Last updateThu, 19 Jan 2017 5pm


Plains All American Expanding Cactus Pipeline Capacity

Plains All American (PAA) Pipeline, L.P. is expanding the capacity on its Cactus pipeline from McCamey to Gardendale, TX to approximately 390,000 barrels per day. The expansion will allow PAA to move increasing production volumes from the Permian Basin to Corpus Christi and other delivery points along the system. The expansion includes manifold and metering enhancements at our origination station which are anticipated to be completed in the third quarter of 2017.

The Cactus pipeline is a 310-mile, 20-inch crude oil pipeline and is capable of transporting crude oil from the Permian Basin to the PAA/Enterprise Products Partners Eagle Ford Joint Venture (Eagle Ford JV) Pipeline. 

New Investments Spur Permian Oil Production Increase

The Department of Energy (DOE) said on Tuesday that oil production in the Permian Basin could increase by 53,000 bpd by next month. According to the Energy Information Administration (EIA), that is the largest monthly increase in the region in a year.

“The EIA’s first shale oil forecast of the year comes after U.S. shale drillers dispatched scores of rigs to the region and companies like Exxon Mobil Corp. and Noble Energy announced multibillion-dollar land grabs there.,” FuelFix reports

Why is Oil & Gas Slow to Adopt Cloud Technology?

“There are endless benefits to implementing a cloud-based system, many of which center around less waste and less hassle, but due to operational characteristics, oil & gas companies stand to benefit more than most.”

“Yet, while being among the sectors that stand to gain most from cloud technologies, the adoption rate within oil & gas is slower than other sectors.” According to Chris Walcot of the UK-based Oil & Gas Council, “this is largely due to sensitivities around data security, safeguarding trade secrets and protecting intellectual property. But are these perceived threats real or just a hang-up from the past?” 

U.S. Ethane Production, Consumption & Exports to Increase Through 2018

U.S. production of ethane is expected to increase from an average of 1.25 million barrels per day (b/d) in 2016 to 1.7 million b/d in 2018 according to EIA’s latest Short-Term Energy Outlook (STEO). Increased ethane production is expected to be consumed in the petrochemical industry domestically as well as exported to other countries.

Expansions at existing ethylene plants contributed to a 170,000 b/d increase in ethane consumption between 2013 and 2016. By mid-2018, construction is expected to be completed at six new ethylene plants and one restarted plant, collectively capable of using 450,000 b/d of ethane feedstock. Most of these plants are designed specifically to use ethane without the ability to switch to other feedstocks. EIA expects U.S. ethane consumption to increase by 310,000 b/d (26%) between the first quarter of 2013 and the fourth quarter of 2018 as these plants ramp up operations. 

MIT Energy Initiative Joining New Manufacturing USA Institute

The MIT Energy Initiative (MITEI) will share faculty expertise in clean energy innovation as an academic and research collaborator of the new Rapid Advancement in Process Intensification Deployment (RAPID) Manufacturing Institute, which the U.S. Department of Energy (DOE) has announced as the newest — and 10th — institute in the nation’s network of Manufacturing USA Institutes. Traditional chemical manufacturing relies on large-scale, energy-intensive processing. The new institute will leverage approaches to modular chemical process intensification — like combining multiple, complex processes such as mixing, reaction, and separation into single steps — with the goal of improving energy productivity and efficiency, cutting operating costs, and reducing waste. In the chemical industry alone, these technologies have the potential to save more than $9 billion in process costs annually.

To date, RAPID has enlisted 75 companies, 34 academic institutions, seven national laboratories, two other government laboratories, and seven non-governmental organizations from all regions of the country. 


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