The yield of gasoline from a barrel of crude oil depends upon the quality of the crude oil, and the amount and type of processing at the refinery. So called “light” crude yields usually more gasoline per barrel than “heavy” crude, for a given amount of refining.

Actually, a barrel of oil contains 42 gallons. When the barrel is processed, the yield is approximately 15 to 19 gallons of gasoline, 10 gallons of fuel oil, 5 gal. of jet fuel (Kerosene) and 4 gal of other “heavy” products such as lubricants, grease, asphalt / bitumene and plastics and 4 gallons of lighter condensates/naphtha.

Now, despite the advent of the Department of  Energy, there have been no new oil refineries built in the U.S.  for over 30 yrs;  however, early in 2011 , a Texas refinery that is owned by Saudi Arabia and British Petrolium has been expanding its capacity. The project, originally scheduled for a start date of 2007, will double the plant’s output to 600,000 barrels per day, making it the nation’s largest oil refinery.

Canada has not fared much better, and they have NOT built one there for over 23 years: however, there was a proposed Canadian refinery to be built beginning in 2011 in the Placentia Bay area of Newfoundland and Labrador.

This refinery will be the first refinery built in all of North America since 1984, but the company filed for bankruptcy protection in 2009. So much for windfall profits ay?

The prior U.S. Energy Secretary Samuel Bodman predicted that “U.S. energy demand will increase by 23 percent between 2005 and 2030, with a 19 percent increase in the demand for oil and other liquid fuels.”

Even with this increased demand, the Obama Administration is NOT going to allow, let alone facilitate, increased domestic production.

So, tell me again the purpose of the Department of Energy?

JRD

Filed under: EnergyOil

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