Flaring is the controlled burning of natural gas that cannot be processed or sold. When natural gas is vented, the pollutant that enters the atmosphere is methane. Although flaring is less environmentally damaging, it is still a waste of valuable energy resources. Because natural gas is valuable, companies would rather capture than flare it. Due […]

In 2012 the Obama Administration updated the Corporate Average Fuel Economy (CAFE) Standards which regulate the miles-per-gallon of light-duty vehicles e.g., vehicles weighing less than 10,000 lbs. CAFE standards aim to increase fuel economy to 54.5 mpg for light-duty vehicles by 2025 as illustrated in Figure 1. Each vehicle did not need to meet the target […]

The U.S. has imposed trade tariffs on imports from China, Mexico, Canada, and the EU which is having a huge impact on trade of several commodities one of which is ethanol. In response to the U.S. sanctions, multiple countries have also levied tariffs on U.S. products. Apart from exports, U.S. produces ethanol for blending with […]

Ethane is a unique market — it’s the only commodity that can either be sold as a fuel with natural gas or be sent to petrochemical plants as a feedstock. It is this chameleon-like attribute that contributes to ethane’s volatility both in terms of production volume and pricing. Limited demand and rising supply depressed ethane […]

Crude oil production in the U.S. has been increasing steadily with a major contribution from the Permian. This is expected to continue, and, in two years, ADI expects Permian production to be nearly 50% of total U.S. crude oil production as shown in Exhibit 1.  However, a major challenge to this growth will be the […]

As the number of unconventional oil and gas wells in the U.S. continues to rise, water management is increasingly becoming a concern for operators. In many basins across the U.S. drilling is taking place further away from freshwater sources, surface water and groundwater supplies are stressed, and regulations are limiting wastewater disposal. It would benefit […]

The U.S. Department of Energy (DOE) recently announced a rule to expedite the approval of small-scale exports of natural gas including LNG. According to the new rule, DOE will consider small-scale natural gas exports to be consistent with public interest and automatically approve them if they are at or below 51.75 billion cubic feet of […]