enery prices

Capital spending by global oil and natural gas explorers has collapsed to levels not seen in 15 years and could decline on average by 27% in 2020, a 3,000 basis point turnaround from the 2% increase predicted in December, according to a new survey.

An encouraging start is underway to add a private enterprise dimension to municipal government production of renewable natural gas (RNG) from urban and agricultural waste landfill sites, according to a French Canadian pioneer of the budding business field.

Natural gas futures dipped into the red early Tuesday and remained there on demand concerns tied to mixed weather forecasts and diminished natural gas exports. The July Nymex contract settled at $1.767/MMBtu, down 2.2 cents day/day. August was down 2.9 cents to $1.863.

A slowdown of crude oil and associated natural gas production in the Permian Basin, combined with new infrastructure and capacity releases in Mexico, could help narrow the discount of Waha natural gas prices to Henry Hub over the coming months and years, according to NGI’s Patrick Rau, director of strategy and research.

The year started as 2019 had ended for leading natural gas marketers, with 1Q2020 continuing the sales declines that have hampered the industry for four consecutive quarters, according to NGI’s Top North American Natural Gas Marketers rankings.

Natural gas futures scratched out a modest gain Monday after Tropical Storm Cristobal made landfall a day earlier, forcing shut-ins but also bringing cooler air to the South. Entrenched worries about weakness in demand from liquefied natural gas (LNG) export facilities curbed price momentum.

Weatherford International plc, which exited bankruptcy in December, is facing more turmoil as CEO Mark McCollum was forced out days ahead of the annual meeting.

French supermajor Total SA, one of the largest global natural gas producers, said Monday it has joined the Getting to Zero Coalition to work toward a 50% reduction in greenhouse gas (GHG) emissions from shipping by 2050, including helping to improve liquefied natural gas (LNG) infrastructure.

Driven by plummeting oil prices and the shutdown of local economies from the coronavirus pandemic, Latin America’s rig count fell a further 27 rigs month/month to 62 in May, according to the latest figures from Baker Hughes Co.