February 03, 2012
Volume: 4
Issue: 23

Fuels & Processing

BP Begins Shipping Crude Along Trans-Panama Pipeline

BP Products North America, Inc. announced February 2 that it has started pipelining crude oil across Panama, eliminating the needs for ships to sail thousands of miles around South America in order to eventually deliver their cargoes to the U.S. West Coast.

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Russia to Cut Diesel, Fuel Oil Export Duties

The Russian government plans to reduce export duties on diesel fuel and fuel oil soon to compensate oil companies for stable oil prices in January-February, according to a January 30 report from business daily Vedomosti, citing two sources at government bodies.

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India’s ONGC to Refocus on UCG, Unconventional Hydrocarbons

India’s state-owned Oil and Natural Gas Corp. (ONGC) is putting new focus on production of unconventional hydrocarbons including underground coal gasification (UCG) schemes.

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Interest in Coryton Oil Refinery ‘Encouraging’ – U.K. Energy Minister

Interest in the 180,000 barrel-per-day Coryton refinery was described as “very encouraging” by U.K. Energy Minister Charles Hendry on February 2. The site halted sales after its Swiss owner, Petroplus Holdings AG, placed the plant into administration – the equivalent of Chapter 11 bankruptcy in the U.S. – a week ago.

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ACC: Shale Gas Could Spark Job Boom, Boost State Revenue in Michigan

Abundant and affordable supplies of natural gas from shale could produce more than 19,000 permanent, high-paying chemical manufacturing jobs in Michigan, revitalizing the state’s industrial base, driving economic growth and boosting exports while generating tens of million of dollars in much-needed state revenue, according to report issued January 24 by the American Chemistry Council (ACC).

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Aventine Resumes Work at Illinois Ethanol Facility

Aventine Renewable Energy Holdings, Inc. is resuming work on its ethanol plant located in Canton, Ill.

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Feature

‘ULSD Corrosion:’ Microbes, Sludge, Biocides, ‘Filming Amines’ Debate

The “Clean Diesel Fuel Alliance” investigation into a mysterious diesel fuel storage-tank system corrosion phenomenon (see Diesel Fuel News on 01/02/2012) has fingered microbially-induced corrosion (MIC) as among the three possible leading causes, along with acetic acid and certain fuel additives.
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Key Market Prices

NYMEX WTI Slides Lower on Demand Worries

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Electric Power

Fluor Wins Contract for 125-MW Solar Power Plant in Arizona

Texas-based Fluor announced January 31 that it won an engineering, procurement and construction (EPC) contract from LS Power for the 125-megawatt (MW) “Arlington Valley Solar Energy II” (AVSE II) solar-photovoltaic (PV) power plant in Maricopa County, Ariz.

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Siemens Wins First Wind-Turbine Power Orders in Africa

Siemens announced January 30 that it won its first-ever wind turbine orders in Africa, via a 100 megawatt power deal with Nareva Holding in Morocco.

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Transportation & Logistics

Mitsubishi, Hitachi, Endesa Team Up on EV-Recharge Demonstration in Spain

Mitsubishi Heavy Industries (MHI), Hitachi and Mitsubishi Corp. (MC) announced January 27 that they won a joint contract for a “smart community” transport electrification-demonstration project in Spain, which targets electric vehicle (EV) recharging and EV communications systems.

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Honda Begins U.S. Deliveries of 2013 ‘Fit’ EV

Honda announced January 20 that it delivered a 2013 “Fit” pure electric vehicle (EV) to the city of Torrance, California, in a move the company describes as “one of the first major steps in the Honda Electric Vehicle demonstration program, a prelude to the retail market launch of the ‘Fit’ EV with customers in California and Oregon this summer.”

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Earthquake-Hit Japan Sees 16.3% Drop in 2011 Auto Sales

The massive earthquake and tsunami that struck Japan in March 2011 explains a 16.3% drop in total 2011 passenger car sales, as recorded by the Japan Automobile Manufacturers Association (JAMA).

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Margins & Economics

Crude Futures Fall US$1.25/bbl on High Domestic Inventories

NYMEX light, sweet crude for March delivery finished at US$96.36 per barrel (/bbl), down $1.25 on February 2, posting losses for the fifth consecutive session.

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Public Policy

NBB to Congress: Reinstate Tax Incentive

On January 31, the National Biodiesel Board (NBB) submitted written testimony to the Senate Finance Committee, in which the group said the U.S. biodiesel industry’s record growth and resulting job creation is at risk without immediate action from Congress to reinstate the industry’s US$1 per gallon tax incentive that expired on December 31, 2011.

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