Demand

Absent other demand catalysts, a modest pullback in the intensity of heat expected by forecasters was enough to push down August natural gas futures on Monday as coronavirus concerns and worries about meager export levels lingered. The August Nymex contract declined 7.7 cents day/day and settled at $1.641/MMBtu. Futures were off more than 10 cents…

The Organization of the Petroleum Exporting Countries (OPEC) said last Tuesday it expects Mexico’s liquid hydrocarbons production to stay flat year/year at 1.9 million b/d in 2020 before falling to 1.8 million b/d in 2021 because of the natural decline of oilfields operated by national oil company Petróleos Mexicanos (Pemex). Although the government has pledged…

Calling it a “five-alarm fire,” North Dakota’s chief oil and gas regulator on Friday reported record oil and gas production declines during May among a sea of inactive or under-active Bakken Shale wells. May oil production fell 30% to 26.6 million bbl (858,000 b/d), compared to 36.6 million bbls (1.2 million b/d) in April. Natural…

Ongoing expectations for above-normal temperatures and strong cooling demand through July and beyond nudged August natural gas futures higher Tuesday. The August Nymex contract rose seven-tenths of cent day/day and settled at $1.746/MMBtu. September, however, decreased 1.0 cent to $1.787.  NGI’s Spot Gas National Avg. declined 4.5 cents to $1.675. While the latest forecasts lack…

Although economic activity and oil demand are recovering from the first wave of Covid-19, a resurgence of the pandemic in regions such as North and South America “is casting a shadow over the outlook” for the oil market, the International Energy Agency (IEA) said Friday. “Only time will tell if the economic impact will be…

Dragged down by loose balances amid weaker export demand, natural gas prices skidded lower in July bidweek trading even as a toasty forecast offered some encouragement for the bulls. NGI’s July Bidweek National Avg. fell 9.5 cents month/month to $1.450/MMBtu. That marks a 53-cent decline from the $1.980 average NGI recorded for July 2019 bidweek,…

The Energy Information Administration (EIA) on Wednesday said U.S. oil refinery input for the week ending June 26 averaged 14 million b/d, about 193,000 b/d higher than in the previous week, but the recent spike in Covid-19 cases nationwide may drive consumers back indoors, according to experts. U.S. refineries operated at 75.5% of their capacity…

Residential electricity sales in the United States surged to a record high in April, while cratering in the commercial and industrial sectors, a result of measures taken to reduce the spread of Covid-19, according to the Energy Information Administration (EIA). Total electricity sales in the United States declined 4% in April compared with the same…

The chances for a sustained recovery in global natural gas demand are being threatened by economies that have been slow to start back up as countries inch out of lockdown and face a resurgence of Covid-19 cases in some parts of the world, according to shipbroker Poten & Partners. Industrial demand remains weak in key…