Day: November 17, 2022

Natural gas futures prices flew higher once again on Thursday, rallying a fourth consecutive day on cold weather and mounting demand that pointed to steep storage withdrawals following what analysts expect was the last reported injection of the year. The December Nymex natural gas futures contract settled at $6.369/MMBtu, up 16.9 cents day/day. January climbed…

The post Natural Gas Futures Rally Endures Amid Cold Blasts, Looming Inventory Withdrawals appeared first on Natural Gas Intelligence

Top Mexican officials were in Texas this week laying out their new strategy for natural gas. Speaking on Wednesday at LDC Forums’ annual US-Mexico Natural Gas Forum in San Antonio, CFEnergía head Miguel Reyes said Mexican utility Comisión Federal de Electricidad (CFE) and international firms would now work together to solve natural gas problems. CFEnergía…

The post CFE Changes Tack, Enlists International Firms in Demand-Focused Natural Gas Strategy appeared first on Natural Gas Intelligence

Even as a mild start to European winter and a glut of LNG cargoes calm natural gas prices on the continent, governments are urging greater gas conservation as the risks of spiking demand pile up. European Union natural gas storage is currently above 95%, ahead of the bloc’s 80% target for winter, as the region…

The post Storage, LNG Calm European Natural Gas Prices as Countries Look for Further Demand Cuts appeared first on Natural Gas Intelligence

Commonwealth LNG’s export terminal proposed in Louisiana has become the first project to be authorized in more than two years after receiving unanimous FERC approval Thursday. Houston-based Commonwealth has not yet sanctioned the 8.4 million metric ton/year (mmty) facility. It would be sited in Lake Charles, LA, along the Calcasieu Ship Channel, potentially adding to…

The post Commonwealth LNG’s 8.4 MMty Louisiana Terminal Secures FERC OK appeared first on Natural Gas Intelligence

Natural gas forward prices continued to strengthen during the Nov. 9-16 period amid a continuation of colder-than-normal temperatures ahead of the core of winter, according to NGI’s Forward Look. Gains (again) were most pronounced in New England, where rising heating demand and pipeline constraints combined to drive hefty premiums compared to the rest of the…

The post Natural Gas Forwards Rally Further as Cold Snap Seen Widening Deficits after Massive Recovery appeared first on Natural Gas Intelligence

Lack of storage infrastructure exposes Mexico to cold weather events in the US [Image credit: Vopak]

The uplift in natural gas prices didn’t begin with Russia’s invasion into Ukraine and once the war ends, prices should remain “durable,” Ovintiv Inc. CEO Brendan McCracken said recently. Denver-based Ovintiv, one of the largest North American independents, flows natural gas and oil from the Bakken and Montney shales, and the Anadarko and Permian basins.…

The post Are Higher Natural Gas Prices Durable? No Doubt About It, Says Ovintiv CEO appeared first on Natural Gas Intelligence

British finance minister Jeremy Hunt on Thursday unveiled plans to increase a windfall tax on oil and gas companies and extend it to power generation firms in an effort to raise tens of billions of pounds to plug a major hole in public finances.

With a pilot project validating an innovative system to produce electricity from natural gas while generating near-zero emissions, NET Power LLC is leading a consortium to construct a 300 MW carbon-free generator in the Permian Basin. NET Power advanced the West Texas project following success with its supercritical carbon dioxide (CO2) demonstration plant in 2018.…

The post 300 MW Net-Zero Natural Gas Power Plant Planned for Permian Basin appeared first on Natural Gas Intelligence

Natural gas futures edged higher again on Wednesday, extending a rally to three days, as traders ultimately paid more attention to robust heating demand than the protracted shutdown of a key export facility and the likelihood of a relatively robust storage injection. The December Nymex gas futures contract settled at $6.200/MMBtu, up 16.6 cents day/day.…

The post Natural Gas Futures Climb Third Straight Day on Cold Weather appeared first on Natural Gas Intelligence

The U.S. Energy Information Administration (EIA) on Thursday reported an injection of 64 Bcf natural gas into storage for the week ended Nov. 11. The result was roughly in line with expectations and, with a shift to withdrawals expected soon, Nymex natural gas futures held in positive territory in morning trading. Ahead of the EIA…

The post December Natural Gas Futures Further Rally as 64 Bcf Storage Injection Close to Expectations appeared first on Natural Gas Intelligence

Collaboration will focus on LNG in the 1-2mn mt/yr range. [Image credit: Baker Hughes]

Permian Basin pure-play Diamondback Energy Inc. has clinched a stock-and-cash agreement estimated at $1.55 billion to acquire the West Texas assets of Lario Permian LLC.  In exchange for 4.18 million shares of common stock and $850 million cash, Diamondback is set to take over the Lario Oil & Gas Co. subsidiary’s Permian Midland sub-basin assets…

The post Diamondback Strikes $1.55B Deal to Bolt On More West Texas Oil, Gas Assets in Permian appeared first on Natural Gas Intelligence

Natural gas midstream giant Williams has reached a tentative agreement with Sempra Infrastructure to buy 3 million metric tons/year (mmty) of LNG and develop pipeline projects to feed growing exports from the Gulf Coast.  The companies signed a non-binding heads of agreement (HOA) to negotiate the terms of two 20-year agreements for Williams to purchase…

The post Williams One Step Closer to International LNG Trade After Sempra HOA appeared first on Natural Gas Intelligence

Chevron Phillips Chemical Co. LLC and QatarEnergy on Wednesday sanctioned an $8.5 billion integrated polymers facility east of Houston that promises more than 500 full-time jobs and billions in revenue for the Golden Triangle hub. A 2 million metric ton/year (mmty) ethane cracker and two 1 mmty high-density polyethylene units are planned at the site…

The post Chevron Phillips, QatarEnergy Sanction $8.5B Ethane Cracker, Polymers Project in Texas Golden Triangle appeared first on Natural Gas Intelligence

Following colder overnight trends in one of the major weather models, natural gas futures extended their recent gains early Thursday as traders awaited the release of updated government inventory data. The December Nymex contract was up 11.4 cents to $6.314/MMBtu at around 8:40 a.m. ET. Futures got off to a slow start in Wednesday’s session…

The post Euro Model Seen Colder Overnight as Natural Gas Futures Extend Gains Early appeared first on Natural Gas Intelligence

Volatility continues in the European gas market as Norwegian flows are disrupted. EC proposals on a gas price cap may fix some issues, while causing new ones. While storage globally is high for 2022, attention is now shifting to 2023 when supply is expected to tighten again.

Under pressure to increase production, Mexico’s state oil company Pemex has risked fines for violations that cause environmental damage rather than delay output to fix the underlying issues, according to two senior company sources.

Russian missile strikes on Thursday damaged or destroyed some of Ukraine’s gas production facilities, state energy company Naftogaz said.

The imports were down over 4.5% month/month, however.

India’s oil minister on Wednesday said that he hoped an issue of gas supply disruption between the country’s largest distributor GAIL (India) Ltd and a former unit of Russian energy major Gazprom would be resolved.

Norway’s oil and gas firms have raised their investment forecasts for 2022 and 2023 as more development plans are being made, a national statistics office (SSB) survey showed on Thursday.

The call comes due to an incident on the Young to Lithgow pipeline.

Petronas said its emergency response team has been mobilised to the area.

Three contracts are for drilling in the Middle East while two are for drilling in West Africa.

The European Commission plans to propose a cap on natural gas prices after Nov. 24, as it seeks to contain an energy crisis stemming from Russia’s invasion of Ukraine, the EU’s energy policy chief told Reuters on Wednesday.

Three environmental groups have sued the Louisiana Department of Natural Resources for exempting Venture Global LNG from needing an environmental permit to build a liquefied natural gas (LNG) terminal, the organizations said on Wednesday.