-Refiners are running out of flexibility to replace imported light oil with domestic light oil in their crude blends, Reuters reports. While imports of medium-heavy and heavy oils have held steady at 4.5-5 million barrels per day since 2007, medium-light and light crude imports have dwindled from 6 million barrels per day to just over 2 million. Refiners can reconfigure their plants to process more domestic light crude, but will they ultimately take on the necessary investments?
-A freight train derailed in Saskatchewan Tuesday, causing two cars to spill petroleum distillate and catch fire. Via Reuters, four other cars that were carrying dangerous goods such as hydrochloric acid and caustic soda survived the crash intact. No injuries were immediately reported, but some residents were evacuated from the area.
-EQT Corp. and NextEra Energy will move forward with their proposed Mountain Valley Pipeline after securing 2 billion cubic feet per day of firm capacity commitments. The 300-mile pipeline would carry Marcellus and Utica shale gas to the Transco Zone 5 compressor station in Virginia. The firms extended the open season on the pipeline to Oct. 10 due to continued interest from shippers.
-Pioneer Natural Resources is preparing to sell its oil and gas operations in the Eagle Ford shale, Bloomberg reports. It is the second time this year Pioneer has sought to sell the assets, which could fetch up to $4.5 billion. The Eagle Ford assets have become more attractive to potential buyers amid the recent decision by the U.S. Commerce Department to allow Pioneer and Enterprise Products Partners to export minimally refined condensate.
-Oiltanking Partners appointed Laurie Argo president and CEO and Donna Hymel CFO, effective immediately. Argo previously served as vice president of NGL fractionation, storage and unregulated pipelines for Enterprise Products Partners, which acquired Oiltanking’s general partner last week. Hymel previously served as controller and principal accounting officer of the general partner. Previous Oiltanking Partners President and CEO Kenneth Owen, CFO Jonathan Ackerman and General Counsel and Secretary Brian Brantley have all resigned.
