Pioneer Natural Resources (PXD)’s Refining Capacity Saturation Dilemma

Pioneer Natural Resources (NYSE:PXD) has been riding high on the U.S. energy boom. It’s not only Pioneer Natural Resources (NYSE:PXD), but several energy, oil and gas companies that have witnessed tremendous growth over the past few years and are predicting the good times to continue. The oil boom has reached such a stage that companies in U.S. are finding it tough to refine the oil that they are producing. Scott Sheffield, CEO of Pioneer Natural Resources (NYSE:PXD), discussed the energy boom that U.S. is going through and regulations concerning energy industry on Fox Business on Thursday.

Pioneer Natural Resources (NYSE:PXD)

“I will describe this as a game changer for this country; the U.S. oil production was at 5 million barrels a day just a few years ago. Now we are at 8.5 million barrels a day and it’s all because of the oil shell revolution with three big discoveries and primarily the Permian basin, 75 billion-barrel field, the Eagle field, a 25 billion-barrel field and then the Bakken, 25 billion-barrel field,” Sheffield said.

Sheffield revealed that Pioneer Natural Resources (NYSE:PXD), along with another company, has made a filing with the U.S. Commerce Department that allows it to export the condensate that comes out of the Eagle field as it goes through distillation. He also revealed that Pioneer Natural Resources (NYSE:PXD) has already exported two cargos, one of them to South Korea and another to Europe, he highlighted that due to the Ukrainian crisis, Europe needs this product.

Sheffield feels that once the refining capacity in U.S. matches up to the pace of its oil production, companies would be able to export even oil, apart from the condensate that is already exported. He believes that the refining capacity saturation in U.S. would cease to exist in the nest three year as the general public, the administration and the U.S. Congress gets educated about the potential that U.S. posess in terms of exporting oil and natural gas. Sheffield predicts that if U.S. starts exporting natural gas, it will put pressure on OPEC and bring the cost of natural gas down.


Disclosure: None

Biotech Insider Alert - $6 Stock To Hit $40

$200 Million Dollar Healthcare Hedge Fund's #1 Best Idea Right Now

The best healthcare hedge fund out there right now is one of the largest shareholders in this biotech stock. The fund returned more than 20% in each of the last 2 years with a virtually fully hedged portfolio, and it's sending out a BUY signal on this biotech stock. Get your FREE REPORT today (retail value of $300)

This is a FREE report from Insider Monkey. Credit Card is NOT required.
Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The Best Romance Movies of all Time

The Most Wanted Drug Lords

The Oldest Money Managers

The Greatest Directors in the World

Largest Animals in the World

World’s Most Expensive Desserts

Best Selling Comic Books of All Time

A-list Actors who Sabotaged Their Career

Rappers With a College Degree

The Best Jazz Albums of all Time

The Most Influential Jazz Musicians

The World’s Most Famous Photographers

The Best Oscar-Winning Songs

Most Influential Choreographers Ever

Most Expensive Department Stores in the World

The Most Expensive Stolen Paintings in the World

The World’s Most Expensive Teas

Top Oscar Record Holders

The Most Expensive Flowers in the World

Countries With a Booming Film Industry

Most Expensive Cupcakes in the World

Uncommon European Escapes

The Most Stolen Artists in History

Best Travel Destinations in Australia

World’s Most Expensive Musical Instruments

World’s Most Famous Animals

Most Expensive Cakes in the World

Most Expensive Kosher Champagne in the World

Most Expensive Kosher Wine in the World

The Most Surprisingly Dark Fairy Tales

Most Popular Travel Destinations in Asia

The 10 Most Expensive Dresses Ever Worn to the Oscars

World’s Most Visited Art Museums

Best Countries for Photographers to Work in

Best Paid Jobs in the Film Industry

The Most Renowned Recovered Paintings Ever

Child Stars That Turned out Just Fine

Books That Were Banned in the Past Century

World’s Richest Dancers

Best Remedies against Bad Breath

Foods That Improve Your Skin Texture

Best-Selling Children’s Books of all Time

Foods That Boost Your Libido

Best-Selling Books of all Time

The Most Expensive Academy Awards Jewelry in History

Most Expensive Japanese Restaurant In New York City

The Best B-Boy Movies

Most Awesome Hip Hop Documentaries

Foods That Stain Your Teeth

Richest Doctors in the World

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 129% in 2.5 years!! Wondering How?

Download a complete edition of our newsletter for free!