Lift Crude Oil Export Ban Expected To Expire While Renewable Credits Continue

That helped drive ultra-low sulfur diesel futures (which includes heating oil) down 3.45 cents, or 3%, to $1.1122 a gallon, the lowest settlement since August 2004.

Pearce said that schools, roads and hospitals throughout the state will see benefits with the increased oil and gas production associated with exportation. Current federal law prohibits companies in the US from shipping raw oil out of the country, but there are exceptions to the rule.

A March 2014 poll by Reuters found that almost 60 percent of Americans support the restriction on oil exports. That, in turn, has driven down prices. “According to the Government Accountability Office, consumer gas prices here at home could drop as much as 13 cents per gallon so families can save more at the pump”, Ryan said.

Arab members of the Organization of the Petroleum Exporting Countries had banned oil exports to the United States in retaliation for Washington’s support of Israel during the Arab-Israeli war. “We’re talking about leveling out some of the volatility we see because the market has access to USA barrels”, Mr. Lance said.

GOP and industry leaders have called the ban antiquated and applauded the proposal to lift it. “It would have been a lot harder”. “A reversal of the ban sets the stage for a brighter future”, he said.

New Mexico Oil and Gas Association Vice President and Director of Communications Wally Drangmeister said that the export ban lifting is excellent news for producers in New Mexico and the entire domestic industry. Earlier Tuesday, people familiar with the discussions said the bargain would allow 5-year extensions of wind and solar tax credits and a two-year extension of the U.S. Land and Water Conservation Fund. The measures must be passed by both the House and Senate and ultimately signed by President Barack Obama.

“This balanced and bipartisan agreement to lift the ban on oil exports while making truly robust investments in clean energy production will create and preserve jobs in New Mexico at a time when we truly need them”, Heinrich said in the news release. “It’s a big win for our manufacturers and for our foreign policy”.

Back in 2012 the USA, for the first time since 1949, actually exported more refined gasoline, heating oil and diesel fuel than it imported. Yet we don’t think that the immediate effects will be great on prices, unfortunately for Louisiana’s oil patch.

In recent years, oil industry lobbyists like the American Petroleum Institute have been aggressively chipping away at the oil export ban.

There were eight million reasons why oil sold off yesterday and majority were in the Gulf Coast of the United States. That would have cost the region thousands of jobs. And Chair of the Business Roundtable Committee on Energy and Environment.

Even a $2 increase could be meaningful for Bakken producers in parts of Williams and Mountrail counties where production is close to a break-even price with North Dakota oil prices around $30, Helms said.

More than a dozen independent oil companies, including Continental Resources and ConocoPhillips, have been arguing that unfettered oil exports would eliminate market distortions, stimulate the US economy and boost national security.