Earnings tomorrow: ticker (EPS forecast):
- COP ($3.41),
- CHRD ($8.06),
- ERF ($0.88),
- APA ($0.98),
- RIG (a loss of $0.15)
- AMGN ($4.43)
- SBUX ($0.73)
- EOG ($3.83)
- SRE ($1.90)
- WBD ($0.02)
Wednesday, November 2, 2022
Earnings -- 3Q22
Seventeen New Permits -- November 2, 2022
WTI: $88.95.
Natural gas: $6.090
Active rigs: 41.
Seventeen new permits, #39361 - #39377, inclusive:
- Operators: MRO (11); Grayson Mill (6)
- Fields: Bailey (Dunn County); Catwalk (Williston)
- Comments:
- Grayson Mill has permits for six Williston wells, lot 4 section 19-154-100;
- to be sited between 222 FSL and 224 FSL and between 298 FWL and 268 FWL
- southeast of Williston; under the river;
- 1280-acre drilling unit; sections 25/36-154-100
- MRO has permits for eleven wells (Peggy, Louise, Sandra, Thompson, Deuce, Amber, Red, Beth, Whalen, Leah, and Skip), NENW 29-146-94,
- to be sited between1666 FWL and 1669 FWL;
The Grayson Mill Williston wells sited in section 4 section19-154-100:
EIA Weekly Petroleum Data -- November 2, 2022
EIA data today, link here:
- US commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) decreased by 3.1 million barrels from the previous week.
- At 436.8 million barrels, U.S. crude oil inventories are about 3% below the five-year average for this time of year.
- Total motor gasoline inventories decreased by 1.3 million barrels from last week and are about 6% below the five-year average for this time of year.
- Finished gasoline inventories increased, but blending components inventories decreased last week.
- Distillate fuel inventories increased by 0.4 million barrels last week and are about 19% below the five-year average for this time of year.
- Propane/propylene inventories increased by 1.2 million barrels from last week and are 4% above the five year average for this time of year.
- Total commercial petroleum inventories decreased by 0.7 million barrels last week.
Other data in the EIA report today:
- US refiners increased operations week-over-week, from below 89% last week, if I recall correctly, to 90.6% this week;
- gasoline production increased last week (see above) but blending component issues affected overall gasoline inventories
- distillate fuel production increased last week; a combination of production and demand resulted in an increase of 0.4 million bbls distillate fuel inventories last week but distillate fuel inventories still 19% below their five-year average;
- over the past four weeks, motor gasoline product supplied averaged 8.6 million bpd, down by 8.2% from the same period last year;
- jet fuel supplied was flat, up 0.7% compared with the same four-week period last year
Despite Record SPR Releases, Commercial Crude Oil Inventories Continue To Fall; Gasoline Inventories Fell -- November 2, 2022
Others understand this; I don't. But until provided a definitive explanation by an EIA expert (see "Focus on Fracking" -- weekly updates), I will go with this:
Gasoline inventories:
- combination of
- production
- demand
- from below:
- Total motor gasoline inventories decreased by 1.3 million barrels from last week and are about 6% below the five-year average for this time of year.
- Finished gasoline inventories increased, but blending components inventories decreased last week.
- If I understand this correctly, refiners were able to keep pace with refining "finished gasoline" but supply chain issues (or something else) or gasoline demand resulted in a decrease of blending components, resulting in an overall decrease in overall gasoline inventories
- see EIA's definition and explanation here;
- over a seven day period in Portland, OR, this past week, it appeared regular gasoline increeased in price by about 10%, from $5.00 to $5.50; just an anecdotal observation
Today:
EIA data today, link here:
- US commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) decreased by 3.1 million barrels from the previous week.
- At 436.8 million barrels, U.S. crude oil inventories are about 3% below the five-year average for this time of year.
- Total motor gasoline inventories decreased by 1.3 million barrels from last week and are about 6% below the five-year average for this time of year.
- Finished gasoline inventories increased, but blending components inventories decreased last week.
- Distillate fuel inventories increased by 0.4 million barrels last week and are about 19% below the five-year average for this time of year.
- Propane/propylene inventories increased by 1.2 million barrels from last week and are 4% above the five year average for this time of year.
- Total commercial petroleum inventories decreased by 0.7 million barrels last week.
The tea leaves certainly suggest we could see significantly higher WTI prices tomorrow.
WTI has been creeping up all evening. Currently up 1.4%; up $1.19; trading at $89.56.
This is the API data that has some folks in Washington very, very nervous.
Three Kraken Wells Coming Off The Confidential List -- Novembeer 2, 2022
Oil companies doing what they were asked: drill less.
*************************
Back to the Bakken
The Far Side: link here.
Active rigs: 43.
WTI: $88.05.
Natural gas: $5.955
Thursday, November 4, 2022: 4 for the month, 40 for the quarter, 485 for the year.
38872, conf, Kraken, Knox LE 16-21 7H,
38871, conf, Kraken, Knox 16-21 6H,
38870, conf, Kraken, Dragseth 9-4 2H ,
RBN Energy: can clean hydrogen help replace coal in the Rockies? Archived.
In our view, there are two or three clear leaders in the competition for billions of dollars in U.S. support for clean-hydrogen hubs — for example, it would be hard to imagine the Department of Energy (DOE) passing over hub proposals in Texas, Louisiana or the Marcellus/Utica. At the same time, there’s a lot to be said for plans to develop hydrogen hubs in California, North Dakota and, we might add, the Rockies, a region with extensive energy-related infrastructure and a long list of prospective clean-hydrogen end-users, not to mention at least two projects to convert coal-fired power plants to hydrogen. In today’s RBN blog, we discuss a multistate push to make the Rockies a hotbed of hydrogen-related activity.
This Seems Bullish -- November 1, 2022
Refiners making money, hand over fist, as they say,
Didn't MPC just raise their dividend from 58 cents to 75 cents?