Opening Prices (June NYMEX Contracts):
> WTI opened at $15.11, up $3.54 from yesterday's close
> Natural gas opened at $1.991, up $0.007 from yesterday's close
EIA Petroleum Report out soon.
Oil & Gas Prices - April 22
Oil & Gas Prices - April 22
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Oil & Gas Prices - April 22
The outlook for natural gas is going in the opposite direction of the price of oil.
See: https://www.cmegroup.com/trading/energy ... l-gas.html
The June NYMEX contract for HH gas has moved over $2.00 and Jan & Feb 2021 contracts are now over $3.00, this means we will see ngas trading for over $3.00 in early December.
Range Resources (RRC) looks very good. My 2021 forecast, assuming that their realized gas prices is just $2.50 for the year shows EPS of $0.66 and operating cash flow per share of $2.56.
If this trend continues: AR, CRK, GDP and GPOR all have upside from where they are today. AR and GPOR have a lot of debt, but leverage does work both ways.
Stick with gassers that produce from the Utica/Marcellus and Haynesville. They have access to better markets.
My updated forecast for RRC will be post to the EPG website soon.
See: https://www.cmegroup.com/trading/energy ... l-gas.html
The June NYMEX contract for HH gas has moved over $2.00 and Jan & Feb 2021 contracts are now over $3.00, this means we will see ngas trading for over $3.00 in early December.
Range Resources (RRC) looks very good. My 2021 forecast, assuming that their realized gas prices is just $2.50 for the year shows EPS of $0.66 and operating cash flow per share of $2.56.
If this trend continues: AR, CRK, GDP and GPOR all have upside from where they are today. AR and GPOR have a lot of debt, but leverage does work both ways.
Stick with gassers that produce from the Utica/Marcellus and Haynesville. They have access to better markets.
My updated forecast for RRC will be post to the EPG website soon.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Oil & Gas Prices - April 22
Range has no near-term liquidity problems.
FORT WORTH, Texas, March 31, 2020 (GLOBE NEWSWIRE) -- RANGE RESOURCES CORPORATION (NYSE: RRC) today announced that it has reduced its 2020 all-in capital budget from $520 million to $430 million. Range still expects to maintain production at approximately 2.3 Bcfe per day for 2020.
“This announcement is a continuation of Range’s prior actions and commitment to prioritizing the balance sheet and aligning capital with projected cash flow. Having met our firm transportation commitments in the Marcellus, we have flexibility in our development program, as evidenced by the 40% reduction in 2020 capital spending compared to last year. Given near-term challenges in commodity pricing, having a sustainably low maintenance capital is paramount, and I believe this updated capital budget further demonstrates Range’s peer-leading capital efficiency, as our decline rate, well costs and capital spending per unit of production all remain best-in-class,” stated Jeff Ventura, the Company’s CEO.
Mr. Ventura continued, “Range’s high-quality, low-cost proved reserve base underpinned the recent reaffirmation of the $3 billion borrowing base under our bank credit agreement. Looking beyond short-term demand headwinds, we see the potential for meaningful improvements in natural gas and NGL pricing as significant reductions in energy investment across U.S. shale are occurring while global demand for cleaner, efficient fuels like natural gas and NGLs are increasing. As the market regains balance, Range will be well positioned to create long-term value for shareholders given our multi-decade inventory of high-quality Marcellus locations.”
FORT WORTH, Texas, March 31, 2020 (GLOBE NEWSWIRE) -- RANGE RESOURCES CORPORATION (NYSE: RRC) today announced that it has reduced its 2020 all-in capital budget from $520 million to $430 million. Range still expects to maintain production at approximately 2.3 Bcfe per day for 2020.
“This announcement is a continuation of Range’s prior actions and commitment to prioritizing the balance sheet and aligning capital with projected cash flow. Having met our firm transportation commitments in the Marcellus, we have flexibility in our development program, as evidenced by the 40% reduction in 2020 capital spending compared to last year. Given near-term challenges in commodity pricing, having a sustainably low maintenance capital is paramount, and I believe this updated capital budget further demonstrates Range’s peer-leading capital efficiency, as our decline rate, well costs and capital spending per unit of production all remain best-in-class,” stated Jeff Ventura, the Company’s CEO.
Mr. Ventura continued, “Range’s high-quality, low-cost proved reserve base underpinned the recent reaffirmation of the $3 billion borrowing base under our bank credit agreement. Looking beyond short-term demand headwinds, we see the potential for meaningful improvements in natural gas and NGL pricing as significant reductions in energy investment across U.S. shale are occurring while global demand for cleaner, efficient fuels like natural gas and NGLs are increasing. As the market regains balance, Range will be well positioned to create long-term value for shareholders given our multi-decade inventory of high-quality Marcellus locations.”
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group