Canadian energy company Enbridge Inc on Monday sought permission from U.S. energy regulators to put more of its $2.6 billion NEXUS natural gas pipeline from Ohio to Michigan into service.In a filing with the U.S. Federal Energy Regulatory Commission (FERC), Enbridge asked to place into service the Wadsworth compressor station in Medina County, Ohio, and the Clyde compressor station in Sandusky County, Ohio. The company said it mechanically completed both stations last week.NEXUS is one of [Read more]
Oil steadies as Saudi Arabia plans output increase
WTI hovered around $70 a barrel on Monday, as Saudi Arabia sought to reassure the market that the kingdom remains focused on raising output to compensate for supply losses elsewhere, such as Iran. U.S. crude futures fell 15 cents to $68.97 a barrel. Benchmark Brent crude oil futures were down 9 cents on the day to $79.69 a barrel by 8:41 a.m. ET. Saudi energy minister Khalid al-Falih told Russia's TASS news agency that his country had no intention of unleashing a 1973-style oil embargo [Read more]
LNG Canada says China’s U.S. LNG import tariff could leave projects "dead in the water"
LNG Canada challenged competing U.S. liquefied natural gas (LNG) projects on Monday, saying many could end up "dead in the water" as long as China keeps its tariff on U.S. imports of the fuel as part of the trade war between the countries.China in September announced a 10 percent tariff on U.S. LNG imports as part of an escalating trade war between the world's two biggest economies. This month, Royal Dutch Shell said it received a final investment decision (FID) for its $31 [Read more]
U.S. rig count rises to highest since March 2015
U.S. drillers added oil rigs for a second week in a row this week, raising the rig count to the highest level since March 2015. Drillers added four oil rigs in the week to Oct. 19, bringing the total count to 873, General Electric Co's Baker Hughes energy services firm said in its closely followed report on Friday. The U.S. rig count, an early indicator of future output, is higher than a year ago when 736 rigs were active because energy companies have ramped up production to capture prices [Read more]
U.S. oil service firms face tough quarter despite high crude prices
HOUSTON, Oct 17 (Reuters) - Even as crude prices hover near four-year highs, U.S. oilfield service firms’ third-quarter results due out in coming days will reflect a shaky recovery, as their customers face drilling constraints and pressure to hold down spending. Oil producers are holding off finishing new wells, and cost pressures from tight labor markets and U.S. tariffs on imported steel are driving up service firms’ costs. Meanwhile, shale producers including Devon Energy Corp and Oasis [Read more]
Oil weapon has proved a double-edged sword
LONDON (Reuters) - The oil shocks of 1973/74 and 1979/80 are now mainly remembered for the disruption and hardship they caused in the major oil-consuming countries. But they marked a lasting inflection point in the development of the oil market and almost all the changes were adverse to OPEC in the long run. Following the oil shocks, global oil consumption grew more slowly while non-OPEC production rose more rapidly. Members of the Organization of the Petroleum Exporting Countries [Read more]
Don’t mention the oil price – U.S. legal threat prompts change at OPEC
LONDON/DUBAI (Reuters) - OPEC has urged its members not to mention oil prices when discussing policy in a break from the past, as the oil producing group seeks to avoid the risk of U.S. legal action for manipulating the market, sources close to OPEC said. Proposed U.S. legislation known as “NOPEC”, which could open the group up to anti-trust lawsuits, has long lain dormant, with previous American presidents signaling that they would veto any move to make it law. But U.S. President Donald [Read more]
LNG Canada gets greener amid climate worry
At a massive natural gas field in northern British Columbia, Royal Dutch Shell Plc is using new technologies and processes to cut emissions to address public and environmental group concerns that Canada's nascent liquefied natural gas export industry could be a climate time bomb. The Groundbirch project, perched above Canada's richest shale gas deposit some 1,110 kilometers (684 miles) northeast of Vancouver, includes four gas plants and 500 wells dotted over an area the size of New York [Read more]
Enbridge begins building road to pipeline fire site in British Columbia
Enbridge Inc said on Sunday it has started work on a temporary access road to the site of a natural gas pipeline fire last week in northern British Columbia, which disrupted refinery operations in the U.S. state of Washington. "We expect this activity will take a few days to complete. This work is necessary to mobilize construction crews and equipment to the site, which will be used to repair the 36-inch pipeline," it said in a statement. The company, however, said it could not [Read more]
Heavy crude discount narrows again as rebound continues
The Canadian heavy oil differential narrowed against the West Texas Intermediate (WTI) benchmark on Friday, furthering a rebound from a new record-wide spread this week, but remained weighed down by refining outages and transportation bottlenecks. * Western Canada Select (WCS) heavy blend crude for November delivery in Hardisty, Alberta, settled at $46.75 a barrel below WTI crude futures , compared with Thursday's settle of $50.50, according to Shorcan Energy brokers. * Light synthetic [Read more]