RBN Energy
Early Access
Monday, 12/09/2024
Friday, 12/06/2024
Texas is the fastest-growing state for electricity consumption in the nation and the Electric Reliability Council of Texas (ERCOT), which is responsible for about 90% of the state’s electricity service, said earlier this year that peak power demand could nearly double in just six years — from about 85 gigawatts (GW) currently to as much as 150 GW by 2030. The sudden increase is driven primarily by data centers and artificial intelligence (AI), cryptocurrency mining, the state's growing population and increasing temperatures. In today’s RBN blog, we’ll discuss how Texas intends to address its growing appetite for power.
Analyst Insights
Analyst Insights are unique perspectives provided by RBN analysts about energy markets developments. The Insights may cover a wide range of information, such as industry trends, fundamentals, competitive landscape, or other market rumblings. These Insights are designed to be bite-size but punchy analysis so that readers can stay abreast of the most important market changes.
By Martin King - Monday, 12/09/2024 (2:30 pm)
Report Highlight: Canadian Natgas Billboard
Western Canadian natural gas production experienced an upswing in the early days of December resulting in a new single day output record of 19.38 Bcf on December 6 (red text and arrow in chart below) based on data from RBN’s Canad
By Sheela Tobben - Monday, 12/09/2024 (2:00 pm)
Shell’s Boxer pipeline and Eugene Island Pipeline System (EIPS) in the Gulf of Mexico have resumed service, according to the company.
Recently Published Reports
| Report | Title | Published |
|---|---|---|
| NATGAS Billboard | NATGAS Billboard - December 9, 2024 | 8 hours 1 min ago |
| NATGAS Permian | NATGAS Permian - December 9, 2024 | 8 hours 44 min ago |
| Chart Toppers | Chart Toppers - December 9, 2024 | 10 hours 12 min ago |
| TradeView Report | TradeView Crude Oil Price Analytics And Differentials - December 6, 2024 | 1 day 4 hours ago |
| NGL Voyager | NGL Voyager - December 7, 2024 | 2 days 3 hours ago |
Pages
Daily Energy Blog
Thursday, 12/05/2024
Category:
Renewables
Over the past few years, tax credits and other incentives — both financial and regulatory — have breathed life into the U.S. market for sustainable aviation fuel, whose production is now ramping up, with more SAF capacity on the way. But the sector may experience turbulence under the incoming Trump administration, which has pledged to undo much of the Inflation Reduction Act (IRA) and pull back on the stepped-up decarbonization efforts that helped define the Biden presidency. In today’s RBN blog, we discuss the latest developments in the SAF space and the choppiness the still-fledgling sector may soon face.
Wednesday, 12/04/2024
Category:
Financial
Boosting America’s hydrocarbon output was a major plank in the 2024 Republican platform, and Donald Trump’s recent victory has stimulated a lot of optimism about the U.S. upstream sector. The nomination of Liberty Energy CEO Chris Wright as Energy Secretary confirmed that “drill, baby, drill” will be a mantra in the new administration. However, over the past few years, U.S. producers have dramatically shifted their focus from growth at any cost to strict financial discipline focused on maximizing free cash flows and shareholder returns. In today’s RBN blog, we analyze the Q3 2024 results of the major U.S. E&Ps we follow and look for early clues about how their senior executives might react to the renewed federal enthusiasm to rapidly accelerate drilling.
Tuesday, 12/03/2024
Category:
Power
Soaring demand for around-the-clock electricity, tied to the development of large-scale data centers, has sparked a renewed interest in carbon-free nuclear power. Given that conventional nuclear plants can be very challenging to site and permit, there’s been a lot of talk about installing small modular reactors (SMRs) at the sites of coal-fired power plants that have been taken offline for environmental and economic reasons but still have critical connections to the power grid and other infrastructure. In today’s RBN blog, we examine the potential to replace coal with nuclear and preview our latest Drill Down Report on the growing enthusiasm for nuclear power in the U.S.
Monday, 12/02/2024
Category:
Financial
Even with all the headline-making deals we’ve seen in the North American oil and gas industry over the past two or three years, producers and midstream companies are still at it. And the M&A, the post-acquisition divestitures and the acreage swaps aren’t confined to the Permian, which has seen more than its share of big-dollar transactions lately. In fact, as we discuss in today’s RBN blog, some of the biggest deals the past few months have involved production assets in the booming Montney in Western Canada, the generally sleepy Piceance in western Colorado, the quirky-as-heck Uinta in Utah, and — on the midstream side of things — a trio of natural gas pipelines in the Midwest.
Friday, 11/29/2024
Category:
Crude Oil
Cushing has done it again! The all-important hub in central Oklahoma is once more broadening the range of crude oils it handles, this time by figuring out how to receive and blend the quirkiest of domestic oils: yellow wax crude from Utah’s Uinta Basin. Better still, the blending can create a fully compliant Domestic Sweet (DSW), the crude quality deliverable on the CME/NYMEX futures contract usually referenced as West Texas Intermediate (WTI). In today’s RBN blog, we discuss how it works and what it means for Uinta producers, waxy crude marketers, refiners and Cushing itself.
Wednesday, 11/27/2024
Category:
Natural Gas
About 60% of global LNG imports in 2023 came from only three countries — Australia, Qatar and the U.S. — sometimes dubbed the “LNG Trinity.” All three are geographically remote from each other and differ considerably in terms of configuration, politics, economics and strategy. But all three are looking to consolidate and potentially grow their global presence at a time when expectations regarding future LNG demand are evolving and the role of natural gas is shifting to become increasingly complementary to intermittent renewable sources. In today’s RBN blog, we look at the differences within the LNG Trinity and how they may impact — and be impacted by — developments in the global gas market.
Thursday, 11/28/2024
Category:
Natural Gas Liquids
Exactly the same product. Exactly the same day. In storage very nearby. Yet their prices diverged by 17 cents per gallon — a spread equivalent to $7 per barrel. That’s a very substantial difference for prices that typically are almost indistinguishable, differing by an average of only 0.3% in recent years. The disparity roiled the financial underpinnings of exports for over a month and busted numerous inventory hedges. Is this some rare commodity? Hardly. It’s Mont Belvieu propane, the Rock of Gibraltar benchmark propane price in the U.S., and to a great extent around the world. But during October there was a crack in that rock a mile wide.
Tuesday, 11/26/2024
Category:
Crude Oil
PetroChina’s recent decision to offload its 20-year commitment to use the Trans Mountain Pipeline expansion (TMX) might seem like a bit of a head-scratcher on the surface, especially since Asian buyers have been expected to take advantage of the increased access to Western Canadian crude oil that TMX provides. But when you factor in the known challenges of utilizing the new pipeline and the reduced demand for crude oil in China, PetroChina’s decision to sell its commitment to Canadian Natural Resources Limited (CNRL) starts to make sense. In today’s RBN blog, we look at the challenges buyers face in using the TMX system despite its obvious perks.
Monday, 11/25/2024
Category:
Crude Oil
Enterprise Products Partners continues to grow its export capabilities and set ambitious goals, including one noted by CEO Jim Teague during his appearance at RBN’s recent NACON: PADD 3 conference — growing liquid hydrocarbon exports by about 50% to a remarkable 100 MMbbl per month (100 MMb/month), or about 3.33 MMb/d. And that doesn’t include the company’s planned Sea Port Oil Terminal (SPOT), which could send out up to 2 MMb/d! While that goal may seem lofty, Enterprise is already a major player in export markets and has extensive hydrocarbon delivery, storage and distribution assets in place to feed its coastal terminals. In today’s RBN blog, we look at the crude oil side of Enterprise’s export machine and show why supply will be key to meeting part of that ambitious goal.
Friday, 11/22/2024
Category:
Crude Oil
Strategic Petroleum Reserve (SPR) inventories have been climbing over the past year as the Department of Energy (DOE) advances plans to replenish it following the record 180-MMbbl drawdown after Russia’s invasion of Ukraine in 2022. But DOE officials have said its refilling efforts are complicated by upgrades at three of the four SPR storage sites. In today’s RBN blog, we look at the scope of these “life-extension” projects, the completion timetable, and how it might drag out restocking efforts.
Thursday, 11/21/2024
Category:
Renewables
Increasing the production of low-carbon-intensity (LCI) hydrogen is viewed by many as a way to help the U.S. reduce its greenhouse gas (GHG) emissions. But so far only minimal amounts of LCI hydrogen are being produced, raising the question of what it would take to significantly ramp up production without breaking the bank. In today’s RBN blog, we conclude a series on a National Petroleum Council (NPC) study on LCI hydrogen with a look at its recommendations for what the U.S. should do next.
Wednesday, 11/20/2024
Category:
Natural Gas
Rising demand for natural gas storage in the Gulf Coast region has spurred growing interest and investment. A number of midstream companies have been making moves, either by expanding their existing storage facilities in Texas, Louisiana, Mississippi and Alabama or entering the space with acquisitions or plans for greenfield projects. As a result, more than 150 Bcf of new gas storage space is in various stages of development. In today’s RBN blog, we discuss highlights from our new Drill Down Report on Gulf Coast gas storage.
Tuesday, 11/19/2024
Category:
Crude Oil
The small town of Cushing, OK, occupies a central place in the U.S. crude oil market thanks to its hundreds of storage tanks and numerous pipeline connections. And while it might seem far removed from the factors that influence the global crude market, what happens elsewhere directly impacts the storage volumes at Cushing. In today’s RBN blog, we review the critical role that Cushing plays in crude oil storage, show how the forward curve can influence inventories, and look at what might be behind the recent uptick in storage levels, which followed a four-month slide.
Monday, 11/18/2024
Category:
Power
If all goes to plan, Texas’s isolated power grid will one day be connected to a pair of neighboring states via a massive transmission line called Southern Spirit. The project is designed to increase grid reliability, reduce blackouts and drive down energy bills, but it could be years before it becomes a reality. And while the transmission line will connect Texas with Louisiana and Mississippi, it is more akin to a drawbridge that can be raised or lowered as needed without subjecting the Electric Reliability Council of Texas (ERCOT) grid to federal oversight. In today’s RBN blog, we’ll discuss what the Southern Spirit transmission line would mean for Texas.
Friday, 11/15/2024
Category:
Refined Fuels
It’s relatively common along the U.S. Gulf Coast to use underground salt domes to store crude oil, natural gas, mixed NGLs and so-called NGL “purity products” like ethane and propane. There are also a handful of salt cavern storage facilities in Kansas, Michigan, New York and Virginia. But in the Rockies and the West Coast states they’re rare as hen’s teeth, one of the few examples being Sawtooth Caverns, a one-of-a-kind facility in Utah that not only stores propane and butanes but also gasoline and diesel. In today’s RBN blog, we discuss Sawtooth Caverns and its increasing role in the sprawling region’s NGL and refined products markets.