Michigan Refineries Warn of Fuel Shortages and Price Increases if Line 5 Closure Continues

Shutting down the Line 5 pipeline through the Straits of Mackinac – even if only temporarily – will send adverse effects rippling throughout Michigan, other areas of the Midwest and, as well, Ontario and Quebec.

That’s according to not only Enbridge, which operates Line 5, but also the refineries that rely on the pipeline to supply the fuel provided to consumers at the fuel pump and such major customers as Detroit Metropolitan Airport.

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Oil Demand to Spike in 2021 by 5.7 Million Barrels Daily as Oil Companies Slash Production: IEA

Cuts in oil supply and a record rebound in demand in 2021 will help put the fossil fuel industry on better footing even as the pandemic hammers oil demand, the International Energy Agency said Tuesday.

Demand for oil will rebound by a record 5.7 million barrels per day even as world demand for crude drops by 8.1 million barrels daily in 2020, the IEA reported. The report comes as city officials ease up on economic lockdowns, which is spurring a recovery in crude demand.

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Plummeting Oil Prices Are Not Reflected in California’s Price at the Pump

Tennessee Star

Gas prices are falling all over the country as oil prices tumble, yet prices are still relatively high in California, where environmental polices are restricting how oil refineries can produce gasoline.

The price of a gallon of gas has plummeted in Ohio to around $1 in part because Americans are self-isolating to avoid spreading the novel coronavirus. The average price dropped 35.1 cents over the past month, according to data from the AAA and Oil Price Information Service.

A BP station in Kentucky, for instance, posted a price below $1 a gallon, The Washington Post reported Thursday. Four other stations in Oklahoma City followed suit, along with another in Paris, Tennessee. The national average for gas on Thursday was $2.03, down from $2.41 at the beginning of March.

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Russia Wages an Oil War Against Saudi Arabia and US Amid Coronavirus Concerns

Oil prices dropped Monday as Saudi Arabia and Russia haggle over whether to reduce crude production amid fears that coronavirus will hamper air travel and potentially wreck the global economy.

Prices fell into the $30s as the Saudis push for a cut in output to prop up prices, while Russia went the other way, and decided to infuse the market with hundreds of thousands of barrels of oil, according to The Washington Post. Moscow is worried that the U.S. will use shale oil to take advantage if Saudi Arabia ease off production.

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Eight Industries Venezuela Nationalized (Besides Oil)

Caracas, Venezuela

Venezuela has experienced one of the sharpest economic declines in modern history—rampant inflation, near-famine, and an exodus of millions of asylum seekers. Yet there remains disagreement over what caused it.

Many refuse to blame socialism, instead citing the collapse of oil prices, corruption, its abandonment of democracy, and other factors. If socialism did play a role, it was a small one, says Venezuelan writer Francisco Toro in the Washington Post, citing “a unique mix of circumstances, in which socialism is just one ingredient.”

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Commentary: Magical Thinking Meets the Inconvenient Realities of the ‘New Energy Economy’

by Mark P. Mills   A week doesn’t pass without a mayor, governor, policymaker or pundit joining the rush to demand, or predict, an energy future that is entirely based on wind/solar and batteries, freed from the “burden” of the hydrocarbons that have fueled societies for centuries. Regardless of one’s…

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