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

blog comments powered by Disqus
Insider Monkey Headlines
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

Rito Pls Buff: The 10 Least Played Champions in LoL Season 4

10 Covers of Popular Songs that are Better than the Originals

Must See TV: The 9 Most Anticipated Shows of 2015

The 15 Biggest Box Office Bombs of All Time

10 Things The World Can’t Stand About Americans

Picture Perfect: The 6 Smartphones with the Best Cameras

The 10 Best Countries To Work In the World

A Profitable Day At The Track: 5 Tips For Betting On Horses

Tearing You Apart: 6 Bad Habits That Ruin Relationships

Learning on the Job: The 6 Biggest Mistakes Parents Make

Shopaholics Rejoice: The 12 Biggest Malls in the World

Fright Night: 10 Horror Movies Based on True Stories

Mach Mania: The 10 Fastest Jets in the World

Military Heavyweights: The 10 Countries with the Most Tanks

All In: The 7 Richest Poker Players in the World

Abracadabra: The 10 Best Magicians in the World

The 10 Richest Asian Countries in the World in 2014

Eyes in the Sky: 10 Things You Need to Know About Drones

Rising Stars: The 6 Best Silicon Valley Startups

Military Muscle: The 5 Most Advanced Armies in South America

All that Glitters: The 7 Most Luxurious Jewelry Brands in the World

5 Things You Didn’t Know About ISIS but Should

Empowering Your Money: The 5 Best Energy Stocks to Invest In

The 11 Best Android Apps You Can’t Get on iOS

The 10 Most Important International Conflicts in 2014

Mood Enhancers: The 20 Most Uplifting Songs of all Time

Lover Beware: The 8 Countries that Cheat the Most

Breath of Fresh Air: The 25 Countries with the Best Air Quality on the Planet

Singles Beware: The 8 Worst Mistakes Made on First Dates

Healthy and Happy: The 10 Countries with Lowest Healthcare Costs

The 6 Best Company Team Building Activities to Build Workplace Camaraderie

Ships Ahoy: The 10 Busiest Shipping Ports in the World

10 Productivity Tips to Save You Time and Help You Do More With Less

Grab a Bite: The Most Popular Fast Food Restaurants in America

Friday Night Thirst: The 10 Most Popular Cocktails in the World

The 6 Greatest Unsolved Mysteries We May Never Figure Out

7 Useless Products You Never Should’ve Bought

The 5 Reasons Why You’re Single and Miserable

The 7 Most Addictive Foods in the World We Can’t Stop Eating (Even Though We Should)

5 Amazing Places You Can Swim with Dolphins

The Top 7 Most Livable Countries In The World

The 10 Most Expensive Baseball Cards Ever Pulled From A Pack

The 5 Easiest Second Languages to Learn for English Speakers

Silver Spoon: The 6 Richest Families in the World

The 20 Countries with the Largest Prison Populations in the World

The Top 10 Richest Actors in the World

The 10 Best Airline Stocks to Invest In Before They Fly Too High

Burger Kings: The 10 Most Expensive Burgers in the World

The 10 Most Ethnically Diverse Countries in the World

The 10 Most Exclusive Credit Cards 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 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!