Lighter Permian Crude Could Create Problem For Refiners

As Permian producers exhaust prime tier-one acreage amid a surge in output in the basin, second-tier drilling locations tend to yield crude of different specifications, often lighter than the typical WTI Midland qualities. Light crude from the U.S. has been winning over customers globally with its low sulfur content and refining qualities similar to other light grades from the North Sea and Africa. However, recent testing has found that the gravity of WTI Midland is between 41 and 44 degrees, anonymous sources with knowledge of confidential data…