“We have to take seriously the volume of crude that the U.S. has got to export,” Dan Lippe, principal of Petral Consulting, told Midstream Business. “Predominantly that is now light sweet crudes, but over time it will be whatever the domestic refining sector does not want.”

It is simple economics, Chris Hedge, a director in the process and technology practice at consultancy Opportune, told Midstream Business. “We have more supply in the U.S. than we have demand. Without access to more demand, growth is capped. Exports provide access to more demand and supply can grow. Add to this the fact that U.S. supply is low-cost compared with other areas of supply, and U.S. barrels will compete nicely in the global markets.”

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