Post by Logan on Mar 19, 2016 22:03:54 GMT -6
Walker administration plans to sell much of state's royalty oil to Tesoro
The Walker administration says it plans to seek legislative approval to sell a large chunk of its royalty crude oil to Tesoro Alaska under a five-year contract.
The contract would allow the state to sell the state’s only gasoline refiner up to 25,000 barrels of oil daily. Sales would begin as early as Aug. 1, according to a copy of the contract released by the state Department of Natural Resources.
The proposed sale will earn $45 million to $56 million in extra revenue for the state during the life of the contract, compared to the other option of letting the large oil producers sell that oil and pay cash to the state, according to a statement from DNR.
On Thursday, the department concluded the sale is in the state’s best interest.
Read more: www.adn.com/article/20160318/walker-administration-plans-sell-much-states-royalty-oil-tesoro
The Walker administration says it plans to seek legislative approval to sell a large chunk of its royalty crude oil to Tesoro Alaska under a five-year contract.
The contract would allow the state to sell the state’s only gasoline refiner up to 25,000 barrels of oil daily. Sales would begin as early as Aug. 1, according to a copy of the contract released by the state Department of Natural Resources.
The proposed sale will earn $45 million to $56 million in extra revenue for the state during the life of the contract, compared to the other option of letting the large oil producers sell that oil and pay cash to the state, according to a statement from DNR.
On Thursday, the department concluded the sale is in the state’s best interest.
Read more: www.adn.com/article/20160318/walker-administration-plans-sell-much-states-royalty-oil-tesoro