.The Texas Energy Report

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.The Texas Energy Report

U.S. Becomes Net Petroleum Exporter

By Alex Mills

 

December 5, 2019

Petroleum imports to the United States have been a major concern for policymakers for more than 50 years.

Economists and national security experts warned of the huge outflow of dollars that were leaving the U.S. and going to countries that were not very friendly, such as Iran, Iraq and Venezuela. It became such a huge concern that the federal government created the Strategic Petroleum Reserve as an insurance policy against a future supply disruption.

Petroleum imports, which includes crude oil and petroleum products, rose steadily through the 1960s and the remainder of the 20th century until 2008 when oil and natural gas production began to rise. In 2015, the law restricting exports was lifted and the tide turned.

This week the Energy Information Administration announced the U.S. exported more petroleum than it imported in September for the first time since it began keeping records in 1973. EIA said exports exceeded imports by 89,000 barrels per day (b/d)…..
 

Capacity Reserves To Be Greater Next Summer, ERCOT Forecasts

Peak demand forecast is up on increased O&G and industrial electricity needs in West Texas and the Gulf Coast, but reserves from renewables and small, flexible gas-powered sources are up too

 

December 5, 2019

ERCOT says its planned power reserve margin will be up to more than 10% by next summer, the electricity manager for most of Texas says in its latest estimate of demand and reserves……
 

Legal Filing Challenges Trump Administration Failure to Halt Fossil Fuel Expansion in 20-year Plan for Texas, Kansas, Oklahoma: CBD Press Release

December 4, 2019

HOUSTON— The Center for Biological Diversity is challenging the Trump administration’s plan to expand federal fossil-fuel extraction in Texas, Kansas and Oklahoma. The new resource management plan would allow leasing and extraction of oil and gas on 4.4 million acres of publicly owned lands and minerals and coal extraction on nearly 1.7 million acres.

The Center’s legal protest, filed Monday, challenges the Bureau of Land Management’s failure to align public lands management with climate needs by phasing out new fossil-fuel leasing and extraction. The protest also says the BLM failed to analyze potential harm from fossil fuel extraction to wildlife, rivers, air quality and drinking water.

“We urgently need to stop burning fossil fuels, but instead the Trump administration is flooring the gas,” said Taylor McKinnon, a senior campaigner at the Center. “Each new lease locks in pollution our climate can’t afford.”….
 

Jefferson County Judge Said No Plans to Sue Operator of Chemical Plant

That was before the latest “shelter in place”…There were also incidents in which firefighters’ efforts to control blaze were hampered

 

December 4, 2019

On the eve of a new “shelter in place” order for his area, a Jefferson County official said there are no plans for a lawsuit against the company that owns a petrochemical plant that exploded and caught fire nearly a week earlier…..
 

TIPRO Files Third Round of Comments with EPA on Improvements to Oil & Natural Gas New Source Performance Standards: News Release

The Texas Independent Producers & Royalty Owners Association (TIPRO) filed comments this week with the U.S. Environmental Protection Agency (EPA) over proposed policy changes highlighting recommended improvements to the 2012 and 2016 New Source Performance Standards (NSPS) for the oil and natural gas industry promulgated under the Clean Air Act. TIPRO has been an active participant in the rulemakings and associated litigation since the EPA proposed to revise the NSPS for the Oil and Natural Gas Sector in August 2011. The latest filing also represents the third round of formal NSPS comments submitted by TIPRO to the EPA over the past four years. The following statement can be attributed to Ed Longanecker, president of TIPRO:

“The Texas oil and natural gas industry applauds the Trump Administration for seeking to adopt reasonable air quality driven performance standards that protect the environment while also reducing unnecessary regulatory burdens that stifle domestic energy production. It’s also critically important to highlight the proactive and successful efforts of oil and natural gas producers to reduce energy-related emissions through voluntary actions, industry best practices and innovation.

The 2016 NSPS were among the most overreaching regulations targeting the U.S. oil and natural gas industry adopted under the previous administration. Since the EPA updated its NSPS and permitting rules in 2016 for new, reconstructed and modified oil and gas sources, TIPRO has lobbied against the regulations and the disproportionate impact on smaller U.S. oil and natural gas producers.

Over the past 20 years, the U.S. oil and natural gas industry has invested $300 billion in greenhouse gas (GHG) mitigating technologies. As a result of this commitment and related initiatives, methane emissions from oil and natural gas production fell 24 percent between 2011 and 2017, while oil and natural gas production rose 65 percent and 19 percent, respectively, according to data from the EPA and the U.S. Energy Information Administration (EIA). Since 2005, total U.S. GHG emissions have dropped by 12 percent, and total GHG emissions from fossil fuel combustion have decreased nearly 15 percent. Increasing use of domestic natural gas for electricity generation has contributed in significant reductions in the emissions of carbon dioxide (CO2) and criteria air pollutants. Meanwhile, every one of the signatories of the Paris Accord lags behind America in overall emissions reductions.

The U.S. continues to dominate as a global leader in oil and natural gas production and environmental stewardship. Only through a fair, stable regulatory environment has the country been able to accomplish such major achievements, leading to cleaner air and water resources and record oil and gas production. Unfortunately, unbalanced policies like the so-called ‘Green New Deal’ would not only be devastating for our economy and enhanced national security, but also hinder important advancements and innovations pursued by U.S. companies to help the environment.”

To download a copy of TIPRO’s comments, please click here.

The Texas Independent Producers & Royalty Owners Association (TIPRO) is a trade association representing the interests of nearly 3,000 independent oil and natural gas producers and royalty owners throughout Texas. As one of the nation’s largest statewide associations representing both independent producers and royalty owners, members include small businesses, the largest, publicly-traded independent producers, and mineral owners, estates, and trusts. TIPRO membership provides networking and educational forums, marketing opportunities, industry intelligence, and extensive legislative and regulatory resources.

 

South Texas Energy & Economic Roundtable Announces Recipients of the Seventh Annual Eagle Ford Excellence Awards: News Release

– STEER honors those going above and beyond in the Eagle Ford Shale –

 

SAN ANTONIO – The South Texas Energy and Economic Roundtable (STEER), announced today that DataWing Global, EcoVapor Recovery Systems, George West Education Foundation, Halliburton, Falls City Education Foundation, Klean Corp International, La Salle County and Valero Energy are the recipients of the 2019 Eagle Ford Excellence Awards. The awards honor leading companies and organizations working in or with the oil and natural gas industry for their diligent efforts in protecting the environment, developing innovative technologies, making safety a top priority and giving back to the communities they serve.

“As oil and natural gas activity continues to power the South Texas economy, companies and leaders from across our region have maintained their commitment to their neighbors, the environment and innovation,” said Chris Ashcraft, president of STEER. “It is important to the oil and natural gas industry, and our board of directors in particular, to honor this year’s winners and nominees for the incredible work they’re doing to keep South Texas prospering.”

The awards ceremony provides both oil and natural gas companies, their contractors and community leaders with an opportunity to be acknowledged for their efforts in the areas of Community and Social Investment, Environmental Stewardship, Neighborhood Impression, Innovation and Technology and Community Achievement in Safety. Winners of the Eagle Ford Excellence Awards demonstrate innovation within the industry, make safety their largest priority, and benefit the greater South Texas region through workforce development and education.

 

The keynote address at the award ceremony was provided by Gary Sernovitz, author of The Green and the Black – The Complete Story of the Shale Revolution, the Fight Over Fracking, and the Future of Energy. Sernovitz is an executive at an oil and natural gas-focused private equity firm as well as a writer and published novelist. His essays and reviews have appeared in the New York Times and the Wall Street Journal.

Recipients of the 2019 Eagle Ford Excellence Awards:

VIDEOS: Each recipient is featured in a 2.5 minute video that showcases their company and their award-winning program or innovation. All videos can be found here.


Community and Social Investment

For companies or organizations with less than 250 employees: Klean Corp International
For companies or organizations with more than 250 employees: Valero Energy

 

Environmental Stewardship

For companies or organizations with less than 250 employees: EcoVapor Recovery Systems

For companies or organizations with more than 250 employees: Valero Energy

 

Neighborhood Impression

George West Education Foundation

Falls City Education Foundation

Innovation and Technology

For companies or organizations with less than 250 employees: DataWing Global

For companies or organizations with more than 250 employees: Halliburton

 

Community Achievement in Safety

La Salle County and its first responders

 

About South Texas Energy and Economic Roundtable (STEER)

The South Texas Energy and Economic Roundtable (STEER) is the leading Eagle Ford Shale resource in the region and is the primary coordinator for communication and public advocacy surrounding the oil and natural gas industry in South Texas. STEER serves as the bridge connecting the industry and communities throughout South Texas to ensure positive collaboration and communication surrounding the activities associated with energy production in the Eagle Ford Shale. For more information about STEER, visit STEER.com.

New York Seeks Retribution for Alleged Climate Change Damages

By Alex Mills

The crusade against fossil fuels – crude oil, natural gas and coal – has engulfed the political arena for several decades, but the fight has expanded recently into the legal system.

Liberals on the left have tried to tax and regulate fossil fuels dating back to the 1970s when President Jimmy Carter signed the Crude Oil Windfall Profits Tax, which was later repealed when oil prices dropped from $30 per barrel to $10 and projected tax revenues failed to materialize. President Bill Clinton pushed, but failed to pass, a tax on fossil fuels, called the Btu Tax which is short for British Thermal Units, a measurement of energy. President Obama went another route with his cap-and-trade legislation, but it failed, too.

The efforts of governments to punish producers of fossil fuels seem to be endless. Currently, various groups push for a new carbon tax with the stated goals of increasing the cost of fossil fuels (making exotic energy, such as wind and solar, more competitive), reducing fossil fuel consumption, and further limiting greenhouse gas emissions. Of course, the adoption of a carbon tax would have a negative impact on crude oil and natural gas production, resulting in reduction in supply. When supply declines prices would rise to consumers resulting in a negative impact on the economy…..
 

Update: Officials Warn of Asbestos Debris as Residents Return to Port Neches-Area Homes, Fire Contained But Could Burn for Days

December 1, 2019

A large fire is contained at a chemical manufacturing plant in Port Neches and evacuated residents have returned home, but the company that operates the site is warning of asbestos debris that might be found near the plant after an explosion last week……