Category Archives: Energy News

The Dune Express

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The Permian Basin, spanning West Texas and New Mexico, now features America’s longest conveyor belt. Atlas Energy Solutions’ “Dune Express” extends 42 miles from Kermit, Texas, into Lea County, New Mexico, transporting sand for hydraulic fracturing operations.

During the fracking process, liquid is pumped into the ground at high pressure to create fractures that release oil. The sand serves a critical function—keeping these fractures open as water, oil, and gas flow through them.

This $400 million project, partially funded when the company went public in March 2023, addresses logistical challenges in one of America’s most productive oil regions. The belt began operations in January and currently runs 12-14 hours daily at half capacity, with plans to transition to continuous operation later this year.

With a freight capacity of 13 tons and operating at 10 mph, the conveyor system was designed to improve efficiency and safety in sand transportation. Before the Dune Express, sand was typically hauled by tractor-trailers. CEO John Turner noted that replacing truck transport with the conveyor belt reduces road hazards in the heavily trafficked area.

This project could have an impact on the region’s economic interests. Currently, Texas leads U.S. oil production, with the Permian Basin generating over $113 billion in economic output and supporting more than 444,000 jobs. Neighboring New Mexico, the nation’s second-largest oil producer, depends on the oil and gas industry for approximately 50% of its state budget, funding services like education and infrastructure.

The project has raised environmental concerns regarding potential impacts on local habitats. However, regional officials have noted that the reduction in truck traffic may decrease accidents on nearby highways, creating safer conditions for road users while supporting the economic activity of this energy-producing region.

Gas Prices Reach Summer High

Companies, Consumerism, Energy News, Lifestyle

According to Reuters.com, the cost of gasoline has gone up considerably this August. Gas prices across the nation have hit an average of $3.86 per gallon, an all-time high for 2023. This is a 7% increase over prices that were seen just one month ago. In certain states, such as California and Washington, the cost has risen above $5.00 per gallon.

The abnormal timing of this price increase has some people perplexed. Patrick De Haan, head of petroleum analysis at price tracker GasBuddy.com noted that, “We tend to see prices declining going into the fall.”

The price jump can be attributed to several refineries that are closed for maintenance. This impacts the available supply of oil. Heat waves, like those the United States has experienced this summer, also affect refinery production.

Despite the steep cost of filling the tank, gas prices are still below where they were in August of 2022. Labor Day travelers may still hope to get some relief at the pump.

Printed Solar Panels to be tested in Tesla

Automobile Industry, Energy News, Technology, , ,

In an effort to increase awareness about climate change, scientists in Australia are busy experimenting with printed solar panels. The team from the University of Newcastle is getting the newly invented panels ready for a 15,100-km (9,400-mile) trip in a Tesla electric car which will begin in September.

Charge Around Australia is a project that plans to power a Tesla vehicle using 18 of these special solar panels. With each plastic panel measuring 18 meters (59 feet) long, they are meant to be rolled out on the ground to absorb sunlight in order to charge. Created from laminated PET plastic, the printed solar is lightweight and costs less than $10 per square meter.

According to Paul Dastoor, the developer of the panels and coordinator of the project, the plan is twofold: the first purpose is to check the durability of the plastic panels and the second is to test the possibility of using the panels for other purposes in the future. He explained, “This is actually an ideal test bed to give us information about how we would go about using and powering technology in other remote locations, for example, in space.”

The 84-day journey is sure to raise interest in the effects of climate change. The team’s findings will have significant impact in the use of sustainable energy and solutions for the security of our planet.

Exxon Investing $50 billion in US Business

Energy News, ,

Darren Woods, CEO and Chairman of Exon Mobil, said last week that his company will be investing about $50 billion in the development of the US oil business over the next 5 years.

Woods said that Exxon is able to make such an investment due to the company’s strength and because of the recently-passed tax law which will slash corporate tax in the USA.

The money will be used to boost oil production in Texas and New Mexico, and to build new manufacturing facilities.

Woods added that the investments are good quality for shareholders which are made even better by the new tax landscape.

Many business leaders have come out in favor of the tax reform plan, which lowers corporate taxes from 35% down to 21%. Republicans were especially happy with the law, saying it will fuel growth and create more jobs. Democrats are not as pleased, saying the reforms favor the rich and expands the federal budget deficit.

Noble Group Selling Off US Energy Business to Calpine Corp.

Energy News, ,

In order to generate cash and improve liquidity, commodity trader Noble Group Ltd. Inked a deal to purchase its American energy business to US power generation company Calpine Corporation for $1.05 billion.

The deal is the latest action in a series of undertakings designed to lower its debt as well as improve its reputation. Shares of Noble have staggered badly since February 2015, when an anonymous research group accused it of questionable accounting methods. Noble insists it did nothing wrong, and even accelerated disclosures. Poor showing of commodity prices did not help the poor earnings experienced by the company.

Therefore, in order to create cash and ease liquidity, Noble announced a series of sales of assets and reduced expenditures.

In a statement released to the Singapore Exchange, Noble announced that it will receive $800 million for Noble Americas Energy Solutions. It will be paid an additional $248 million for the US unit’s working capital.

Calpine describes itself as America’s largest generator of electricity from natural gas and geothermal resources. In July it its third quarterly loss in a row.