• 2 hours Kinder Morgan Warns About Trans Mountain Delays
  • 9 hours India, China, U.S., Complain Of Venezuelan Crude Oil Quality Issues
  • 14 hours Kurdish Kirkuk-Ceyhan Crude Oil Flows Plunge To 225,000 Bpd
  • 18 hours Russia, Saudis Team Up To Boost Fracking Tech
  • 24 hours Conflicting News Spurs Doubt On Aramco IPO
  • 1 day Exxon Starts Production At New Refinery In Texas
  • 1 day Iraq Asks BP To Redevelop Kirkuk Oil Fields
  • 2 days Oil Prices Rise After U.S. API Reports Strong Crude Inventory Draw
  • 2 days Oil Gains Spur Growth In Canada’s Oil Cities
  • 2 days China To Take 5% Of Rosneft’s Output In New Deal
  • 2 days UAE Oil Giant Seeks Partnership For Possible IPO
  • 2 days Planting Trees Could Cut Emissions As Much As Quitting Oil
  • 2 days VW Fails To Secure Critical Commodity For EVs
  • 2 days Enbridge Pipeline Expansion Finally Approved
  • 2 days Iraqi Forces Seize Control Of North Oil Co Fields In Kirkuk
  • 2 days OPEC Oil Deal Compliance Falls To 86%
  • 3 days U.S. Oil Production To Increase in November As Rig Count Falls
  • 3 days Gazprom Neft Unhappy With OPEC-Russia Production Cut Deal
  • 3 days Disputed Venezuelan Vote Could Lead To More Sanctions, Clashes
  • 3 days EU Urges U.S. Congress To Protect Iran Nuclear Deal
  • 3 days Oil Rig Explosion In Louisiana Leaves 7 Injured, 1 Still Missing
  • 3 days Aramco Says No Plans To Shelve IPO
  • 6 days Trump Passes Iran Nuclear Deal Back to Congress
  • 6 days Texas Shutters More Coal-Fired Plants
  • 6 days Oil Trading Firm Expects Unprecedented U.S. Crude Exports
  • 6 days UK’s FCA Met With Aramco Prior To Proposing Listing Rule Change
  • 6 days Chevron Quits Australian Deepwater Oil Exploration
  • 6 days Europe Braces For End Of Iran Nuclear Deal
  • 7 days Renewable Energy Startup Powering Native American Protest Camp
  • 7 days Husky Energy Set To Restart Pipeline
  • 7 days Russia, Morocco Sign String Of Energy And Military Deals
  • 7 days Norway Looks To Cut Some Of Its Generous Tax Breaks For EVs
  • 7 days China Set To Continue Crude Oil Buying Spree, IEA Says
  • 7 days India Needs Help To Boost Oil Production
  • 7 days Shell Buys One Of Europe’s Largest EV Charging Networks
  • 7 days Oil Throwback: BP Is Bringing Back The Amoco Brand
  • 7 days Libyan Oil Output Covers 25% Of 2017 Budget Needs
  • 7 days District Judge Rules Dakota Access Can Continue Operating
  • 8 days Surprise Oil Inventory Build Shocks Markets
  • 8 days France’s Biggest Listed Bank To Stop Funding Shale, Oil Sands Projects
Alt Text

Copper Prices Ignited By Chinese Demand Growth

Copper prices saw some gains…

Alt Text

Is South America Set For A Gold Rush?

A Chinese gold miner is…

Is This Issue About to Explode for Big Oil?

I wrote recently about new regulations around hydraulic fracturing, or fracking. And how several U.S. states are moving to regulate or restrict this go-to oil production technique.

That trend has grown stronger the last few weeks. With Alaska also introducing new frack rules. And even Brazil introducing a national regulatory framework aimed specifically at fracking.

But there's another issue that's quickly becoming just as prominent. Which also threatens to make oil production more difficult in some key parts of North America.

Flare gas.

It's no secret that oil production has surged in many new parts of North America recently. Often in areas that have limited infrastructure in terms of pipelines--especially for natural gas.

That means oil producers need to flare any gas produced alongside oil output. Burning off the stuff because there simply isn't a way to get it to market.

But this month two regional governments have said that gas flaring needs to stop.

The most critical is North Dakota. Where the state Department of Mineral Resources is reportedly looking at new rules to limit flaring.

The regulator has indicated they will take concrete steps to reduce the amount of gas burned off in key oil plays like the Bakken. Possibly including limiting oil production from wells with associated gas--or imposing time limits for pumping such wells.

Given that the Bakken has been a major driver of overall U.S. oil output, this could be a critical development.

And the anti-flaring movement isn't just a North Dakota thing. Last week officials in Alberta, Canada said they will also move to limit flaring in the key oil-producing region of Peace River.

The Alberta Energy Regulator will require companies here to completely halt flaring by the end of 2015. Affecting several major producers in the area, including Shell, Husky and Murphy Oil.

We'll see what affect all of this has on oil output. And if the trend spreads to other key producing regions.

Here's to clean air,

By Dave Forest




Back to homepage


Comments currently closed.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News