Pipeline

Powder River Crude Gathering System Begins Operations

Outrigger Energy began operating its crude oil gathering system in the Powder River Basin of Wyoming. The company has received a long-term dedication from Devon Energy Corporation covering leasehold acres located in Campbell, Converse, and Johnson Counties.

Local Fracking Bans Could Go Before Colorado High Court Soon

DENVER (AP) — Colorado's battle over who should regulate fracking could be on the fast track to the state Supreme Court. The Colorado Court of Appeals on Monday asked to bow out of lawsuits over Longmont's ban on fracking and a 5-year-moratorium in Fort Collins. The move would allow the Supreme Court to take the cases immediately, without waiting for the appeals court to hear arguments and make rulings. The higher court hasn't said if it will take the cases.

Feds Allow Shell to Drill for Oil in Arctic Ocean off Alaska

ANCHORAGE, Alaska (AP) — The federal government on Monday gave Royal Dutch Shell the final permit it needs to drill for oil in the Arctic Ocean off Alaska's northwest coast for the first time in more than two decades. The Bureau of Safety and Environmental Enforcement announced that it approved the permit to drill below the ocean floor after the oil giant brought in a required piece of equipment to stop a possible well blowout.

Buzz on Drones: Theyre Coming to the Energy Sector

Few trends have been bigger or more exciting to watch in the last decade than the rise of drones. From serious applications like warfare to more quirky ones like pizza delivery, the world is still clearly just starting to figure out how drones can profitably be used. That background makes the recent chatter about the opportunity for drone use in commercial oil and gas applications an extremely interesting trend to watch.

Pipeline Expert Peter Lidiak Ready for New Challenge

At the American Petroleum Institute’s spring pipeline conference in Savannah, GA one bit of news in particular grabbed attendees’ attention when it was announced that Pipeline Director Peter T. Lidiak was leaving his post after serving as API’s go-to pipeline executive since 2005. Lidiak, who joined API in 2000, is one of the nation’s leading experts on crude oil pipelines, testifying before countless congressional and agency hearings in Washington, D.C. and having a hand in practically any issue involving pipelines.

Pipeline Expert Peter Lidiak Ready for New Challenge (1)

At the American Petroleum Institute’s spring pipeline conference in Savannah, GA one bit of news in particular grabbed attendees’ attention when it was announced that Pipeline Director Peter T. Lidiak was leaving his post after serving as API’s go-to pipeline executive since 2005. Lidiak, who joined API in 2000, is one of the nation’s leading experts on crude oil pipelines, testifying before countless congressional and agency hearings in Washington, D.C. and having a hand in practically any issue involving pipelines.

Columbias Xpress Projects Look to Bump Capacity in Big Way

Columbia Gulf Transmission’s Rayne Xpress Expansion (RXE) is designed to expand capacity on Columbia Gulf’s existing mainline pipeline system by 621 MMcf/d in a north-to-south direction. It runs from Leach, KY to the Gulf Mainline pool, located just south of Inverness Compressor Station in Humphreys County, MS. While the project itself consists only of capacity generated by two new compression stations in Kentucky, backhaul agreements along the existing mainline bring the reversal capacity to 1.05 Bcf/d.

PG&E Pays California $300 Million Toward Penalty for Pipeline Incident

SAN FRANCISCO (AP) — California's biggest power utility says it's paid a $300 million penalty to the state's general fund for a 2010 gas pipeline explosion that killed eight people and destroyed more than three dozen homes in suburban San Francisco. The payment announced Thursday by is part of a larger $1.6 billion penalty levied against Pacific Gas & Electric earlier this year for the blast in San Bruno.

Ohio Elections Chief Rules Against Fracking Proposals

COLUMBUS, Ohio (AP) — Ohio's elections chief has moved to invalidate ballot proposals in three counties related to fracking. Secretary of State Jon Husted (HYOO-sted) ruled Thursday on protests filed with his office that questioned the validity of county charter ballot proposals in Athens, Fulton and Medina (meh-DY'-nuh) counties. Husted upheld the protests invalidating the proposals and said they wouldn't appear on Nov. 3 ballots. He says in a statement that each proposal attempts to circumvent state law in a way that the courts have ruled violates the Ohio Constitution.

World News: China and Russia Begin Work On Power of Serbia Pipeline

Russia’s Gazprom and China National Petroleum Corporation (CNPC) have confirmed that construction is underway on the 4,000-km Power of Serbia Pipeline that will deliver up to 38 Bcma of gas to China. The first joint of pipe for the Chinese sector of the project was recently welded near the city of Heibe in the northern Heilongjiang Province bordering Russia, according to CNPC. Russia started building its section of the 2,500-mile eastern route last year. The pipeline is due to become fully operational in late 2017.

ExxonMobil Fined Following Probe into Refinery Incident

LOS ANGELES (AP) — The California agency that investigates workplace accidents has cited and fined ExxonMobil more than $560,000 for workplace safety and health violations following a probe into February's explosion at a Los Angeles-area refinery.

ExxonMobil Fined Following Probe into Refinery Incident (1)

LOS ANGELES (AP) — The California agency that investigates workplace accidents has cited and fined ExxonMobil more than $560,000 for workplace safety and health violations following a probe into February's explosion at a Los Angeles-area refinery.

MarkWest Energy Expanding Dry Gas Gathering Capabilities in Utica Shale

MarkWest Energy Partners and the Energy & Minerals Group announced the development of a new, large-scale dry gas gathering system to strategically expand the parties’ leading midstream position in the Utica Shale. The extensive system will be underpinned by a long-term, fee-based contract with Ascent Resources-Utica, a subsidiary of Ascent Resources. Ascent is one of the largest pure-play Appalachian E&P companies with about 280,000 net acres in the prolific Utica and Marcellus shale plays.

Nuclear Accord Could Boost Crude Oil Production from Iran

The P5+1 nations agreement with Iran on nuclear-related sanctions could result in relief for United States and European Union in the form of more oil production. If the agreement, which include some oil-related sanctions, it will put additional Iranian oil supplies on a global market that has already seen oil inventories rise significantly over the past year.

Willbros Handles Challenges to Complete Mexican Pipeline Ahead of Schedule

NET Midstream’s affiliate, NET Mexico Pipeline Partners, LLC., saw completion of its Net Mexico Pipeline ahead of schedule and placed into service in November 2014. NET Mexico will interconnect on the Mexican side of the border with Phase 1 of the Los Ramones Pipeline, which is being developed by an affiliate of Gasoductos de Chihuahua S. de R.L. de C.V. The pipeline is anchored by a long-term firm gas transportation agreement, for up to 2.1 Bcf/d, with MGI Supply Ltd., an indirect wholly owned subsidiary of Pemex Gas, Mexico’s state-owned gas company.

Cushing Connected Pipelines Shut After Enbridge Spearhead Pipeline Spill

The Enterprise Product Partners-operated 450,000 bpd Cushing, OK,-to-Jones Creek, TX, Seaway Twin crude pipeline remained down Wednesday after being shut on Aug. 11, following the shutdown of Enbridge Energy Partners’ 193,000 bpd Spearhead and 600,000 bpd Flanagan South pipelines.

Analyst: China's Devalued Yuan Tied to Foreign Oil Consumption

Earlier this week, China surprisingly opted to devalue its currency, the yuan, forcing many in the oil and gas industry to ponder how the decision will affect their market. “In recent days, we’ve seen China look to devalue the yuan in hopes of gaining some ground as the U.S. dollar continues its upward move,” said Carl Larry, director of business development with consulting firm Frost & Sullivan. “The move has caused a bit of uneasiness in the marketplace and stock markets around the world are a bit shaky.”

Oil Price Slumps to Lowest Level Since March 2009

The price of U.S. crude oil has tumbled to its lowest level in more than six years. Benchmark U.S. crude fell $1.88, or 4%, to settle at $43.08 a barrel in New York on Tuesday, its lowest close since March of 2009. The latest slide came as OPEC said its production rose to a three-year high. China also devalued its currency, suggesting economic growth there was softer and could cause lower crude demand. U.S. crude has been declining since reaching a high this year of $61.43 on June 10.

Howard Energy Partners Going Forward With South Texas-to-Mexico Pipeline

Howard Midstream Energy Partners (HEP) said due to a successful open season construction will move forward on the Nueva Era Pipeline, a 50-50 joint venture between HEP and Mexico-based energy and services firm Grupo Clisa. The project will connect HEP’s existing Webb County Hub in South Texas directly to Escobedo, Nuevo León, Mexico, and to the Mexican National Pipeline System (Sistema de Transporte Nacional Integrado) in Monterrey, Mexico.

Keystone XL Review Drags on 5 Times Longer than Average

WASHINGTON (AP) — For six and a half years, the White House has had a quick comeback to questions about its yet-to-be-announced decision on the proposed Keystone XL pipeline: Talk to the State Department.

BNSF Manager Named Inspector for ND Rail Safety Program

BISMARCK, N.D. (AP) — A longtime manager of a railroad responsible for some fiery oil train crashes in North Dakota has been hired as an inspector for the state's new rail safety program. Karl Carson, a 23-year employee of BNSF Railway and a manager for the railroad since 2004, starts the $90,000-a-year state job next week conducting track and worker safety inspections.

Pemex Awards Offshore Engineering Contracts to Wood Group

Wood Group has been awarded a three-year offshore engineering blanket order by Pemex for field development in Mexico’s Gulf of Mexico waters. The $28 million agreement encompasses deepwater and complex shallow water concept and basic engineering, and owner engineer services. Work will be performed by Wood Group Kenny and Wood Group Mustang and will include field development planning and engineering of topsides facilities, subsea umbilicals, risers and flowlines (SURF), and floating systems.

Key Issues Taken on at Pipeline Conference

Pipeline & Gas Journal’s 11th annual Pipeline Opportunities Conference brought in 400 attendees from throughout North America, all focused on getting the most up-to-date information regarding the oil and natural gas industry. In addition to a full day’s worth of conference presentations and roundtables, guests had ample time to network during the even held March 24 at the Royal Sonesta Hotel in Houston’s Galleria district.

NACE President Seeks to Diversify Services for Rapidly Growing Membership

Raised in Pittsburgh, Jim Feather, NACE International’s 2015 president, says he grew up “not only with the steel metallurgy industry in my blood but also in my nostrils.” And while Feather did work directly in the steel industry as a sophomore through a co-op program at Carnegie-Mellon University, even then he could see “the writing on the wall” concerning steel’s long-term future in the United States.

ROSEN Sponsors Roundtable on Linear Threats

The ROSEN Group brought key industry stakeholders together for a roundtable on the topic of “Linear Threats in Pipelines” on May 28. The event attracted over 100 attendees from throughout North America and Europe who were hosted at the ROSEN facility in Gahanna, OH. The roundtable began with an official welcome by ROSEN Executive Vice President Chris F. Yoxall, who emphasized the importance of “why we are here.” He addressed the goal and set the tone for the day – bringing together all stakeholders to collectively work on common topics of interest.

Latest Contender for Next Shale Boom

The largest natural gas producer in Africa is overhauling its laws in order to halt the decline of production, which has stagnated for more than a decade. Algeria is the continent’s largest natural gas producer and the second largest supplier of gas to Europe (Russia is the largest supplier). It is also the third-largest oil producer on the continent after Nigeria and Angola.

FERC Issues Pair of Oil Pipeline Audits

On June 17, the Federal Energy Regulatory Commission’s (FERC) Division of Audits and Accounting, Office of Enforcement (DAA), issued two audit reports involving oil pipelines, the Colonial Pipeline Company Docket No. FA14-4 and Enterprise Products Partners, L.P., Docket No. FA14-1. The Enterprise audit focused on Mid-American Pipeline Company, LLC (MAPL), a subsidiary of Enterprise. These reports are significant because they demonstrate that the FERC audit staff is taking a comprehensive look at oil pipeline accounting and rate issues along with enhanced scrutiny of affiliate issues.

P&GJs Midyear International Pipeline Report

<em>P&GJ’s</em> 2015 international pipeline survey indicates 70,308 miles of pipeline are in various stages of construction or planned. Of these, 32,013 miles account for projects in the planning and engineering phase, while 38,295 miles are in various stages of construction.

California Oil Spill May Have Been Far Larger than Projected

LOS ANGELES (AP) — An oil spill from a ruptured pipeline near Santa Barbara, California, that fouled beaches for miles may have been far larger in volume than earlier projected. Plains All American Pipeline had estimated the May 19 spill at up to 101,000 gallons. But in documents released Wednesday, the Texas-based company said alternate calculations found the spill might have been up to 143,000 gallons. The company is continuing its analysis and the figures are preliminary.

Fire Sale on Stuff that Burns: Oil, Natural Gas, Coal Down

NEW YORK — These days it seems whatever can be burned to power a car, heat a home, make electricity or ship people and goods around the globe is being sold at bargain basement prices. Prices for coal, natural gas, oil and the fuels made from crude such as gasoline and diesel are all far less expensive than they have been in recent years.