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U.S. suffers massive oil crash because of deep freeze

By JEN KERNS

  • (General Dispatch) — Due to the deep freeze hitting the energy-producing states, the catastrophe created chaos as gas and oil production had been shut down for days in the U.S.
  • Numerous oil traders and companies expressed that the US’ mass production has decreased by as much as two million barrels a day earlier and four million barrels the following day.
  • Texas, the biggest producer of oil in the US more than any other state, is not accustomed to adapt to subzero temperatures.  Also, some factories had collapsed even though weather events have infrequently stroked considerable numbers of productions offline in oil spots away from the Gulf coast.
  • Owing this to the bad weather, around 500,000 to 1.2 million barrels per day of the state’s crude production was forced to discontinue as Texas hit the coldest temperature. The undulation effect of cold weather probably reduced the output within specific weeks.
  • The production dropped severely in Permian basin, the top US shale field, as the ice-covered roads stopped the trucking of different supplies like sands and cement. Meanwhile, wellheads have frozen, cellular services are out, and the power loss simply affected Texas residents.
  • Output slit was also announced to be notable in the Anadarko basin located at Oklahoma and Eagle Ford, in Southern Texas.
  • What made the problem worst is that the equipment in Texas used in withdrawing oil is not suitable for maximum cold temperature. Due to this, some wells were disconnected by the electric power company and they find time to execute a rotating outage.
  • Meanwhile, few oil carriers ceased hoisting oil due to some road conditions.

Additional Info:

NBC News: https://www.nbcnews.com/business/energy/u-s-oil-gas-production-could-face-weeks-delays-due-n1258097

Breitbart:

https://www.breitbart.com/economy/2021/02/16/report-u-s-oil-production-drops-18-thanks-to-texas-deep-freeze/

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