Oil Companies less excited about Keystone?
US Oil companies are getting less excited about the Keystone XL pipeline by the day. Is this good news? In this environmentalist’s opinion, NO. Texas and North Dakota are producing more oil and natural gas than ever, making Tar Sands less desirable. The American Petroleum Institute is gearing up to lobby for more oil to be exported oversees. There’s another big storm brewing over US oil consumption and here’s what you need to know.
US oil production and exports are on the rise. Since 2007, the number of refined oil barrels exported daily has more than doubled to over 2.6 million. Last year, the International Energy Agency predicted that by 2020, the U.S. will produce more oil than Saudi Arabia. Obviously, if we have anything to say about it, that won’t happen, but these things take time. For now, there is a glut of oil in the US.
There are two hurdles that the American Petroleum Institute wants to clear so that they can make the MOST profit off of that goey-black-glut. First, back in the 1970s, during the Arab oil embargo, the U.S. department of Energy set restrictions on crude oil exports. Oil companies can still export refined oil, but just yesterday, Bloomberg business published an article highlighting American Petroleum Institute’s lobbying efforts to have these restrictions lifted. Second, there are 20 export terminals applications being reviewed by the US Department of Energy. Lifting restrictions on crude oil exports and building more export terminals will allow oil companies to continue to ramp up US oil production and ship it oversees.
Stay tuned for opportunities to stop these new export terminals from being approved and block oil exports all together.