DOE to accept bids for Elk Hills crude

Journal Article · Mon May 04 04:00:00 EDT 1992 · Oil and Gas Journal; (United States)

OSTI ID:5436602

This paper reports that the Department of Energy will accept bids in a reoffering sale covering 53,400 b/d of Elk Hills field oil but later may exercise an option to cut sales volumes and ship 20,000 b/d to Strategic Petroleum Reserve sites in Texas. DOE rejected all 19 bids submitted in an earlier semiannual sale of crude oil from the California naval petroleum reserve, saying they were too low. DOE the, The unique combination of federal and state government policies affecting the movement of oil into and out of the California market has contributed to a situation in which it apparently is very difficult for the government to receive a price for Elk Hills oil that satisfies the minimum price tests that govern the sale of Elk Hills oil. The 12 winning bids in the reoffering sale averaged $13.58/bbl, with bids for the higher quality Stevens zone crude averaging $13.92/bbl, about 67 cents/bbl higher than bids rejected last month. DOE the 20,000 b/d is all local pipelines can ship to the interstate All-American pipeline for transfer to Texas beginning in June.

• OSTI ID: 5436602
• Journal Information: Oil and Gas Journal; (United States), Journal Name: Oil and Gas Journal; (United States) Vol. 90:8; ISSN 0030-1388; ISSN OIGJA
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
020700* -- Petroleum-- Economics
Industrial
& Business Aspects
021000 -- Petroleum-- Legislation & Regulations
023000 -- Petroleum-- Properties & Composition
29 ENERGY PLANNING, POLICY, AND ECONOMY
294002 -- Energy Planning & Policy-- Petroleum
CALIFORNIA
DEVELOPED COUNTRIES
DRILLING
ECONOMIC POLICY
ENERGY SOURCES
FEDERAL REGION VI
FOSSIL FUELS
FUELS
GEOLOGIC DEPOSITS
GOVERNMENT POLICIES
INDUSTRY
MARKET
MINERAL RESOURCES
NORTH AMERICA
PETROLEUM
PETROLEUM DEPOSITS
PETROLEUM INDUSTRY
PIPELINES
PLANNING
PRICES
RESOURCES
TEXAS
USA
VISCOSITY
WELL DRILLING