Only One Well Coming Off Confidential List Today, Looks Like It Might Be A DUC -- July 25, 2019

US markets:

• yesterday, a reader noted that both the NASDAQ and the S & P 500 hit new all-time highs
• I mentioned, then (yesterday) that if one had taken BA, CAT, and AAPL out of the Dow, the Dow would have been trading up 140 points
• today, two of the three are green again; the NASDAQ is down slightly in pre-market trading
• some big NASDAQ names reporting earnings today, including Alphabet (GOOGL); Amazon (AMZN); Intel (INTC); CMCSA; First Solar (FSLR); T-Mobile (TMUS); and, Starbucks (SBUX)
• also reporting: BAX;

BAX: must have had a good report; up almost 2% in pre-market trading; let's see -- forecast 81 cents EPS; actual (adjusted), 89 cents; 

NOV: to discuss restructuring in 2Q earnings call.

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Back to the Bakken

From twitter this morning:

Manufacturing stage: this was forecast about four years ago, that the Bakken would be in the "manufacturing" stage at which time production would level off. Nothing to see here. The Eagle Ford in "permanent decline" is interesting. I don't follow the Eagle Ford closely enough to be able to comment.

One well coming off confidential list today -- Thursday, July 25, 2019: 43 for the month; 43 for the quarter;

• 35178, SI/NC, MRO, State Etta 44-36H, Killdeer, no production data,

Active rigs:

$56.75	7/25/2019	07/25/2018	07/25/2017	07/25/2016	07/25/2015
Active Rigs	58	64	60	32	73

RBN Energy: how rising baseload demand for gas is reshaping seasonal patterns, part 2.

After sustaining a record pace since March, natural gas storage injections have been slowing dramatically and are projected to fall below the 5-year-average rate over the next few weeks. While weather has factored heavily into the swing in storage activity, increased baseload demand for gas in the power sector has amplified the effects of weather anomalies and electricity demand seasonality on overall gas demand. As a result, gas demand volumes have diverged from historical levels on a temperature-adjusted basis. Today, we examine the changing historical relationships of power burn and storage injections to weather and electricity demand.

We started our analysis with a look at gas storage injections relative to the 5-year average and noted the large deviations this spring. Storage injections in April were 180 Bcf above the historical average for that month. The above-average injections continued in May and June but closed the gap to less than 80 Bcf above the 5-year average in May and to about 90 Bcf higher in June. The high injection rate in part can be explained away by weather, which along with record production, contributed to a particularly weak supply-demand profile in April. The weather in April warmed faster and earlier than it normally does, with national average temperatures coming in above the 10-year rolling average for most days of the month (including as much as 10 degrees above average on April 8). The result was a sharp, 17-Bcf/d month-on-month drop in residential/commercial (res/comm) demand — the 5-year-average change between March and April was about 12 Bcf/d. Power and industrial demand also fell, by 1.4 Bcf/d and 1.6 Bcf/d, respectively, for a net drop in domestic demand of about 20 Bcf/d. Then, mostly cooler-than-normal temperatures followed through May and June, when power burn for air conditioning typically ramps up, prolonging the overall bearish supply-demand balance.