BHP Billiton Will Export US Oil Without Government Permission

The world's largest producer BHP Billiton plans to export ultra-light oil from the United States without obtaining official approval from Washington, despite a ban on overseas sales that lasted nearly four decades.

The deal, worth about $ 50 million, involves the sale of minimally processed oil overseas without official government approval, which is likely to support many energy companies looking for new markets and higher prices amid the surge in US oil production. BHP is not the first company to try to buy oil in this way. Pioneer Natural Resources and Enterprise surprised everyone in the oil market back in June by announcing they had received permission to export crude oil.

The Obama administration was divided over oil exports, which were restricted in the 1970s. Major oil companies have called for an end to the ban, saying overseas sales will create new U.S. jobs and help improve the trade balance. The US Department of Commerce, which oversees oil exports, has not formally waived the ban, but companies can export independently, subject to the terms of existing decisions, a process called "self-classification."

World oil prices have plummeted since late June as companies started producing more oil. Meanwhile, worldwide demand for fuel is considered moderate. The decline in oil prices should be reflected in the price of gasoline and diesel, but consumers have not felt this much so far.