Deloitte: ConocoPhillips exec wants ban lifted on US oil exports
Ryan Lance, chief executive officer of ConocoPhillips, said lifting an existing US ban on exporting crude oil could encourage more production from tight oil formations.
Speaking Nov. 19 at the Deloitte Oil & Gas Conference in Houston, Lance said many US refineries are set up to process heavy, sour crude from Canada and South America rather than the light, sweet crude coming from US unconventional plays.
“The refineries are tooled up for sour crudes, with only so much capacity for light sweet crudes,” he said.
Refineries overseas likely could process the light, sweet crude cheaper than could US refiners, who would first have to invest in altering their processing equipment, he said.
“It will ultimately give the consumer cheaper prices at the pump,” Lance said. “I accept that it is going to be pretty hard climb,” to convince US lawmakers. “But we need to start making the case for the economic benefits.”
ConocoPhillips, based in Houston, reported $55 billion in yearly revenue and $120 billion of total assets as of Sept. 30. Proved reserves were 8.6 billion boe as of Dec. 31, 2012.
Contact Paula Dittrick at [email protected].
Paula Dittrick | Senior Staff Writer
Paula Dittrick has covered oil and gas from Houston for more than 20 years. Starting in May 2007, she developed a health, safety, and environment beat for Oil & Gas Journal. Dittrick is familiar with the industry’s financial aspects. She also monitors issues associated with carbon sequestration and renewable energy.
Dittrick joined OGJ in February 2001. Previously, she worked for Dow Jones and United Press International. She began writing about oil and gas as UPI’s West Texas bureau chief during the 1980s. She earned a Bachelor’s of Science degree in journalism from the University of Nebraska in 1974.
