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Energy Extras

 

 

Energy Markets

By Scott Chase, Energy Department Manager

As the summer comes to an end, we see the global energy markets are shifting again as OPEC announced plans to restore roughly 2.2 million barrels per day of oil production. Normally, such a large increase in supply would trigger a sharp drop in oil prices. However, the response has been relatively weak, with crude holding near $69 per barrel.

Why the disconnect? Many analysts question whether OPEC members, particularly Saudi Arabia and Russia, can deliver on these output promises. Reports suggest Saudi Arabia has struggled to pump above 10.5 million barrels per day, even though they officially claim a higher capacity. That uncertainty has kept oil prices more stable than expected.

What This Means for Our Cooperative:

• Fuel Cost Outlook: Prices are steady for now, giving us a more predictable environment for budgeting.
• Future Price Trends: If OPEC follows through, analysts see the potential for crude to fall below $60 per barrel later this year.
• Our Approach: We will continue monitoring these developments closely. This could be a good time to explore fixed-price contracts to protect against volatility and secure favorable rates.

As always, our priority is ensuring stable input costs for our members while positioning the Cooperative to respond to shifts in global markets. With that I’d like to wish everyone a great and safe harvest season.

9/5/2025

 

 

Propane Summer Fill and Cenex Grease Types

By Gerry Crawford, Energy Sales

Scott and I thought we should remind you about propane summer fill. We also considered with harvest right around the corner we should provide you with some basic information on the types of grease products we offer in our CFC trade area.

Propane Summer Fill

It is the time of year to take advantage of our propane summer fill price. Please check to see that we have you on the list. We offer prepay contracts, cash purchase, and budget billing for your propane needs.

Cenex Grease Types

Maxtron FS = Maxtron FS has excellent structural stability. The 100% synthetic base oils give it excellent performance properties at both high- and low-temperatures. High structural shear stability and a high performance base oil make it an outstanding multi-purpose grease.

Maxtron EP = Maxtron EP is produced with a specially selected synthetic blend base oil combined with a lithium complex thickener for high-temperature performance, and a carefully balanced additive package for superior rust control, oxidation control and wear protection.

Mollyplex 500+ = Molyplex 500+ is a premium, heavy duty multi-purpose lithium complex grease recommended for automotive, industrial and agricultural use. Molyplex 500+ contains 1.3% moly (Molybdenum Disulfide), one of the most effective dry film lubricating substances available.

Blue Gard 500+ = Blue Gard® 500+TM is a modern, high-performance, heavy duty, lithium complex multi-purpose grease, that sets a new standard for automotive, industrial and agricultural use. Blue Gard 500+ qualifies for the highest performance level of automotive chassis and wheel-bearing grease classification, GC-LB for its #2 NLGI grade. Its excellent low-temperature characteristics, water resistance properties and superior oxidation control allow for long service in both on- and off-road equipment.

ML 365 = ML 365® is a high quality multi-purpose, all season lithium grease available in NLGI grades 00, 0, 1 and 2. This product provides wide temperature range protection and can be recommended for many applications in agriculture, construction and industrial environments.

For more information on these products, please reach out to your local CFC location.

Thank you for the opportunity to earn your business.

8/1/2025

 

 

How Smart Pigs Help Pipelines and Protect Our Bottom Line

By Scott Chase, Energy Department Manager

The companies that Central Farmers Coop partner with are committed to maintaining the highest standards of efficiency, reliability, and safety and one of the key technologies they use to achieve that is “smart pigging.” Despite the funny name, smart pigs are serious business. These high-tech tools are designed to travel through pipelines, gathering data about the condition of the interior walls.

Early Detection, Proactive Maintenance
Smart pigs are equipped with sensors that detect corrosion, cracks, and deformations inside pipelines. This approach reduces unexpected shutdowns and saves on emergency repair costs. The smart pig travel at 1.5 miles per hour.

Meeting Safety and Regulatory Standards
Pipeline safety regulations are becoming increasingly strict and rightly so. Smart pigging plays a critical role in maintaining industry and federal standards. It’s not just about avoiding fines; it’s about doing the right thing for communities.

Investing in Smart Technology = Long-Term Savings
While smart pigging does come with an upfront cost, studies show that the long-term savings are substantial. Preventing even one major pipeline failure can offset the investment many times over.

After reading Gerry Crawford’s article about how South Dakota gets supplied with propane and fuel I thought it would be good to tell you all about how the companies do maintenance on pipelines that run in our back yards.

Last of all, I thank you for your business and wish everyone a great summer.

7/11/2025

 

 

CFC's Safety & Delivery Policies

As a valued propane customer, your safety is our main concern.
We would like to make you aware of our delivery policies.
Our policies follow the National Fire Protection Association mandates, state codes, insurance requirements
and the CFC credit policies.
We appreciate your business and look forward to serving you this coming season.
Click here for more information.