Oil & Gas Prices - Dec 21
Posted: Tue Dec 21, 2021 10:52 am
Doug Bartole and I will be taking questions at the end of today's webinar that begins at 11AM CT. Register on our website or send an email to Sabrina at energyprospectus@gmail.com.
Opening Prices:
> WTI is up $1.00 to $69.61/Bbl, and Brent is up 99c to $72.51/Bbl.
> Natural gas is up 4.3c to $3.877/MMBtu.
AEGIS Notes
Oil
Nymex WTI was up over 2% Tuesday morning after falling about 5% over the past two days
The new Covid-19 variant Omicron accounted for 73% of all cases in the U.S. last week, but there is little sign of a substantial hit to oil consumption (BBG) < Omicron should mark the end of the pandemic. This variant is not deadly for otherwise healthy humans.
Libya suspended crude exports from two of its ports after militias shut down the nation’s biggest oil field days before an election (Bloomberg)
The OPEC member’s National Oil Company said production had fallen by more than 300 MBbl/d
The seventh round of nuclear talks between Iran and world powers will resume soon after Christmas
Talks have been somewhat contentious as the U.S. and European diplomats have warned Iran time’s running out to revive a 2015 accord that limits its atomic activities in return for an easing of sanctions, including oil exports (BBG)
IMO Iran is just playing the very weak Biden Team and they have no intention of slowing down their nuclear program. It would not surprise me to see Team Biden send them a plane full of cash like Obama did.
Natural Gas
The prompt-month Henry Hub contract is up by 4.3c this morning, near $3.877
> Gas prices have been resilient to start the week despite the bearish string of weather runs. The gas-weighted heating degree day total fell by 11 HDDs to 683, bringing the total losses from last Friday to 21 HDDs
> LNG feedgas demand is at 12.9 Bcf/d this morning, around 200 MMcf/d lower than the all-time high of 13.1 Bcf/d reached on Sunday
Strong gas demand in the U.S. Southwest cause flows on El Paso Natural Gas to surge
> Westbound gas transmission from the Permian Basin has been up since the start of December as frigid weather in the U.S. Southwest has caused gas demand, prices to spike
> Over the past few weeks, flows on the westbound pipeline have averaged more than 3.3 Bcf/d, their highest level since El Paso declared force majeure on its westbound line in August
The El Paso Permian prompt-month basis price settled at an all-time high of 29c on Monday, December 20
Opening Prices:
> WTI is up $1.00 to $69.61/Bbl, and Brent is up 99c to $72.51/Bbl.
> Natural gas is up 4.3c to $3.877/MMBtu.
AEGIS Notes
Oil
Nymex WTI was up over 2% Tuesday morning after falling about 5% over the past two days
The new Covid-19 variant Omicron accounted for 73% of all cases in the U.S. last week, but there is little sign of a substantial hit to oil consumption (BBG) < Omicron should mark the end of the pandemic. This variant is not deadly for otherwise healthy humans.
Libya suspended crude exports from two of its ports after militias shut down the nation’s biggest oil field days before an election (Bloomberg)
The OPEC member’s National Oil Company said production had fallen by more than 300 MBbl/d
The seventh round of nuclear talks between Iran and world powers will resume soon after Christmas
Talks have been somewhat contentious as the U.S. and European diplomats have warned Iran time’s running out to revive a 2015 accord that limits its atomic activities in return for an easing of sanctions, including oil exports (BBG)
IMO Iran is just playing the very weak Biden Team and they have no intention of slowing down their nuclear program. It would not surprise me to see Team Biden send them a plane full of cash like Obama did.
Natural Gas
The prompt-month Henry Hub contract is up by 4.3c this morning, near $3.877
> Gas prices have been resilient to start the week despite the bearish string of weather runs. The gas-weighted heating degree day total fell by 11 HDDs to 683, bringing the total losses from last Friday to 21 HDDs
> LNG feedgas demand is at 12.9 Bcf/d this morning, around 200 MMcf/d lower than the all-time high of 13.1 Bcf/d reached on Sunday
Strong gas demand in the U.S. Southwest cause flows on El Paso Natural Gas to surge
> Westbound gas transmission from the Permian Basin has been up since the start of December as frigid weather in the U.S. Southwest has caused gas demand, prices to spike
> Over the past few weeks, flows on the westbound pipeline have averaged more than 3.3 Bcf/d, their highest level since El Paso declared force majeure on its westbound line in August
The El Paso Permian prompt-month basis price settled at an all-time high of 29c on Monday, December 20