Oil & Gas Prices - July 25
Posted: Mon Jul 25, 2022 8:59 am
Opening Prices:
> WTI is up $1.67 to $96.37/bbl, and Brent is up $1.38 to $104.58/bbl. SEP22 is now the front month NYMEX contract for WTI
> Natural gas is up 18.0c to $8.479/MMBtu.
AEGIS Notes
Oil
EU eases some oil-trading sanctions on Russia
> Russian state-owned companies Rosneft and Gazprom will be permitted to ship oil to third countries under a revision of EU’s sanctions adopted by member states this week with the intention of reducing the dangers to global energy security
> Major trading firms, including Vitol, Glencore, and Trafigura, along with oil majors Shell and Total have stopped trading Russian oil for third parties, citing EU sanctions, including restrictions on shipping insurance. Now, however, they will be able to resume business with Russia under the new provision.
Natural Gas
Gas futures are up by 2.07% this morning, near $8.479
> The gas-weighted cooling degree day total has fallen over the weekend from around 387 CDDs to 373.8 CDDs
> If the 373.8 CDD forecasts hold, it would mark a top-five finish going back to 2000 but would fall short of the top spot
> Lower-48 dry gas production fell to around 97.5 Bcf/d, below the previous year-to-date highs of 97.9 Bcf/d two weeks ago, but pipeline maintenance has knocked supply lower
International gas prices are higher with TTF prices up 3.12% and JKM prices up 2.35%
> U.S. LNG feed gas nominations have declined -0.58 Bcf/d since Friday, which lowered demand to 10.54 Bcf/d
> The drop was attributable to Sabine Pass (-0.68 Bcf/d) and Cameron LNG (-0.12 Bcf/d), while Calcasieu Pass partially offset the slide with a +0.19 Bcf/d gain
U.S. became the world's largest LNG exporter in the first half of 2022
> The United States became the world’s largest LNG exporter during the first half of 2022, according to data from CEDIGAZ. Compared with the second half of 2021, U.S. LNG exports increased by 12% in the first half of 2022, averaging 11.4 Bcf/d
> In June, the United States exported 11% less LNG than the 11.4 Bcf/d average exports during the first five months of 2022, mainly due to an unplanned outage at the Freeport LNG export facility
> Most U.S. LNG exports went to the EU and the UK during the first five months of this year, accounting for 71%, or 8.2 Bcf/d, of the total U.S. LNG exports. Since the end of last year, countries in Europe have increasingly imported more LNG to compensate for lower pipeline imports from Russia and to fill historically low natural gas storage inventories. LNG imports in the EU and UK increased by 63% during the first half of 2022 to an average 14.8 Bcf/d
> WTI is up $1.67 to $96.37/bbl, and Brent is up $1.38 to $104.58/bbl. SEP22 is now the front month NYMEX contract for WTI
> Natural gas is up 18.0c to $8.479/MMBtu.
AEGIS Notes
Oil
EU eases some oil-trading sanctions on Russia
> Russian state-owned companies Rosneft and Gazprom will be permitted to ship oil to third countries under a revision of EU’s sanctions adopted by member states this week with the intention of reducing the dangers to global energy security
> Major trading firms, including Vitol, Glencore, and Trafigura, along with oil majors Shell and Total have stopped trading Russian oil for third parties, citing EU sanctions, including restrictions on shipping insurance. Now, however, they will be able to resume business with Russia under the new provision.
Natural Gas
Gas futures are up by 2.07% this morning, near $8.479
> The gas-weighted cooling degree day total has fallen over the weekend from around 387 CDDs to 373.8 CDDs
> If the 373.8 CDD forecasts hold, it would mark a top-five finish going back to 2000 but would fall short of the top spot
> Lower-48 dry gas production fell to around 97.5 Bcf/d, below the previous year-to-date highs of 97.9 Bcf/d two weeks ago, but pipeline maintenance has knocked supply lower
International gas prices are higher with TTF prices up 3.12% and JKM prices up 2.35%
> U.S. LNG feed gas nominations have declined -0.58 Bcf/d since Friday, which lowered demand to 10.54 Bcf/d
> The drop was attributable to Sabine Pass (-0.68 Bcf/d) and Cameron LNG (-0.12 Bcf/d), while Calcasieu Pass partially offset the slide with a +0.19 Bcf/d gain
U.S. became the world's largest LNG exporter in the first half of 2022
> The United States became the world’s largest LNG exporter during the first half of 2022, according to data from CEDIGAZ. Compared with the second half of 2021, U.S. LNG exports increased by 12% in the first half of 2022, averaging 11.4 Bcf/d
> In June, the United States exported 11% less LNG than the 11.4 Bcf/d average exports during the first five months of 2022, mainly due to an unplanned outage at the Freeport LNG export facility
> Most U.S. LNG exports went to the EU and the UK during the first five months of this year, accounting for 71%, or 8.2 Bcf/d, of the total U.S. LNG exports. Since the end of last year, countries in Europe have increasingly imported more LNG to compensate for lower pipeline imports from Russia and to fill historically low natural gas storage inventories. LNG imports in the EU and UK increased by 63% during the first half of 2022 to an average 14.8 Bcf/d