><![CDATA[<div id="s-share-buttons" class="horizontal-w-c-circular s-share-w-c"><a href="http://www.facebook.com/sharer.php?u=http://www.arescotx.com/us-oil-exports-on-the-rise/" target="_blank" title="Share to Facebook" class="s3-facebook hint--top"></a><a href="http://twitter.com/intent/tweet?text=U.S. Oil Exports on the Rise&url=http://www.arescotx.com/us-oil-exports-on-the-rise/" target="_blank" title="Share to Twitter" class="s3-twitter hint--top"></a><a href="https://plus.google.com/share?url=http://www.arescotx.com/us-oil-exports-on-the-rise/" target="_blank" title="Share to Google Plus" class="s3-google-plus hint--top"></a><a href="http://www.digg.com/submit?url=http://www.arescotx.com/us-oil-exports-on-the-rise/" target="_blank" title="Share to Digg" class="s3-digg hint--top"></a><a href="http://reddit.com/submit?url=http://www.arescotx.com/us-oil-exports-on-the-rise/&title=U.S. Oil Exports on the Rise" target="_blank" title="Share to Reddit" class="s3-reddit hint--top"></a><a href="http://www.linkedin.com/shareArticle?mini=true&url=http://www.arescotx.com/us-oil-exports-on-the-rise/" target="_blank" title="Share to LinkedIn" class="s3-linkedin hint--top"></a><a href="http://www.stumbleupon.com/submit?url=http://www.arescotx.com/us-oil-exports-on-the-rise/&title=U.S. Oil Exports on the Rise" target="_blank" title="Share to StumbleUpon" class="s3-stumbleupon hint--top"></a><a href="http://www.tumblr.com/share/link?url=http%3A%2F%2Fwww.arescotx.com%2Fus-oil-exports-on-the-rise%2F&name=U.S.+Oil+Exports+on+the+Rise" target="_blank" title="Share to Tumblr" class="s3-tumblr hint--top"></a><div class="pinit-btn-div"><a href="//www.pinterest.com/pin/create/button/" data-pin-do="buttonBookmark" data-pin-color="red" title="Share to Pinterest" class="s3-pinterest hint--top"></a></div> <script type="text/javascript" async defer src="//assets.pinterest.com/js/pinit.js"></script><a href="mailto:?Subject=U.S.%20Oil%20Exports%20on%20the%20Rise&Body=Here%20is%20the%20link%20to%20the%20article:%20http://www.arescotx.com/us-oil-exports-on-the-rise/" title="Email this article" class="s3-email hint--top"></a></div>Times are changing due to the lifting of the U.S. oil export ban back in December of 2015 and US oil exports are on the rise. From 2000 to 2013, U.S. oil exports seldom topped 100,000 bpd to countries that were not included in the list of restricted countries. By 2015, the U.S. was exporting approximately 448,000 bpd to six unrestricted countries, mainly Canada who received the lion’s share U.S. oil at 422,000 bpd. In the first five months of 2016, U.S. oil exports rose to 501,000 bpd as shipments reached 16 countries. We will now take a closer look at U.S. oil exports and the countries receiving those shipments. <a href="http://www.arescotx.com/wp-content/uploads/us-crude-oil-exports-2016.png" data-rel="lightbox-0" title=""><img class="aligncenter wp-image-14081" src="http://www.arescotx.com/wp-content/uploads/us-crude-oil-exports-2016.png" alt="US Crude Oil Exports Jan-May 2016" width="538" height="349" srcset="http://www.arescotx.com/wp-content/uploads/us-crude-oil-exports-2016.png 538w, http://www.arescotx.com/wp-content/uploads/us-crude-oil-exports-2016-300x195.png 300w" sizes="(max-width: 538px) 100vw, 538px" /></a> US Oil Exports to Curacao Interestingly Curacao, a Dutch Caribbean island, was among the leading importers of U.S. oil in 2016, bringing in 54,000 bpd through May of 2016. Curacao was the second leading importer of U.S. crude, led only by Canada. A Venezuelan state-owned company, Petroleos de Venezuela, operates a 330,000 bpd refinery on the small island and likely uses the U.S. crude as a blending stock. <a href="http://www.arescotx.com/wp-content/uploads/rhine-river-nw-europe-map.png" data-rel="lightbox-1" title=""><img class="size-full wp-image-14082 alignright" src="http://www.arescotx.com/wp-content/uploads/rhine-river-nw-europe-map.png" alt="Rhine River, Northwest Europe Map" width="445" height="526" srcset="http://www.arescotx.com/wp-content/uploads/rhine-river-nw-europe-map.png 445w, http://www.arescotx.com/wp-content/uploads/rhine-river-nw-europe-map-254x300.png 254w" sizes="(max-width: 445px) 100vw, 445px" /></a>The Netherlands The Netherlands was another leader in U.S. oil imports, purchasing 39,000 barrels of U.S. crude per day. The two major cities serving as the hub for U.S. crude in the Netherlands are Amsterdam and Rotterdam. These two cities are located in close proximity to the North Sea and serve as a gateway to inland cities across Europe. Add Belgium’s Antwerp to the Netherlands’ Amsterdam and Rotterdam and you have what is collectively known as <a href="https://www.eia.gov/todayinenergy/detail.php?id=23792" target="_blank">the ARA</a> to inland markets. Japan Japan is also on the list of top importers of U.S. crude at 17,000 barrels per day through May of 2016. Japan’s total import of crude oil was around 3.7 million bpd in 2015, which was over a 2% drop from the previous year. Japan’s oil demand reached its height in 1999, but since has been in decline largely due to auto manufacturers producing more fuel efficient vehicles. It is not uncommon in Japan for automobiles to exceed 60 miles per gallon in fuel consumption. While in the U.S., the average mpg was only <a href="http://www.autonews.com/article/20150604/OEM05/150609925/average-u.s.-mpg-edges-up-to-25.5-in-may" target="_blank">25.5 in May</a> of 2015. With that kind of disparity in mpg, it’s easy to see why Japan’s oil demand has been in decline. <a href="http://www.arescotx.com/wp-content/uploads/japans-crude-oil-imports.png" target="_blank" data-rel="lightbox-2" title=""><img class="aligncenter wp-image-14084 size-full" src="http://www.arescotx.com/wp-content/uploads/japans-crude-oil-imports.png" alt="Japan Crude Oil Imports Chart" width="653" height="322" srcset="http://www.arescotx.com/wp-content/uploads/japans-crude-oil-imports.png 653w, http://www.arescotx.com/wp-content/uploads/japans-crude-oil-imports-300x148.png 300w" sizes="(max-width: 653px) 100vw, 653px" /></a> Italy Behind Japan is Italy in U.S. crude imports at 15,000 barrels per day. Italy was the destination of the <a href="https://www.bloomberg.com/news/articles/2015-12-31/first-u-s-oil-export-leaves-port-marking-end-of-40-year-ban" target="_blank">first shipment</a> of U.S. crude after the lifting of the crude oil export ban. The shipment was sold to the Swiss trading house, Vitol Group and departed NuStar Energy LP’s facility in Corpus Christi aboard the Theo T tanker on December 31, 2015. <a href="http://www.forbes.com/sites/timworstall/2015/12/31/conocophillips-will-ship-first-us-crude-after-end-of-export-ban-any-why-we-lifted-it-anyway/#5973cfc1ec96" target="_blank">Forbes reported</a> on the event: Let the era of U.S. oil exports begin. ConocoPhillips and NuStar <a href="http://www.forbes.com/energy/" target="_blank">Energy</a> LP on Thursday plan to finish loading what will be the first tanker of freely traded U.S. crude oil in 40 years. The companies have jumped ahead of <a href="http://www.forbes.com/enterprise/" target="_blank">Enterprise</a> Products Partners LP, which last week said it would load the first cargo of American crude in Houston during the first week of January. It has been less than two weeks since President <a href="http://www.forbes.com/profile/barack-obama/" target="_blank">Barack Obama</a> signed legislation lifting the long-standing ban on exporting U.S. oil, which was put into place during the 1970s. NuStar’s CEO Brad Barron said, “Based on our investments in Corpus Christi and our South Texas pipeline system, NuStar was well-positioned, equipped and staffed to immediately begin loading cargoes for export. And we plan on further expanding our Corpus Christi operations to provide more options to our customers to move Eagle Ford Shale crude oil, whether it is being moved domestically or internationally. In fact, we are currently in the process of developing a second private dock in the Port of Corpus Christi.” With Italy ranked <a href="https://en.wikipedia.org/wiki/List_of_countries_by_oil_consumption" target="_blank">number 14</a> in the world for oil consumption, it is highly likely that we will see a rise in U.S. oil exports to Italy. <a href="http://www.txoilinvestments.com/" target="_blank"><img class="aligncenter wp-image-7301 size-full" src="http://www.arescotx.com/wp-content/uploads/oil-investment-opportunities.png" alt="Oil & Gas Investment Opportunities in Texas, the Gulf Coast, and Beyond" width="693" height="200" srcset="http://www.arescotx.com/wp-content/uploads/oil-investment-opportunities.png 693w, http://www.arescotx.com/wp-content/uploads/oil-investment-opportunities-300x87.png 300w" sizes="(max-width: 693px) 100vw, 693px" /></a> Marshall Islands Close behind Italy in U.S. crude oil imports was the Marshall Islands averaging 14,000 barrels per day. What makes this an unusual development is that the Marshall Islands have no refineries to process the oil. The EIA said, “With no refineries, the Marshall Islands are unlikely the final destination, but rather may be the location of ship-to-ship transfers for delivery to destinations in Asia, or a point at which a cargo of crude oil would await a buyer in Asia.” It is believed that the Marshall Islands are being listed as the destination of exporters to comply with U.S. regulations requiring a specific destination for the shipment of goods. However, <a href="http://www.investopedia.com/terms/a/arbitrage.asp" target="_blank">arbitrage opportunities</a> may arise while the shipment is in route and the crude may not even reach the Marshall Islands but instead be rerouted while in transit to an alternate destination. For this reason, the Marshall Islands are likely to remain a popular destination for U.S. oil exports. France France is next on the list of top importers of U.S. crude averaging 11,000 bpd. However, that pales in comparison to France’s imports of Iranian oil which surpassed <a href="https://financialtribune.com/articles/energy/53694/iran-becomes-top-oil-exporter-to-france" target="_blank">200,000 barrels</a> per day in September of 2016. Iran is now a top exporter to France since the removal of international sanctions against Iran in January of 2016. Iranian oil production reached 3.68 million bpd in October of last year which is up more than 800,000 bpd since the United States and other countries agreed to lift sanctions that had been in place since 2012 because of UN violations regarding Iran’s nuclear program. Saudi Arabia remained a top crude supplier to France, but their market share was down by 29%. The Saudis supplied 160,000 bpd of crude to France in the first three-quarters of 2016 compared to 225,000 bpd in the same period from the year prior. <a href="http://www.usoilinvestments.com/"><img class="aligncenter size-full wp-image-5412" src="http://www.arescotx.com/wp-content/uploads/why-now-is-the-time-to-invest-in-oil.png" alt="Why now is the time to invest in oil..." width="600" height="40" srcset="http://www.arescotx.com/wp-content/uploads/why-now-is-the-time-to-invest-in-oil.png 600w, http://www.arescotx.com/wp-content/uploads/why-now-is-the-time-to-invest-in-oil-300x20.png 300w" sizes="(max-width: 600px) 100vw, 600px" /></a> United Kingdom The United Kingdom is on the list of importers of U.S. crude, importing over 10,000 barrels per day from January through May of 2016. Due to the steady decline of U.K. oil production, consumption outpaced production in 2005, and the U.K. became a net importer of oil to compensate. Over 97% of the U.K.’s oil and condensate production comes from offshore fields where the lead times from development to production are much longer than that of onshore projects. The number of field development projects (FDPs) approved in 2015 was less than half of the number approved in 2013 and 2014. This will lead to a further drop in production in 2017 and 2018 and could open the door for increased shipments from the U.S. Bahama Islands The Bahama Islands are yet another importer of U.S. oil, averaging 10,000 bpd in January through May of 2016. The Buckeye Bahamas Hub Limited (BBH) is located on the southern tip of the Grand Bahama Island and is the largest storage facility in the Caribbean. The BBH has a storage capacity of 21.6 million barrels. The Bahama Islands are known as a shipping corridor with the region crossed by numerous international shipping lanes. Just one of those lanes, the Old Bahama Channel, carries over three million barrels a day through its waters. With the combined storage capacity and easy access to international shipping lanes, the Bahama Islands are a prime candidate to be a hub for U.S. oil exports. China Predictably, China has become a consumer of U.S. crude and purchased an average of 10,000 barrels per day from January through May of 2016. China is second only to the U.S. in oil consumption, consuming over 11 million bpd. In 2015, China surpassed the U.S. and was the number one oil importer in the world, accounting for <a href="http://www.worldstopexports.com/crude-oil-imports-by-country/" target="_blank">16.7%</a> of global crude oil imports. The top ten suppliers of <a href="http://www.worldstopexports.com/crude-oil-imports-by-country/" target="_blank">crude to China</a> in 2015 were (in order) Saudi Arabia, Russia, Angola, Oman, Iraq, Iran, Kuwait, Brazil, United Arab Emirates, and Venezuela. However, one problem that exists with China is that they may be <a href="https://www.bloomberg.com/news/articles/2016-06-30/oil-bulls-beware-because-china-s-almost-done-amassing-crude" target="_blank">close to capacity</a> in their strategic petroleum reserves. During the plunge in oil prices, China had been doubling its purchases to replenish its reserves while the prices were down. According to JPMorgan Chase & Co. analysts, stopping shipments for their strategic reserve would lower the countries crude imports by as much as 15%. <a href="http://www.arescotx.com/wp-content/uploads/china-crude-oil-imports.png" data-rel="lightbox-3" title=""><img class="aligncenter size-full wp-image-14087" src="http://www.arescotx.com/wp-content/uploads/china-crude-oil-imports.png" alt="China Crude Oil Imports Chart" width="1200" height="675" srcset="http://www.arescotx.com/wp-content/uploads/china-crude-oil-imports.png 1200w, http://www.arescotx.com/wp-content/uploads/china-crude-oil-imports-300x169.png 300w, http://www.arescotx.com/wp-content/uploads/china-crude-oil-imports-768x432.png 768w, http://www.arescotx.com/wp-content/uploads/china-crude-oil-imports-1024x576.png 1024w" sizes="(max-width: 1200px) 100vw, 1200px" /></a> According to Orbital Insight Inc., China may have stored more oil than official estimates. <iframe src="https://www.bloomberg.com/api/embed/iframe?id=9042a1aa-316d-43fb-a058-870db740eded" width="800" height="450" frameborder="0"></iframe> Orbital Insight believes that China, as of May 2016, had 600 million barrels of crude in its strategic reserve, which is almost as much as the U.S. Strategic Petroleum Reserve. As a result of this, 2017 will likely see a slowdown in oil purchases from China. Nonetheless, China remains number two in the world in oil consumption. So, there is plenty of market-share available to U.S. crude exporters. Panama The Central American country of Panama has also become an importer of U.S. crude since the lifting of the export ban and from January through May of 2016 imported an average of 5,000 barrels per day. <a href="http://atlas.media.mit.edu/en/profile/country/pan/" target="_blank">Refined petroleum</a> is one of the top exports of Panama, second only to Passenger and Cargo Ships, so it would stand to reason that Panama would become a consumer of U.S. crude. Crude imports make up 15.1% of the total imports of Panama. It’s also interesting to note that the recent Panama Canal expansion will not accommodate oil supertankers. Very Large Crude Carriers (VLCC) and Ultra-Large Crude Carriers (ULCC) are too large to navigate the Panama Canal while fully laden. However, this may serve as an advantage to crude exporters along the Gulf Coast. Oil shipments out of Corpus Christi and Houston are just a short hop to Panama. <a href="http://www.txoilinvestments.com/" target="_blank"><img class="aligncenter wp-image-9280 size-full" src="http://www.arescotx.com/wp-content/uploads/gulf-coast-oil-investment-opportunities.gif" alt="Gulf Coast Oil Investment Opportunities" width="728" height="40"></a> Israel Our Middle Eastern ally Israel is an importer of U.S. crude, purchasing an average of 5,000 bpd in the first five months of 2016. This tiny nation which is barely larger than New Jersey actually <a href="http://www.indexmundi.com/energy/?product=oil&graph=consumption&display=rank" target="_blank">ranks number fifty-one</a> in global oil consumption, consuming 241,000 barrels per day of crude. Due to tensions in the region, Israel does not share any international oil pipelines with its neighbors. Therefore with its coastal ports on the Mediterranean Sea, tankers are the next best option. Israel’s main sources of crude in recent years have been Russia, Kazakhstan, and Iraq’s semi-autonomous Kurdish region. While shipments to Israel from the U.S. would have considerably higher freight costs than their current suppliers, it would be in their national security interests to conduct business with one of their few allies in the world. In the past, oil has often been used as leverage over the Israelis in world politics. Nicaragua The Central American country of Nicaragua imported an average of 5,000 barrels per day of U.S. crude in the first five months of 2016. Crude petroleum is the <a href="http://atlas.media.mit.edu/en/profile/country/nic/" target="_blank">number one import</a> of Nicaragua with refined petroleum coming in a close second. Their location along with crude being their top import makes Nicaragua a likely long-term customer of U.S. oil. Argus Media reported on the first shipment of U.S. crude to Nicaragua: Houston, 30 March (Argus) — The first shipment of US crude to travel through the Panama Canal since the December 2015 lifting of US export restrictions will also mark Nicaragua’s first-known oil import from a country outside of Latin America. Trafigura is loading the Panamax DS Promoter in the Houston Ship Channel with 380,000 bl of US domestic West Texas Intermediate (WTI) crude for export through the Panama Canal, the company told Argus yesterday. The crude will go to Trafigura subsidiary Puma Energy’s 20,000 b/d Managua refinery (Manref) on the Pacific coast of Nicaragua. Nicaragua does not produce its own crude, relying solely on imports. Most of those imports previously came through the PetroCaribe program, in which Venezuelan state-controlled PdV supplied oil to Caribbean and Central American countries through a low-interest loan in return for goods like rice or sugar. But as Venezuela struggles during a deep economic crisis, PdV’s supply to PetroCaribe is declining. Nicaragua — along with several other PetroCaribe member countries — is increasingly seeking alternative suppliers. Read the full report at <a href="http://www.argusmedia.com/pages/NewsBody.aspx?id=1213465&menu=yes" target="_blank">Nicaragua diversifies crude imports</a>. Columbia, Switzerland, and Peru The last three countries on the U.S. Energy Information Administration’s chart of U.S. crude oil exports from January through May of 2016 are Columbia, Switzerland, and Peru. They imported an average of 3,000 bpd, 3,000 bpd, and 2,000 bpd respectively. Canada Canada was not part of the original export ban that was lifted in December of 2015 and has been a top importer of U.S. crude for years. The shale revolution in the U.S. resulted in substantially increased shipments of crude to Canada in late 2013. While shipments have dropped a bit from their peak in May of 2015 at 16,131 thousand barrels, they remain incredibly high in comparison to previous years. <a href="http://www.arescotx.com/wp-content/uploads/us-crude-exports-to-canada.png" data-rel="lightbox-4" title=""><img class="aligncenter size-full wp-image-14090" src="http://www.arescotx.com/wp-content/uploads/us-crude-exports-to-canada.png" alt="US Oil Exports to Canada" width="1082" height="412" srcset="http://www.arescotx.com/wp-content/uploads/us-crude-exports-to-canada.png 1082w, http://www.arescotx.com/wp-content/uploads/us-crude-exports-to-canada-300x114.png 300w, http://www.arescotx.com/wp-content/uploads/us-crude-exports-to-canada-768x292.png 768w, http://www.arescotx.com/wp-content/uploads/us-crude-exports-to-canada-1024x390.png 1024w" sizes="(max-width: 1082px) 100vw, 1082px" /></a> Interestingly, Canada is the top supplier of crude to U.S. refineries. Reason being, Canada produces heavy, sour crude that many U.S. refineries have the equipment to process. The Canadian government website describes the unique relationship between the U.S. and Canada this way: Canadians and Americans share the closest energy relationship in the world. Canada is currently the leading and most secure, reliable and competitive energy supplier to the United States, including of crude oil and refined petroleum products, natural gas, electricity, and uranium. Canada also imports a significant amount of energy from the U.S., particularly electricity and natural gas. In 2015, Canada’s energy exports were valued at C$102 billion, with 94% (C$96 billion) going to the U.S. In addition, Canada: <ul> <li>Conducts all of its electricity trade with the United States;</li> <li>Was the largest foreign supplier of crude oil to the U.S., accounting for 43% of total U.S. crude oil imports and 20% of U.S. refinery crude oil intake; Supplied approximately 30% of the uranium used in U.S. nuclear power plants;</li> <li>Provided 97% of all U.S. natural gas imports, representing 10% of U.S. consumption; and</li> <li>Imported C$28 billion of total energy products from the U.S.</li> </ul> One thing to consider going forward, are the energy policies of the U.S. and Canada possibly going in different directions? Under the leadership of Canadian Prime Minister Justin Trudeau, Canada has embraced policies to address climate change. The Canadian government website says, “Canada and the U.S. are working together to strengthen North American energy security, phase out fossil fuel subsidies, accelerate clean energy development to address climate change and to foster sustainable energy development and economic growth.” The U.S. under an Obama administration worked to address climate change, but that may be about to change under a Trump administration. Trump’s picks of former Exxon Mobil chairman Rex Tillerson as Secretary of State and former Texas Governor Rick Perry as Energy Secretary point to a different direction for U.S. energy policy. It remains to be seen <a href="http://www.arescotx.com/what-a-trump-presidency-could-mean-for-the-oil-gas-industry/" target="_blank">what a Trump Presidency could mean for the oil and gas industry</a>. <a href="http://www.txoilinvestments.com/" target="_blank"><img class="aligncenter wp-image-14097 size-full" src="http://www.arescotx.com/wp-content/uploads/crude-oil-investing.png" alt="Crude Oil Investing Questions?" width="728" height="40" srcset="http://www.arescotx.com/wp-content/uploads/crude-oil-investing.png 728w, http://www.arescotx.com/wp-content/uploads/crude-oil-investing-300x16.png 300w" sizes="(max-width: 728px) 100vw, 728px" /></a> Shipping Options The cost of shipping will, of course, play a role in U.S. crude exports, but on a positive note, the price of booking a tanker for a spot shipment of crude is at its <a href="http://www.zerohedge.com/news/2016-08-12/us-crude-exports-soars-here-are-biggest-foreign-buyers-us-oil" target="_blank">lowest cost</a> since 2009. The shipping cost may further be defrayed by booking return shipments from refineries abroad. Conclusion Kenneth Medlock, senior director of the Center for Energy Studies at Rice University, said that “As long as infrastructure is available and exports are commercially viable, then they will grow. If, however, infrastructure is not available and exports are not profitable, then they won’t occur. At the end of the day, it is about the price of oil.” The lifting of the U.S. crude oil export ban has opened the doors for oil exports, and those doors are expected to turn into floodgates as oil prices rise. The U.S. shale industry is sitting on untapped capacity waiting to be unleashed as the market permits. Oil price will be the key factor, and as we noted in November, <a href="http://www.arescotx.com/oil-prices-expected-to-recover-somewhat-in-2017/" target="_blank">oil prices are expected to recover</a> somewhat in 2017. This will likely lead to an additional increase in U.S. oil exports across the globe. ]]></content:encoded> </item> <item> <title>2017 Oil Outlook – A Glimpse into the Future</title> <link>http://www.arescotx.com/2017-oil-outlook/</link> <pubDate>Wed, 14 Dec 2016 21:39:27 +0000</pubDate> <dc:creator><![CDATA[SEOadmin]]></dc:creator> <category><![CDATA[Oil and Gas Current Events]]></category> <category><![CDATA[Oil and Gas Interesting Facts]]></category> <category><![CDATA[Permian Basin Oil News]]></category> <category><![CDATA[Donald J Trump]]></category> <category><![CDATA[Keystone Pipeline]]></category> <category><![CDATA[Microwave Technology]]></category> <category><![CDATA[Rick Perry]]></category> <category><![CDATA[TransCanada]]></category> <guid isPermaLink="false">http://www.arescotx.com/?p=13755</guid> <description><![CDATA[By multiple measures, 2016 marked another rough year for the oil industry. ... ]]></description> <content:encoded><![CDATA[<div id="s-share-buttons" class="horizontal-w-c-circular s-share-w-c"><a href="http://www.facebook.com/sharer.php?u=http://www.arescotx.com/2017-oil-outlook/" target="_blank" title="Share to Facebook" class="s3-facebook hint--top"></a><a href="http://twitter.com/intent/tweet?text=2017 Oil Outlook – A Glimpse into the Future&url=http://www.arescotx.com/2017-oil-outlook/" target="_blank" title="Share to Twitter" class="s3-twitter hint--top"></a><a href="https://plus.google.com/share?url=http://www.arescotx.com/2017-oil-outlook/" target="_blank" title="Share to Google Plus" class="s3-google-plus hint--top"></a><a href="http://www.digg.com/submit?url=http://www.arescotx.com/2017-oil-outlook/" target="_blank" title="Share to Digg" class="s3-digg hint--top"></a><a href="http://reddit.com/submit?url=http://www.arescotx.com/2017-oil-outlook/&title=2017 Oil Outlook – A Glimpse into the Future" target="_blank" title="Share to Reddit" class="s3-reddit hint--top"></a><a href="http://www.linkedin.com/shareArticle?mini=true&url=http://www.arescotx.com/2017-oil-outlook/" target="_blank" title="Share to LinkedIn" class="s3-linkedin hint--top"></a><a href="http://www.stumbleupon.com/submit?url=http://www.arescotx.com/2017-oil-outlook/&title=2017 Oil Outlook – A Glimpse into the Future" target="_blank" title="Share to StumbleUpon" class="s3-stumbleupon hint--top"></a><a href="http://www.tumblr.com/share/link?url=http%3A%2F%2Fwww.arescotx.com%2F2017-oil-outlook%2F&name=2017+Oil+Outlook+%26%238211%3B+A+Glimpse+into+the+Future" target="_blank" title="Share to Tumblr" class="s3-tumblr hint--top"></a><div class="pinit-btn-div"><a href="//www.pinterest.com/pin/create/button/" data-pin-do="buttonBookmark" data-pin-color="red" title="Share to Pinterest" class="s3-pinterest hint--top"></a></div> <script type="text/javascript" async defer src="//assets.pinterest.com/js/pinit.js"></script><a href="mailto:?Subject=2017%20Oil%20Outlook%20–%20A%20Glimpse%20into%20the%20Future&Body=Here%20is%20the%20link%20to%20the%20article:%20http://www.arescotx.com/2017-oil-outlook/" title="Email this article" class="s3-email hint--top"></a></div><a href="http://www.arescotx.com/wp-content/uploads/2017-oil-forecast.jpg" data-rel="lightbox-0" title=""><img class="alignleft wp-image-13761" src="http://www.arescotx.com/wp-content/uploads/2017-oil-forecast.jpg" alt="2017 Oil Outlook" width="375" height="225" srcset="http://www.arescotx.com/wp-content/uploads/2017-oil-forecast.jpg 550w, http://www.arescotx.com/wp-content/uploads/2017-oil-forecast-300x180.jpg 300w" sizes="(max-width: 375px) 100vw, 375px" /></a>By multiple measures, 2016 marked another rough year for the oil industry. Oil prices hit their lowest point since 2003 in February of 2016 with prices <a href="http://money.cnn.com/2016/02/11/investing/oil-price-crash/" target="_blank">falling to $26.21</a> per barrel. TransCanada filed suit against the United States government over the denial of the Keystone XL pipeline. Over 70 oilfield services companies <a href="http://blogs.haynesboone.com/index.php/2016/10/firm/oilpatch/haynes-and-boone-oilfield-services-bankruptcy-tracker-updated-october-25-2016/" target="_blank">filed for bankruptcy</a> protection in 2016. The U.S. Army Corps of Engineers <a href="http://www.wsj.com/articles/obama-administration-moves-to-deny-easement-for-dakota-pipeline-1480890468" target="_blank">reversed its decision</a> and denied the easement to complete the final leg of the Dakota Access pipeline. And U.S. <a href="http://www.aogr.com/web-exclusives/us-rig-count/2016" target="_blank">oil rig counts</a> remained flat in 2016, starting with 516 rigs and, as of the week of December 9th, ending with 498 oil rigs active. Current events however, paint a potentially much different picture for the 2017 oil outlook. <h2>The Trump Effect on 2017 Oil</h2> Probably the biggest event that changed the 2017 oil outlook was the election of Donald Trump as President of the United States. For the past eight years, the Obama administration has led a crusade against the fossil fuel industry under the banner of “climate change”. When Obama took office, he promised to “bankrupt” the coal industry. <iframe width="500" height="281" src="https://www.youtube.com/embed/3RevRZaZQpk?feature=oembed" frameborder="0" allowfullscreen></iframe> Living up to that promise, the coal industry has dropped by <a href="http://dailycaller.com/2016/04/28/the-stunning-effects-of-obamas-war-on-coal-in-one-chart/" target="_blank">29 percent</a> since 2007. Likewise, the oil industry has suffered through mountains of new regulation, executive orders, drilling permit denials and delays on federal land, pipeline denials and delays, and of course taxes. <a href="http://www.arescotx.com/wp-content/uploads/trump-oil-gas.jpg" data-rel="lightbox-1" title=""><img class="alignright wp-image-13276" src="http://www.arescotx.com/wp-content/uploads/trump-oil-gas.jpg" alt="What a Trump Presidency Could Mean for the Oil & Gas Industry" width="375" height="250" srcset="http://www.arescotx.com/wp-content/uploads/trump-oil-gas.jpg 450w, http://www.arescotx.com/wp-content/uploads/trump-oil-gas-300x200.jpg 300w" sizes="(max-width: 375px) 100vw, 375px" /></a>A Trump presidency, on the other hand, may provide some needed relief to the oil industry. Trump has already indicated that <a href="http://www.arescotx.com/what-a-trump-presidency-could-mean-for-the-oil-gas-industry/" target="_blank">relief is on the way</a> for oil in the form of reducing regulations, and streamlining the process for drilling permits on federal land. Trump has also indicated support for the Keystone XL pipeline. Another sign that the Trump effect will be good for the oil industry is that Trump has tapped former Texas governor <a href="http://www.reuters.com/article/us-usa-trump-energy-perry-idUSKBN1421PT" target="_blank">Rick Perry as Energy Secretary</a>. Perry led Texas during the shale boom and presided over one of the highest-rated economies of any state in the last eight years. RELATED >> <a href="http://www.arescotx.com/what-a-trump-presidency-could-mean-for-the-oil-gas-industry/" target="_blank">What a Trump Presidency Could Mean for the Oil and Gas Industry</a> <h2>2017 Oil Technology Outlook</h2> Fracking has been said to have <a href="http://www.americanthinker.com/blog/2015/03/fracking_saved_us_economy_.html" target="_blank">saved the economy</a> from total collapse during the Great Recession. However, the possible “next big thing” since fracking is set to hit the oilfield for testing in 2017. Qmast LLC is rolling out <a href="http://www.arescotx.com/tag/microwave-technology/" target="_blank">microwave technology</a> in 2017 that is designed for the extraction of oil shale. <a href="http://www.arescotx.com/wp-content/uploads/strip-mining.jpg" data-rel="lightbox-2" title=""><img class="alignright wp-image-13690" src="http://www.arescotx.com/wp-content/uploads/strip-mining.jpg" alt="strip-mining" width="375" height="257" srcset="http://www.arescotx.com/wp-content/uploads/strip-mining.jpg 800w, http://www.arescotx.com/wp-content/uploads/strip-mining-300x206.jpg 300w, http://www.arescotx.com/wp-content/uploads/strip-mining-768x526.jpg 768w" sizes="(max-width: 375px) 100vw, 375px" /></a>If microwave technology turns out to be a viable form of extraction, it will pave the way for production in the Green River formation. The Green River formation is located under Colorado, Utah, and Wyoming and is a vast deposit of oil shale (kerogen) that is estimated to hold over three trillion barrels of oil. This area was once deemed as unrecoverable without using the environmentally devastating extraction method of strip mining. Opening up an area of three trillion barrels of oil could potentially be a game changer for the oil industry and truly lead the way to U.S. energy independence. RELATED >> <a href="http://www.arescotx.com/microwave-technology-the-new-fracking/" target="_blank">Microwave Technology – The New Fracking?</a> <h2>2017 Oil Price Forecast</h2> Many experts agree that <a href="http://www.arescotx.com/oil-prices-expected-to-recover-somewhat-in-2017/" target="_blank">oil prices</a> are expected to recover even further in 2017, except they are having a hard time agreeing on the margin. <a href="http://oilprice.com/Energy/Oil-Prices/World-Bank-Ups-Its-2017-Oil-Price-Forecast-To-55.html" target="_blank">World Bank</a> revised its 2017 oil forecast and upped it to $55 per barrel. Bank of America Merrill Lynch <a href="https://www.poundsterlinglive.com/economics/5892-oil-is-on-the-rise-and-analysts-at-bank-of-america-don-t-see-it-stopping-here" target="_blank">forecasts oil prices</a> to be above the $60 per barrel mark in 2017, averaging around $61 per barrel. While expecting the 2017 oil prices to have moderate growth, the International Energy Agency (IEA) expects prices to <a href="http://www.forbes.com/sites/rrapier/2016/11/30/iea-projects-a-75-increase-in-oil-prices-by-2020/#3c3e5b63778e" target="_blank">increase 75%</a> by 2020. RELATED >> <a href="http://www.arescotx.com/oil-prices-expected-to-recover-somewhat-in-2017/" target="_blank">Oil Prices Expected to Recover Somewhat in 2017</a> <h2><a href="http://www.txoilinvestments.com/" target="_blank"><img class="aligncenter wp-image-5412 size-full" src="http://www.arescotx.com/wp-content/uploads/why-now-is-the-time-to-invest-in-oil.png" alt="Why now is the time to invest in oil..." width="600" height="40" srcset="http://www.arescotx.com/wp-content/uploads/why-now-is-the-time-to-invest-in-oil.png 600w, http://www.arescotx.com/wp-content/uploads/why-now-is-the-time-to-invest-in-oil-300x20.png 300w" sizes="(max-width: 600px) 100vw, 600px" /></a></h2> <h2>Oil Forecast “X Factors”</h2> Conflicts around the world could be the biggest “X Factor” in the 2017 oil forecast. With ongoing conflicts in Syria, Iraq, and Afghanistan, these situations could easily escalate and disrupt the world’s oil supply. Any rise in tensions in the Middle East could spark a hike in oil prices. Another X Factor in world oil is Russia. Half of Russia’s government revenue is derived from <a href="http://money.cnn.com/2016/01/13/news/economy/russia-oil-budget-cuts/" target="_blank">energy exports</a>; therefore the oil price slump is wreaking havoc on the Russian economy. What is Putin capable of when it comes to manipulating oil prices? Only time will tell. 2016 was a year in which hurricanes did not play a significant role in the disruption of oil production or delivery. However, Global Weather Oscillations (GWO) has <a href="http://www.prweb.com/releases/2016/01/prweb13191018.htm" target="_blank">predicted 2017</a> to be the most destructive season since 2004 and 2005. 2017 is likely to be a year in which oil prices are determined by more than just supply and demand. Overall indicators look positive for the 2017 oil outlook, but we shall see… <a href="http://www.txoilinvestments.com/" target="_blank"><img class="aligncenter wp-image-9280 size-full" src="http://www.arescotx.com/wp-content/uploads/gulf-coast-oil-investment-opportunities.gif" alt="Gulf Coast Oil Investment Opportunities" width="728" height="40" /></a> ]]></content:encoded> </item> <item> <title>Microwave Technology – the New Fracking?</title> <link>http://www.arescotx.com/microwave-technology-the-new-fracking/</link> <pubDate>Wed, 07 Dec 2016 21:20:15 +0000</pubDate> <dc:creator><![CDATA[SEOadmin]]></dc:creator> <category><![CDATA[Oil and Gas Current Events]]></category> <category><![CDATA[Permian Basin Oil News]]></category> <category><![CDATA[Microwave Technology]]></category> <category><![CDATA[Oil Shale]]></category> <category><![CDATA[Shale Oil]]></category> <guid isPermaLink="false">http://www.arescotx.com/?p=13683</guid> <description><![CDATA[Energy independence in the United States of America has long been the ... ]]></description> <content:encoded><![CDATA[<div id="s-share-buttons" class="horizontal-w-c-circular s-share-w-c"><a href="http://www.facebook.com/sharer.php?u=http://www.arescotx.com/microwave-technology-the-new-fracking/" target="_blank" title="Share to Facebook" class="s3-facebook hint--top"></a><a href="http://twitter.com/intent/tweet?text=Microwave Technology – the New Fracking?&url=http://www.arescotx.com/microwave-technology-the-new-fracking/" target="_blank" title="Share to Twitter" class="s3-twitter hint--top"></a><a href="https://plus.google.com/share?url=http://www.arescotx.com/microwave-technology-the-new-fracking/" target="_blank" title="Share to Google Plus" class="s3-google-plus hint--top"></a><a href="http://www.digg.com/submit?url=http://www.arescotx.com/microwave-technology-the-new-fracking/" target="_blank" title="Share to Digg" class="s3-digg hint--top"></a><a href="http://reddit.com/submit?url=http://www.arescotx.com/microwave-technology-the-new-fracking/&title=Microwave Technology – the New Fracking?" target="_blank" title="Share to Reddit" class="s3-reddit hint--top"></a><a href="http://www.linkedin.com/shareArticle?mini=true&url=http://www.arescotx.com/microwave-technology-the-new-fracking/" target="_blank" title="Share to LinkedIn" class="s3-linkedin hint--top"></a><a href="http://www.stumbleupon.com/submit?url=http://www.arescotx.com/microwave-technology-the-new-fracking/&title=Microwave Technology – the New Fracking?" target="_blank" title="Share to StumbleUpon" class="s3-stumbleupon hint--top"></a><a href="http://www.tumblr.com/share/link?url=http%3A%2F%2Fwww.arescotx.com%2Fmicrowave-technology-the-new-fracking%2F&name=Microwave+Technology+%26%238211%3B+the+New+Fracking%3F" target="_blank" title="Share to Tumblr" class="s3-tumblr hint--top"></a><div class="pinit-btn-div"><a href="//www.pinterest.com/pin/create/button/" data-pin-do="buttonBookmark" data-pin-color="red" title="Share to Pinterest" class="s3-pinterest hint--top"></a></div> <script type="text/javascript" async defer src="//assets.pinterest.com/js/pinit.js"></script><a href="mailto:?Subject=Microwave%20Technology%20–%20the%20New%20Fracking?&Body=Here%20is%20the%20link%20to%20the%20article:%20http://www.arescotx.com/microwave-technology-the-new-fracking/" title="Email this article" class="s3-email hint--top"></a></div><img class="alignleft wp-image-6571" src="http://www.arescotx.com/wp-content/uploads/shale-boom-2-0.jpg" alt="Shale Boom 2.0" width="375" height="244" srcset="http://www.arescotx.com/wp-content/uploads/shale-boom-2-0.jpg 940w, http://www.arescotx.com/wp-content/uploads/shale-boom-2-0-300x195.jpg 300w" sizes="(max-width: 375px) 100vw, 375px" />Energy independence in the United States of America has long been the dream of many while, at the same time, a nightmare to others. Because of the vast demand for oil in the U.S., America has relied on purchasing oil from countries that are not necessarily aligned with our political ideology, and that is quite an understatement. What if there was a way to change all that and for the U.S. to truly become energy independent? 2017 could quite possibly usher in the next giant leap towards U.S. energy independence––Microwave technology, the latest ‘next big thing’ since the onset of hydraulic fracturing. Developed by Qmast LLC, microwave technology is used for the extraction of oil shale, which is different from shale oil. Oil shale is found in rock formations that contain kerogen. One of the current extraction methods of kerogen has been strip mining because these are shallow formations. The extracted rock is then crushed and heated to high temperatures to liquefy the oil. Qmast’s method concentrates a microwave beam equivalent to about 500 household microwaves to heat up an area that reaches approximately 80 feet from the wellbore. The crude oil then flows freely to the wellbore. The “microwave fracking method” has piqued the interest of environmentalists for several reasons. <img class="alignright wp-image-13690" src="http://www.arescotx.com/wp-content/uploads/strip-mining.jpg" alt="Strip Mining" width="375" height="257" srcset="http://www.arescotx.com/wp-content/uploads/strip-mining.jpg 800w, http://www.arescotx.com/wp-content/uploads/strip-mining-300x206.jpg 300w, http://www.arescotx.com/wp-content/uploads/strip-mining-768x526.jpg 768w" sizes="(max-width: 375px) 100vw, 375px" />The microwave extraction method does not require strip mining or “surface mining”. Strip mining has been labeled as one of the most environmentally unfriendly methods of oil extraction used today. If strip mining could be eliminated or at least reduced, it would go a long way towards environmental protection. And, unlike the fracking process, the microwave process does not require water. Fracking requires water, and lots of it. While the amount of water used varies per well, fracking can use in the millions of gallons of water per well. Not having to use the precious natural resource of water is a definite positive for the environment. Since the microwave process does not use water, injection wells that have been used to dispose of fracking waste water are not necessary. The U.S. Geological Survey is currently in the process of determining whether or not wastewater injection wells play a role in recent seismic activity in places like Oklahoma and Texas. The jury is still out on the issue of waste water injection wells and earthquakes, but not having to use injection wells is another obvious plus for the environment. So, where can this microwave technology be used? For starters, try the largest oil shale formation in the world–– the Green River formation, right here in the United States. The Green River formation lies beneath Colorado, Utah, and Wyoming. The United States Geological Survey (USGS) estimates that there are approximately <a href="https://pubs.usgs.gov/dds/dds-069/dds-069-dd/" target="_blank">3 trillion</a> barrels of oil in the Green River formation. Yes, that was “trillions” with a “t”. To put that in perspective, the oil reserves in Saudi Arabia are estimated to be around <a href="https://en.wikipedia.org/wiki/Oil_reserves_in_Saudi_Arabia" target="_blank">268 billion</a> barrels. If microwave technology proves to be a viable means of extraction, the Green River formation alone could supply the oil needs of the United States for well over 100 years at current consumption rates––a game-changer for the oil industry. <a href="http://www.txoilinvestments.com/" target="_blank"><img class="aligncenter wp-image-5412 size-full" src="http://www.arescotx.com/wp-content/uploads/why-now-is-the-time-to-invest-in-oil.png" alt="Why now is the time to invest in oil..." width="600" height="40" srcset="http://www.arescotx.com/wp-content/uploads/why-now-is-the-time-to-invest-in-oil.png 600w, http://www.arescotx.com/wp-content/uploads/why-now-is-the-time-to-invest-in-oil-300x20.png 300w" sizes="(max-width: 600px) 100vw, 600px" /></a> Now comes the question of money. Microwaves will take a lot of electricity to operate. Can that much electricity be generated in such a way that the microwave process is profitable? What is the break-even price per barrel using this process? Many questions remain to be answered. But the answers will come, sooner than later, with deployment of this new oilfield technology planned for some time in 2017 with the hopes of achieving producing oil wells by the end of the year. Peter Kearl, co-founder and CTO of Qmast, has been working on this technology for over 20 years and hopes it will start an energy revolution that will surpass even that of the fracking revolution. As Qmast rolls out this technology for in-the-field testing, the eyes of the world will be watching with the question of U.S. energy independence potentially hanging in the balance. ]]></content:encoded> </item> </channel> </rss>