Opening Prices:
> WTI is up 34c to $45.25/Bbl, and Brent is up 38c to $48.24/Bbl.
> Natural gas is down 2.3c to $2.752/MMBtu.
This morning the spot price for delivered LNG in Japan is $6.00US.
Aegis Energy:
Oil has extended gains this morning, breaching $45/Bbl as demand optimism bolsters prices.
> Chinese refiners have issued a flurry of tenders for crude to be loaded in January, according to Bloomberg
> The U.S. American Petroleum Institute reported a build of 3.8 MMBbl in the week ending November 20. The EIA’s numbers will be released at 9:30am
The oil refinery run-rate in China was 14% higher than the pre-pandemic level in the week ending November 20, according to Bloomberg
> China’s gasoline shipments in December are expected to climb 16% month-over-month to 12.46 MMBbls. Diesel shipments are also expected to be around 13.34 MMBbls
> AEGIS notes that China’s economy has shown more resilience than most of its global counterparts. The country has served as a bright spot in an otherwise gloomy demand outlook, helping to absorb additional barrels of crude to support price
EIA weekly data is due at 9:30 am CST. Expectations per Bloomberg:
> Crude Inventories: +234 MBbls
> Gasoline Inventories: +771 MBbls
> Distillate Inventories: – 2,233 MBbls
> Refinery Utilization: + 0.63% change
Oil & Gas Prices - Nov 25
Oil & Gas Prices - Nov 25
Last edited by dan_s on Thu Nov 26, 2020 8:45 am, edited 1 time in total.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Oil & Gas Prices - Nov 25
Geopolitical Risk is real: Oil tanker hit by blast at Saudi terminal, Saudi Arabia confirms Nov 25, 2020 11:00AM ET by Reuters
The blast follows a number of recent security incidents concerning Saudi oil infrastructure.
Yemen's Houthi group on Monday claimed a strike on a Saudi Aramco (SE:2222) petroleum products distribution plant in Jeddah. Aramco and Saudi authorities confirmed the attack.
Two weeks ago, a fire near a floating platform belonging to the Jazan oil products terminal was contained with no injuries.
That fire was the result of another attempted Houthi attack, in which the Saudi-led coalition intercepted and destroyed two explosive-laden boats in the southern Red Sea.
There was no immediate claim of responsibility from the Houthis regarding the latest incident.
Houthi leader Muhammed Ali Houthi did not explicitly deny the attack, but said in a tweet that any military or security operations are announced through military and security establishments officially.
On Tuesday the coalition said it had destroyed five Houthi-laid mines in the Red Sea.
The blast follows a number of recent security incidents concerning Saudi oil infrastructure.
Yemen's Houthi group on Monday claimed a strike on a Saudi Aramco (SE:2222) petroleum products distribution plant in Jeddah. Aramco and Saudi authorities confirmed the attack.
Two weeks ago, a fire near a floating platform belonging to the Jazan oil products terminal was contained with no injuries.
That fire was the result of another attempted Houthi attack, in which the Saudi-led coalition intercepted and destroyed two explosive-laden boats in the southern Red Sea.
There was no immediate claim of responsibility from the Houthis regarding the latest incident.
Houthi leader Muhammed Ali Houthi did not explicitly deny the attack, but said in a tweet that any military or security operations are announced through military and security establishments officially.
On Tuesday the coalition said it had destroyed five Houthi-laid mines in the Red Sea.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Oil & Gas Prices - Nov 25
From World Oil: Oil price fundamentals begin showing longer-term strength
The oil futures curve, an important gauge of trader bullishness, has strengthened to levels last seen in the early days of the pandemic as demand from Asian buyers surges and optimism grows for successful Covid-19 vaccines. Two of the oil market’s most-watched inter-month price spreads -- one denoting short-term strength, the other reflecting an improving longer-term outlook -- this week flipped into what traders call backwardation, a structure that’s generally seen as reflecting tighter conditions. The move isn’t only significant because it suggests that traders are re-evaluating the supply and demand outlook. If sustained, it might also attract investors seeking to capture what’s known as roll-yield -- selling the most immediate contract and buying a later one at a cheaper price.
The oil futures curve, an important gauge of trader bullishness, has strengthened to levels last seen in the early days of the pandemic as demand from Asian buyers surges and optimism grows for successful Covid-19 vaccines. Two of the oil market’s most-watched inter-month price spreads -- one denoting short-term strength, the other reflecting an improving longer-term outlook -- this week flipped into what traders call backwardation, a structure that’s generally seen as reflecting tighter conditions. The move isn’t only significant because it suggests that traders are re-evaluating the supply and demand outlook. If sustained, it might also attract investors seeking to capture what’s known as roll-yield -- selling the most immediate contract and buying a later one at a cheaper price.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Oil & Gas Prices - Nov 25
Closing Prices:
> WTI prompt month (JAN 21) was up $0.80 on the day, to settle at $45.71/Bbl.
> NG prompt month (DEC 20) was up $0.121 on the day, to settle at $2.896/MMBtu. < My guess is that the JAN21 ngas contracts goes over $3.00 next week.
Happy Thanksgiving to all EPG members. We appreciate your support.
> WTI prompt month (JAN 21) was up $0.80 on the day, to settle at $45.71/Bbl.
> NG prompt month (DEC 20) was up $0.121 on the day, to settle at $2.896/MMBtu. < My guess is that the JAN21 ngas contracts goes over $3.00 next week.
Happy Thanksgiving to all EPG members. We appreciate your support.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group