Russia is in no hurry to see the Suez Canal re-opened When the Ever Given, a 400-meter container ship, ran aground in the Suez Canal on March 23, it choked off a busy shipping lane for the global oil and gas trade. Ten percent of global seaborne oil trade, plus a large volume of liquified … Continue reading Russia is in no hurry to see the Suez Canal re-opened
How High Will Oil Prices Go This Year? Introduction This week we hit some milestones in the year-long recovery from the oil demand crash of 2020. West Texas Intermediate, (WTI) hit and moved past the $55.00 level, and Brent moved closer to $60. These are some important psychological barriers for the market, and if sustained, … Continue reading How High Will Oil Prices Go This Year?
Mean Reversion In Energy One of the best tools to determine the real and current value of an asset is the inter-commodity spread. The current price of a stock, bond, currency or commodity is always at our fingertips in real time but understanding value can often be an entirely different matter. An inter-commodity spread is … Continue reading Mean Reversion In #Energy
Opinion: The Misguided Efforts of American Energy Companies A global battle for a share of Asia’s future energy demand is on, and Middle East suppliers may win it. Both the United States and Asia would benefit, however, if American companies won a greater presence in the region. American companies could gain a strong share of … Continue reading Opinion: The Misguided Efforts of American Energy Companies
A Staggering $1.5 Trillion of Energy Projects Might Not Get Built in Time Well-respected energy-industry consultancy Wood Mackenzie recently issued a startling report. It concluded that low oil prices could lead to a delay in a staggering $1.5 trillion worth of oil and gas projects in the near term. It’s a rather dire warning not … Continue reading A Staggering $1.5 Trillion of Energy Projects Might Not Get Built in Time
Crude supply — what if no-one blinks? What if Arab Mideast Gulf OPEC producers’ pockets are deep enough and their zest for domestic subsidy reforms is strong enough to ride out the storm? What if the US shale industry continues on its downward cost trajectory to a point where $40/bl oil is as A-ok in … Continue reading Crude supply — what if no-one blinks?
Obama’s incomplete Arctic energy approach As President Obama tours Alaska this week, cries of hypocrisy fill the air. He is using these three days to highlight the effects of climate change and continue his call for action. Meanwhile, off the state’s northwest coast in the Arctic Chukchi Sea, Shell continues its exploration of offshore oil … Continue reading #Obama’s incomplete #Arctic_energy approach
More Pain For Penn West The news coming out Penn West (NYSE:PWE) is rather grim. The company has just announced a series of actions which are all focused on it surviving the current period of lower commodity prices. From the press release: we will limit our capital expenditures to funds flow from operations by year-end … Continue reading More Pain For #Penn_West
Energy Opportunity Is Emerging Now Stock quotes in this article: eog, chk, sdrl, slb, cam After insane volatility in oil and oil stocks, a review of the macro scene in energy and a few specific stocks is in order, especially after this week’s carnage (and only partial recovery). First, the macro. Oil and oil companies … Continue reading #Energy Opportunity Is Emerging Now
Fears of oversupply cause plunge of oil to continue, selloff of energy stocks with Oklahoma companies hit hard Oversupply fears in the U.S. oil market sparked a selloff Wednesday in energy stocks, including those of several Oklahoma companies. Share prices fell by 5 percent or more for Continental Resources Inc., Chesapeake Energy Corp., SandRidge Energy … Continue reading Fears of #oversupply cause plunge of #oil to continue, selloff of energy stocks with Oklahoma companies hit hard