Oil & Gas Prices - Apr 5

[dan_s]

Looks like ngas may average $6.00 the rest of the year. My valuations of all gassers will be going up!

Opening Prices:
> WTI is up $1.27 to $104.55/bbl, and Brent is up $1.13 to $108.66/bbl.
> Natural gas is up 26.9c to $5.981/MMBtu.

AEGIS NOTES
OIL

WTI was up 1% Tuesday morning as European Union nations remain split over the next steps to take against Russia
The EU has said it plans to phaseout Russian coal imports but shied away from sanctioning the country’s oil and gas for now (Bloomberg)
The U.S. and U.K. have already moved to ban Russian oil

The U.S.’s release from its strategic petroleum reserve (SPR) will be short-lived (BBG)
The SPR release should help ease concerns by alleviating short-term physical pressure, but the effects probably won’t last much beyond the six-month promised release
AEGIS notes that knowing the SPR will likely need to be restocked in the future will mean more oil demand

GAS

Natural gas prices are up this morning, trading 26.9c higher near $5.981
U.S. lower-48 dry gas production has retreated by around 1.1 Bcf/d to 92.8 Bcf/d, after reaching a two-month high of 94 Bcf/d
U.S. LNG feedgas demand is at around 11.7 Bcf/d as flows dipped lower at Freeport LNG
There will be an outage at Freeport T1, according to a TCEQ filing, as the company conducts a planned maintenance turnaround event that will last from 4/5 to 4/21
The gas-weighted heating degree day forecast for April is up by 10 HDDs near 343 HDDs, or around 20 gas-weighted HDDs higher than the 323 HDD total for April ’21

Germany takes control of Gazprom subsidiary to ensure energy supply
Gazprom Germania GmbH — the owner of energy supplier Wingas GmbH and a gas storage firm — will come under the trusteeship of the German energy regulator until Sept. 30, Economy Minister Robert Habeck told reporters in Berlin
Gazprom subsidiaries in Europe are coming under pressure as clients and business partners refuse to do business with them
Gazprom Germania’s Astora unit operates Germany’s largest storage facility and is considered key to Germany’s energy security

[dan_s]

Closing
> Prompt-Month Henry Hub (May 22) was up $0.320 on the day, to settle at $6.032
> Prompt-Month WTI (May 22) was down $-1.32 on the day, to settle at $101.96