• 3 minutes Boris Johnson taken decision about 5G Huawei ban by delay (fait accompli method)
  • 6 minutes This Battery Uses Up CO2 to Create Energy
  • 10 minutes Phase One trade deal, for China it is all about technology war
  • 12 minutes Trump has changed into a World Leader
  • 8 hours Indonesia Stands Up to China. Will Japan Help?
  • 1 hour We're freezing! Isn't it great? The carbon tax must be working!
  • 48 mins Shale Oil Fiasco
  • 15 hours Might be Time for NG Producers to Find New Career
  • 1 hour Environmentalists demand oil and gas companies *IN THE USA AND CANADA* reduce emissions to address climate change
  • 18 hours Angela Merkel take notice. Russia cut off Belarus oil supply because they would not do as Russia demanded
  • 12 hours Anti-Macron Protesters Cut Power Lines, Oil Refineries Already Joined Transport Workers as France Anti-Macron Strikes Hit France Hard
  • 8 hours Beijing Must Face Reality That Taiwan is Independent
  • 14 hours Tesla Will ‘Disappear’ Or ‘Lose 80%’ Of Its Value
  • 19 hours China's Economy and Subsequent Energy Demand To Decelerate Sharply Through 2024
  • 1 day US Shale: Technology
  • 2 days Swedes Think Climate Policy Worst Waste of Taxpayers' Money in 2019
Bankruptcies In U.S., Canadian Oil Jump 50% In 2019

Bankruptcies In U.S., Canadian Oil Jump 50% In 2019

Bankruptcies among U.S. and Canadian…

The “Twin Threats” Facing Big Oil

The “Twin Threats” Facing Big Oil

According to a new report…

U.S. Gulf Coast To Become Net Oil Exporting Region

Oil

The U.S. Gulf Coast is set to become a net crude oil exporting region for the first time in a quarterly basis, signaling a shift in global oil flows that has been in the making for a while. This means the patterns of trade using Very Large Crude Carriers are also set for a change, Lloyds’ List reports.

According to data from the shipping service, while there was one VLCC loading at a Gulf Coast port every six days in 2017, last year this rose to almost four VLCCs every six days. During the first 11 weeks of 2019, the total number of VLCCs loading at the Gulf Coast increased to 53, with the average daily amount of crude flowing out of the U.S. at 3.6 million barrels, according to EIA data.

Most of this is going to Asia, with South Korea turning into the most active buyer of U.S. crude this year, surpassing China and Canada. Currently, according to Lloyd’s List, there are some 48.5 million barrels of U.S. crude traveling east on 23 VLCCs and three Suezmax tankers.

The Gulf Coast’s turning into a net exporter has prompted port expansion plans as currently there is only one port capable of handling the largest crude oil carries that can accommodate as much as 2 million barrels of the commodity. That’s the Louisiana Offshore Oil Port while others need to relay the load from smaller to larger tankers further out at sea as the waters around the ports are too shallow for them.

Related: Sources: Saudis Admit They Want $70 Oil

One expansion has already been completed, at the Ingleside terminal in Texas, which Occidental last year sold to a private equity-backed company. Now, the oil export terminal in Ingleside can handle VLCCs directly.

Another project—a larger one—is in the planning stage in Texas, too. Dubbed COLT, it will cost US$800 million and is currently awaiting regulatory approval. There are seven more export terminal expansion projects planned to handle the growing outflows of U.S. oil to the world.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage


Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play