Yahoo Autos America's biggest oil shipping port calls for record-breaking 2023
Port of Corpus Christi has snapped its annual oil export record for six straight years, says its CEO
The CEO of America's largest oil export gateway predicts another record year in 2023 as strong global demand continues despite efforts to ditch fossil fuel.
Sean Strawbridge, chief executive officer of the Port of Corpus Christi, says foreign bans on Russian crude boosted exports by about 15 per cent last year. In December alone, that worked out to about 70 million barrels.
The Texas state-run port has snapped its annual oil export record for six consecutive years, Strawbridge says. Volumes have climbed from an average of nine million barrels a month in 2016, the year following a decision by the U.S. Congress to repeal a ban on shipping crude abroad.
"We see an American barrel in higher demand than ever before because it's not being controlled by a cartel like OPEC, or influenced directly by a despot like Putin," Strawbridge told Yahoo Finance Canada at CERAWeek by S&P Global. The annual energy conference in Houston, TX draws executives from some of the world's largest oil and gas companies. However, a significant portion of the dialogue is now devoted to newer, cleaner forms of energy such as hydrogen.
According to the U.S.Energy Information Agency, American oil production nearly doubled between 2009 and 2015. Removing the export ban has allowed producers to charge higher prices relative to comparable foreign grades.
Strawbridge says he was only six months into his tenure as CEO when Congress expanded the market to overseas buyers. To cope with the growth, he implemented "a very aggressive capital investment program" as the global conversation around energy transition was becoming mainstream.
"We opened eight new crude facilities over that period of time," he said. "It's been really fortuitous for us. While we were criticized for building that infrastructure early, now, instead of being reviled, we're revered for having that capacity and being able to."
Strawbridge says while oil, and increasingly liquefied natural gas, are mainstays at the port, he is also "fully embracing" the energy transition.
