Judge Blocks Anti-Fracking Rules on Federal Land

A federal judge in Wyoming has issued a preliminary injunction preventing the Department of the Interior from enforcing rules on the use of hydraulic fracturing on federal lands, saying the Bureau of Land Management lacks authority to oversee drilling activity and that such regulation should be left to the states.

United States District Court Scott Skavdahl said in his ruling that a federal agency must derive its power from Congress, but “at this point, the Court does not believe Congress has granted or delegated to the BLM authority to regulate fracking.”

Continue reading

ExxonMobil Sells Damaged Torrance Refinery

PBF Energy Inc. (NYSE: PBF) announced that it will purchase the damaged ExxonMobil Torrance refinery and related assets for $537.5 million. The transaction is expected to close in the second quarter of 2016, after repairs are completed.

The 750-acre refinery has a capacity of 155,000 barrels per day, but due to damage from an explosion in February it now operates at only 20% of capacity.

Continue reading

Regulators Reprimand Coast Pipeline Operator

Federal regulators have issued warnings to Plains All American Pipeline Co. for “probable violations” related to the rupture in May of an oil pipeline on the Santa Barbara coast that spilled up to 3,400 barrels of crude.

Officials with the federal Pipeline and Hazardous Materials Safety Administration said the company was unable to provide records of its internal safety evaluation of the pipeline that failed or that documented steps to ensure supervisors were familiar with safety procedures, and had not maintained adequate records of pressure-testing of tanks designed to handle surges.

Continue reading

Oil & Gas Industry Fuels California’s Economy

A report released by the Western States Petroleum Association details the substantial wspa_reportcontribution the petroleum industry makes to California’s state and local economies, accounting for nearly 456,000 jobs, hundreds of billions in revenues, and more than 9% of the state’s gross domestic product.

Those figures form the core of a new 76-page report by the Los Angeles County Economic Development Corporation (LAEDC.) The analysis, drawn from public data on employment, taxes and business activity, show the industry is a major economic engine for the state.

Continue reading

Chevron Reports Quarterly Profits of $571 Million

Chevron Corporation (NYSE: CVX) reported earnings of $571 million, or 30 cents per share, for the second quarter of 2015 on revenues of $37 billion. This compares with earnings of $5.7 billion, or $2.98 per share on revenues of $56 billion in the same quarter of 2014.

“Second quarter financial results were weak, reflecting a crude price decline of nearly 50% from a year ago, said John Watson, Chairman and CEO of the San Ramon-based company. “Our upstream businesses were particularly hard hit, as lower prices reduced revenues and triggered impairments and other charges. Downstream operations continued to deliver strong financial performance, reflecting both high reliability and improved margins.”

Continue reading