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Re: Price of crude oil dropping / diesel generation?
Author: BN Oly
Date: 03-30-2020 - 18:39
My thoughts Wrote:
-------------------------------------------------------
> Price of crude oil has plummeted. An oil guy I
> follow says these prices will kill shale (Bakken,
> Permian Basin). He says expect energy sector
> layoffs, bankruptcies, fore-closures.
>
> Cheap oil made me think about power generation
> too. Some small cities kept old diesel generators
> for backup. Might be economical to run now.
> HOWEVER, I don't know about costs of carbon
> credits and all that.
>
> Anyway, here is an old 3-cylinder Fairbanks Morse
> diesel generator running. The video says it was
> used in Eureka, Nevada. As Hutch says,
> "enjoy"...
>
> [www.youtube.com]
I love old stationary powerplants... very interesting. I had the same thoughts about utilities switching to oil, but other posters are right, natural gas is so cheap, no one is going to fire up their stationary plants. If locations have the option of oil/steam generation, IE not internal combustion but external in a boiler, they may switch but there are not many of those plants outside the east coast that I am aware of.
I recall back in the 90s at some point, natural gas prices spiked. The Olympia brewery switched the boilers from NG to oil... I can recall black smoke pouring out the stacks when they first switched them over until the temp came up and they started burning clean.
-------------------------------------------------------
> Price of crude oil has plummeted. An oil guy I
> follow says these prices will kill shale (Bakken,
> Permian Basin). He says expect energy sector
> layoffs, bankruptcies, fore-closures.
>
> Cheap oil made me think about power generation
> too. Some small cities kept old diesel generators
> for backup. Might be economical to run now.
> HOWEVER, I don't know about costs of carbon
> credits and all that.
>
> Anyway, here is an old 3-cylinder Fairbanks Morse
> diesel generator running. The video says it was
> used in Eureka, Nevada. As Hutch says,
> "enjoy"...
>
> [www.youtube.com]
I love old stationary powerplants... very interesting. I had the same thoughts about utilities switching to oil, but other posters are right, natural gas is so cheap, no one is going to fire up their stationary plants. If locations have the option of oil/steam generation, IE not internal combustion but external in a boiler, they may switch but there are not many of those plants outside the east coast that I am aware of.
I recall back in the 90s at some point, natural gas prices spiked. The Olympia brewery switched the boilers from NG to oil... I can recall black smoke pouring out the stacks when they first switched them over until the temp came up and they started burning clean.
