Category Archives: Natural Gas Industry

Reasons to Order NGL Storage from Pro-Gas, LLC

Reasons to Order NGL Storage from Pro-Gas, LLC

If you are the manager of a local oil and gas facility, you already know the importance of a reliable NGL storage supplier.

NGL storage is something you and your team should be able to accomplish with ease.

At Pro-Gas, LLC, one of our key products and services is NGL storage. Let’s take a closer look at how our process and products can make a difference in how your facility stores its NGLs and accomplishes its goals.

Our Products Are Portable

Facilities and natural gas collection sites constantly store NGLs until they move through the processing and manufacturing funnel. Permanent NGL storage lends itself to long-term storage opportunities, whereas portable storage lets your facility stay on the move and send NGLs toward successful production as quickly as possible.

We Help You Reduce Costs

Permanent NGL storage installation can cost your facility a healthy chunk of its budget. This is especially problematic if your facility is smaller, delivers to a single, fluctuating market, or just uses storage in the short term.

Today’s NGL storage demands are constantly changing, and your facility needs to stay on top of the changes to remain competitive. Portable NGL storage helps you stay flexible without the costs of permanent equipment installation that could eat up your production and mining budget.

We Limit NGL Rejection

NGL rejection is a waste of resources sitting around your facility for too long. Portable NGL storage from Pro-Gas helps you ensure that your NGLs are always put to good use.

Our portable equipment lets your facility easily access your materials when your customers need them. Aside from general waste reduction, our NGL storage also lets you preserve your long-term storage through our NGL filters.

When you work with Pro-Gas, we offer a clay-based filtration system for your NGL storage that is easy to install and keeps your natural gas clean and acceptable for processing at a later date.

Keep your facility’s success at the forefront of production with the help of portable storage from Pro-Gas, LLC.

Simple Orders and Installation

At Pro-Gas, we aim to help you succeed with as little stress as possible. We make it simple for your facility to order our portable storage systems. All you need to do is reach out, and we’ll promptly start your order.

Once we deliver your portable storage system, our team will help you install your NGL storage and filtration products to ensure your site effectively benefits from our industry-renowned products.

Save More on NGL Storage With Pro-Gas, LLC

If your oil and gas production facility are eager to keep up with the increasing public demand, Pro-Gas, LLC can help!

Our portable NGL storage may help you store your precious materials, but our other products and services like the Fuel Genie and facility services can help your production in all other areas.

Don’t let the current oil and gas supply issues keep you from success.

Contact us today to learn more about our services and schedule your next superior facility equipment upgrade!

Different Types of Oil and Gas Facilities

A Look at Different Types of Oil and Gas Facilities

When most consumers think of oil and gas, they think of the immediate availability that our industry efforts bring to the masses.

While it can seem like oil and gas delivery is a simple process, the truth is that before essential products make their way into consumers’ homes, several oil and gas facilities put in a lot of hard work to ensure product availability.

Here’s a look at some of the most important facilities in our industry and how they push production forward for oil and gas products.

Well Sites

Crude oil and natural gas well sites are where the production process starts! At these sites, workers drill oil and produce natural gas.

Although there are usually several well sites within the same vicinity, the entire lot of the sites owned by one company is known as the facility.

Central Tank Batteries

Once mined oil is sent down the pipeline from well sites, the product makes its way to central tank battery facilities.

These sites are where crude oil is received, measured, and tested before it makes its way through the rest of the pipeline system. Here, oil and gas are stored in tanks until they are ready for transportation to another site or sent down the pipeline.

Oil Refineries & Tank Farms

As we’ve mentioned before, crude oil is only the starting material for the petroleum and gas products consumers use on a daily basis. Oil refineries break crude oil down into its separate components and treat it to become ready for consumer use.

Once refineries treat oil, the different blends of petroleum products are temporarily stored on a tank farm, another facility that can hold more than 300,000 barrels of oil at any time. Once the oil is stored on a tank farm it is planned for final distribution to consumers or other storage facilities.

Natural Gas Plants

Natural gas plants welcome the gas stream from pipelines and extract natural gas liquids via a cryogenic process. These facilities are to natural gas as oil refineries are to crude oil. They essentially take raw resources and extract, compress, and sweeten natural gas before it is passed to consumers through the pipeline.

What Do All Oil and Gas Facilities Have in Common?

While each oil and gas facility may have its own purpose in the production process, the one thing they all have in common is the need for quality equipment that keeps manufacturing reliable.

Some of the most important equipment like NGL storage tanks, gas conditioners, and gas treatment packages help bring consumers the industry products that keep their world in motion.

At Pro-Gas, LLC, we specialize in providing the best facility equipment to our clients that maximize productivity and encourage safe practices throughout any site.

Secure the Best Industry Equipment for Your Facility Today, With Pro-Gas, LLC

If you manage an oil and gas facility or drill site and are ready to add the best industry equipment to your organization, let the nation’s most trusted suppliers help! At Pro-Gas, LLC, we push the industry forward with our products and services.

Contact us today to learn more about our current availability and how we can bring our best to your facility.

 

Oil pump jack and oil barrels with OPEC flag.

5 Facts About OPEC You Didn’t Know

If you’ve been around the oil and gas industry for even a brief amount of time, the chances are, you’ve heard the term OPEC thrown around from time to time. 

From local facilities to national oil companies, OPEC is an entity that we are all too familiar with. However, not all people who want to be in the know of our industry truly understand what OPEC is, its history with our nation, and how it impacts us. 

Here are five of the biggest facts to know about OPEC as you start to delve deeper into the literal wells of the industry.

1. OPEC has Multiple Goals

Although there are multiple goals in play, the primary goal of OPEC is to unify the oil-producing countries in its organization and create a stable oil economy that positively affects the oil and gas industry at an international level.

The organization’s official mission states that it aims to secure an economic, efficient, regular supply of petroleum to consumers, a steady income to producers, and a fair return on capital for those investing in the petroleum industry.

2. OPEC Controls a Majority of Crude Reserves

Not only do the members of OPEC supply the world with over 40 percent of its oil, but the nations involved with the organization literally control over 80 percent of the world’s proven crude reserves.

3. Several Powerhouse Oil Countries Are Involved with OPEC

The United States is not a member of OPEC but regularly negotiates oil prices with OPEC and the nations within the organization. These nations include:

  • Algeria
  • Angola
  • Congo
  • Equatorial Guinea
  • Gabon
  • Iran
  • Iraq
  • Kuwait
  • Libya
  • Nigeria 
  • Saudi Arabia
  • United Arab Emirates
  • Venezuela

4. Despite OPEC, U.S. Still Leads in Oil Production

Although OPEC members own a vast majority of the world’s oil reserves, our nation and the facilities we operate still prove that bigger isn’t always better.

As of 2019, the United States is considered the world’s largest oil producer. Our reserves both onshore and offshore produce nearly 19.5 million barrels per day.

5. OPEC Doesn’t Control U.S. Gas Prices

While it may seem like OPEC has an unwavering grip over the global economy, it does not directly impact the gas prices we see at local pumps. Yes, OPEC has the ability to drive oil prices by reducing its output to outside nations. 

However, our mass production of oil helps to keep their power in check. So, when output drops, national production increases, which helps even out any oil deficits and leaves gas prices at as reasonable a level as possible.

Want to Stay Locally Up-To-Date? Pro-Gas, LLC can Help

Although the United States isn’t a member of the Organization of the Petroleum Exporting Countries (OPEC), the team at Pro-Gas, LLC still recognizes the impact that this massive organization has on our international industry. 

While OPEC may have a monopoly over a large portion of natural reserves, the US is proud to expand that production we locally source. Through the sale of our premiere oil and gas products, we keep our national industry thriving despite any international shifts in prices.

Contact us today to learn more about our services and product availability.

Gasoline prices : gas price sign with a humorous slant.

Why Are Gas Prices Increasing This Summer?

The weather is warming up, people are getting back to work, and more vehicles are hitting the road than they have in the last year. Whether it’s an increase in traffic, a new President, or unprecedented pipeline hacks within the industry, those on the road are noticing a consistent increase in gas prices.

Is there a deeper reason behind increasing gas prices this summer, or is more expensive gas something that Americans typically face at this time of the year?

The team at Pro-Gas, LLC digs into industry issues for our readers; and we’re eager to show you our findings.

How Much Have Gas Prices Increased This Year?

Although many people are accustomed to summer gasoline price inflation, the truth is that due to the pandemic, this year’s increase is hitting us a little bit harder than those in the past.

According to a Consumer Price Index Report from the US Bureau of Labor and Statistics, gas prices have risen over 22% throughout the last year, and in the last month, have increased 9% since March.

Even for a seasonal increase, these are steep numbers that experts predict will cause some of the highest summer gasoline prices we’ve seen in years. 

However, while it’s normal for consumers to feel frustration at the pump, seasonal gasoline price increases should never be a surprise. Like every other annual event, with summer comes more expensive fuel.

Summer Retail Deadlines Cause Increases

Did you know that there are winter and summer blends of gasoline? Not many people do, but this is one of the leading causes of a summer price increase. During the spring months, gasoline terminals are trying to purge winter fuel from pipelines and feed in summer fuel to consumers.

There are industry deadlines in place for the purging of winter gasoline and the production of summer fuel. While pipelines are key resources to getting gasoline to consumers, the travel time between the terminal to the terminal can sometimes take weeks and causes a terminal to miss the May 1 deadline. So, once summer starts to rear its head, not all terminals have received ample gasoline resources.

As demand for gasoline increases with travel, prices naturally rise because there simply isn’t enough of a summer blend available to offer at lower prices. 

Reduced Butane in Gasoline during the Summer

The actual makeup of winter and summer gasoline blends even influences their prices. We switch blends in our industry based on the Reid Vapor Pressure in the gasoline, which measures how quickly the gasoline evaporates with heat.

Butane is a relatively inexpensive gasoline chemical that is added to winter fuel to increase its RVP and help it evaporate faster. Since summer provides a natural heat for evaporation, then the need for the fuel additive becomes less essential and the quantity of Butane is drastically reduced.

In turn, the decrease in Butane increases the price of summer gasoline.

Follow the Flow of the Industry with Pro-Gas, LLC

If you’re concerned about the progression of the industry as the nation begins to reopen, the oil and gas experts at Pro-Gas, LLC has your latest updates covered.

We are a Dallas-based distribution company that provides top-quality facility and oil site equipment to oil and gas companies across the nation. 

Contact us today to learn more about our current products and services.

A computer Hacker hacking

How Much Will the Colonial Pipeline Hack Impact the Texas O&G Economy?

2021 has already been quite a tumultuous year for the oil and gas industry; specifically in the pipeline sector. Last week, the Colonial Pipeline suffered a ransomware attack that temporarily shut down all of the pipeline’s operations.

The Colonial Pipeline is the largest pipeline in the United States and carries more than 100 million gallons of fuel to customers every day. 14 states and seven major airports directly rely on this pipeline, so it’s no surprise that when an issue manages to temporarily halt all operations, people start to get concerned about the nation’s overall gas supply.

Here’s a closer look at what happened with the hack, how long it will take for a normal supply to return, and if this problem is truly something that the average driver has to be concerned about.

What is a Ransomware Hack?

Ransomware attacks are a very prevalent problem around the world. In these situations, a gang of hackers will steal a victim’s data, freeze up their systems, and then force a payment to recover data.

According to an article from New York Magazine, the latest ransomware attack is the largest in history for the oil and gas industry. Since last Friday, the pipeline has been shut down indefinitely, with industry leaders rushing around the clock to ensure that the East Coast and Southern areas the pipeline serves to maintain ample gas supply.

State of Emergencies Declared

As news of the pipeline incident spread, the public began to grow uneasy with regard to the national supply of consumer gasoline. Over the weekend and into the early days of this week, hours-long lines began to form at pumps with many gas stations experiencing shortages after an overwhelming surge in demand.

In fact, the response to the shutdown was so large, that the Department of Transportation declared a state of emergency across 17 states and the DC area. This eased the restrictions on the transportation of fuels to these areas, yet many areas along the East Coast remain in a shortage due to high demand fueled by social concerns.

How Will This Impact Gas in Texas?

Although Texas did experience some gas price increases, there isn’t a sign of a shortage in sight for the Lone Star State. According to a KXAN interview with AAA Texas media representative, Josh Zuber, the shutdown will have little to no impact on actual fuel availability. Zuber says that if there are signs of a shortage in some areas, it is due to a reduction in gas delivery drivers and not the pipeline incident.

Will gas prices increase due to the shutdown? The answer is a mixed yes and no. While Texans may see a 4 cent increase in their petrol, they must also keep in mind that we are headed into a summer season where gas prices naturally begin to rise.

So, in short, while the shutdown may have a significant impact on East Coast supply, it’s currently not necessary for Texans to line up and fill gas cans at their local gas stations.

Stay Updated on Pipeline and O&G News with Pro-Gas, LLC

Whether you’re a member of the oil and gas industry or a curious reader that likes to inform themselves about our happenings, Pro-Gas, LLC is dedicated to providing up-to-date O&G industry news to you. 

We are a Texas-based equipment provider at a national level and proudly supply fuel conditioners and other mobile equipment options to natural gas facilities that only want the best from our industry.

Contact us today to learn more about our current services and product availability.

engineering man with safety helmet standing in industry estate against sun rising above oil refinery plant

4 Tips for Starting Your Oil and Gas Career

A career in oil and gas could be an extremely rewarding opportunity. With on-shore and offshore rig workers pulling in around 100,000 dollars a year, it’s no surprise that so many people are eager to become a part of our industry.

We get it, though, such a global and driven industry can seem like a daunting niche to break into. So, if you’re eager to try your hand at a drill site or work in an oil production facility don’t be scared off by the myths surrounding the oil & gas industry, here are four ways you can start your approach to a career in oil and gas.

Focus on Entry-Level Roles

Like every industry, success starts by getting your foot in the door. Unless you have specific training in engineering or already possess specific certificates for specific positions, you will most likely start your oil & gas industry career path in an entry-level position.

Keep in mind that many jobs in the oil and gas industry don’t require a specific area of study and are a learn-on-the-job type of situation. Therefore, there is rarely a posting on job threads for entry-level positions.

If you want to start out with a local oil company, our suggestion is to either approach the company directly with an inquiry or sign up with a recruitment company that has connections in the field you are interested in.

Don’t Let the Idea of the Oil and Gas Industry Hold You Back

One of the best things about oil and gas is that the industry is so widespread, that virtually any skill set could be deemed useful in some capacity. All you really need to do once you obtain a position is have the ability to adjust your mindset to the industry and learn fast.

Regardless of your current position or educational background, a headhunter can help you find transferable skills within industrial facilities or at actual drilling sites. From welders to offshore rig workers to talent acquisition, there is always room for a useful skill in the oil and gas industry.

Be a STEM Professional

If your goal is to start out in a mid-level or management position with a facility or firm, we suggest getting an education in science, technology, engineering, and math (STEM). These positions are even more important as we move to a digital future.

Many big-name oil and gas companies offer apprenticeship programs that can help eager post-graduates get their foot in the door.

However, in order to be considered for one of these programs, it’s common that candidates have to meet requirements that include being trained in any one of the STEM subjects.

So, if you don’t have the education to back up your goals, it’s time to look into earning some relevant certificates or return to college for a STEM-focused degree.

Understand the Ins and Outs of the Industry

Take some time to independently study the oil and gas industry and its different positions. From fieldwork to a corporate position, it is essential that you understand how the oil and gas industry works from the ground up.

Even going into an interview for an entry-level position, a thorough understanding of how the industry operates will give you the competitive edge that you need to shine above others coming into the industry completely green.

Practice with the Best Industry Equipment from Pro-Gas, LLC

If you manage to make your way into the industry, congratulations, you’ll most likely be working with some of our renowned equipment! At Pro-Gas, LLC, we pride ourselves on providing the best in oil and gas production equipment for national facilities and drill sites.

From Fuel Genies to gas conditioning equipment, we have everything a site needs for success. Reach out to us today to learn more about our current product availability.

Read our blog to keep up to date with the current trends in the oil & gas industry.

Drilling Rig Sunset Panorama

How Will the President’s Infrastructure Plan Influence Oil and Gas?

At Pro-Gas, LLC, we’ve been very interested in how politics influence our industry’s performance; and the latest Biden presidency is no exception.

As we’ve covered in the past, President Biden has already made significant changes in our industry with the cancellation of the XL pipeline that former President, Donald Trump, greenlit.

However, with the unveiling of President Biden’s proposed infrastructure plan earlier this month, it’s clear that the XL pipeline cancellation was just the beginning of both positive and negative potential changes for our industry.

There Will Be More Jobs Within Our Industry

Although President Biden is definitely focused on expanding clean energy, he still hasn’t completely taken attention away from the needs in the fossil fuel industry. According to an article from CNN, The American Jobs Plan will invest $16 million into our industry and help us plug up countless defunct oil wells.

This plan means that there will be hundreds of thousands of available industry jobs open to complete this massive project. The article from CNN claims that this is a win-win situation because it will put industry workers in union jobs, while also cleaning up the local environments where these unusable wells dwell.

What Are the Benefits of Cleaning Up Orphan Wells?

According to the Interstate Oil & Gas Compact Commission, there are around 56,000 verified orphan wells, but there could be up to 3 million other wells that have been unverified since at least the 19th century!

So, why should industry facilities care about cleaning up these wells aside from job creation? Here are some of the biggest reasons:

  • Unplugged wells can cause groundwater contamination
  • They create surface environment contamination
  • They constantly leak methane into the atmosphere, increasing the amount of damaging greenhouse gases

Not Everything is Greener On Our Side

Although new jobs are in the works, there are other issues that our industry will have to contend with and adapt to as the new infrastructure plan begins to take shape.

As the infrastructure plan expands, our industry will definitely experience more competition with electric vehicles. According to an article from S&P Global, President Biden’s plan includes a $174 billion dollar investment in the electric vehicle market. 

As great as this move is for members of the electric vehicle market, oil and gas professionals can’t help but brace for the rise in electric vehicles as we struggle to get new projects for our own industry approved.

Where exactly are the funds for the new infrastructure plan coming from? The question has many answers, one of them being the oil and gas industry.

As part of the move to cover the $2.2 trillion dollar infrastructure plan, President Biden seeks tax code changes for our industry that will:

  • Eliminate subsidies facilities and drill sites claim
  • Discourage investment in future projects

We’ll keep you updated as this area of the infrastructure plan unfolds.

Stay Updated on the Latest Oil and Gas News with Pro-Gas, LLC

If you’re a member of the oil and gas industry or are simply interested in the latest happenings within our market, Pro-Gas, LLC always has our pulse on important news updates. 

Aside from up-to-date industry news, our brand offers the best in mobile oil and gas equipment for drill sites and facilities. Contact us today to learn more about our revolutionary Fuel Genie and other available products.

Lower CO2 emissions to limit global warming and climate change.

How You Can Help Oil and Gas Reduce Greenhouse Gas Emissions

Before 2020 became a year to remember, the oil and gas industry was ready to start taking greenhouse gas emissions head-on. There were plans in place for emissions reductions, and it seemed like the industry was moving into “greener” pastures while still providing the world with the energy resources it needed.

However, 2020 did arrive, and with it came the global pandemic that put our industry in a lurch and left the majority of oil and gas companies in survival mode. Unfortunately, this meant that pushing for more progressive emissions reductions and using the cash to pay for said movements had to be put on the back burner until more prosperous times.

However, at Pro-Gas, we believe that the reduction of greenhouse gas emissions falls on all of our shoulders. So, if you want to help give oil and gas companies a head-start on a cleaner environment, here are some of the ways you can easily make a big difference through small environmentally safe, and sustainable actions.

Drive Efficiently

It’s inevitable that you need a vehicle to get around. Yet, how often you drive can vastly impact the amount of emissions you produce. If you live in a big city where you constantly drive around in short bursts, consider biking or even walking to your shorter destinations.

When you do drive, make sure that your tires are properly inflated and that you aren’t traveling with a lead foot. Keeping both of these practices in mind will help you keep 20 pounds of gas out of the environment with every gallon you end up saving.

Focus Less on Air-Conditioning and Heating

If you know that you use a lot of HVAC, you probably don’t realize the amount of emissions you’re releasing into the environment. By installing a programmable thermostat to your system, you can keep your costs low, help production facilities provide services, and prevent thousands of pounds of dioxide in the environment per year.

Perform an Annual Energy Audit

Whether you are a manager at an energy facility or just trying to save money on your home energy bills, an energy audit can ensure that your property remains efficient with how it utilizes oil and gas. Your property could suffer from cracks and leaks that force your appliances to work overtime and continuously pollute the environment with greenhouse gases.

An energy audit can help you point out the problem areas of your property and offer solutions that allow you to keep your energy contained. From uncovering insulation leaks to necessary foundation repairs, an energy audit can help you reduce your carbon footprint for years to come.

Pro-Gas Does Our Part Through Mobile Site Equipment!

While we understand that current events have slowed down oil and gas emissions reduction efforts, we know that our mobile equipment like the Fuel Genie and portable NGL storage makes a difference in the energy output that goes into operating an effective facility or drill site.

If you are a manager of an oil production facility that wants to reduce your carbon footprint, our portable equipment is the right choice for you. Let us help you avoid semi-permanent changes in the environment you work in and give you a greener option for the production process. Contact us today to learn more about our services.

Offshore Jack Up Rig in The Middle of The Sea at Sunset Time

What Are The Biggest Financial Concerns About A Stalled Oil and Gas Industry?

Without the oil and gas industry, life as we know it could stall to a total halt. During recent winter storms, many Texans quickly realized how critical oil and gas is to our daily lives.

Unfortunately, a stall in the oil and gas industry means that as a whole less cash is flowing in and out of our market. When cash runs thin at an oilfield or production facility, production slows down and the costs for production substantially increase.

Many people think that because of its size and scope, the oil and gas industry is sustainable without consistent cash flow. Unfortunately, this isn’t true and is why so many experts have concerns for the market’s future after the recent power failure and impacts of the global pandemic.

Here’s a closer look at three of the biggest financial concerns our industry currently faces as it recovers from over a year of “unprecedented events.”

Cash Flow Influences Industry Equipment Investment

The oil and gas industry is one that requires mass amounts of equipment investment when new drill sites open up or a current manufacturing facility expands. Without reliable equipment like natural gas coolers or equipment found in compressed natural gas packages, new sites are unable to spread their wings and get off the ground.

As with every industry, finances are necessary to invest in new equipment. So, even the slightest halt in a production company’s cash flow can have a significant impact on its prospective progression in oil & gas extraction.

Lack of Funds Means Lack of Progress

Drill site development isn’t as simple as buying up property and gathering resources. Staff needs to be hired, studies need to be conducted, and above all, drill rigs need to purchase for the project. These rigs alone rest within the price range of 18 and 50 million dollars!

As you can see, cash flow is essential to getting new and exciting industry projects off of the ground. So, when business is forced to halt, even a two-week recovery period can substantially set back the possibility of future projects.

The difficulty of creating future projects is where the problem lies. In an age-old profession like American oil and gas; without progression, eventually the competition will pass us up and our national industry loses its competitive edge.

Without Steady Cash Flow, Jobs Are At Risk

Aside from equipment expenses, companies still have to meet payroll for the employees who make the sites a functioning possibility. When an issue like massive power loss or a pandemic shut down large portions of our industry several financially damaging issues start to pop up within facilities and sites:

  • Production drops and incoming cash decreases
  • Payroll deadlines become difficult to meet
  • Jobs are forced into temporary or permanent obsoletion
  • Thousands of loyal oil and gas workers quickly become unemployed, further crippling the success of our industry

Follow the Oil and Gas Recovery Process With Pro-Gas, LLC

The oil and gas industry is part of the market that the Pro-Gas Services team calls “home.” We care about the developments of the facilities and oilfields our equipment serves and are happy to have our finger on the pulse on the ebb and flow of our industry.

If you are the manager of a production facility or oversee a local drill site, we want to be your source for reliable updates and equipment that keeps your business goals moving forward. 

Contact us today to learn more about our available products and services.

Railway flatcar loaded with large diameter pipe destined for use on the Trans Mountain Pipeline in Western Canada

How President Biden’s XL Pipeline Cancellation Impacts the Oil and Gas Industry

January 20, 2021, signaled a change in power throughout the nation as President Joe Biden celebrated his inauguration into the presidency. As history has shown each time an opposing party takes power over another, immediate changes were made to kick off the administration’s future plans.

One of the most controversial decisions President Biden made during his first day in office was the revocation of the construction of the Keystone XL pipeline that his predecessor, Donald Trump supported.

When this happened, social media became a flurry of mixed knowledge and uncertainty for the success of the oil and gas industry in 2021.

The Breakdown of Pipeline Plans

The Keystone XL (KXL) pipeline is a project that was at least a decade in the making. It was planned to be a 1,200-mile pipeline that spanned from Canada to Southeast Texas. Had the KXL come to fruition, it would have carried 830,000 barrels of oil per day down its lengthy pipeline.

From the start of the project, local Native American tribes and climate activists protested the KXL with the goal of protecting land as well as decreasing potential climate change that they believed would result from the project.

Did the Industry See This Cancellation Coming?

As we mentioned in a previous article about the implications of who won the presidency, President Biden is someone who plans to halt fracking on Federal lands. We predicted that these actions could hinder current and future pipeline projects due to the Democratic party’s focus on creating clean energy.

So, we can’t say we weren’t surprised when the President ultimately canceled the KXL pipeline construction on his first day in office.

Who Does the Cancellation Impact?

Currently, the cancellation most heavily impacts that Canadian and American construction workers developing the pipeline. According to TC Energy, the company behind the KXL pipeline, the current number of jobs lost to the President’s decision is around 1,000 jobs spread across Canadian and American workers.

Will the Actual Fallout Live Up to the Political Fallout?

Since the executive order, the political fallout has become an issue across the internet. One of the benefits of the pipeline was its potential to employ thousands of oil and gas workers in the long term, but experts believe that the impact of this executive order will be less destructive than what social media influencers are spreading across their channels.

The pipeline was slated to end in Southeast Texas, and many are concerned that the cancellation will impact the local oil and gas economy. Experts state that if there is going to be any actual impact on the industry, it will be directed overseas and at Canada, which has pushed for the project in order to offset oil imports.

Aside from the loss of potential construction jobs, the KXL has been a politically contentious subject for a decade and is more of a political tug of war than something that currently impacts our industry.

What can Current Oil and Gas Companies Do About the Pipeline Revocation?

Although the KXL pipeline is no longer an industry goal, we must keep in mind that there are still several other pipelines and drill sites currently operating that provide jobs and oil and gas products to the customers we are dedicated to.

We will remain focused on providing facilities and production sites with, top-tier NGL storage, fuel conditioners, and other essential NGL equipment the industry relies on. The KXL issue may be a bump in the road, but our industry roots run deep, and we know that in time oil and gas will flourish again.

Stay Up to Date on Industry News with Pro-Gas, LLC

Pro-Gas, LLC is proud to be one of the industry’s sources for high-quality products and oil and gas news. We are ready to help you push your current facilities and projects forward this year.

Contact us today to learn more about our current product offerings.