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Hess to Form MLP for ND Transport Assets
According to a recent article in “Rigzone”, Hess Corporation will form a master limited partnership (MLP) for its mid-stream North Dakota assets. The move appears to be part of a trend motivated by the favorable tax treatment, lower cost of capital and higher cash flows associated with MLP’s. MLP’s do not pay federal income taxes… Read More
New Rules for Crude Transport by Rail Proposed
“Rigzone” reports that yesterday the U. S. Department of Transportation proposed an overhaul of safety standards for the shipment of crude oil via rail. The new regulations have been prompted by safety concerns and the increasing volume of crude moving by rail. Over the last 18 months, there have been a dozen derailments, six of… Read More
Shell Bearish on Gas Export Projects
Recent large natural gas discoveries have led to a number of Liquefied Natural Gas (LNG) projects in North America, Australia, East Africa and the eastern Mediterranean. Shell had been a major player in many of these. However, the company now believes that the economics of these projects are in question and is revising its investment… Read More
Gas-to-Liquids Technology Comes of Age?
Long considered a step child of the oil and gas industry, gas-to-liquids (GTL) technology might be coming of age according to two recent articles in “Rigzone”. Conceived in Nazi Germany, nurtured in apartheid South Africa, and reaching maturity in countries with large isolated natural gas reserves and only limited domestic markets, GTL has never been… Read More
Shale’s Challenges
“Rigzone” reports that most industry observers agree that 3-D seismic, horizontal drilling and hydraulic fracturing led to the shale revolution which in turn fueled the manufacturing renaissance. However, significant issues loom on the horizon for unconventional oil and gas plays. While there is agreement on the issues, there is a wide range of opinions as… Read More
