Western Railroad Discussion > Oklahoma oil boom.................gas notwithstanding

Twin Farmrail oil shuttles prepare to leave Sayre, OK for points east and south. With the price of natural gas so low, the sweet crude found during the drilling of the gas wells has become the primary focus. 11-03-12.

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DRILL...BABY...DRILL.!!!

Easier to look for oil if thats what you want. The natural gas normally comes with the oil instead of the other way around. Gas is the 'drive' mechanism to the oil.

"Easier to look for oil if thats what you want. The natural gas normally comes with the oil instead of the other way around. Gas is the 'drive' mechanism to the oil."

True enough that most oil wells also produce some gas. But the really big and important natural gas production comes from gas reservoirs with little or no associated oil production.

Dick
Roosevelt, Utah

alco539 Wrote:
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> DRILL...BABY...DRILL.!!!

Just keep in mind that when oil leaves the well, it immediately becomes part of the world oil commodity market. It is "our" oil as long as it stays in the ground. The notion of "oil independence" is silly, unless the US unilaterally withdraws from the world oil commodity market. What would you guess the probability of that happening?

The commodity reports often mention "sweet light crude", but never say anything about "SOUR HEAVY crude." I think some of the oil found in the Los Angeles area is in the latter category.

Virtually all the Oil coming out of the wells in the Gulf of Mexico is Heavy Sour Crude.

Seems to me I was reading something the other day about how corrosive the heavy crude coming out of Canada is.

poffcapt Wrote:
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> Seems to me I was reading something the other day
> about how corrosive the heavy crude coming out of
> Canada is.


That is, in part, why the pipeline has been halted. The crude polluted a river near Kalamazoo MI. We do not have the technology to recover that crude, and it is now lining the river bottom, with all of the pollutants contaminating the water.

Natural gas is often divided into "dry gas" and "wet gas" by drillers.

Dry gas is natural gas that can be filtered and piped immediately. Wet gas or oily gas has many additional petroleum substances that have to be filtered out and can be sold at a significantly higher price than the remaining dry gas. It is often found in combination with oil.

The profits on wet gas are dramatically higher than dry gas profits right now.

LOVES ME SOME FARMRAIL!! Thanks for posting! One of my favorite shortlines.

Have they upgraded the tracks with this boom in traffic? If not, I bet the joints are getting worn down fast. Great operation.

zzzzz Wrote:
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> Have they upgraded the tracks with this boom in
> traffic? If not, I bet the joints are getting worn
> down fast. Great operation.

Work in progress. Check out their news at http://www.farmrail.com/News.html

Bill G.
Tulsa, OK

mustraline Wrote:
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> poffcapt Wrote:
> --------------------------------------------------
> -----
> > Seems to me I was reading something the other
> day
> > about how corrosive the heavy crude coming out
> of
> > Canada is.
>
>
> That is, in part, why the pipeline has been
> halted. The crude polluted a river near Kalamazoo
> MI. We do not have the technology to recover that
> crude, and it is now lining the river bottom, with
> all of the pollutants contaminating the water.


So are these the companies involved who want to build a big port on Hudson Bay? Then they can ship the toxic crude out during the summer months.