Cushing, Oklahoma Cushing, Oklahoma Cushing is a town/city in Payne County, Oklahoma, United States.
Today, Cushing is a primary trading core for crude petroleum and a famous price settlement point for West Texas Intermediate on the New York Mercantile Exchange. 4.2 Transhipment point for West Texas Intermediate (WTI) petroleum 4.3 Oil futures designated bringy point in the US In 1902, the Eastern Oklahoma Railway line to Cushing was built.
Other wells were soon drilled nearby, and the petroleum field became known as the Cushing-Drumright Oil Field.
The town/city became a center for exploration of and manufacturing from close-by petroleum fields and also a refining center, when Consumers Oil Company opened a refinery in 1913.
Eventually, 23 petroleum companies and five oil-field supply homes positioned in the town, and more than 50 refineries once directed in the Cushing area. Pipelines and storage facilities have since made it "the pipeline crossroads of the world.
Annual manufacturing peaked in 1915 with 8.3 million barrels of oil, but manufacturing declined by fifty percent in 1916.
During the 1970s and 1980s refining operations continued in Cushing until the last two refineries, Kerr-Mc - Gee and Hudson, closed.
Rail service ended in 1982. As the petroleum fields started to run dry, starting in the 1940s, manufacturing and refining became less important.
However the town retained a great asset in the Shell pipeline terminal, with thirty-nine storage tanks and pipelines that could move as much as 1.5 million barrels a day.
This enhanced Cushing's status as "Pipeline Crossroads of the World." The maze of pipelines and tanks that had been assembled led to the NYMEX choosing Cushing as the official bringy point for its light sweet crude futures contract in 1983.
Cushing is positioned in Payne County, Oklahoma at the intersection of state highways 33 and 18.
Climate data for Cushing, Oklahoma Enbridge crude petroleum tank farm has a maximum storage capacity of 20,060,000 barrels (3,189,000 m3) (2010) The stairs give a relative perspective of the size of the massive storage tanks in Cushing Cushing is a "vital transshipment point with many intersecting pipelines, storage facilities and easy access to refiners and suppliers." Crude petroleum flows "inbound to Cushing from all directions and outbound through dozens of pipelines." In 2005, crude petroleum and refined products in the U.S.
In Oklahoma, eight private companies directed almost all the pipelines and incessantly directed petroleum terminals and refineries: Enbridge; Enterprise Products; Explorer Pipeline; Jayhawk; Magellan Midstream Partners; Plains All American Pipeline; Sunoco; and Valero Energy. There is approximately 85 million barrels of crude petroleum storage tanks around Cushing. On October 28, 2016, tanks held a total of 58.5 milion barrels of oil. Plains All American Pipeline, 20,000,000 barrels (3,200,000 m3) of storage.
Sem - Group, 7,600,000 barrels (1,210,000 m3) of storage at Rose Rock Midstream Cushing terminal.
A partial list of pipelines with connections at Cushing are: Basin Oil Pipeline, directed by Plains All American Pipeline, flows from Wichita Falls, Texas connecting various fields in Texas.
Centurion Pipeline, flows from Permian Basin fields in west Texas and southeast New Mexico.
Hawthorn Pipeline, directed by Hawthorn Oil Transportation, a 17-mile pipeline from Stroud, Oklahoma where a rail unloading facility receives petroleum from Stanley, North Dakota for EOG Resources. Glass Mountain Pipeline, directed by Rose Rock Midstream (Sem - Group), flows from fields in west and north-central Oklahoma.
Great Salt Plains Pipeline, directed by JP Energy, flows from fields around Cherokee, Oklahoma, formerly owned by Parnon Gathering. Keystone Pipeline, directed by Trans - Canada, flows from Hardisty, Alberta (Canada) to an intermediatery core in Cushing to Port Arthur, Texas.
Mississippian Lime Pipeline, directed by Plains All American Pipeline, flows from fields in northern Oklahoma and southern Kansas.
PAA Medford Pipeline, directed by Plains All American Pipeline, from fields around Medford, Oklahoma.
Pony Express Pipeline, directed by Tallgrass Energy Partners, flows from fields around Guernsey, Wyoming.
Seaway Pipeline, directed by Enbridge and Enterprise Products, dual pipeline flows out to Freeport, Texas.
Sem - Crude Pipeline System, directed by Rose Rock Midstream (Sem - Group), flows from fields in Kansas and northern Oklahoma.
Spearhead Pipelines, directed by Enbridge, is a pipelines that flows from the Enbridge Mainline System near Flanagan, Illinois.
Cushing is the bringy point for West Texas Intermediate, a blend of US light sweet crude petroleum streams. interchanged on the New York Mercantile Exchange Cushing's strategic position as a primary hub in petroleum supply led to WTI's evolution as a momentous physical market price reference or benchmark for over three decades.
In 2005 Cushing was described as the most momentous trading core for crude petroleum in North America, connecting the Gulf Coast suppliers with northern consumers.
In 2006, with manufacturing increases from Canadian petroleum sands, one pipeline reversed direction, bringing crude into the Cushing Hub, clean water bringing crude from Cushing to petroleum refineries. Signs made of a pipe and valve on the primary highways near town proclaim Cushing to be the "Pipeline Crossroads of the World", and the town is surrounded by a several tank farms.
On April 13, 2007, the now-defunct Lehman Brothers released a study which claimed that West Texas Intermediate (WTI) Crude at Cushing is no longer an accurate gauge of world petroleum prices. By May 2007, Cushing's inventory fell by nearly 35% as the oil-storage trade heated up. Oil enormous BP, and energy-transport and logistics firms Enbridge Energy Partners (an partner of Canada's Enbridge), Plains All American Pipeline and Sem - Group owned most of the petroleum storage tanks in Cushing in October 2007. Oil storage became big company in 2008 and 2009, when the supply glut in the petroleum market led to situation where petroleum futures were higher priced than their spot price. Many participants including Wall Street giants, such as Morgan Stanley, Goldman Sachs, and Citicorp turned sizeable profits simply by sitting on tanks of oil. Institutional investors bet on the future of petroleum prices through a financial instrument known as petroleum futures, in which investors contractually agree to buy or sell petroleum at a set date in the future.
Alternatively, they can leave the contract in place and take physical bringy of the petroleum at an "officially designated bringy point" in the United States; this bringy point is usually Cushing.
The bottleneck at Cushing's enormous storage core distorted benchmark U.S.
In 2007 a large stockpile of petroleum at the facility was caused largely because Valero Energy Corp.'s Mc - Kee refinery near Sunray, Texas, was shut down. With the refinery closed, crude petroleum prices were artificially depressed at the Cushing pricing point.
The Eagle North pipeline reactivated in 2010, added offtake capacity to Cushing by connecting Valero's petroleum refinery in Ardmore, Oklahoma with Cushing's inexpensive crude oil.
This should have resulted in boosting WTI prices which were discounted against Brent crude petroleum because of the glut. In October 2014 two moderate-sized earthquakes (Mw 4.0 and 4.3) hit south of Cushing, below one of the biggest crude petroleum storage facility and gas pipeline transit in the world.
Three of those larger quakes occurred in 2016, and the strongest ever recorded in Oklahoma was a 5.8 magnitude that hit Pawnee (25 miles from Cushing) in September. Analysis of the spatial distribution of earthquakes and county-wide moment tensor focal mechanisms pointed out reactivation of a subsurface unmapped strike-slip fault. The discernment stoked fears among scientists about other unknown faults that could be triggered by petroleum and gas wastewater being injected deep underground. Coulomb failure stress change calculations pointed out that the Wilzetta Fault zone south of Cushing could produce a large, damaging earthquake comparable to the 2011 Prague event. Much of the production, using new horizontal drilling techniques, produces at very high rates and with very high water to petroleum ratios.
The Cushing school precinct has five schools that include a preschool, two elementary schools, a middle school, and a high school.
List of petroleum pipelines Enumeration - Viewer:Population of the City of Cushing, Oklahoma a b c d e f Encyclopedia of Oklahoma History and Culture."Cushing".
"Crude Oil Futures Contract Specs.
Oklahoma Oil History.
"Historical Weather for Cushing, Oklahoma, United States".
"Light Sweet Crude Oil (WTI) Futures and Options: When the World Asks, "What's the Price of Crude Oil?" Oil tanker demand booms as traders wait out inexpensive oil; cbc.ca; January 14, 2015.
US running out of room to store oil; price collapse next?; AP; March 3, 2015.
Extensive damage reported from Oklahoma earthquake near primary petroleum hub; CBS News; November 7, 2016.
Inside the World's Biggest Tank Farm in Cushing; Tank World Blog; January 30, 2014.
Crude petroleum pipeline project; Yahoo Finance / Reuters; April 6, 2015.
First train with EOG Resources Bakken crude petroleum departs Stanley, ND for Oklahoma; EOG Resources.
Crude Oil Offload Terminal; JFSCO Engineering.
Great Salt Plains Pipeline; IPS Engineering.
Press Release Keystone Pipeline Starts Deliveries to U.S.
EIA Short-Term Look At Crude Oil Pipeline Infrastructure; Pipeline & Gas Journal; April 2013.
"Upcoming Pipeline Capacity Additions Will Facilitate Continued Growth in Crude Oil Shipments from Midwest to Gulf Coast" (PDF).
"Crude Oil in New York Falls on Increasing Supplies in Oklahoma".
"Valero petroleum refinery to link to Cushing core soon".
(2015),Reactivated faulting near Cushing, Oklahoma: Increased potential for a triggered earthquake in an region of United States strategic infrastructure, Geophysical Research Letters, 42, 8328 8332, doi:10.1002/2015 - GL064669.
Oklahoma earthquake reignites concerns that fracking wells may be the cause.
New fault line identified after 5.8 Oklahoma earthquake.
Cushing School District, Education.com (accessed June 9, 2010).
Wikimedia Commons has media related to Cushing, Oklahoma.
Encyclopedia of Oklahoma History and Culture - "Cushing"
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