Shale Goes Global
US Inches Toward Exporting Crude Oil
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  • Jacksonian_Libertarian

    I despise the interference by the Government Monopoly in the free market. It is never done in the best interests of the citizenry, no matter what the Politicians or Bureaucrats say. But rather for the accumulation of more power and opportunities for graft which such power affords.

  • PKCasimir

    This article doesn’t really explain exactly what action the Energy Dept took and its consequences. The Energy Dept allowed a type of light oil categorized as a condensate to be exported. The US produces about 250,000 barrels a day of this specific type of oil, which is refined into jet fuel and similar type products. Most of the oil produced through fracking is a light oil which most of America’s refineries are not able to process since they were designed to handle heavier oil. American oil producers are afraid that once America’s refineries are overwhelmed with light oil from fracking then the prohibition against the export of crude oil will leave them with no place to sell their oil. They are hoping that the Energy Dept has taken a first step in reclassifying the light oil produced by fracking as a condensate, thus allowing them an export market. Should the Energy Dept do that, however, it will inevitably raise the price of domestic crude and negate the advantage American refineries have in selling refined petroleum products on the world market. A more prudent course might be to encourage the building and/or expansion of American refineries to process this excess light crude.

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