RBN’s Daily Energy Blog and Insights sharpen your energy IQ through fundamentals-based analysis that makes sense of North America’s energy market dynamics.
WTI for prompt delivery closed $10.94/Bbl below Brent on Wednesday (October 23, 2013). Brent prices are disconnected from WTI and Light Louisiana Sweet because the Gulf Coast is awash with light sweet crude.
The June 2013 decision by Southern California Edison (SCE) to permanently shut down its San Onofre Nuclear Generation Station (SONGS)—the largest power generator in the region—got the attention of the natural gas industry, and for good reason. Natural gas interests view gas-fired generation
The Brent premium to West Texas Intermediate (WTI) on Friday (October 18, 2013) was $9.14/Bbl – indicating a new disconnect between US crude prices and international levels.
When Forrest Gump famously said, “Life is Like a Box of Chocolates – you never know what you are going to get”, he might as well have been talking about condensates. The shale revolution has doubled US condensate production since 2011 and we expect those numbers to continue to increase.
Crude oil production in the Oklahoma and Kansas Anadarko basin increased by 50 Mb/d in 2012 and is expected to increase from 190 Mb/d in December 2012 to 240 Mb/d in December 2013 – another 50 Mb/d (source: Bentek).
It seems like everybody and his uncle are planning new methanol production capacity in the U.S. The economics certainly are compelling.
Last Wednesday (October 9, 2013) Buckeye Partners announced an agreement to purchase Hess Oil’s East Coast terminal assets – including a crude and fuel oil terminal on the Island of St Lucia in the Caribbean.
NATGAS Permian is a weekly natural gas fundamentals analysis focusing entirely on the key market drivers within the Permian basin. The report contains details and forecasts around natural gas production, demand, pricing, and a summary of pipeline outflows and capacities from the Permian to neighboring regions.
The ratio between crude oil and natural gas (NYMEX) futures yesterday was 27.7. That is crude prices in $/Bbl were 27.7 X natural gas prices in $/MMbtu.
Barge shipments of crude oil between the Midwest Petroleum Administration Defense District (PADD) 2 and the Gulf Coast PADD 3 regions reached 126 Mb/d in July 2013 - up 79 percent over the same month last year according to the Energy Information Administration (EIA). The Port of Corpus Chri
