• 4 minutes Energy Armageddon
  • 6 minutes "How to Calculate Your Individual ESG Score to ensure that your Digital ID 'benefits' and money are accessible"
  • 12 minutes "Europe’s Energy Crisis Has Ended Its Era Of Abundance" by Irina Slav
  • 2 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 58 mins Is Europe heading for winter of discontent with extensive gas shortages?
  • 3 days Wind droughts
  • 21 hours Kazakhstan Is Defying Russia and Has the Support of China. China is Using Russia's Weakness to Expand Its Own Influence.
  • 7 days "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 5 hours ""Green" Energy Is a Scam. It Isn't MEANT to Work." - By James Corbett of The Corbett Report
  • 5 days Oil Prices Fall After Fed Raises Rates
  • 6 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 13 days "Russian oil executive and Putin critic Ravil Maganov dead after mysterious six-story fall" - The New York Post
  • 3 hours 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 10 days Beware the Left's 'Degrowth' Movement (i.e. why Covid-19 is Good)
  • 12 days The Federal Reserve and Money...Aspects which are not widely known

Forties Pipeline Could Remain Shuttered For Weeks

The Forties oil and gas pipeline shutdown on Monday, caused energy prices in the United Kingdom to spike in the afternoon, according to a new report by Reuters. Brent Crude, which Forties carries, also spiked to a two-and-a-half-year high on news of the stoppage.

Wholesale gas prices for immediate delivery dates rose by 28 percent to the highest rate since the beginning of 2013. The jump brought domestic gas prices almost to parity with Asian LNG rates. Brent crude was trading up 1.96% on the day at $64.64.

A spokesman for Ineos, the pipeline’s holding company, said the pipeline would not be operational for “weeks rather than days.”

“It happens to come at the highest demand point of the year, with the system already notably tight,” he added. Ineos just finished buying the pipeline and the Kinneil terminal from British Petroleum just over a month ago.

The British power grid is already strained due to winter demand, five offline nuclear reactors, and outages affecting the Bacton Seal.

Last week, the Forties pipeline stream—the U.K.’s main export vein for its Scottish refineries—saw disrupted flows after officials spotted a “seepage” onshore. The spill was not severe, with just a few drops leaking from the pipeline every minute. This was no reported “contamination issue” due to its early detection during scheduled maintenance.

Related: Is Oil About To Collapse?

"Ineos has mobilized a repair and oil spill response team following the identification of a very small amount of oil seepage during a routine inspection of the Forties Pipeline System at Red Moss, near Netherley, Aberdeenshire, at approximately 10:00 hours yesterday,” an official statement said at the time.

It is unclear if the recent shutdown is related to the previous leak. The police had closed a local road and cordoned off a 300-meter area for workers to resolve the issue.

"A small number of local residents within this area have been advised to temporarily relocate," the company added. "We will work to resolve the issue and monitor the situation. We apologize for any inconvenience caused."

By Zainab Calcuttawala for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News