Is It Time for U.S. to Start Exporting More Crude Oil?

Picture released, 12 December 2007 by the Norwegian Coastal Administration showing an aerial photo of the tanker Navion Britannia which was loading oil from a loading buoy and left a major oilspill in Statfjord, some 200 kilometers (125 miles) from the Norwegian coast. According to preliminary estimates from the Petroleum Safety Authority, some 3,840 cubic metres, the equivalent of 24,150 barrels or 3,220 tonnes of oil, had spilled into the sea.
National Journal
Ben Geman
Add to Briefcase
See more stories about...
Ben Geman
Dec. 13, 2013, 5:34 a.m.

En­ergy Sec­ret­ary Ern­est Mon­iz said the near-ban on U.S. crude oil ex­ports is ripe for re­vis­it­ing, com­ments that ar­rive as ma­jor pro­du­cers in­clud­ing Ex­xon Mo­bil are press­ing to re­lax lim­its im­posed in the 1970s.

His re­marks Thursday in New York, re­por­ted by Platts, were quite cau­tious. And Mon­iz noted that it’s not his de­part­ment’s de­cision to make.

But the state­ments are non­ethe­less likely to fuel in­creas­ing in­dustry calls for end­ing ma­jor re­stric­tions cre­ated in the wake of the early-1970s Ar­ab oil em­bargo.

“Those re­stric­tions on ex­ports were born, as was the De­part­ment of En­ergy and the Stra­tegic Pet­ro­leum Re­serve, on oil dis­rup­tions,” Mon­iz said at a for­um hos­ted by Platts.

“There are lots of is­sues in the en­ergy space that de­serve some new ana­lys­is and ex­am­in­a­tion in the con­text of what is now an en­ergy world that is no longer like the 1970s,” Mon­iz said.

U.S. oil pro­duc­tion is at its highest point in 25 years and the na­tion’s re­li­ance on im­ports is fall­ing. That has promp­ted ex­port ad­voc­ates to ar­gue that it’s time to re­think U.S. laws and policies that only al­low crude oil ex­ports in very lim­ited cases.

The U.S. cur­rently ex­ports a small amount of crude oil to Canada.

“We are not deal­ing with an era of scarcity, we are deal­ing with a situ­ation of abund­ance,” Ken Co­hen, Ex­xon’s vice pres­id­ent of pub­lic and gov­ern­ment af­fairs, told The Wall Street Journ­al this week. “We need to re­think the reg­u­lat­ory scheme and the stat­utory scheme on the books.”

Mon­iz said that his de­part­ment stands ready to provide tech­nic­al ana­lys­is to the Com­merce De­part­ment, which has jur­is­dic­tion over crude oil ex­ports.

The oil in­dustry is weigh­ing an ef­fort to chal­lenge the ban by ar­guing that it vi­ol­ates in­ter­na­tion­al trade law.

What We're Following See More »
THE PLAN ALL ALONG?
Manchin Drops Objections, Clearing Way for Spending Deal
1 days ago
THE LATEST

"The Senate standstill over a stopgap spending bill appeared headed toward a resolution on Friday night. Senators who were holding up the measure said votes are expected later in the evening. West Virginia Democrat Joe Manchin had raised objections to the continuing resolution because it did not include a full year's extension of retired coal miners' health benefits," but Manchin "said he and other coal state Democrats agreed with Senate Democratic leaders during a caucus meeting Thursday that they would not block the continuing resolution, but rather use the shutdown threat as a way to highlight the health care and pension needs of the miners."

Source:
UNCLEAR WHAT CAUSED CHANGE OF HEART
Giuliani Out of Running For State
1 days ago
BREAKING

Donald Trump transition team announced Friday afternoon that top supporter Rudy Giuliani has taken himself out of the running to be in Trump's cabinet, though CNN previously reported that it was Trump who informed the former New York City mayor that he would not be receiving a slot. While the field had seemingly been narrowed last week, it appears to be wide open once again, with ExxonMobil CEO Rex Tillerson the current favorite.

Source:
ALSO VICE-CHAIR OF TRUMP’S TRANSITION TEAM
Trump Taps Rep. McMorris Rodgers for Interior Secretary
1 days ago
BREAKING
SHUTDOWN LOOMING
House Approves Spending Bill
2 days ago
BREAKING

The House has completed it's business for 2016 by passing a spending bill which will keep the government funded through April 28. The final vote tally was 326-96. The bill's standing in the Senate is a bit tenuous at the moment, as a trio of Democratic Senators have pledged to block the bill unless coal miners get a permanent extension on retirement and health benefits. The government runs out of money on Friday night.

HEADS TO OBAMA
Senate Approves Defense Bill
2 days ago
THE LATEST

The Senate passed the National Defense Authorization Act today, sending the $618 billion measure to President Obama. The president vetoed the defense authorization bill a year ago, but both houses could override his disapproval this time around.

Source:
×
×

Welcome to National Journal!

You are currently accessing National Journal from IP access. Please login to access this feature. If you have any questions, please contact your Dedicated Advisor.

Login