-Strong demand from refineries and falling crude production helped oil prices bounce back from a five-day decline last week, Bloomberg reports. Crude oil production dipped to its lowest level since early February, while refiners used a record amount of oil for this time of year in preparation for peak driving season. Oil prices have risen 38% since hitting a six-year low on March 17.
-The pipeline that ruptured near Santa Barbara, Calif., and spilled oil into the Pacific Ocean last week did not have an automatic shut-off valve, the Associated Press reports. Because of a court decision won by the pipeline’s previous owners in the ‘80s, it is the only pipeline in Santa Barbara County without an automatic shut-off valve. Current owner Plains All American Pipeline is still investigating the cause of the rupture, which spilled as much as 105,000 gallons of oil. Plains shut down the pipeline manually — an approach the company said is safer than an automatic shutdown by a computer.
-Also from the AP, North Dakota regulators believe it will take two more years to clean up a September 2013 pipeline spill that covered 7.3 acres of land. Pipeline owner Tesoro said it had recovered more than 6,000 barrels of oil from the spill site. The company previously said it would take two years to clean up the 20,000-barrel spill.
-The EPA appears set to limit ethanol blending to 10% of all motor fuel as it prepares to release Renewable Fuel Standard targets for 2014, 2015 and 2016. Via Reuters, biofuel advocates are “bracing for bad news,” as the agency seems unwilling to set targets beyond the blend wall. It would be win for refiners, who fear that higher blend levels would hinder their ability to sell to fueling stations.
