Three Wells Coming Off Confidential List Today -- February 7, 2024

Locator: 46756B.

WTI: $73.80.

Thursday, February 8, 2024: 14 for the month; 73 for the quarter, 73 for the year
40047, conf, CLR, Harms East Federal 2-33H2,
40044, conf, CLR, Quale Federal 7-1H1,
39753, conf, Slawson, Armada Federal 3-14-18H,
39113, conf, Hess, EN-Hegland-155-94-0508H-6,

Wednesday, February 7, 2024: 10 for the month; 69 for the quarter, 69 for the year
39536, conf, Hess, EN-Person A-156-94-1522H-4,
39155, conf, Hess, RS-F Armour 156-92-1224H-6,
38992, conf, Whiting, Bigfoot 42-26-26TFHU,

RBN Energy: high gas production, historically low heating demand keep a lid on prices.

December 15, 2024: Plaquemines up and running. Link here.

So far this winter, front-month CME/NYMEX natural gas futures have fallen, risen and fallen again but, until their most recent dip, generally remained within the same $2.30-to-$3.30/MMBtu range where they have been lingering since mid-2023. With production sustaining near-record levels, LNG export volumes down from the winter highs, and temperatures back to normal, the supply of gas remains plentiful — a bearish scenario. In today’s RBN blog, we look at why there’s been a lid on natural gas prices — and the odds that the situation might change before the rapidly-approaching end of the winter season.

LNG exports have been the main driver of increased demand for U.S.-produced natural gas over the past decade, and the next tranche of planned facility builds has been hotly anticipated by producers. However, while producers once hoped that the upward march of demand would resume in 2024, they must now wait until 2025 before seeing substantial increases. Golden Pass LNG in southeastern Texas, the Qatar Energy/ExxonMobil project that had been expected to start up in late 2024, now won’t be coming online until early 2025 and the market will likely need to wait until at least November of next year before Venture Global’s Plaquemines LNG in southeastern Louisiana begins taking feedgas.