Political limits on the world oil trade : firm-level evidence from US firms

International politics affect trade patterns, especially for firms in extractive industries. We construct the firm-level dataset for the U.S. oil-importing companies over 1986-2010 to test whether the state of international relations with the trading partners of the U.S. affect importing behavior of the U.S. firms. To measure "political distance" between the U.S. and her trading partners we use voting records for the UN General Assembly. We find that the U.S. firms, in fact, import significantly less oil from the political opponents of the U.S. Our conjecture is that the decrease in oil imports is mainly driven by large, vertically-integrated U.S. firms that engage in foreign direct investment (FDI) overseas.

Why do oil importers diversify their import sources politically? : evidence from U.S. firm-level data

International politics affects oil trade. But why? We construct a firm-level dataset for all U.S. oil-importing companies over 1986-2008 to examine what kinds of firms are more responsive to change in "political distance" between the U.S. and her trading partners, measured by divergence in their UN General Assembly voting patterns. Consistent with previous macro evidence, we first show that individual firms diversify their oil imports politically, even after controlling for unobserved firm heterogeneity. We conjecture that the political pattern of oil imports from these individual firms is driven by hold-up risks, because oil trade is often associated with backward vertical FDI. To test this hold-up risk hypothesis, we investigate heterogeneity in responses by matching transaction-level import data with firm-level worldwide reserves. Our results show that long-run oil import decisions are indeed more elastic for firms with oil reserves overseas than those without, although the reverse is true in the short run. We interpret this empirical regularity as that while firms trade in the spot market can adjust their imports immediately, vertically-integrated firms with investment overseas tend to commit to term contracts in the short run even though they are more responsive to changes in international politics in the long run.

The effects of international politics on oil-exporting developing countries

International politics affects oil trade. But does it affect the oil-exporting developing countries more? We construct a firm-level dataset for all U.S. oil-importing companies over 1986-2008 to examine how these firms respond to changes in "political distance" between the U.S. and her trading partners, measured by divergence in their UN General Assembly voting patterns. Consistent with previous macro evidence, we first show that individual firms diversify their oil imports politically, even after controlling for unobserved firm heterogeneity. We conjecture that the political pattern of oil imports from these individual firms is driven by hold-up risks, because oil trade is often associated with backward vertical FDI. To the extent that developing countries have higher hold-up risks because of their weaker institutions, the political effect on oil trade should be more significant in the developing world. We find that oil import decisions are indeed more elastic when firms import from developing countries, although the reverse is true in the short run. Our results suggest that international politics can affect oil revenue and hence long-term development in the developing world.

Political influence in commercial and financial oil trading : the evidence from US firms

International politics affects oil trade. But do financial and commercial traders who participate in spot oil trading also respond to changes in international politics? We construct a firm-level dataset for all U.S. oil-importing companies over 1986-2008 to examine how these firms respond to increases in "political distance" between the U.S. and her trading partners, measured by divergence in their UN General Assembly voting patterns. Consistent with previous macro evidence, we first show that individual firms diversify their oil imports politically, even after controlling for unobserved firm heterogeneity. However, the political pattern of oil imports is not entirely driven by the concerns of hold-up risks, which exist when oil transactions via term contracts are associated with backward vertical FDI that is subject to expropriation. In particular, our results indicate that even financial and commercial traders significantly reduce their oil imports from U.S. political enemies. Interestingly, while these traders diversify their oil imports politically immediately after changes in international politics, other oil companies reduce their oil imports with a significant time lag. Our findings suggest that in designing regulations to avoid harmful repercussions on commodity and financial assets, policymakers need to understand the nature of political risk.

Modeling for the world crude oil and natural gas markets

Crude oil and natural gas have been essential energy sources and play a crucial role in the world economy. Changes in energy prices significantly impact economic growth. This study builds an econometric model to illustrate the substitute relation between crude oil and natural gas markets. Additionally, the determination of the oil and natural gas prices are endogenized, assuming imperfect competition to reflect a real market strategy. Our empirical results show that the overall performance of this system is acceptable, and the model can be applied to policy analysis for determining monetary or energy policy by introducing this model to the more comprehensive system.

Bioremediation of oil spills

Due to the increasing demand of petroleum everywhere, and the great amount of spills, accidents and disasters, there is an urgent need to find an effective, non-cost and harmless method to clean up the affected areas. There are microorganisms in nature (bacteria and fungi, mainly) that feed on hydrocarbons and transform them into others harmless chemical substances. These bacteria produce enzymes that degrade oil very effectively. This natural process can be accelerated by adding more bacteria or providing nutrients and oxygen to facilitate their growth, which is called ―bioaugmentation and biostimulation. Through this project we discover that these processes can be affected by different factors making difficult the biodegradation execution and opening a gap between the laboratory experiments and the real cases. Therefore, there is much remain to be done and a lot of study ahead to make this technique available in a great scale.

Remediation of crude oil contaminated soils by means of bitumen emulsions

Effective remediation of contaminated sites with oils, heavy metals and other chemical agents is one of the most important environmental problems all over the world. Contaminated soils by petroleum from different sites and origins, might contaminate groundwater aquifers and then be spread by rain. Many years and the requirement of remedial techniques may be needed to remediate them. However, previous experiences show the uselessness of these methods for the solution of all problems. As any case of soil contamination is different, specific studies with relevant factors at financial aspects, legal limits and waste and soil characteristics are needed. In this work, a study of the use of bitumen asphalt emulsion to remediate contaminated soils by crude oils is exposed. By means of the soil stabilization technology, using the contaminated soils as aggregates and the tailor made emulsion as binder, the feasibility of the mix application to produce stable and resistant pavements is demonstrated

Paintings of the petroleum industry in Lea County, New Mexico

"The pr1.mary purpose of this thea1a waa to learn about and t .o produce a aeries of pa1nt1n~.a that aymbolized. tbe oil induatry 1n Lea. Count,-, New ltexic.o. The secondary purpose waa to learn more about tho oil industry, which is the big business in Le.a Countj, :New Mexico"

New data on the Vrancea Nappe (Moldavidian Basin, Outer Carpathian Domain, Romania): paleogeographic and geodynamic reconstructions

A study has been performed on the Cretaceous to Early Miocene succession of the Vrancea Nappe (Outer Carpathians, Romania), based on field reconstruction of the stratigraphic record, mineralogical-petrographic and geochemical analyses. Extra-basinal clastic supply and intra-basinal autochthonous deposits have been differentiated, appearing laterally inter-fingered and/or interbedded. The main clastic petrofacies consist of calcarenites, sub-litharenites, quartzarenites, sub-arkoses, and polygenic conglomerates derived from extra-basinal margins. An alternate internal and external provenance of the different supplies is the result of the paleogeographic re-organization of the basin/margins system due to tectonic activation and exhumation of rising areas. The intra-basinal deposits consist of black shales and siliceous sediments (silexites and cherty beds), evidencing major environmental changes in the Moldavidian Basin. Organic-matter-rich black shales were deposited during anoxic episodes related to sediment starvation and high nutrient influx due to paleogeographic isolation of the basin caused by plate drifting. The black shales display relatively high contents in sub-mature to mature, Type II lipidic organic matter (good oil and gas-prone source rocks) constituting a potentially active petroleum system. The intra-basinal siliceous sediments are related to oxic pelagic or hemipelagic environments under tectonic quiescence conditions although its increase in the Oligocene part of the succession can be correlated with volcanic supplies. The integration of all the data in the “progressive reorientation of convergence direction” Carpathian model, and their consideration in the framework of a foreland basin, led to propose some constrains on the paleogeographic-geodynamic evolutionary model of the Moldavidian Basin from the Late Cretaceous to the Burdigalian.

The twilight of the oil Eldorado. How the activity of Russian oil companies on the EU market has evolved. OSW Studies 55, April 2016

The European Union has traditionally been the most important outlet for Russian oil exports. At the same time, during the period 2011-2014 a systematic decline was observed in crude oil supplies to the EU, while at the same time the export of petroleum products increased. It is now difficult to say that Russia is following a coherent oil strategy vis-a-vis the EU. The current shape of Russian activity is more the result of the business interests of individual companies, rather than the result of activities coordinated by the state. Although in the short term (up to 2020), the negative trend in crude oil exports to the EU could be halted (as confirmed by the figures for 2015), the long-term prospects for Russia's position on the EU market are pessimistic. This is because the importance of factors unfavourable to Russia is rising, such as the decrease in consumption of oil in the EU, the increased competition among exporters to the EU market, and the deterioration of the climate of Russian/EU cooperation in the context of the anti-Russian sanctions, as well as unclear prospects for the development of the upstream sector in Russia.

(Table 1) Carbon content and petroleum potential at DSDP Hole 73-520

At the end of the Leg 73 cruise, at Site 520, a thick upper Miocene facies of laminated diatomite was discovered. It was hypothesized that the sediment was derived from nutrient-rich waters in a young Cenozoic anoxic basin in the open Atlantic Ocean near the Mid-Atlantic Ridge.

American oil operations abroad,

"Based upon the report of the Group on American petroleum interests in foreign countries to the Special committee investigating petroleum resources, Senator Joseph C. O'Mahoney, chairman."--Pref.

Mexico's oil and gas policy : an analysis /

Prepared by G. J. Pagliano and others.

Debates en el h. Senado nacional sobre la concesión de un millón de hectáreas petrolíferas a Richmond, Levering Co. y la Standard Oil Co.

Cover title.

Present status of the Mexican oil "expropriations" 1940.

Mode of access: Internet.