Thursday, May 10, 2018

Jobs. Link.

• consensus forecast: 220,000
• actual: 211,000
• same as previous week, so "no change"

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Sanctions

Sanctions, implications: "Buyers seek US waivers to buy Iranian oil amid new sanctions." -- over at Reuters. 

South Korea said on Wednesday it would seek U.S. exemptions to buy Iranian oil, a path many big oil consumers are likely to follow in the wake of new U.S. sanctions on Tehran, which will tighten world oil markets and push up prices.

Iran is the third-largest oil producer in the Organization of the Petroleum Exporting Countries (OPEC) and a key supplier, especially to refiners in Asia.

The United States plans to impose new unilateral sanctions after abandoning an agreement reached in late 2015 which limited Iran's nuclear ambitions in exchange for removing joint U.S.-Europe sanctions, which included strict curbs on crude oil exports.
New U.S. sanctions will include measures aimed at its oil and shipping sectors, with a six-month "wind down" period "to allow companies to end contracts, terminate business, (and) get their money out", according to the U.S. State Department.

Also at Reuters: Serica evaluating impact of Iran sanctions on British gas field.

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Back to the Bakken

Active rigs:

$71.11→	5/10/2018	05/10/2017	05/10/2016	05/10/2015	05/10/2014
Active Rigs	61	50	28	84	192

RBN Energy: the potential for intrastate gas pipeline expansions at Waha.

The basis blowout at the Waha Hub in the Permian Basin arrived in full force over the last few weeks, with natural gas prices reaching discounts to the Henry Hub not witnessed since 2009.

Available takeaway capacity has been quickly eroding on the existing pipeline corridors out of the basin, leaving many in the market pondering where all the incremental gas production will go before a new greenfield expansion pipe relieves the market in late 2019.

Last week, a partial answer came in the form of a pipeline expansion project by Enterprise Products Partners and Energy Transfer Partners slated for completion later this year. While the project’s estimated size is far too small to preclude additional greenfield pipelines beyond 2019, it does highlight the attractive economics of brownfield expansions on the Texas intrastate pipelines at Waha. Today, we analyze announced and possible intrastate pipeline projects around Waha.