$93 WTI; 34 Rigs; Two Wells Coming Off Confidential List -- February 4, 2022

The story of the year: all this US LNG headed to Europe.

The story of next year: all this US LNG headed to Europe.

The story of the year after next year: all this US LNG headed to Europe. There is no evidence that Europe will get its act together any time soon. Germany will be shutting down its last nuclear during the worst energy crisis since WWII. 

Plaquemines: wow, wow, wow. We first talked about this two months ago -- and now, today, RBN Energy has a big story on this new export terminal. See below. Amazing.  Sophia, upon seeing the story, said, "We don't miss much do we?" My reply: except spelling errors. LOL.

ISO NE:

• demand at a paltry 16,559 MW
• priced at 8th decile (the highest decile it will ever reach)
• fuel mix:
• oil: 11%
• renewables: 9%; unpredictable, not dispatchable
• hydro: 6%; incredibly expensive
• coal: they've run out of coal

Texas grid:

• capacity: 80 GW
• forecast demand: 75 GW
• actual: 69 GW

Russian diesel: sets record. Exports to US at three-year high. Link to Irina Slav. 

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Back to the Bakken

Active rigs:

$92.68	2/4/2022	02/04/2021	02/04/2020	02/04/2019	02/04/2018
Active Rigs	34	14	54	63	58

Friday, February 4, 2022: 13 for the month, 68 for the quarter, 68 for the year

• 38423, conf, Crescent Point Energy, CPEUSC Reed 5-10-03-158N-100W-MBH,
• 35131, conf, Enerplus, Huntsman 149-92-32D-29H-TF1, 

RBN Energy: Venture Global's Plaquemines project could lead next wave of US LNG development. Archived.

It’s expected to be a big year for U.S. LNG. The U.S. was the top monthly exporter of LNG for the first time in December 2021 and is expected to hold onto that crown as new capacity at Sabine Pass and a new terminal, Calcasieu Pass, begin service this year. 

The chaos of European gas markets has made U.S. exports particularly attractive, especially after a year or more of high global demand, sky-high global gas prices, and an undersupplied market that has left offtakers clamoring for more. 

Last year saw those offtakers come back to the negotiating table for long-term sales and purchase agreements (SPAs) from new U.S. LNG capacity and several projects now have a realistic path to a positive final investment decision (FID) in 2022. 

In today’s RBN blog we begin a series taking a closer look at some of the projects most likely to reach FID this year, starting with arguably the most likely next contender, Venture Global’s Plaquemines LNG.