Our minerals are producing in Fallon County, MT and we have pipelines running to storage tanks, etc. These have been in place for years. Is the reason ConocoPhilips is dropping our price index by approx. $20 per barrel related to the activity in the Bakken? We are really taking a huge loss from February to March and it doesn't seem right. Anyway we can show this as a loss on our income?
Is the Bakken oil coming down thru Baker and then going on to facilities from there?
Thanks
To much oil and not enough capacity to ship it out is the issue. The Tesero Oil refinery in Mandan reduced it's daily production capacity in January and February as it was doing some expansion work. That created a backlog oil setting out on the locations in tanks. Supply and Demand forced the price down. That would be my guess.
Google “rbn energy” , good info on the Bakken transportation system.
okay, guess we will have to accept the much lower price. Is there anyway we can take the higher transportation on our taxes next year as a expense? Have a good day.
Joe Jackson said:
To much oil and not enough capacity to ship it out is the issue. The Tesero Oil refinery in Mandan reduced it's daily production capacity in January and February as it was doing some expansion work. That created a backlog oil setting out on the locations in tanks. Supply and Demand forced the price down. That would be my guess.
Thanks. going to check the site. Have a good day.
charles s mallory said:
Google "rbn energy" , good info on the Bakken transportation system.
Marlene:
This "rbn energy" website is one of the best sources for Bakken Oil transportation/impacts on the web. The author of this website also blogs about various other areas including gas distributions but the articles on the Bakken paint a picture of what is actually happening to the oil from the time it leaves the origin to the refinery stage. Hope everyone will keep an eye on this website as the information is very beneficial to the true understanding of the Bakken structure.
I believe this is about the best site to suit our needs ever. Thanks so much.
charles s mallory said:
Marlene:
This "rbn energy" website is one of the best sources for Bakken Oil transportation/impacts on the web. The author of this website also blogs about various other areas including gas distributions but the articles on the Bakken paint a picture of what is actually happening to the oil from the time it leaves the origin to the refinery stage. Hope everyone will keep an eye on this website as the information is very beneficial to the true understanding of the Bakken structure.
Marlene:
I'm glad you found this website helpful. I know the manager of this website and he has over 30 years experience in energy marketing experience. I know for a fact that his research into the various facets of this industry is very intense in that he gathers information from every source to evaluate the current happenings such as price, etc. If you signed up on this website, you will recieve a dailey blog, some of which will be aimed toward the gas market but he does touch on the Bakken quite often. Hope you can learn from this website as much as I have.
You might say we are "overflowing" with infor! I did sign up. Have a good evening and great week.
charles s mallory said:
Marlene:
I'm glad you found this website helpful. I know the manager of this website and he has over 30 years experience in energy marketing experience. I know for a fact that his research into the various facets of this industry is very intense in that he gathers information from every source to evaluate the current happenings such as price, etc. If you signed up on this website, you will recieve a dailey blog, some of which will be aimed toward the gas market but he does touch on the Bakken quite often. Hope you can learn from this website as much as I have.
