Oil

Ivan Pierre Aguirre / Texas Tribune

There’s almost enough pipeline transporting crude oil and other chemicals buried under Texas to reach the moon and back. Last week, one small section of that infrastructure in Bastrop County was damaged by a maintenance crew. The result was a spill of more than 50,000 gallons of crude oil.

Photo illustration by Martin do Nascimento / KUT

Scrolling through Twitter is not for everyone, but if it's the kind of thing you’re into you’re likely to come across many tweets that make no sense. A few weeks ago one of them said this: “Curve Crunch: WTI flips to contango. Backwardation banished!”

What could this mean?

Chris Hunkeler via Flickr

The group that manages almost all of the Texas electric grid has decided it's a good idea to build out more transmission lines in West Texas. That in itself might not sound like a big deal, but the reason behind it is. KUT's Mose Buchele joins Morning Edition host Jennifer Stayton to explain.

Jorge Sanhueza-Lyon / KUT

Gas prices could hit a 12-year low this summer. That’s as much as 40 cents lower than analysts thought they’d be in some parts of the country.

Gabriel Cristóver Pérez

Ask Texas State Demographer Lloyd Potter what caught his attention in a recent release of census data for Texas cities, and he’ll tell you: Houston, in Harris County.

“In the past three or four years, prior to the [2015-16] set of estimates, Harris County was the most significant growing county in the country numerically,” he says.

Courtesy of Subhi Khudairi

When Donald Trump was running for president he vowed to boost the U.S. oil and gas industry, much of it found right here in Texas. Now that he’s in office, some of his policies seem aimed at doing just that. But others are having the opposite effect.

Courtesy of Gabriel C. Pérez

Irving, Texas, oil giant Exxon Mobil must hand over internal documents about global warming to the Massachusetts attorney general, a federal judge ruled earlier this month. It was just the latest development in a strange legal battle that’s sucked in the Texas attorney general and cast a shadow over President-elect Donald Trump’s pick to head the State Department.

William Munoz/Flickr

From the Texas Tribune:

President-elect Donald Trump has reportedly picked Exxon Mobil CEO Rex Tillerson to be his secretary of state, turning to a Texan to be the country's top diplomat.

flickr/smreilly

Tomorrow, the Organization of Petroleum Exporting Countries (OPEC) meets in Vienna to try to figure out a way to cut oil production.  For decades OPEC’s set oil prices by controlling supply. So the meeting will be closely watched because it could lead to higher oil prices.

But, the idea to manipulate oil prices by setting limits on oil, didn’t start with OPEC. It started right here in Texas.

Eddie Seal/Texas Tribune

As soon as five years from now, global demand for oil might stop growing. That prediction may not seem surprising, if it came from an environmental group, but when oil giant Shell said as much in a recent conference call, it caused a stir.  Oil companies don’t usually talk publicly about people losing interest in their product.

Mose Buchele/KUT

Over the last several years, scientists, including those at the U.S. Geological Survey and the Environmental Protection Agency, have linked an increase in earthquakes in Texas to oil and gas activity. But, industry and Texas state regulators remain reluctant to publicly acknowledge it.  Now, a study that looks at the quakes from space might put more pressure on them to do so.


Flickr/Julio César Mesa (CC BY-ND 2.0)

From Texas Standard:

The store shelves are bare. Food riots are growing. Patients are dying at hospitals because supplies are exhausted. Major airlines are discontinuing service to this country, and yet it is home to the largest reserve of underground oil in the world.

Venezuela, just to the south, may not be top of the news but what happens there next is important to us here in Texas.

 


Flickr/eulothg (CC BY-NC-ND 2.0)

From Texas Standard:

You can't talk Texas oil without talking about the competition. In that regard, the eyes of Texas are upon Saudi Arabia right now. Over the weekend the Saudis ended the 20-year tenure of oil minister Ali al-Naimi. Al-Naimi is credited as a pillar in the development of the Organization of Petroleum Exporting Countries, or OPEC. Now, energy investors and analysts alike are waiting to see how this change could affect an already tumultuous oil economy.

Matt Smith, director of commodity research at ClipperData, says that timing is the most surprising aspect of al-Naimi's replacement.


Jerod Foster for the Texas Tribune

When the oil and gas fields of Texas are booming, it’s busy times for the state agency that regulates the industry. And when there’s a downturn, it can be even busier. One reason: abandoned oil and gas wells.

That was a big takeaway from a meeting this week of the Texas House Energy Resources Committee.  The topic came up when Chairman Drew Darby (R-San Angelo) said people around his hometown are seeing oil and gas companies get into financial trouble and walk away from their wells. 

Spencer Selvidge/Texas Tribune

Aubrey McClendon was a pioneer in the world of fracking who ushered in an American energy boom.  So it was big news when the former head of Chesapeake Energy was indicted on anti-trust charges last week.

When McClendon died in a fiery car wreck a day later, it sent shockwaves through the business world. Investigators are looking into the crash. But what of the charges that preceded it? 


Texas Archive of the Moving Image

The Organization of Petroleum Exporting Countries is not getting a lot of love in Texas these days. David Porter, top oil and gas regulator at the Railroad Commission of Texas, has accused OPEC of declaring an "oil war" against the state. Porter is leaving the Commission this year, and some of those running to replace him have used similar rhetoric.  

Mose Buchele / KUT

Deep in South Texas oil country, there’s a place known as the “Hotel Capital of the Eagle Ford Shale.” More than 20 hotels were built in the small town of Cotulla during the oil boom, but that boom came to a standstill in 2015. 

KUT reported on the town a year ago and recently returned to see how Cotulla and other oil towns are faring. 


Wikimedia Commons

If there’s one bit of conventional wisdom when to comes to oil prices it’s this: What goes down, must go up. The boom-bust cycle of the oil markets means that the cheap gas you’re enjoying now will cost you more sometime in the future. But what if low oil prices are actually the new normal? Some people are saying just that.

Image courtesy Angelos Angelou

From Texas Standard:

Every January for the past three decades, state and local officials have gathered in Austin to hear economist Angelos Angelou give his annual economic forecast. Some say he's conservative in his forecasts, yet lawmakers follow his words carefully because he's been proven to be on the money in the past.

flickr/smreilly

The low gas prices a lot of us are enjoying when we fill up our cars are thanks, in part, to a glut in the global supply of oil.  In fact there’s so much crude oil being pumped right now that it's created a traffic jam in an unlikely place.


Pages