Gas Injection Exceeds Market Expectation, Prices Fall
[contextly_auto_sidebar] Natural gas storage inventories increased 84 Bcf for the week ending August 30, according to the EIA’s weekly report. This is higher than the market expectation, which was an injection of 76 Bcf. Working gas storage inventories now sit at 2.941 Tcf, which is 383 Bcf above inventories from the same time last year […]
Prices Extend Gains Due to Larger than Expected Crude Draw and Total Petroleum Stocks Withdrawal
[contextly_auto_sidebar] US crude oil stocks posted a decrease of 4.8 MMBbl from last week. Gasoline and distillate inventories decreased by 2.4 MMBbl and 2.5 MMBbl, respectively. Yesterday afternoon, API reported a crude oil build of 0.4 MMBbl, while reporting gasoline and distillate draws of 0.88 MMBbl and 1.2 MMBbl, respectively. Analysts, to the contrary, were […]
Permian Natural Gas Could Remain Constrained Through 2022
Recent commissioning activity on the Kinder Morgan’s new Gulf Coast Express (GCX) project led to a small increase in natural gas deliveries from producers in the Permian Basin. What does that signal for these producers over the short- and long-term? To determine the answer, we used our ProdCast natural gas, crude, and NGL production forecasting […]
Is the Permian Stalling?
Recent commentaries on the magic of the Permian miracle have had some dark musings about how the Permian is beginning to “stall.” Given all the back and forth in the investment community about “capital discipline” and output growing supply to the detriment of pricing, I thought I’d take a brief look at Estimated Ultimate Recovery […]
Dislocations in the US Propane Market and the Jones Act
The US has become the largest producer and exporter of propane. Despite this growth, some parts of the US are still importing the heating and cooking fuel. This dislocation is caused by the Jones Act, a federal law passed in 1920 requiring goods shipped between US ports to be transported on US-built ships and operated […]
Gas Injection Meets Market Expectation, Hurricane Dorian On the Way
[contextly_auto_sidebar] Natural gas storage inventories increased 60 Bcf for the week ending August 23, according to the EIA’s weekly report. This is spot on with the market expectation, which was an injection of 60 Bcf. Working gas storage inventories now sit at 2.857 Tcf, which is 363 Bcf above inventories from the same time last […]
BP Divests Alaska Business to Hilcorp for $5.6 Billion
Houston-based private oil & gas producer Hilcorp has agreed to acquire BP’s Alaska business for $5.6 billion consisting of $4 billion payable near-term and $1.6 billion payable through earnouts. The deal adds 74,000 boe/d from a number of fields including a 26% interest in Prudhoe Bay. “BP was a pioneer in Alaskan drilling and one […]
The Increase in Prices Continued Following The EIA’s Bullish Inventory Report
[contextly_auto_sidebar] US crude oil stocks posted a very large decrease of 10.0 MMBbl from last week. Gasoline and distillate inventories both decreased by 2.1 MMBbl. Yesterday afternoon, API reported a very large crude oil draw of 11.1 MMBbl, while reporting gasoline and distillate draws of 0.35 MMBbl and 2.5 MMBbl, respectively. Analysts were expecting a […]
Permian Flaring Approaching Record in August, but Relief Is on the Way
Enverus’s analysis of infrared data collected from NOAA’s Visible Infrared Imaging Radiometer Suite (VIIRS) platform suggests that August may be a record month for flaring in the Permian Basin, but relief is in sight in the form of the Gulf Coast Express pipeline. As oil production has ramped up in the Permian, so too has the production of natural gas from the […]
Gas Injection Below Expectations, Prices Steady
[contextly_auto_sidebar] Natural gas storage inventories increased 59 Bcf for the week ending August 16, according to the EIA’s weekly report. This is below the market expectation, which was an injection of 65 Bcf. Working gas storage inventories now sit at 2.797 Tcf, which is 369 Bcf above inventories from the same time last year and […]