-ExxonMobil is importing Asian gasoline for the first time as it works to restart its explosion-damaged Torrance, Calif., refinery. Via Platts, some trade sources expressed surprise the company chose to ship gasoline from Singapore to fulfill its supply commitments rather than buy it domestically. Others, however, say ExxonMobil is less sensitive to price than other firms. ExxonMobil is planning to restart the refinery in two phases, with the first phase beginning this summer.
-Two people were hospitalized after an explosion at Wescon Plastics’ plant in Wichita, Kan., earlier this week. Via the Associated Press, emergency crews said a machine used to make PVC pipes exploded due to over-pressurization.
-The recent oil price plunge has intensified the burden of debt on U.S. shale drillers, Bloomberg reports. Drillers’ debt rose to $235 billion at the end of Q1 2015 — a 16% increase in the past year. Of the 62 drillers in Bloomberg’s E&P index, 27 of them spend more than 10% of their revenue on interest payments. Analysts wonder how long the situation can be sustained — companies spent $4.15 for every dollar they earned selling oil and gas in the first quarter, up nearly two dollars year-over-year.
-Meanwhile, the U.S. rig count dropped for a 28th consecutive week, but the decline has slowed considerably since the beginning of this year. Via FuelFix, the number of rigs drilling for oil dropped by four after falling by seven in the previous week and 13 in the last week of May. The rig count has fallen 61% since the peak of 1,609 rigs in October.
-The Obama Administration today proposed new standards for fuel efficiency and carbon dioxide emissions from trucks and vans. Via the Associated Press, the rules aim to cut emissions by 24% 2027 and reduce oil consumption by 1.8 billion barrels over the lifetime of the vehicles sold under the rule.