Monday, October 13, 2014

ND oil exports

As the North Dakota oil becomes more readily available the US refineries are changing their operations. The oil imported from the Middle East is heavier than the US oil and thus the US oil contains a higher percentage of the good stuff like gasoline and aviation fuel. As these refineries make the change over the amount of gasoline is increased and thus the price for American drivers will continue to fall. The US presently is not allowed to export oil but that may change as the US becomes more self-sufficient and that would put upward pressure on the price. On the upside it will provide more jobs in the energy field and add to exports which will help in foreign trade balance which normally runs about 40 billion per month. If the government would open the Green River Formation to drilling this deficit could be overcome with exports and the number of good paying jobs would be in the millions since it would take about 500 million barrels a month in exports.

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