Oil Daily | MIT's Membrane Tech to Cut Energy in Oil Fractionating; U.S.-China Ethane Trade Disrupted

【Industry News】

MIT engineers have developed a revolutionary membrane technology that can drastically reduce the energy required for crude oil fractionating by up to 90%. This innovation eliminates the need for energy-intensive distillation by filtering crude oil components based on molecular size, potentially slashing global carbon emissions significantly.

MIT's filtration membrane efficiently separates heavy and light oil components, resisting the swelling issues of previous membranes. It can be manufactured using existing industrial techniques, allowing for scalable adoption. The technology modifies polymers used in water desalination to separate small molecules at the atomic scale.

【Latest Oil Policies】

The U.S. federal government has demanded Energy Transfer secure a license for ethane exports amid a trade conflict with China, disrupting the ethane and propane trade between the two countries. The Commerce Department denied Enterprise Products Partners' emergency request to authorize ethane cargoes intended for Chinese buyers.

Ukraine has confirmed the launch of gas imports via the Trans-Balkan pipeline, bypassing Russian supply. This geopolitical and infrastructural achievement allows Ukraine to draw gas from Europe, enhancing its energy sovereignty and aligning with the EU's strategy to reduce reliance on Russian fossil fuels.

U.S. President Donald Trump plans to use the Defense Production Act to boost domestic production of critical minerals, reducing reliance on China. This involves waiving legal requirements to expand the U.S. critical minerals industry, essential for energy and defense, as part of a broader strategy to secure mineral supply chains.

【Others】

Japan's utilities are increasing LNG inventories ahead of summer peak demand. Current LNG stocks are higher than last year, aided by weaker spring electricity demand. This positions Asia and Europe to fill gas storage levels effectively, with Asia's LNG demand showing signs of softening compared to last year.

【Company News】

PetroChina is set to shut down the last crude processing unit at its Dalian refinery by June 30. This move is part of a plan to relocate the facility from downtown Dalian after safety incidents. PetroChina plans to build a smaller refinery on Changxing island, though a final decision is pending.

【Oil-Producing Countries Dynamics】

Russia's National Wealth Fund experienced a $6 billion drop in liquid assets in May, attributed to declining oil and gas revenues following a crash in oil prices. Revenues from these sectors have plummeted, prompting considerations for adjusting the oil price level in Russia's budget rule.