-Energy Secretary Ernest Moniz today said the U.S. is considering lifting its decades-long ban on most crude oil exports. As the Wall Street Journal notes, it is the most explicit statement made by an Obama Administration official thus far about the potential removal of the ban. The law has led to a glut of light, sweet crude that can’t be easily processed by U.S. refineries.
-Meanwhile, oil production in the U.S. shale plays is set to rise by 75,000 barrels per day in June, the Energy Information Administration said Monday. The highest rise will be in the Eagle Ford shale, where output will jump by more than 26,000 barrels per day.
-The city of Houston could get more than 55,000 new energy sector jobs as a result of an export boom driven by Mexico’s new energy policy and U.S. chemical industry expansions, according to a new study. Via FuelFix, the Greater Houston Partnership projects a 15% increase in exports of industrial machinery, which would support 28,574 jobs. A similar increase in chemical exports would support 23,787 jobs. An additional 2,824 new jobs would come from increased exports of iron and steel products needed to build pipeline infrastructure in Mexico.
-Via Bloomberg, Chevron became the first international oil company to reveal a partnership with Pemex since Mexico opened its energy sector to foreign producers. Chevron is in talks with Pemex about exploration opportunities in deepwater, shallow water or shale. The California-based company is awaiting passage of secondary legislation that would determine Pemex’s participation in new projects and the tax structure for foreign firms doing business in Mexico.
-The city of Burnaby, B.C., is pushing back against Kinder Morgan’s proposed Trans Mountain pipeline expansion by threatening to withhold emergency services in the event of an oil spill. Via the Financial Post, the city said it could also deny the company permission to build roads needed for maintenance work once the expansion is complete. Kinder Morgan is seeking to nearly triple capacity for the pipeline, which transports Alberta oil to the U.S. West Coast.
