WTI: surges. Up almost 4%. Closes at $70.77.
LLS: closes at $75.66.
Canadian dollar: holds at US 75 cents.
Stunned? Surprised? I don't know but here it is: remember -- this is the US District Court for the District of California -- a BusinessWire story -- the court has issued a ruling dismissing the climate change lawsuits filed against Chevron Corporation by the cities of San Francisco and Oakland. A lot of legalese, but basically a frivolous suit thrown out.
Permian pipeline project announced: will cross an international border. Oh-oh. From oilprice.com: Kinder Morgan, flush with new cash from Canada -- having sold the Trans Mountain Pipeline project to Mr Trudeau-- announces a new Permian pipeline project. By the way, if I'm not mistaken, a Kinder Morgan subsidiary may have sold the project to Canada, but the company will still get first shot at the contract to build it. What a hoot. If built, Canada will eventually sell it back to Kinder Morgan, no doubt. Now, back to the linked article:
- Kinder Morgan will team up with Apache Corp and a Blackstone subsidiary
- a US$2-billion, 2-billion-cf gas pipeline project from the Waha area to the Gulf Coast and to Mexico
- will be interesting to see if the new Mexican president will "buy into this" project with all the animosity between the two countries
- scheduled to begin operations in 2020
- the article suggests that the Permian play is an oil-dominated play (I tend to disagree; makes me wonder about the writer's credentials)
- this is KMI's second such project in the Permian
- two months ago KMI started construction of the Gulf Coast Express Project
- US$1.75 billion; 1.98 billion cubic feet of natural gas from the Permian to Agua Dulce in Tex
- should be operational in late 2019
- already fully subscribed for the long term
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Screen Shot Of The Day
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Peak Oil? What Peak Oil?
First it was the Permian. Then the Gulf of Mexico. Now it's Norway that is setting new production and discovery records.
From oilprice.com: Norway's oil discoveries on track for best year since 2010. A nice reminder that Statoil is now Equinor. From the linked article:
[C]ompanies [exploring on the Norwegian Continental Shelf] are on track to find nearly 1 billion barrels of oil equivalents this year.
These calculations show that the resources found per well could reach their highest since 2010—the year in which the giant Johan Sverdrup oil field was discovered in the North Sea with resources estimated at between 2.1 billion and 3.1 billion barrels of oil equivalents.
Johan Sverdrup—with production start planned for late 2019—will be one of the most important industrial projects in Norway in the next 50 years and will be the main contributor to Norway’s rising oil production until 2023.
Peak oil? What peak oil?
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Peak Natural Gas? Nope, Not Yet
We should see the official EIA data tomorrow. From SeekingAlpha today:
North Dakota's policy / guidance regarding flaring at this site. It may show up on your desktop as a pdf.
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Peak Water
Keeping to its announced schedule, the US Army Corps of Engineers is releasing 60,000 cubic feet per second from the Garrison Dam in an effort to low flood waters in the Bakken. Today's report:
Just visited N Dak for first time in way to many years. Family who live in Mandan say they have never seen Lake Sakakawea as full as it is. With runoff from Eastern Rocky Mt front in Montana still coming downstream, it will get worse before it gets better.
ReplyDeleteMy hunch: the US Army COE is "behind the eight ball." This bureaucracy is known for its glacial speed.
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