WTI Falls A Whopping 16%; Six Wells Coming Off Confidential List Today -- April 28, 2020

OPEC basket: $14.31 -- a drop of over 6%; WTI fell a whopping 16%. OPEC basket link here. OPEC had it as low as $13.30 yesterday.

Headlines over at oilprice.com -- it's all about storage:

• oil prices crash 24% as storage fears mount -- yesterday
• South Korea has run out of storage -- yesterday
• Russia steals Chinese oil market share from Saudi Arabia -- yesterday

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Back to the Bakken

Active rigs:

$10.69	4/28/2020	04/28/2019	04/28/2018	04/28/2017	04/28/2016
Active Rigs	30	64	62	49	29

Six wells coming off the confidential list -- six months ago, it was October, 2019  --

Tuesday, April 28, 2020: 46 for the month; 46 for the quarter, 290 for the year:

• 35706, 2,382, Hess, SC-Hoving-154-95-1003H-7, Truax, t10/19; cum 88K 2/20; a 37K month;
• 35705, 2,716, Hess, SC-Hoving-154-98-1003H-8, Truax, t11/19; cum 102K 2/20; a 34K month;
• 35534, A, Oasis, Merritt 5693 13-24 6B, Alger, t--; cum 62K in less than three months;
• 35532, 738, Oasis, Merrit 5693 13-24 8B, Alger, t11/19; cum 76K 2/20; two 23K months;
• 34164, drl, Crescent Point Energy, CPEUSC Lloyd 5-27-34-157N-100W TFH, Marmon, t--; cum --;
• 33811, drl, BR, CCU Gopher 8-2-15MBH, Corral Creek, t--; cum --;

SC-Hoving wells: are tracked here, but need to be updated. 

RBN Energy: Permian natural gas forwards curve signals better days ahead. Archived.

The market’s spotlight in recent days has been on negative prices for both Permian crude oil and natural gas, but in the shadows a powerful rally has taken place in the forward market for Permian gas at the Waha hub.  Much of this month’s price weakness for gas in West Texas has been driven by pipeline maintenance.

But the Waha forward curve indicates market expectations for higher prices in May, and the possibility of a summer in which Permian gas prices could be some of the strongest on a consistent basis since negative pricing first appeared in the basin back in 2018.

Today, we dive into the drivers behind the rise in forward Permian gas prices.