Thread by @davidgaffen

WEDNESDAY MORNING IN ENERGY: Where I'm mostly just going to leverage the #Kentucky election to talk about Justified to try to get some eyeballs, mostly because lots going on! #OOTT #energy

So today is where we've got a big day in Brazil - where they're auctioning off offshore rights on a whole load of acreage. #OOTT

Definitely need to follow @NoriegaMarta @mariannaparraga @G_Slattery on this one.

reuters.com/article/brazil…

If all the areas receive a bid, Brazil’s government will net 106.5 billion reais ($26.7 billion) in signing bonuses - and that will plug holes in the country's leaky budget.

Brazil is one of few non-OPEC countries boosting production, meanwhile. #OOTT

Again, the bidding is going on *now* so you have to follow those folks. Gram already talking it up on his timeline:

https://twitter.com/G_Slattery/status/1192044470465966082?s=20

#Brazil #OOTT #oil

Nice piece here from @lailakearney on how the causes of the Philadelphia refinery fire are raising some real alarm - because like explosions in 2010 and 2012 in Washington State and California, it was related to decades-old equipment that ran to failure.

reuters.com/article/us-pes…

The avg refinery in the US is 80 yrs old. Nearly 30 of them are more than a century old. And naturally there are going to be lots of parts that are difficult to get to for inspection - but these similar aspects come up in these cases. #OOTT #Philadelphiarefinery

“A lot of these refineries around the US are quite old now,” former Chemical Safety Board head mg dir. Daniel Horowitz said. “That doesn’t mean that every single piece of equipment dates back to the founding, but they are old and eventually all sorts of components can fail.”

PES said it wouldn't have expected the piping to corrode at the rate it did b/c, well, other nearby parts tested didn't.

But it did - as did others. And the codes governing how often refineries inspect parts are mostly industry best practices. #OOTT #refining

We pause here just to embed Nick Searcy's epic speech from Season 4 of #Justified, the best one ever on the show, on Drew Thompson.

"And then he has the balls to get a job in law enforcement, not once, but TWICE." Killer.

Landowners are once again getting more angry about the possibility of the #KeystoneXL expansion - especially as people are still trying to clean up the awful spill in North Dakota, via @ValerieVolco .

reuters.com/article/us-usa…

“The spill confirms what we have been warning people about over the last 10 years,” said Jeanne Crumly, who owns a cattle ranch along Keystone XL’s approved path and fears a spill could contaminate her land and harm her cows.

We still don't know the cause. But we've had several spills on this line since it went into service in 2010 - four of them of some notable size, including the 2017 one in South Dakota and now this one.

#OOTT #KeystonePipeline #KeystoneXL

Let's go back here to an earlier story from @ValerieVolco and @rich_reuters, which tells the tale:

mobile.reuters.com/article/amp/ca…

Before building the line, TransCanada's spill risk assessment estimated the chance of a leak of more than 50 barrels to be "not more than once every seven to 11 years over the entire length of the pipeline in the United States," according to its South Dakota operating permit.

So we're at almost 10 years. And we've had 4 major ones - two of several hundred barrels, two up in the several thousand range.

The SD one was caused by corrosion from weights placed on the line. This, we don't know. #OOTT

#Justified interlude, Volume 2, given it's all about #Kentucky today.

This is Raylan Givens, and I won't print it in my PG-twitter stream, but this is solid advice.

Mitsubishi, meanwhile, is shutting its oil trading unit after massive losses:
reuters.com/article/us-mit…

#OOTT #Japan

The unit, Petro-Diamond Singapore, will lose about 34.2 billion yen ($314 million) before taxes, after closing the unofficial trading positions. The company said in September that 1 trader lost $320 mln in unauthorized crude derivatives trades (!!). #OOTT

And meanwhile, here's Boyd Crowder, explaining his philosophy, in a nice one-episode bit from Shea Wingham, most notable for his time on Boardwalk Empire as Eli Thompson. #Kentucky

Per @chrisplumb things are looking underwhelming so far on #brazil - so follow along with him and the others and they should be able to keep you informed.

But some summary items here - basically, Petrobras (the..uh...state-run company) won one block at the minimum bid.

Two other blocks - Sepia and Atapu - didn't get any bids. Shell's Brazil unit said the blocks were expensive, tho they judged it a success. #Brazil

EIA Moment of Raylan in about 10 min, folks:

CRUDE: +1.5 mln bbls
DISTY: -949K bbls
GASOLINE: -1.8 mln bbls

#OOTT

(Separately, it's been a long time since I've been to #Kentucky, but the Bluegrass State is one of the prettiest in the nation, lotta rolling hills.)

More more more! on Brazil, that is. Per @chrisplumb -- it is, well, it didn't go great.

https://twitter.com/chrisplumb/status/1192106890819452928?s=20