Energy stocks are set to decline, following weaker oil, natural...
Energy stocks are set to decline, following weaker oil, natural gas, gasoline and crack spread prices. This comes despite broader index futures erasing overnight losses and now turning slightly positive.
In earnings news, Kinder Morgan reported a 20.3% rise in quarterly adjusted profit on Wednesday as the U.S pipeline operator received a boost from jet fuel demand, with the company also benefiting from re-contracting some natural gas pipelines at a higher rate. The pipeline operator cashed in on the pent-up travel demand, which resulted in a 19% rise in jet fuel volumes transported in the second quarter. It said adjusted earnings for its natural gas pipelines were up 6% at $1.13 billion. The company also increased its dividend by 3%.
Oil prices fell by more than $5 on Thursday after higher U.S. gasoline stockpiles and an ECB rate hike stoked demand worries and returning oil supply from Libya eased supply concerns. Oil futures trading volumes have been thin and prices volatile as traders have to square weaker energy demand with tighter supply resulting from the loss of Russian barrels after the country's invasion of Ukraine. U.S. gasoline inventories rose by 3.5 million barrels last week, government data showed on Wednesday, far exceeding analyst forecasts. "U.S. gasoline demand is struggling to shift into top gear during the peak summer driving season," said PVM analyst Stephen Brennock.
Natural gas prices are off by 20 cents ahead of weekly inventory data. Analysts expect a build of 46 bcf.
Camino Natural Resources brings in new wells next to El Reno
Two Canadian County wells drilled on a single pad near El Reno resulted in nearly 1,800...
Two Canadian County wells drilled on a single pad near El Reno resulted in nearly 1,800 barrels of oil a day.
Camino Natural Resources LLC based in Denver, Colorado filed completion reports this week on the two wells that were completed in April 2022.
Located at 34 12N 7W just a mile south of El Reno and adjacent to I-40, the Hunt 1207 27-22-4mxh had the largest production at 1,349 barrels of oil a day along with 5,442 Mcf of natural gas. Drilled depth was 20,361 feet in the Mississippian play after a November 2021 spud date.
The second well, the Hunt 1207 27-22-3wxh, was spudded in November 2021. The completionreport showed production of 445 barrels of oil a day and 3,650 Mcf of natural gas at a drilled depth of 20,357 feet.
Permian gas takeaway capacity nearing adequate levels
The Permian Basin natural gas market will be "pretty well-served until the latter part of the decade"...
The Permian Basin natural gas market will be "pretty well-served until the latter part of the decade" once the raft of recently announced gas takeaway projects come online, said Tom Martin, Kinder Morgan president of natural gas pipelines, during a Wednesday earnings call, raising questions about the fate of the company's proposed Gulf Coast Express expansion. "The next projects that need [a final investment decision] will likely come in sometime in 2024, maybe 2025," Martin added.
U.S. natural gas gains 10% to $8/MMBtu as heatwave batters U.S.
U.S. natural gas futures surged more than 10% to a five-week high on Wednesday, as hot...
U.S. natural gas futures surged more than 10% to a five-week high on Wednesday, as hot weather blankets much of the U.S. with forecasts for more during the next two weeks, which likely would boost demand for the fuel.
Front-month Nymex natural gas (NG1:COM) for August delivery closed +10.2% to $8.007/MMBtu, its highest settlement since June 13 and up more than 47% so far this month.
N.D. production reversed some of April's losses in May
North Dakota produced 1.06 million barrels per day in May, up 17% from April, when two...
North Dakota produced 1.06 million barrels per day in May, up 17% from April, when two blizzards and a snowstorm caused oil output to plummet below 1 million bpd for the first time in two years, according to the state Mineral Resources Department. Natural gas production also rebounded by 14% from April to roughly 2.8 billion cubic feet of natural gas per day.
