"While our outlook for a bullish set-up for natural gas in 2021 was bolstered with 3Q20 results given greater apparent discipline from Appalachia producers, this was partly offset by milder November weather," Goldman Sachs oil and gas analyst Brian Singer said Dec. 15. "We still believe that lower oil/gas drilling activity is likely to shift the natural gas supply-demand picture from bearish to bullish over the next nine months."
This why Antero Resources leads the pack:
Ironically, the biggest 2020 gainers in the shale gas patch are three Appalachian producers with significant NGL production, liquids whose prices are pegged to crude oil's price (< this is only partly true.). Any rebound in oil prices flows directly to the bottom lines of Antero Resources Corp., Range Resources Corp. and Southwestern Energy Co.
"As one of the largest NGL producers with significant gas hedges, upside to near-term cash flows is levered to propane and heavier gas liquids," energy data firm Enverus analyst Matt Clenchy said of Antero on Dec. 17. "According to the company, the prices for these products recovered to roughly $26 per barrel through October and November, up from $22.50/bbl in Q3."
Read more: https://www.spglobal.com/marketintellig ... e-61915268
Why 2021 s/b a good year for the gassers - Dec 30
Why 2021 s/b a good year for the gassers - Dec 30
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group