...The American Petroleum Instit PHL/266 September 26, 2012 A trade association refers to an organization formed and financed by businesses that operate in a particular industry. (Bradley, 1965) The main goal of forming trade associations is to increase the bargaining power of the members and to articulate their issues to related parties. They focus on educating their members and providing a conducive environment for business. The main purpose of this essay is the American Petroleum Institute (API). One of the main functions of trade associations is the provision of information to its members. Both Economic and Business related information is important to have effective trading. The associations assumed the responsibility of supplying such information to its members. The information provided includes that on past and present sales, production costs and production levels. Another important function of these associations is to market their members’ products and services. The associations are most likely in the frontline in marketing the industry’s products. According to Bradley (1965), this may take the form of organizing and sponsoring trade fairs for the industry as well as carrying out industry advertising. Regulation of industry’s marketing, practices is also done to effectively monitor the level of competition among the members. The American Petroleum Institute is a trade association located in the U.S. that operates in the oil and natural gas industry. The association...
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...Occidental Petroleum and Valero Energy Corporations Columbia College Introduction Occidental Petroleum Corporation (Oxy) and Valero Energy Corporation (Valero) are both international oil and gas companies, with Valero also specializing in marketing of transportation fuels, petrochemical products, and power. Each company has made an international footprint on the earth by extracting billions of gallons of oil and petroleum products worldwide. Oxy was founded in California in 1920, but did not make its first major discovery until 1961. It began operations in the Middle East over 40 years ago, which now accounts for more than one third of its production. In 1983, Oxy opened additional operations in Latin America. Since then, more than one billion barrels of oil have been produced at its Caño Limón location in Columbia. Today, nearly two-thirds of its production comes from the United States, with specific operations located in California, Colorado, Kansas, North Dakota, Oklahoma, New Mexico, and Texas (Occidental Highlights, 2013). Valero was created in 1980 and is headquartered in San Antonio, Texas. In 1997, it began adding more refineries and today stands at a total of 16. Valero expanded into the retail and wholesale markets and now supplies 7,300 outlets, to include the brands of Diamond Shamrock, Shamrock and Beacon, Ultramar, and Texaco in the United States, the Caribbean, Canada, the United Kingdom, and Ireland (Valero History, 2013). Occidental Petroleum and...
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...the largest oil spill in its history in April 2010 in the Gulf of Mexico. The explosion occurred in an oil well of British Petroleum and it is estimated that almost 4.9 billion barrels of oil was leaked to the Atlantic Ocean during the first three months since the incident. The oil spill had devastating effects of the economy and environment of America and the company had to face severe criticism from across the world community. Macro-environmental factors affecting BP Political Environment British Petroleum has held back its dividend payout to its prime stakeholders as they had been under pressure from the United States government regarding the oil spill that had occurred in the Gulf of Mexico. The company had agreed to sell of 30 billion worth of assets to pay off its clean-up bills. The company will resume its prime stakeholder dividend payout at 7 cents/share. British Petroleum is looking forward to sell two of its key refineries in the United States. nited States have threatened to replace BP from the project to seal the exploded well in the deepwater horizon. Obama acknowledged that the Gulf of Mexico contributes a major of its domestic production; he added that offshore oil drilling can be pursued only with an assurance that devastating incidents like the British Petroleum oil spill will not occur in future. Economic Environment British Petroleum oil spill has resulted in huge lose in terms of Share price fall and it is estimated to be around $25 bn. Out of this huge...
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...years, petroleum-derived plastics and metals have taken the spotlight. The petroleum industry has gained a large market share in many industries due to its cheap cost, abundance and availability. Advancements in modern technology have proven that wood can be a viable and sustainable material for many different industries with an infinitesimal environmental impact; furthermore, public valuation and education are the largest problems facing the North American wood products industry. Background and Details. When people think of wood products the first things that might come to mind are lumber and paper....
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...the condition in which fluids of petroleum flow into marine habitats (IMO 2005). Water pollution is one of the types of pollutions known to be very notorious in controlling. Although oil products are insoluble in water, the method of evacuating oil spills from the water surface, is never an easy task. When oil spills occur, the layer of petroleum formed on the surface of the water leads to blockage of the oxygen mixing with the water, to support marine life. Consequently, the marine life is affected, and if no control measures taken in time, it can lead to mass destruction to the marine life. In history, many oil spills have occurred with varied intensity. The accident of British Petroleum is one of the notable oil spills in the history. The BP oil spill that occurred back in April, 2010 in the Mexico’s Gulf is among the oil spills that caused a massive damage to the marine life. According to Ocean Portal Team (The Ocean Portal Team 1), the BP oil spill was ranked among the worst ever oil spills in the history. As a result of this accident, the British Petroleum management has been very vigilant in their businesses, and they have sought to assure everyone that they are committed to avoiding such occurrences in the future. BP being not an American firm, it has attempted to convince the Americans that indeed its management had felt the impact of the spill as any citizen of the nation would. In quest to achieve this objective, British Petroleum management produced a video commercial...
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...fenders to soft drink bottles to camping equipment? Explore this section to learn more about oil and natural gas, how they are produced and how they become the products you count on. You'll also find useful tips on how to conserve energy and use oil and natural gas products in ways that protect you, your family and our environment. Wells to Consumer Interactive Diagram This interactive diagram that shows the journey of oil and natural gas from Exploration and Production to the final products that benefit consumers. Exploration and Production Access to oil and natural gas resources is critical to supplying the energy needs of American consumers, business and homeowners. Transporting Oil and Natural Gas Supply and demand are rarely concentrated in the same place. Transportation therefore is vital to ensuring the reliable and affordable flow of petroleum we all count on to fuel our cars, heat our homes and improve the quality of our lives. Fuels and Refining America's refiners are a strategic asset for the United States, and maintaining a viable domestic refining industry is critical to the nation's economic security. Understanding Crude Oil and Product Markets Find out how horizontal drilling and hydraulic fracturing have rapidly increased crude oil production in the United States and have substantially reduced U.S. dependence upon crude oil imports from overseas. Consumer Information Learn more about the benefits and products that come from oil and natural gas and how...
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...integrated, global petroleum and chemicals enterprise oil company based in Dhahran, Saudi Arabia which is owned by the Kingdom of Saudi Arabia. The company originally known as the Standard Oil Company of California had reached a concession agreement to search for oil in Saudi Arabia during the early 1930’s. This concession would be assigned to a separate wholly owned subsidiary known as the California-Arabian Standard Oil Co. also known as CASOC. After a period of time, having found no success in locating oil, the company was joined by the Texas Oil Company in 1936. Failed explorations for locating oil was suffered by the company for a time but four years later, the company had at last met with success, managing to find oil via its seventh drill site located in Damman. The company would later on continue to change its name from the previous California-Arabian Standard Oil Co. (CASCO) to the Arabian American Company Oil Company on the 31st of January 1944. The company then continued to prosper throughout the years, attracting many investors such as the Standard Oil of New Jersey and Socony Vacuum. In 1973, the Saudi Arabian government managed to acquire a 25% stake of the company due to US support for Israel during the Yom Kippur War whereby in 1974, it managed to acquire more shareholdings by a further 60% and alas full control in 1980, when it acquired 100% of the company’s stokes. Due to a royal decree released on the November of 1988, the Arabian American Oil Company changed...
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...haves gathered an unassailable amount of evidence to conclude the warming of the planet had caused mainly by greenhouse gas emissions from burning fossil fuel. When many people use gas in a car the result is major amount pollution. When use hydrogen, the only product is water vapor. “Hydrogen can produce from diverse domestic resources, with the potential for near-zero greenhouse gas emissions.” (U.S Department of Energy, 2011) “Natural gas had been produced both worldwide and domestically at relatively low cost and is cleaner burning than gasoline or diesel fuel. Natural gas vehicles show an average reduction in ozone-forming emissions-80% compared to gasoline vehicles.” (California Energy Commission, 2002-2011) “Propane or liquefied petroleum gas (LPG) is a clean-burning fossil fuel. LPG-fueled vehicles produce fewer toxic and smog-forming air pollutants.” (California Energy Commission, 2002-2011.) By that has been said, alternative fuel vehicles can compete effectively with fossil...
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...private economic operations. These small-scale operations had little influence outside their regional realm. Eventually, American capitalism evolved from a proprietary-competitive stage to a corporate-administered stage as a result of numerous factors. Economies of scale became more applicable with innovations in transportation, communication, production, management, distribution, and marketing. As a result, America transformed into a global economic power. From 1870 to 1913, the United States’ distribution of the world’s industrial production rose from 23 percent to 36 percent (Chandler, 4). Comparing this substantial growth to other industrious countries of the time exemplifies America’s dominance. In the same time span Great Britain fell from 32 percent to 14 percent, Germany rose from 13 percent to 16 percent, France dropped from 10 percent to 6 percent, Russia rose from 4 percent to 6 percent, Japan rose from 0 percent to 1 percent, and the rest of the world rose from 17 percent to 21 percent (Chandler, 4). Capital intensive, mass production industries that rose during the 2nd half of the 19th century distinguished American business from economic institutions in other cultures and set the foundations of what is now known as the American corporation. Standard Oil An industry that was a pioneer in changing the early business landscape was the petroleum sector. In 1859, the first successful commercial drilling of oil occurred at what is known as Drake’s Well in Titusville...
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...There was extensive US business investment in oil development in Mexico throughout the early 20th century. During the Mexican Revolution, the Mexican Petroleum Corporation sold much of the Tampico oil fields to to the United State’s Standard Oil Company in 1910. During the Tampico Affair in 1914, the United States navy occupied Veracruz and sent ships to Tampico to protect American oil and businesses. The Mexican Revolution of the 1910s created several issues for American business, namely Standard Oil. American businesses had suffered damaged during the revolution and the United States was eager to find compensation from the new Mexican government. Alvaro Obregon, the revolution general who won the Mexican presidency, accepted the Bucareli...
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...decades to come after the mistakes made by the Deepwater Horizon’s crew that day. British Petroleum, the oil giant responsible for the disaster, left the American citizens of the Gulf Coastal region terrified and helpless. There were seventeen men injured in the explosion and eleven unaccounted for presumed dead, while hundreds of thousands of gallons of oil leaked into the Gulf of Mexico (BP Oil). The oil spill caused by the explosion may be recorded as one of the most catastrophic oil spills in history. This disaster served as a wake up call for the United States to seriously consider producing a well defined set of regulations for drilling in open waters. British Petroleum, although being originally founded in 1909, did not become one of the major competing oil companies until 1995 when John Browne became CEO of the company. Since this time BP has become a company that would violate laws involving regulation and cut numerous corners to create greater profit. When compared to Chevron and other oil companies, British Petroleum has been accused of 518 or more than two times as many safety violations than any other company. Also between the years 2000 and 2009 the amount of oil BP spilled into the Gulf of Mexico equated to more than the amount Shell spilled, while Shell’s production from this region was twice BP’s (Lustgarten). Although most Americans may not have known, British Petroleum has a terrible track record with the with the law, as retired EPA attorney, Jeanne Pascal...
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...Oil (Petroleum) Price Index - Includes Dated Brent, West Texas Intermediate, And The Dubai Fateh › See all The World indicators Detailed Analysis for Year: 2010 › Change year Full Dataset: from 1980 to 2016 Dataset updated: 1st August 2011 Datasource: International Monetary Fund (IMF) National or Regional Currency: US Dollar Currency Symbol: US$ The APSP denotes an equally weighted average of three crude oil spot prices - West Texas Intermediate (WTI), Dated Brent (Brent), and Dubai Fateh (Dubai). The prices of these crude oils tend to move together according to the inequality WTI > Brent > Dubai. Their price differentials reflect differences in American Petroleum Institute (API) measure of gravity, sulfur content, and overall weight. The WTI spot price refers to the physical delivery price for a barrel of WTI deliverable to Cushing, Oklahoma. The WTI price is frequently mentioned in the financial press, and is often described as the 'headline' oil price. The Brent spot price is the physical delivery price for a barrel of either Dated Brent (UK), Forties (Norway), or Oseberg (Norway) to Sullom Voe, United Kingdom (in the Shetland Islands). The Dubai Fateh spot price refers to the physical price for a barrel of Dubai Fateh deliverable in the Arabian Gulf at Dubai, United Arab Emirates. Crude Oil (Petroleum) Price Index - Includes Dated Brent, West Texas Intermediate, And The Dubai Fateh Statistics for The World, Year 2010 - In Detail Crude Oil (Petroleum) Price...
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...and politicians worldwide. The oil we use today is a byproduct of ancient fossilized organic material. Most oil deposits are found where ancient oceans, seas and lake beds existed. As material such as: zooplankton, algae and other organic materials fell to the floor it was trapped under mud and sand. The speed at which the organic material covered the floor did not allow for its proper decomposition before it was covered with layers of sand or mud. Over time, the areas were buried under sedimentary rock, which caused extreme pressures and heat. This heat and pressure exerted as time passed developed the crude oils we see today. The quality and composition of the crude oil varies based upon the hydrocarbon makeup of the petroleum. Petroleum was first used to provide kerosene for lighting in the mid nineteenth century. Demand for the less expensive fuel quickly sored in the United States and around the world. This would only be the beginning of a rush in production to feed the demand for the fuel. With the further development of the internal combustion engine the rate of oil production sky rocketed. Access to oil began to dictate development in the modern world and for the first time oil producing facilities were seen as a major...
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...Anadarko Petroleum Corporation Strategic Analysis Name I. Introduction A) History Anadarko Petroleum Corporation is an American based organization, which is recorded as the world largest natural gas and oil exploration and Production Company. The industry was formed in 1959 as a pipeline company and continued to flourish in business until it became an oil production company in 1986. It continuously followed the trend of success up to date. It operates in southern United States, Rocky Mountains region, and Appalachian basin. Further, it is a premier deepwater producer in Mexico, and production in Algeria, Ghana, Alaska, West Africa and some parts of east Africa. According to the 2012 financial report, Anadarko delivered sales of 268 million BOE, which was an increase of 8% from 2011. By the end of 2012, the company had a reserve of 2.56 billion barrels of oil. The company is committed to safe production energy in a way that protects the environment, public health and the communities (Anadarko Petroleum Corporation, 2013). Anadarko was created in 1959 as a wholly owned subsidiary of Panhandle Eastern Pipe Line Company after the discovery of large amounts of natural gas in the Anadarko Basin, thus the company's name. Anadarko spun off from Panhandle Eastern as an independent corporation in 1986 and now has activities in more than a dozen countries. Anadarko’s NAICS code is 211111 and SIC code...
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...Fuel vs. Renewable Energy: Which is More Economical and Environmentally Safe? While both have vital uses in the U.S, oil energy and renewable energy are pitted against each other as the main focuses of resources in the U.S environmental policy because each has an effect on the environment. Renewable energy is constant and can be found all over the nation, but may be costly in different ways. Fossil fuels may be a natural resource but are a one-time use that could eventually become obsolete, and could also be costly. Demonstrating in this research is a plethora of information leading to the outcome of the U.S environmental policy, and whether fossil fuels or renewable resources are best for the environment. Fossil Fuels include coal, petroleum (oil), and natural gas are concentrated organic compounds created from remains of plants and animals that lived millions of years ago formed into biomass. The refining and consumption of these resources have a massive impact on the environment and will eventually be exhausted. According to the US Energy Information Administration (EIA), fossil fuels meet around 82% of U.S. energy demand. According to the Institute for Energy Research, oil is the “transportation fuel” that makes all modern modes of transportation possible and moves both people and goods around the world. Once the products of refined crude oil came into widespread use, the US was transformed. Today, the most common products derived from oil are found in the energy sector:...
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