EP Energy and Tesoro have set up a joint venture to fund an oil and natural gas development program in Utah's Uinta Basin. As part of the partnership, EP will drill 60 wells, while Tesoro will purchase all production from the wells and provide funding in exchange for a 50% stake in the wells.
US crude stockpiles plunged by 4.4 million barrels in the week ended May 19, beating expectations for a 2.8 million-barrel drop and marking the seventh consecutive week of declines, according to the Energy Information Administration. Gasoline supplies fell by 800,000 barrels, while distillate inventories plummeted by 500,000 barrels.
US energy systems and infrastructure are grappling with an increasing number of cybersecurity threats despite oil and natural gas companies' and the Transportation Security Administration's best efforts to strengthen protections. "There appears to be an increasing level of activity, sophistication and maturity of threat actors, in particular nation state actors, that wish to disrupt the U.S. bulk power system and the U.S. gas transmission or distribution system," Dominion Energy said in a filing with the Securities and Exchange Commission.
Pipeline operator Crestwood Equity Partners and energy investment firm First Reserve have established a joint venture to build a cryogenic gas processing plant in Orla, Texas, and an adjoining 33-mile pipeline from Eddy County, N.M., to Texas. The plant, scheduled to be completed in late 2018, will have a daily capacity of 200 million cubic feet of natural gas sourced from the Delaware Basin.
Oilfield service providers in Alberta, Canada, are missing out on millions of dollars in revenue because of a shortage of crews that threatens to derail the country's oil industry from its path to recovery. Many of the people that lost their oil patch jobs during the downturn now prefer working in industries such as mining, construction and forestry that offer steady work even though the salaries may be lower.
Anadarko Petroleum will permanently shut down three natural gas wells in Firestone, Colo., including the one that was linked to a fatal home explosion on April 17, even though it believes the wells are safe. Last month's explosion that killed two people was caused by odorless natural gas leaking from a severed 1-inch pipeline connected to one of the wells that Anadarko will shut down.
Houston-based Linn Energy announced that it's selling its properties in California's San Joaquin Basin to an undisclosed buyer for $263 million. The asset package includes 500 acres in South Belridge field in Kern County with first-quarter net production of 3,000 barrels of oil equivalent per day.
Michigan Democratic Sens. Gary Peters and Debbie Stabenow have put forward a package of measures that would make Great Lakes oil pipelines subject to the same liability standards as offshore pipelines, which are stricter compared with requirements for onshore pipelines. The rest of the bills seek to expand the federal government's authority to shut down unsafe pipelines and call for a review of oil spill response plans.
Nuclear Energy Institute President and CEO Maria Korsnick pointed out that the public and legislators have largely taken nuclear energy for granted during a speech at NEI's Nuclear Energy Assembly. As a result, the industry must extol benefits of nuclear energy "more aggressively, more widely and more consistently than we ever have before," Korsnick said.
Nuclear and hydroelectric power are the two energy sources that the US should be depending on the most in order to limit the effects of climate change, writes Robert Tracinski. "These are proven technologies that don't face some of the issues with siting and energy storage that are inherent in wind and solar," Tracinski writes.
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