Sunday, April 21, 2019

Update On Washington State CBR -- April 21, 2019

Updates

April 21, 2019From  The Daily Caller, last summer:

More than 56 percent of the crude oil received by California refineries were extracted in foreign countries, according to California Energy Commission data.
California, once the third-largest oil state, is now more reliant than ever on foreign oil. The biggest share of California’s oil imports come from Saudi Arabia, which makes up 29 percent of foreign crude flowing into the state.
More than 70 percent of foreign oil imports to the state come from OPEC members, including Iraq, Kuwait and Ecuador.
California’s share of oil coming from foreign sources has ballooned since the late 1990s. Decades of state policies restricting drilling played a role, as did declining production in Alaska.

Original Post

This story was hard for me to follow. I think I understand the update but I will let readers reach their own conclusion and I won't provide any comment.

Regarding Washington state's stance on Bakken CBR, Platts is reporting that the state legislature has passed the bill and it now awaits the governor's signature. He has five days to sign it. From statescape, for Washington state:
The governor must sign or veto legislation within 5 days of transmittal (excluding Sunday), or it becomes law without his/her signature. Bills transmitted within the last 5 days of the session must be acted upon by the governor within 20 days of adjournment (excluding Sunday). 
The Washington state Bakken CBR bill as it currently stands:
  • original bill passed but with one significant change
  • awaiting governor's action
  • new standards: vapor pressure from a CBR tanker must be less than 9 psi
  • NDIC's Lynn Helms said Bakken oil would not/could not meet that standard
  • Washington State legislature said the standard (9 psi) would only be triggered if Bakken CBR exceeded 10% volume increase over calendar year 2018 (by refinery; five refineries in Washington state)
From the linked article:
"Refiners who currently import crude by rail only have to comply with the vapor pressure standard if their total annual crude by rail imports increase by more than 10% over the 2018 baseline," Washington State Representative Joe Fitzgibbon, a Democrat who introduced the change to the original bill, said in a statement through a spokesman Monday.
On Friday, Lynn Helms, North Dakota's top oil and gas regulator, said operators would not be able to condition Bakken crude to below that 9 psi level without removing valuable product, including butane, from the crude stream.
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California Refinery Inputs

Previously posted, but it might behoove Washington State to look to the California experience. This is not rocket science.



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 California Blue

California Blue, Roy Orbison

2 comments:

  1. My beloved Washington State is governed by bumbling idiots, my deepest apologies. I graduated from high school in Anacortes many of my friends fathers worked at the two refineries there. In the end we will pay at the pump or they will bring in more oil by tanker, which could be way worse than train.

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    Replies
    1. "My deepest apologies." LOL.

      I always worry I will step on the toes of my readers with some of my sarcastic comments.

      But you are so correct. California is doing just that: importing oil by tanker -- thank you for giving me an opportunity to update this post. LOL.

      Seriously, I've enjoyed all your notes over the years. Thank you for taking time to write.

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