Leaders should be discussing the vision, strategic priorities and innovation opportunities that they intend to accomplish by the end of 2020, writes Dave Coffaro of Strategic Advisory Consulting Group. "If there's any doubt about true buy-in to the vision, an early strategic priority leading into 2020 is to invest leadership team time into redefining where you're going," he writes.
The US is expected to lead in liquefaction capacity growth between 2019 and 2023, accounting for about 73% of new global capacity additions, according to a report by GlobalData. The planned startup of several liquefied natural gas projects, including the 19.4-million-short-ton-a-year Rio Grande terminal in Texas, should boost the country's LNG capacity by 173 million short tons per year by 2023.
Enterprise Product Partners will proceed with an expansion of the 1,200-mile ATEX ethane pipeline from Appalachia to Texas, following a successful open season. The project will increase the pipeline's capacity from its current 145,000 barrels per day to 190,000 barrels per day when it is complete in 2022.
The International Energy Agency has cut its global oil demand growth forecast for this year by 65,000 barrels per day to 1.1 million BPD and by 105,000 BPD to 1.2 million BPD for 2020, citing concerns over a global economic slowdown.
Oil and natural gas producers in the US 10th District experienced a modest decline in activity in the third quarter and reported needing oil prices at $55 per barrel to turn a profit, an increase from six months ago, according to the Federal Reserve Bank of Kansas City's latest energy survey. The drilling and business activity index dropped from seven to minus 23, while indexes for revenues, employment, capital spending, delivery times, profits and employee hours also turned negative.
Whiting Petroleum, which has operations in North Dakota and Colorado, is reportedly in discussions for a potential acquisition of smaller rival Abraxas Petroleum. A deal would offer Whiting the opportunity to expand its footprint in the second-largest producing US shale play and spread overhead costs.
ConocoPhillips has agreed to sell the majority of its Australia assets to Santos for $1.4 billion as the company doubles down on its North American unconventional and Alaskan holdings. "ConocoPhillips already allocates around 70 percent of its capital into its US operations, so this sale, following recent Timor Sunrise and UK divestments, is firmly in line with its strategy of reducing international exposure and increasing North American output," said Wood Mackenzie analyst David Low.
The Texas Railroad Commission declined to adopt specific and stricter proposed safety rules for rural gathering lines and instead proposed that the lines should be operated in a "reasonably prudent manner." Considering the low risks posed by rural gathering lines, stricter regulations would create unnecessary burdens for pipeline operators, industry representatives argued.
The Bureau of Ocean Energy Management has granted Dominion Energy and Orsted two permits that will help advance the 12-megawatt Coastal Virginia Offshore Wind site. PJM Interconnection could begin receiving power from the project by next summer.
New Jersey's offshore wind industry is turning into a viable industry that will benefit ratepayers under the leadership of Gov. Phil Murphy, writes the editorial board of The Press of Atlantic City. Orsted US Offshore Wind's up to 1,100-megawatt Ocean Wind project is expected to create many local jobs and revitalize the state's energy sector, it writes.
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