Three tankers of U.S. crude have landed in Europe, delivering the first shipments of U.S. energy resources since Washington lifted the 40-year-old ban on crude oil exports. Although few are expecting U.S. oil to flood the world market right away, the arrival of American crude to foreign nations marks a symbolic moment for the U.S. in the current restructuring of our energy landscape.
As energy companies look to make the next move beyond Canada and Mexico, the initial push of crude highlights the notion that, “traders are already finding ways to profit by shipping American oil abroad” (Financial Times). This is especially significant since the blend of U.S. light sweet crude is beneficial to European refineries making it more attractive to foreign markets.
(Image Courtesy of Financial Times)
The increased traffic also has U.S. ports gearing up for preparations of crude oil exports for the long-term, including the Port of Corpus Christi which is uniquely located near large shale plays. “With the lifting of the export ban, we will see more momentum and more dollars allocated to that project by the federal government,” said Sean Strawbridge, Port of Corpus Christi chief operation officer.
Texas Governor Greg Abbot also welcomed the new era of crude oil exports, tweeting out, “Texas is now shipping oil. This is great for our jobs and economy.”