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Tuesday, October 8, 2019

Only One Well Coming Off Confidential List Today -- October 8, 2019

Saudi Arabia: maybe things are not so back to normal?




Day rates: this was one of the top international energy stories last week. The first report was that tanker rates had gone to $10 million; then a second report, $12 million. Now, it is being reported that --
Occidental Petroleum has chartered the Very Large Crude Carrier Maran Andromeda to carry oil to South Korea for a record-setting price of $13.25 million, Reuters sources said on Monday.

Occidental is the largest Permian oil exporter from the US Gulf Coast, exporting a total 300,000b barrels per day, or 10% of all US crude oil exports. It has plans to double its crude exports next year (2020) although higher freight rates could dampen those prospects.
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Back to the Bakken

Plastics, North Dakota: continuing to be discussed; The Williston Herald.

Only one well coming off the confidential list today -- Tuesday, October 8, 2019: 25 for the month; 25 for the quarter:
  • 30649, 2,108, CLR, Sorenson 4-16H1, Alkali Creek, this will be a very, very nice well, producing nearly 40,000 bbls in first full month of production; t5/19; cum 81K 8/19;
The CLR Sorenson wells are tracked here.

Active rigs:

$51.8810/8/201910/08/201810/08/201710/08/201610/08/2015
Active Rigs5664593368

RBN Energy: AECO gas forwards mostly shaking off low Alberta storage.
With another month of anemic storage injections in September, Alberta natural gas storage levels remain on track to start the next heating season at a 13-year low. Still, while Alberta gas storage has been lagging well behind in terms of average injection rates and storage levels for many months now, forward winter contract prices for the Western Canadian gas price benchmark of AECO have budged only a little. There is potential for an improvement in storage injection rates during October after a recent regulatory approval affecting the Alberta gas pipeline system, but there is little time remaining in the current injection season to make much of a difference in inventory levels going into winter. Today, we conclude this two-part series with a look at why the AECO forward market remains largely unconcerned with low Alberta gas storage levels.

2 comments:

  1. Didn't see much news on this, but USGS has new App gas assessments. Marginal increase of Marcellus from 84 to 97 TCF. In addition, there's an (initial?) assessment of the Utica at 117 TCF.

    This is showing the normal pattern of USGS increases over time that we've seen in other plays (Bakken, Permian, etc.)

    Also, while big, the USGS numbers are still quite lower than PGC estimates (which also tend to get bigger over time): http://potentialgas.org/press-release

    ReplyDelete
    Replies
    1. Thank you. I brought the comment up as a stand-along post for better browsing and accessibility. It looks like the USGS figures for the Utica are well below other estimates.

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