SS COLA For 2023: EightPointSevenPercent -- Highest In 40 Years -- Glad I Lived Long Enough To See This -- Janet Yellen Must Be Squirming -- October 13, 2022

SS COLA for 2023: 8.7%.

European fuel supply worries worsen:

• largest refinery (needs to be fact-checked) in Europe "malfunctions" -- whatever that means
• Biden administration considers banning US oil exports

EIA weekly petroleum report, link here. Scheduled to be released later this morning. I will miss the release, I will be biking. From the API yesterday, a huge build:

The American Petroleum Institute (API) reported a large build this week for crude oil of 7.054 million barrels. 

U.S. crude inventories have grown by roughly 28 million barrels so far this year, according to API data, while the U.S. Strategic Petroleum Reserves fell by nearly seven times that figure, at 184 million barrels. 

The build in crude oil inventories was made possible by the Department of Energy’s release of 7.7 million barrels from the Strategic Petroleum Reserves in the week ending October 7, leaving the SPR with 408.7 million barrels. 

In the week prior, the API reported a draw in crude oil inventories of 1.770 million barrels after analysts had predicted a much build of 1.966 million barrels.

From the EIA: increased by a whopping 9.9 million bbls. But, this is incredible, US crude oil inventories are still 1% below the five-year average.  

WTI: up 2.44%; up $2.13; trading at $89.40.

Headlines:

**************************
Back to the Bakken

Active rigs: 44. 

WTI: $86.93.

Natural gas: $6.458.

No wells coming off confidential list today.

RBN Energy: ERCOT, Texas regulators, Permian gas supplly, LNG, and the energy transition. Archived.

After the catastrophic experience of Winter Storm Uri in February 2021, the Electric Reliability Council of Texas was restructured, with new statutory requirements and a whole new cast of characters. 

The Texas Railroad Commission (TRRC) put in place a number of fixes, including more stringent reliability rules for natural gas suppliers, from producers to transmission pipelines. At the same time, booming LNG exports, largely to Europe, combined with growth in Permian production have created new pressures and opportunities around the Texas energy mix — as well as implications for the ongoing transition to low- or no-carbon energy sources. How can all of these issues be understood and addressed at once — and in a way that doesn’t bore us all to tears?