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Global oil refineries map by FracTracker - Ted Auch

Tracking Global Oil Refineries and their Emissions

Potential Conflict Hotspots and Global Productivity Choke Points

Today, FracTracker is releasing a complete inventory of all 536 global oil refineries, along with estimates of daily capacity, CO2 emissions per year, and various products. These data have also been visualized in the map below.

Total productivity from these refineries amounts to 79,372,612 barrels per day (BPD) of oil worldwide, according to the data we were able to compile. However, based on the International Energy Agency, global production is currently around 96 million BPD, which means that our capacity estimates are more indicative of conditions between 2002 and 2003 according to BP’s World Oil Production estimates. We estimate this disparity is a result of countries’ reluctance to share individual refinery values or rates of change due to national security concerns or related strategic reasons.

These refineries are emitting roughly 260-283 billion metric tons (BMT) of CO2[1], 1.2-1.3 BMT of methane and 46-51 million metric tons of nitrous oxide (N2O) into the atmosphere each year. The latter two compounds have climate change potentials equivalent to 28.2-30.7 BMT and 14.1-15.3 BMT CO2, respectively.

66 million

Assuming the planet’s 7.6 billion people emit 4.9-5.0 metric tons per capita of CO2 per year, emissions from these 536 refineries amounts to the CO2 emissions of 52-57 million people. If you include the facilities’ methane and N2O emissions, this figure rises to 61-66 million people equivalents every year, essentially the populations of the United Kingdom or France.

Map of global oil refineries


View map fullscreen | How FracTracker maps work | View static map | Download map data

BP’s data indicate that the amount of oil being refined globally is increasing by 923,000 BPD per year (See Figure 1). This increase is primarily due to improved productivity from existing refineries. For example, BP’s own Whiting, IN refinery noted a “$4-billion revamp… to boost its intake of Canadian crude oil from 85,000 bpd to 350,000 bpd.”

Figure 1. Global Oil Production 1965 to 2016 (barrels per day)

Figure 1. Global Oil Production, 1965 to 2016 (barrels per day) – Data courtesy of British Petroleum (BP) World Oil Production estimates.

 

Potential Hotspots and Chokepoints

Across the globe, countries and companies are beginning to make bold predictions about their ability to refine oil.

Nigeria, for example, recently claimed they would be increasing oil refining capacity by 13% from 2.4 to 2.7 million BPD. Currently, however, our data indicate Nigeria is only producing a fraction of this headline number (i.e., 445,000 BPD). The country’s estimates seem to be more indicative of conditions in Nigeria in the late 1960s when oil was first discovered in the Niger Delta. Learn more.

Is investing in – and doubling down on – oil refining capacity a smart idea for Nigeria’s people and economy, however? At this point, the country’s population is 3.5 times greater than it was in the 60’s and is growing at a remarkable rate of 2.7% per year. Yet, Nigeria’s status as one of the preeminent “Petro States” has done very little for the majority of its population – The oil industry and the Niger Delta have become synonymous with increased infant mortality and rampant oil spills.

Sadly, the probability that the situation will improve in a warming – and more politically volatile – world is not very likely. 

Such a dependency on oil price has been coupled to political instability in Nigeria, prompting some to question whether the discovery of oil was a cure or a curse given that the country depends on oil prices – and associated volatility – to balance its budget: Of all the Organization of Petroleum Exporting Countries (OPEC) countries, Nigeria is near the top of the list when it comes to the price of oil the country needs to balance its budget – Deutsche Bank and IMF estimate $123 per barrel as their breaking point. This is a valuation that oil has only exceeded or approached 4.4% of the time since 1987 (See Figure 2).

Former Central Bank of Nigeria Governor, Charles Soludo, once put this reliance in context:

… For too long, we have lived with borrowed robes, and I think for the next generation, for the 400 million Nigerians expected in this country by the year 2050, oil cannot be the way forward for the future.

Other regions are also at risk from the oil market’s power and volatility. In Libya, for example, the Ras Lanuf oil refinery (with a capacity of 220,000 BPD) and the country’s primary oil export terminal in Brega were the focal point of the Libyan civil war in 2011. Not coincidentally, Libya also happens to be the Petro State that needs the highest per-barrel price for oil to balance its budget (See Figure 2). Muammar Gaddafi and the opposition, National Transitional Council, jostled for control of this pivotal choke point in the Africa-to-Europe hydrocarbon supply chain.

The fact that refineries like these – and others in similarly volatile regions of the Middle East – produce an impressive 10% (7,166,900 BPD) of global demand speaks to the fragility of these Hydrocarbon Industrial Complex focal points, as well as the planet’s fragile dependence on fossil fuels going forward.

Weekly Spot Price of Brent Sweet Crude ($ Per Barrel) and estimates of the prices OPEC/Petro States need to balance their budgets.

Figure 2. Weekly Spot Price of Brent Sweet Crude ($ Per Barrel) and estimates of the prices OPEC/Petro States need to balance their budgets.

 

Dividing Neighbors

These components of the fossil fuel industry, and their associated feedstocks and pipelines, will continue to divide neighbors and countries as political disenfranchisement and inequality grow, the climate continues to change, and resource limitations put increasing stress on food security and watershed resiliency worldwide.

Not surprisingly, every one of these factors places more strain on countries and weakens their ability to govern responsibly.

Thus, many observers speculate that these factors are converging to create a kind of perfect storm that forces OPEC governments and their corporate partners to lean even more heavily on their respective militaries and for-profit private military contractors (PMCs) to prevent social unrest while insuring supply chain stability and shareholder return.[2,3] The increased reliance on PMCs to provide domestic security for energy infrastructure is growing and evolving to the point where in some countries it may be hard to determine where a state’s sovereignty ends and a PMC’s dominance begins – Erik Prince’s activities in the Middle East and Africa on China’s behalf and his recent aspirations for Afghanistan are a case in point.

To paraphrase Mark Twain, whiskey is for drinking and hydrocarbons are for fighting over. 

The international and regional unaccountability of PMCs has added a layer of complexity to this conversation about energy security and independence. Countries such as Saudi Arabia and Venezuela provide examples of how fragile political stability is, and more importantly how dependent this stability is on oil refinery production and what OPEC is calling ‘New Optimism.’ To be sure, PMCs are playing an increasing role in political (in)stability and energy production and transport. Since knowledge and transparency are essential for peaceful resolutions, we will continue to map and chronicle the intersections of geopolitics, energy production and transport, social justice, and climate change.


By Ted Auch, Great Lakes Program Coordinator, FracTracker Alliance; and Bryan Stinchfield, Associate Professor of Organization Studies, Department Chair of Business, Organizations & Society, Franklin & Marshall College


Relevant Data

Footnotes and References

  1. Assuming a tons of CO2 to barrels of oil per day ratio of 8.99 to 9.78 tons of CO2 per barrel of oil based on an analysis we’ve conducted of 146 refineries in the United States.
  2. B. Stinchfield.  2017.  “The Creeping Privatization of America’s Armed Forces”.  Newsweek, May 28th, 2017, New York, NY.
  3. R. Gray.  “Erik Prince’s Plan to Privatize the War in Afghanistan”.  The Atlantic, August 18th, 2017, New York, NY.
Politics and Campaign Financing

O&G Politics & Campaign Financing

By Ted Auch, OH Program Coordinator, FracTracker Alliance

Anyone who has been paying attention to the domestic shale gas conversation knows the issue is fraught with controversy and political leanings. The debate is made only more complicated by the extensive lobbying to promote drilling and related activities. It would be nice to look at shale gas through a purely analytical lens, but it is impossible to decouple the role of politicians and those that fund their campaigns from the myriad socioeconomic, health, and environmental costs/benefits.

As such, this article covers two issues:

  1. Who Gets Funded: the distribution of oil and gas (O&G) funds across the two primary parties in the US, as well as the limited funds awarded to third parties, and
  2. Funding Allocation to a Specialized Committee: industry financing to the Committee on Science, Space and Technology1 the primary house committee responsible for:

…all matters relating to energy research, development, and demonstration projects therefor; commercial application of energy technology; Department of Energy research, development, and demonstration programs; Department of Energy laboratories; Department of Energy science activities; energy supply activities; nuclear, solar, and renewable energy, and other advanced energy technologies; uranium supply and enrichment, and Department of Energy waste management; fossil energy research and development; clean coal technology; energy conservation research and development, including building performance, alternate fuels, distributed power systems, and industrial process improvements; pipeline research, development, and demonstration projects; energy standards; other appropriate matters as referred by the Chairman; and relevant oversight.

Politics and Campaign Financing

Fig. 1. Relevant Oil & Gas PACs, Institutes, and Think Tanks – as well as Koch Industries and subsidiaries offices (Orange). Click to explore

1. Letting the Numbers Speak

“When somebody says it’s not about the money, it’s about the money.”

The above quote has been attributed to a variety of sources from sports figures to economists, but nowhere is it more relevant than the politics of shale gas. The figures below present campaign financing from O&G industry to the men and women that represent us in Washington, DC.

Data Analysis Process

To follow the shale money path, FracTracker has analyzed data from the: a) total contributions and b) average per representative across Democrats and Republicans. Our Third Party analysis included five Independents in the Senate as well as one Green, one Unaffiliated, one Libertarian, and two Independents in the House.

Results

Annual Senate compensation relative to average US Income Per Capita

Fig. 3. US Senate Salary (Late 18th Century to 2014) & Average American Salary (1967-2013).

There are sizable inter-party differences across both branches of congress (See Figures 2a-b). In total, Democratic and Republican senators have received $18.1 and $48.6 million from the O&G industry since data collection began in 1990. Meanwhile, Third Party senators have received a total of $385,632 in O&G campaign finance. It stands to reason that the US House would receive more money in total than the senate, given that it contains 435 representatives to the Senate’s 100, and this is indeed the case; Democratic members of the House received $28.9 million to date vs. $104.9 million allocated to the House’ GOP members – or a 3.6 fold difference. Third Party members of the House have received the smallest allotment of O&G political largesse, coming in at $197,145 in total.

To put this into perspective, your average Democratic and Republican senator has seen the gap increase between his/her salary and the average American from $27,536 in 1967 to $145,171 in 2013 (Figure 3).

These same individuals have also seen their political war chests expand on average by $151,043 and $412,007, respectively. Third Party senators have seen their campaign funds swell by an average of $64,272 since 1990. Meanwhile, the U.S. Capitol’s Democratic and GOP south wing residents have seen their O&G campaign contributions increase by an average of $50,836 and $188,529, respectively, with even Third Partiers seeing a $38,429 spike in O&G generosity.

Figure 2a

Figure 2a. Total funding received by both branches of the US legislative branch

Average funding received by oil and gas industry

Figure 2b. Average funding received by oil and gas industry

Location is a better predictor of whether a politician supports the O&G industry than his/her political affiliation. At the top of the O&G campaign financing league tables are extraction-intensive states such as Texas, Oklahoma, North Dakota, Alaska, California, and Louisiana. (See Figures 4a-h at the bottom of this article for Average Oil & Gas Contributions to US House Representatives and Senators across the US.)

2. Committee on Science, Space and Technology

The second portion of this post covers influences related to the Committee on Science, Space and Technology (CSST). There is no more powerful group in this country when it comes O&G policy construction and stewardship than CSST. The committee is currently made up of 22 Republicans and 18 Democrats from 21 states. Thirty-five percent of the committee hails from either California (6) or Texas (8), with Florida and Illinois each contributing three representatives to the committee. Almost all (94%) of the O&G campaign finance allocated to CSST has gone to its sitting GOP membership.

The top three recipients of O&G generosity are all from Texas, receiving 3.2-3.5 times more money than their party averages – totaling $1.93 million or 37% of the total committee O&G financial support. The next four most beholden members of the committee are Frank Lucas and Michael McCaul (TX, $904,709 combined), Cynthia Marie Lummis (WY, $400,400), and Kevin Cramer (ND, $343,000). The average Democratic member of the CSST committee has received 12.8 times less in O&G funding relative to their GOP counterparts; Dallas-Fort Worth Metroplex representatives Marc Veasey and Eddie Bernice Johnson collected a combined $130,350 from industry. Interestingly a member of political royalty, Joe Kennedy III, has collected nearly $50K from the O&G industry, which corresponds to the average for his House Democrat colleagues.

See Figures 5-6 for totals and percentage of party averages of O&G campaign funds contributed to current member of the US House CSST.

Total Oil & Gas campaign funds contributed to current member of the US House Committee on Science, Space and Technology.

Figure 5. Totals

Total Oil & Gas campaign funds contributed to current member of the US House Committee on Science, Space and Technology as percentage of party averages.

Figure 6. Percentage of party averages

 “Don’t Confuse Me With The Facts”

In addition to current do-nothing politicians beholden to the O&G industry, we have prospects such as Republican U.S. Senate candidate Joni Ernst going so far as to declare that the Koch Brothers various Political Action Committees (PACs) started her trajectory in politics. Promising “ ‘to abolish’ the Environmental Protection Agency, she opposes the Clean Water Act, and in May she downplayed the role that human activities have played in climate change and/or rises in atmospheric CO2.

In Ohio it seems realistic to conjecture that OH Governor John Kasich, bracing for a tough reelection campaign, is wary of biting the PAC hands that feed him. He has also likely seen what happened to his “moderate” colleagues in states like Mississippi and Virginia, and in the age of Citizens United and McCutcheon he knows that the Hydrocarbon Industrial Complex will make him pay for anything that they construe as hostile to fossil fuel business as usual.

Close to the Action

Groups like the Koch-funded Americans for Prosperity, Randolph Foundation, and American Legislative Exchange Council (ALEC)2 are unapologetically wedded to continued production of fossil fuels. Nationally and in OH, politicians appear to be listening more to the talking points and white papers of such groups than they do their own constituents.. Therefore, it is no coincidence that DC and its surrounding Virginia suburbs has been colonized by industry mouthpieces, energy policy and economic academic tanks, philanthropies, and Political Action Committees (PACs). See Figure 1 for more information.

Know Your Vote

So when you go to the polls on November 4th, remember that politicians are increasingly beholden not to their constituents but to the larger donors to their campaigns. Nowhere is this more of a concern than US energy policy and our geopolitical linkages to producers and emerging markets. More to the point, when offered an opportunity to engage said officials make sure to bring up their financial links as it relates to how they vote and the types of legislation they write, massage, customize, or outright eliminate. As Plato once said, “The price of apathy towards public affairs is to be ruled by evil men.” Our current selection of politicians at the state and federal level are not evil, but data on O&G politics and campaign financing presented herein do indicate that objectivity with respect to oil and gas legislation has been at the very least compromised.


Figures 4a-h. Average & Total O&G Industry Contributions to US House Representatives and Senators across the US mainland and Alaska

Average Total
Democratic Representatives

Average Oil & Gas Industry Contributions to Democratic Representatives

Fig. 4a

Total Oil & Gas Industry Contributions to Democratic Representatives

Fig. 4b

Democratic Senators

Average Oil & Gas Industry Contributions to Democratic Senators

Fig. 4c

Total Oil & Gas Industry Contributions to Democratic Senators

Fig. 4d

Republican Representatives

Average Oil & Gas Industry Contributions to Republican Representatives

Fig. 4e

Total Oil & Gas Industry Contributions to Republican Representatives

Fig. 4f

Republican Senators

Average Oil & Gas Industry Contributions to Republican Senators

Fig. 4g

Total Oil & Gas Industry Contributions to Republican Senators

Fig. 4h


References

  1. This committee’s minority leader Ms. Eddie Bernice Johnson (D-TX) recently proposed the H.R.5189 – Energy and Water Research Integration Act of 2014 with an as yet to be published summary.
  2. …along with like-minded entities like the Ewing Marion Kauffman Foundation and the Chamber of Commerce’s PAC. These PACs and foundations tend to fund and greatly benefit from frackademic shops like Northwestern University’s Northwestern Law Judicial Education Program and George Mason University’s Law and Economics Center.