the American judicial authorities made a decision on the closure of the pipeline Dakota Access due to violations of environmental requirements. The resolution must be executed prior to August 5, according to Bloomberg.
Experts point out that the closure of the Dakota Access will cause a devastating blow to the Bakken field in North Dakota, one of the main sources of hydrocarbons from oil shale in the United States. The oil produced here comes only through the pipeline.
according to the publication, oil production at the field has enabled US to become the world’s largest provider of shale oil. However, due to the spread of coronavirus and the resulting drop in demand for fuel production has decreased by 500 thousand barrels of oil per day. Difficulties arose even before the pandemic, because the serious competition made up Permian basin in Texas, where oil production was cheaper.
the Precise terms in which operation of the pipeline will be suspended, is still unknown. The environmental review process can take a long time and last until 2021.
According to research company ShaleProfile Analytics, USA at risk of losing up to a third of shale oil production. The reason experts called a record decline in the number of drilling rigs operating, up to 318 units.
