Seeking Alpha

PHMSA says Bakken crude may be more flammable than typical heavy crude

  • Some companies that produce oil in the Bakken region are seeing weakness amid lower crude prices and concerns about safety issues of transporting crude oil following the recent rail accident in North Dakota.
  • The Pipeline and Hazardous Materials Safety Administration today issued a safety alert noting the type of crude oil being transported from the Bakken region may be more flammable than traditional heavy crude oil.
  • Experts have said that unusually large amounts of naturally occurring and highly flammable petroleum products such as propane and ethane may be coming out of the ground with the Bakken crude.
  • Among Bakken producers: NOG -5.3%, OAS -5.2%, CLR -4.9%, KOG -4.6%, WLL -3.5%, EOX -3.1%.
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Comments (12)
  • Michael Fitzsimmons
    , contributor
    Comments (9773) | Send Message
     
    Duh - Bakken is light-sweet crude, among the highest quality crude in the world, which is why it is the refiners' top-choice:

     

    http://seekingalpha.co...
    2 Jan 2014, 02:31 PM Reply Like
  • rjj1960
    , contributor
    Comments (1372) | Send Message
     
    Hats off to the The Pipeline and Hazardous Materials Safety Administration. A brave call pointing out crude oil is hazardous. Complex topics that the average individual can miss. Impossible to make this stuff up.
    2 Jan 2014, 02:45 PM Reply Like
  • geologist
    , contributor
    Comments (405) | Send Message
     
    So much for the safety concerns regarding building an oil pipeline to ship the bakken crude oil. The EPA, and current administration has made a huge deal about safety concerns of pipelines, yet they totally buried their heads in the sand regarding the higher safety issues of shipping crude oil by rail car.

     

    Just speculation and information from past WSJ articles regarding Buffett's rails moving the crude oil since the administration prevented pipelines from being built. That supposed deal to use rails and condemn the pipelines was a trade off between Obama and Buffett. Buffett comes out with the 'Buffett Tax' plan to get voter support for Obama, and Obama agrees to not allow the pipelines to be built. Cronyism in Washington at its worst which Obama said he would not allow this type of cronyism to continue. What a joke.

     

    And how stupid can a statement be regarding lighter crude being more flammable then heavier crude. That is the exact reason it is safer to transport crude via pipelines instead of rail cars. What a country and EPA.
    2 Jan 2014, 03:13 PM Reply Like
  • Michael Fitzsimmons
    , contributor
    Comments (9773) | Send Message
     
    Yes, I too have wondered about Buffett's sway in DC these days. It's been 5 years on -XL now. Also, it's funny how Obama has been relatively silent on this latest wreck...if you google "Obama Train Wreck" all you get is Obamacare hits. Meantime, the NY Times and the Guardian are urging clemency for Edward Snowden:

     

    http://yhoo.it/1eYFeek

     

    Seems like Obama's policies are now coming home to roost. So much for positive "change". We've had two no-ops in a row. Will the US ever get a true "leader" again?
    2 Jan 2014, 03:26 PM Reply Like
  • joe kelly
    , contributor
    Comments (1810) | Send Message
     
    No. I was as big an Obama supporter as anyone at SA but I see this so far as a failed presidency. No hope on the left and the right's "heroes" are nuts like Ted Cruz.
    2 Jan 2014, 04:42 PM Reply Like
  • badbernanke
    , contributor
    Comments (268) | Send Message
     
    Funny safety alert. Who DIDN'T know that light sweet crude is more volatile than heavy crude? The good news is that pipelines are coming eventually.

     

    The politics in the US about pipelines aren't much different than what you find in Canada. The proposed pipeline to the West Coast of Canada from the oil sands has been bitterly opposed by quite a consortium of environmentalists, First Peoples groups, many Canadians who don't want their pristine public lands torn apart by a pipeline and others.

     

    The Keystone has been promoted (or characterized) not as a Bakken pipeline, but as a Canadian oil sands pipeline. It hasn't been promoted as a way to move Bakken oil although some amount of North Dakota oil could be accommodated -- indeed, if it didn't cross the border into Canada, there would be no need for Executive Branch approval. Although I am not opposed to Keystone now, I was opposed when it was designed to go through the Sand Hills region. The Ogallala aquifer is a national treasure that should be protected although it may run dry before the oil sands are exhausted at the rate it is being depleted.

     

    2 Jan 2014, 07:47 PM Reply Like
  • msdds1
    , contributor
    Comments (33) | Send Message
     
    How can he get anything done when the House has stalled everything he has given them.
    Its a package deal.
    They won't even pass a jobs bill.
    29 Jan 2014, 10:12 AM Reply Like
  • 3619ches
    , contributor
    Comments (7) | Send Message
     
    Thanks Obama. Now what are you going to do about our 'new found' energy source?
    2 Jan 2014, 03:57 PM Reply Like
  • coyote21
    , contributor
    Comments (37) | Send Message
     
    Perhaps... it would be useful to look at the operations of the railroads... it seems that they are having accidents all the time. this appears to have been caused by their negligence

     

    and what about all the chemicals that the RR haul?

     

    they've been hauling highly corrosive and volatile chemicals through major cities for a hundred years...

     

    I've always wondered why the RR are not required to run by-pass tracks around population centers... seems like that would lessen the danger to life and property for both crude and chemicals.
    2 Jan 2014, 03:59 PM Reply Like
  • Fear & Greed Trader
    , contributor
    Comments (5855) | Send Message
     
    CXO,PXD,WLL all on sale today , my selections in the energy space for '14

     

    http://seekingalpha.co...
    2 Jan 2014, 04:09 PM Reply Like
  • rbw1000@gmail.com
    , contributor
    Comment (1) | Send Message
     
    Canadian Energy Services (TSX:CEU) makes chemicals designed to make a variety of petroleum products less flammable.
    2 Jan 2014, 08:00 PM Reply Like
  • rudy caparros
    , contributor
    Comment (1) | Send Message
     
    CHLORINE GAS TRANSPORTATION SAFETY
    First Responders ask federal administrations to consider adding secondary containment to rail tank cars used to transport chlorine gas, providing lifesaving safety to First Responders and the public they serve. See First Responders Comments at PETITION C KIT.
    7 Feb 2014, 05:30 PM Reply Like
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