Shell gets U.S. OK to export lightly processed oil
Royal Dutch Shell said on Tuesday it received U.S. approval to export a very light form of crude oil that has undergone minimal processing. Shell had been working with the U.S. Department of Commerce’s Bureau of Industry and Security (BIS) on how to ship lightly processed condensate overseas without violating a decades-old crude export ban,according to reports by Reuters.
The approval enables Shell to move ahead with exports of condensate that qualifies as an exportable refined product as defined by BIS guidance issued on Dec. 30, the company said. However, U.S. crude oil prices have fallen by more than half since June, to less than $50 a barrel, and Shell said it would export processed condensate when it was sufficiently profitable. ‘The timing of any potential future export of this product will be determined by the economics of the transaction,’ Shell said.