![]() All of our energy extraction and mining companies are struggling from those cost pressures and those low commodity prices. These are decades-low levels of commodity prices. ![]() But a large number of our customers are facing cost pressures due to the low commodity prices. So that is the real conundrum that will have to be looked at by the Feds and the state.ĬRANE: Utah’s economy is strong and it’s growing. And there’s no room in this area for additional emissions. But that means they’ll have to open up their permits. But modeling shows that’s still a net gain for air quality with fewer emissions. It has to go somewhere, so their point emissions will actually increase. One interesting thing, though, as they move forward is we need to take more silver out of the gasoline. Tesoro has said it will make Tier 3 gasoline here at this refinery, but I’m not sure about the others. Obviously the refineries only have control over one part of that. And that would make one of the largest differences in that sector, both changing out the fuel but also changing out the vehicles that use it. They are like 3 or 4 percent.īut there’s a lot of pressure, obviously, in the media all the time for them to do more. And the refineries are even a smaller part of that. SMITH: The emissions inventory in this valley-what causes the air pollution during our winter and ozone season-really a very small portion comes from large industry. But in particular, what is the refining industry doing or what can they do to help with air quality? People are curious about how the refining industry is doing. Currently there are zero wells being drilled in Utah-for the first time in a 70-year history of the industry. We have gone from 1,200 wells drilled in Utah in 2008 to last year there was 150. We have gone from a high of $150 a barrel down to lows of the $20s, and right now we are sitting at the mid-$30s. So our path forward is looking at every way we can to reduce cost and optimize efficiencies.įRANKLIN: It’s definitely not good in the oil and gas industry. But as a result of that, we have had to cut prices, cut costs, become more efficient, become a leaner, better operating facility to remain in business. copper, and we are still maintaining what we do. ![]() Kennecott produces roughly 20 to 25 percent of the U.S. What we are being told is the majority of copper producers have either ceased or slowed operations. BROWN: In the copper industry, we have had prices hit 15-, 20-year lows. What’s the overall outlook for your industry? Let’s begin by getting a sense of what’s happening in each of your sectors. A special thank you to Rob Simmons, energy policy and law manager for the Governor’s Office of Energy Development, for moderating the discussion.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |