Locator: 52009B.
Query: How does the A20 differ from previous A chips? By the way, this is insane. What are the margins said to be on the Duo? 55%. Let that sink in. 55% margins and Apple has the audacity to tell us that "memory" is too expensive. LOL.
Reply:
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Back to the Bakken
WTI: $100.60. Up $1.14; up 1.15%. This is closer to $120 than it is to $60. --> Now, 2:09 a.m. CT after President Trump "invokes" the Defense Production Act," WTI has gone up, not much but the trend is concerning -- WTI is now $100.70.
New wells reporting:
- Friday, October 23, 2026: 56 for the month, 56 for the quarter, 555 for the year,
- 42228, conf, Whiting, Paulson Federal 5104 44-13 5B,
- Thursday, October 22, 2026: 55 for the month, 55 for the quarter, 554 for the year,
- 42444, conf, SOGC, Forest 2-1 HLE,
- 41407, conf, Enerplus, Crying Tree 147-97-8-5-9H-ELL,
RBN Energy: why brownfield projects have an edge in the ongoing gulf coast gas storage buildout. Link here. Archived.
There’s a horse race among Gulf Coast gas storage developers to provide the tens of billions of cubic feet of incremental space that will be needed by the early 2030s. Out front are the owners of existing salt cavern storage, whose brownfield expansions almost always offer better economics than their greenfield competitors. But which brownfield projects have that special something — an advantageous site, better pipeline connectivity, or higher injection and withdrawal rates — that gives them a critical edge? In today’s RBN blog, we continue our series on Gulf Coast gas storage by looking at a few leading brownfield projects.
This is the third blog in the series. In Part 1, we said that after a long period of storage-capacity surplus and relatively low storage prices, the Gulf Coast market has been unusually busy of late, with more than 350 Bcf/d of new storage capacity now under development. This massive buildout, expected to continue for at least a few more years, is driven primarily by the storage needs of new and expanding LNG export facilities, each of which needs a place to quickly store large volumes of gas in the event of a liquefaction plant outage.
In Part 2, we discussed the sharply higher gas storage rates that LNG terminal operators in particular are now willing to pay for Firm Storage Services (FSS) and looked at how much new gas storage is likely be built along the Gulf Coast over the next few years. Our conclusions were that:
- Most of the storage capacity required for the liquefaction/LNG export projects coming online later this year and in 2027-28 has already been lined up by terminal operators — some from the shrinking volumes of storage space remaining from the 2006-10 overbuild and the rest from new storage projects recently completed or under construction.
- At least 100 Bcf of additional storage capacity — and likely more than 130 Bcf — will be needed along the Gulf Coast over the next five years, mostly for the LNG export projects that will be coming online in 2029 and the early 2030s. The storage needs of power generators (many tied to new data centers) also will play a role.
- The vast majority of the new storage projects will be brownfield expansions to existing salt cavern facilities because they (1) provide the rapid injection rates that LNG terminal operators require as well as the rapid withdrawal rates that power-plant operators need, and (2) offer more favorable economics than most greenfield projects.
Today, we begin a review of the Gulf Coast storage projects currently under development, beginning with several brownfield expansions at existing salt cavern facilities.
In the race to sanction the newest gas storage capacity in the region, it’s Enbridge by a nose: The Calgary, AB-based midstream giant has reached a final investment decision (FID) on about 48 Bcf of new salt cavern space, edging out Caliche Storage, with about 45 Bcf. (More on Caliche in a moment.)
Enbridge
Enbridge’s incremental capacity is divided among three projects. The largest is a three-cavern, 25-Bcf expansion at the company’s Tres Palacios facility in Matagorda County, TX. When Enbridge acquired Tres Palacios (light-blue dome icon in Figure 1 below) in April 2023, it had three caverns with a combined capacity of 35 Bcf; in December 2024, Enbridge brought online a fourth cavern that added 6.5 Bcf.
