Story of the Week

BP Delivers Best Upstream Results in Nearly Four Years
NGI Weekly Intel
Fresh off a mega-acquisition in the Lower 48, BP plc on Tuesday delivered sharply higher second quarter profits, with the upstream delivering... Read More
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NGI Weekly Newsletter

August 13, 2018

MXShale12

President-Elect López Obrador to Shut Down Fracking in Mexico

Mexico’s incoming president, Andrés Manuel López Obrador, said his administration will put an end to hydraulic fracturing, or fracking, in the country.

Pennsylvania Regulators Partially Lift Mariner East 2 Construction Suspension

The Pennsylvania Public Utility Commission (PUC) on Thursday partially lifted a suspension on construction of the Mariner East (ME) 2 and 2X pipelines in southeast Pennsylvania.
Actual-Storage-Injection-vs-Low-High-Analyst-Estimates-Since-2018-Injections-Began-20180802 (1)

September Natural Gas Futures a Snoozefest, But Supply Points Post Gains

If you’re looking to the natural gas futures strip for any meaningful price action -- which should be a given considering the sweltering summer weather, low storage inventories and relatively stagnant production -- you’ll need to look elsewhere.
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Apache’s Permian Natural Gas Volumes Jump 70%; Capex Increased to Advance Alpine High

Driven by record production from the Permian Basin, including a near-70% increase in natural...

Crude Inventory Building As Antero Wrestles With Appalachian Trucking Constraints

A lack of licensed trucks and drivers in Appalachia has left more than 100,000 bbl of crude oil produced by Antero Resources Corp. in West Virginia’s Marcellus Shale to pile up as the volumes wait for transportation, and has forced the company to curtail 100 MMcfe/d of production.

Senate Passes $154.2B Minibus, Includes Funding for EPA, Interior

The Senate passed a $154.2 billion "minibus" spending bill for fiscal year 2019 on Wednesday that includes more funding for the Environmental Protection Agency and the Department of Interior than initially proposed by President Trump, a fact that was not lost on the White House.

Williams Shelling Out More Capex Following Recent Transactions

Williams LP is raising is capital expenditure (capex) budget for the remainder of 2018 and 2019 to account for recently announced transactions that extend its footprint into the Denver-Julesburg Basin and have it exiting the Four Corners region of the United States, the company said Thursday.

Enterprise Eyeing Another PDH Plant, More Frac Capacity at Mont Belvieu

Just weeks after Enterprise Products Partners LP said that it is considering building a crude oil terminal offshore Texas, management on Wednesday said they’re also mulling another propane dehydrogenation (PDH) facility and adding more natural gas liquids (NGL) fractionation capacity to the company’s extensive midstream portfolio along the U.S. Gulf Coast.
Revisions-in-North-American-E-and-P-2018-CapEx-Announced-During-C2Q18-Earnings-Calls-20180802-v2

PRB Added to Anadarko’s Delaware, DJ and Deepwater GOM Focus

Looking to capitalize on numerous opportunities at favorable prices, Anadarko Petroleum Corp. is upping its 2018 capital spending in part so that it can focus on its core acreage in the Permian and Denver-Julesburg basins, as well as develop an emerging opportunity in the Powder River Basin, CEO Al Walker said Wednesday.
Whiting-Petroleum-Bakken-Bolt-On-Acreage-20180802.png

Whiting to Keep Some DJ Basin Assets; Add Williston Acreage

Denver-based Whiting Petroleum Corp.'s CEO Brad Holly on Wednesday said his company has pulled some of its Denver-Julesburg (DJ) Basin assets from the sales block and added nearly 55,000 net acres in the Williston Basin as its drilling teams continue to set new records for shortening well completion times.
Mexico-President-Elect-Andres-Manuel-Lopez-Obrador-and-his-Energy-Team-20180730

Obrador Energy Sector Picks Met With Skepticism

Analysts reacted with almost uniform wariness and skepticism to the announcement by Mexico's next president, Andrés Manuel López Obrador, of his picks for top energy sector posts and of a 175 billion-peso ($9.43 billion) plan to "rescue" the industry.

Supreme Court Denies DOJ Effort to Derail Young People’s Climate Change Lawsuit

In what court watchers already consider a landmark case in which young people are suing the federal government for stronger climate change actions, the U.S. Supreme Court on Monday denied the Trump administration's request to block the lawsuit from moving forward.

Chesapeake Looks to Portfolio for Gains As Selling Spree Ends With Utica Divestiture

Chesapeake Energy Corp. CEO Doug Lawler said Wednesday that last week’s $2 billion Utica Shale divestiture “marks the conclusion” of the company’s “strategy of asset sales being the primary driver of debt reduction,” as management plans to lean on other parts of the portfolio and gains from the resurgent Powder River Basin (PRB) to strengthen the balance sheet.

Encana Claims ‘Virtually No Exposure’ to Midland Oil Pricing Through 2018

Encana Corp.’s second quarter performance was highlighted by its continued liquids growth in the North American onshore, with output from the Permian Basin climbing 43% and Montney production jumping 128%.
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Big Losses and Bigger Controversies Dogging Pemex, CFE

Mexico's two leading state energy companies, which are no longer monopolies but which continue to dominate their sector, recorded losses totaling $10.3 billion in the second quarter.
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Natural Gas Trading Last Year Reached Highest Level Since 2011, Analyst Says

The amount of natural gas traded in the United States increased in 2017 for the third year in a row, reaching its highest level since 2011...

Senate GOP Bill Would Clarify Clean Water Act, Prevent Abuse by States

Four Republican senators have introduced a bill designed to clarify Section 401 of the Clean Water Act (CWA), which the oil and natural gas industry hopes will help prevent states from using the law to block or delay infrastructure projects, including interstate oil and gas pipelines.
Devon-Energy-Corporation-US-Oil-Production-Outlook-from-Retained-Assets-20180801

Devon’s Volumes Top Guidance, Driven by Permian, STACK

Devon Energy Corp.’s light oil production surpassed the high end of guidance in the second quarter, nearly all attributed to the Permian and Anadarko basins.

FERC Rejection of PJM's Coal, Nuclear Subsidy Proposals Said Counterproductive

FERC's recent rejection of two proposals by PJM Interconnection to help the grid operator address state subsidies for uneconomic coal and nuclear power plants sets wholesale markets and state policies on divergent paths, rather than integrating them, according to an analysis by Brattle Group economists.
2017-Ohio-Permits-per-Formation-20180731

Cabot Working to Resuscitate Old Ohio Oilfields

With one exploratory prospect in West Texas scrapped, Cabot Oil & Gas Corp. continues to work a hunch that the old oilfields of north-central Ohio might hold promise that can be unlocked with unconventional drilling.

Canadian Gas Trade Usurped by U.S. with Gains in Mexico, LNG Exports

Canadian natural gas imports from the United States nosedived as a cross-country pipeline toll cut put a competitive edge on production by the western provinces, according to the latest trade scorecard compiled by the U.S. Department of Energy.

Oklahoma Pure-Play Roan Moving to Double Production in 2019

Roan Resources LLC executives said their new pure-play exploration and production (E&P) company plans to deploy an eighth rig in Oklahoma's stacked plays by the end of the year, with a goal of more than doubling production by the end of 2019.

Crestwood Raising Capex on Growing Permian, PRB Footprint

Crestwood Equity Partners LP is increasing its capital spending to reflect its growing interests in the hot spot Delaware sub-basin of the Permian Basin and in the Powder River Basin (PRB) of Wyoming, the company said Tuesday.

Range Pondering Sale of North Louisiana Assets

Range Resources Corp. management said on Tuesday that it would consider selling the assets in North Louisiana’s Cotton Valley Sands Terryville Complex if they continue to underperform.
BP-Sources-and-Uses-of-Cash-20180731

BP Delivers Best Upstream Results in Nearly Four Years

Fresh off a mega-acquisition in the Lower 48, BP plc on Tuesday delivered sharply higher second quarter profits, with the upstream delivering...
Annual-IEnova-Pro-Forma-EBITDA-20180727

IEnova Banks on Fuel Storage Growth to Serve Mexico

The liquid fuels storage business has emerged as a primary growth engine for Infraestructura Energética Nova (IEnova) as global refiners seek to offload their products to a hungry Mexican market.

Patterson-UTI Says Super-Specs Still in Demand but Overcapacity in Pressure Pumping

Operational delays at multiple well sites, combined with too much pressure pumping competition across the U.S. onshore led to a slow quarter for Patterson-UTI Energy Inc., but management expects the issues to be short-lived.
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Nexus Natural Gas Pipeline 80% Completed, Says DTE

Construction of Nexus Gas Transmission LLC's 1.5 million Dth/d Appalachian takeaway pipeline is 80% complete, with mainline welding...
Pemex-Leverage-and-Cash-Flow-Have-Improved-Due-to-Spending-Controls-and-Better-Crude-Prices-20180726

Potential Revamp of Mexico Energy Sector Said Risky for Pemex

The incoming Mexican administration’s focus on energy self-sufficiency could pose risks for national oil company Petroleos Mexicanos, according to a recent report by Moody’s Investors Service.

Industry Groups Urge FERC to Reaffirm Pipeline Certification Process

FERC received hundreds of public comments before last Wednesday’s deadline over a proposal to possibly revise policies for reviewing and authorizing new interstate natural gas transportation facilities, while House lawmakers are considering a bipartisan bill to give the Commission flexibility to hire engineers to address the permitting backlog.
Weekly-Midland-and-Delaware-Basin-Rig-Count-20180727

Chevron Has ‘No Plans’ to Slow, Divert Capital from Permian

Chevron Corp. executives made clear on Friday that any Permian Basin pipeline constraints would be resolved...

ExxonMobil Delivers Lackluster Results, But U.S. Upstream Profits on Permian, Bakken

America’s largest oil and natural gas producer, ExxonMobil Corp., delivered an underwhelming performance in the second quarter, missing Wall Street expectations, but U.S. upstream profits turned around from a year-ago loss.
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BP’s $10.5B Leap into Lower 48 Onshore with BHP Buy ‘Transformational’

BP plc late Thursday agreed to pay $10.5 billion to acquire nearly all of BHP’s massive U.S. onshore portfolio, giving it entry into the Permian Basin in West Texas, doubling its Haynesville Shale position and adding attractive acreage in the Eagle Ford Shale.

3D"Sign

NGI's Bidweek Alert Day 5 - July 31st for August 2018
For more detailed information please download the Excel data file
FIXED RANGE BASIS RANGE
South Texas
Agua Dulce -- --
Florida Gas Zone 1 -- --
NGPL S. TX -- --
Tennessee Zone 0 South -- -0.16 to -0.16
Texas Eastern S. TX -- -0.01 to 0.015
Transco Zone 1 -- -0.06 to -0.055
East Texas
Carthage -- -0.135 to -0.135
Houston Ship Channel 2.84 to 2.85 0.06 to 0.06
Katy -- --
NGPL TexOk 2.62 to 2.69 -0.155 to -0.1475
Tennessee Zone 0 North -- --
Texas Eastern E. TX -- --
Transco Zone 2 -- --
West Texas/SE New Mexico
El Paso Permian 1.80 to 2.18 --
Transwestern 1.85 to 1.94 --
Waha 1.80 to 1.89 --
Midwest
Alliance -- --
ANR ML7 -- --
Chicago Citygate 2.70 to 2.73 --
Chicago - Nicor Gas 2.71 to 2.73 --
Chicago - NIPSCO -- --
Chicago - North Shore -- --
Chicago - Peoples 2.70 to 2.71 --
Consumers Energy -- 0.02 to 0.045
Dawn 2.81 to 2.88 0.015 to 0.0575
Emerson -- -0.20 to -0.185
Joliet -- --
Lebanon -- -0.135 to -0.13
Michigan Consolidated 2.79 to 2.80 0.0075 to 0.03
NGPL Amarillo Mainline -- --
Parkway/Union -- 0.05 to 0.05
REX into ANR - Shelby -- -0.135 to -0.12
REX into MGT - Edgar -- --
REX into NGPL - Moultrie -- --
REX into PEPL - Putnam -- --
REX into Trunk - Douglas -- --
Midcontinent
ANR SW 2.31 to 2.39 -0.50 to -0.42
Enable East -- -0.25 to -0.22
Enable West -- --
NGPL Midcontinent 2.27 to 2.33 -0.50 to -0.45
Northern Border Ventura -- --
Northern Natural Demarc 2.59 to 2.64 --
Northern Natural Ventura 2.63 to 2.65 --
OGT -- -1.20 to -1.10
Panhandle Eastern 2.19 to 2.34 -0.45 to -0.44
Southern Star -- -0.50 to -0.50
North Louisiana/Arkansas
Perryville -- --
Texas Eastern, M1, 24 -- --
Texas Gas Zone 1 -- -0.145 to -0.135
Trunkline Zone 1A -- -0.155 to -0.1425
South Louisiana
ANR SE -- -0.125 to -0.11
Columbia Gulf Mainline -- -0.1475 to -0.135
Columbia Gulf onshore -- -0.105 to -0.105
Florida Gas Zone 2 -- --
Henry Hub -- --
Southern Natural -- -0.065 to -0.0625
Tennessee Line 500 -- -0.0725 to -0.0675
Tennessee Line 800 -- -0.0875 to -0.0875
Texas Eastern E. LA -- -0.10 to -0.0775
Texas Eastern W. LA -- --
Texas Gas Zone SL -- --
Transco Zone 3 -- -0.045 to -0.0375
Trunkline E. LA -- --
Trunkline W. LA -- --
Southeast
FGT Citygate -- --
Florida Gas Zone 3 -- --
Texas Eastern M-1, 30 -- --
Transco Zone 4 -- -0.0325 to -0.01
Transco Zone 5 -- 0.08 to 0.10
Transco Zone 5 North -- --
Transco Zone 5 South -- 0.08 to 0.10
Appalachia
Columbia Gas -- -0.2075 to -0.1925
Dominion North -- -0.43 to -0.42
Dominion South -- -0.45 to -0.405
Leidy Hub -- --
Millennium East Pool -- -0.69 to -0.57
Tenn Zone 4 200L -- -0.245 to -0.22
Tennessee Zn 4 313 Pool -- -0.295 to -0.29
Tennessee Zn 4 Marcellus -- -0.73 to -0.60
Texas Eastern M-2, 30 Delivery -- --
Texas Eastern M-2, 30 Receipt -- -0.45 to -0.405
Texas Eastern M-3, Delivery -- -0.34 to -0.32
Texas Eastern M-3, Receipt -- --
Transco-Leidy Line -- -0.66 to -0.545
Northeast
Algonquin Citygate -- 0.00 to 0.10
Algonquin Citygate (non-G) -- 0.00 to 0.10
Algonquin Receipts -- --
Iroquois Zone 2 -- 0.06 to 0.12
Iroquois, Waddington -- 0.07 to 0.085
Niagara -- --
Tenn Zone 5 200L -- --
Tenn Zone 5 300L -- --
Tenn Zone 6 200L -- --
Tenn Zone 6 300L -- --
Transco Zone 6 non-NY -- -0.05 to -0.01
Transco Zone 6 non-NY North -- -0.05 to -0.01
Transco Zone 6 non-NY South -- --
Transco Zone 6 NY -- -0.05 to -0.02
Rocky Mountains
Cheyenne Hub 2.35 to 2.35 --
CIG 2.26 to 2.26 --
CIG DJ Basin -- --
El Paso Bondad -- --
El Paso non-Bondad 2.31 to 2.36 --
Kern River 2.42 to 2.44 --
Kingsgate -- --
Northwest S. of Green River -- --
Northwest Sumas 2.25 to 2.28 --
Northwest Wyoming Pool -- --
Opal 2.40 to 2.46 --
Questar -- --
Stanfield -- --
Transwestern San Juan 2.40 to 2.40 --
White River Hub 2.35 to 2.35 --
Arizona/Nevada
El Paso S. Mainline/N. Baja -- --
Kern Delivery 6.00 to 6.25 --
California
Malin 2.49 to 2.52 --
PG&E Citygate 3.06 to 3.10 --
SoCal Citygate 8.35 to 10.50 --
Southern Border, PG&E 2.50 to 2.70 --
Southern Border, SoCal 2.65 to 5.50 --
SoCal Border Avg. 2.65 to 5.50 --
Canada
Empress -- --
NOVA/AECO C 1.28 to 1.37 --
Westcoast Station 2 1.32 to 1.36 --
NOTE: Both the buy and the sell side of transactions are counted in this table, as they are in NGI’s daily, weekly and bidweek natural gas price tables, a standard practice which supports consistency and uniformity across products as explained in our price methodology.