The US Energy Information Administration announced that the US will surpass Russia and Saudi Arabia as the world’s top producer of petroleum and natural gas hydrocarbons this year. US production, in energy content terms, is expected to be nearly 50 quadrillion BTUs in 2013, while Russia’s output should be closer to just over 40 quadrillion BTUs. (BTU = British Thermal Unit)
Delivery of crude oil and oil products helped make September one of the busiest months on record for the US rail systems. The Association of American Railroads said petroleum and petroleum product delivery for September was up 10.4% when compared with the same time last year with 13,426 carloads, or approximately 8.7 million barrels of oil during the last week of September.
Western Canada’s first crude-by-rail train terminal is to start transporting 50,000 b/d of oil sands crude to the U.S. market next month. The terminal in Bruderheim, Alberta, will be expanded to 100,000 b/d by the second half of next year as a second supply pipeline is connected.
The International Energy Agency said coal will remain the top fuel for generating electricity for the next 20 years, with growth in coal-fired power in emerging markets outweighing its decline in developed countries.
Russian state oil company, Gazprom, announced that it will begin crude oil production this year at the Prirazlomnoye oil project in the Arctic.
Swedish energy company Lundin Petroleum said crude oil was flowing from its Gohta oil prospect off the coast of Norway in the Barents Sea. Gohta is Lundin’s first oil discovery in the Barents Sea. The company said test flows from the prospect yielded 4,300 barrels of oil per day. Lundin estimates the area holds as much as 145 million barrels of oil and 545 billion cubic feet of natural gas.
Royal Dutch Shell said it started producing crude oil from the 2nd phase of a deep-water complex off the coast of Brazil. The field is more than a mile deep in the Atlantic Ocean. In 2009 phase 1 production reached a peak production rate of more than 90,000 barrels of oil equivalent. Phase 2 is expected to reach 35,000 barrels of oil equivalent per day and, once online, the third phase should add 28,000 boe more to the overall production figures.
Malaysia’s state-owned oil and gas company Petronas has committed itself to building both a liquid natural gas plant in the Canadian province of British Columbia and the pipeline to feed it. The estimated cost of the project is $36 billion.
The southeast Asian country of Bangladesh began construction of its first nuclear power plant. It would provide 10% of the country’s total power output as part of the government’s plan to increase power production to 20,000 megawatts by 2021
Japan’s greenhouse-gas emissions climbed to their second-highest level on record in the last year, mainly because the country used more fossil fuels to make up for the loss of power produced by its shut down nuclear plants.
OPEC says the boom in US shale production won’t last, and the world will need more oil from OPEC by the latter half of the decade. OPEC data show North American production will start falling off from 2018, due to estimated decline rates at shale oil wells.
with h/t Tom Whipple