U.S. natural gas futures rose on Friday as the market focused more on a drop in output caused by Tropical Storm Barry and forecasts for more demand next week than previously expected than a decline in the amount of gas flowing to liquefied natural gas export terminals. Front-month gas futures for August delivery on the New York Mercantile Exchange were up 3.8 cents, or 1.6%, to $2.454 per million British thermal units at 8:55 a.m. EDT (1255 GMT). The U.S. National Hurricane Center [Read more]
U.S. natgas futures fall on cooler midday forecast, big storage build
U.S. natural gas futures fell on Thursday, a day after hitting a five-week high, as midday forecasts called for less hot weather over the next two weeks than previously expected.The forecast, combined with a bigger-than-expected storage build and reduced gas flow to liquefied natural gas (LNG) export terminals, offset a big output decline caused by energy firms temporarily halting production in the Gulf of Mexico ahead of Tropical Storm Barry.The U.S. Energy Information Administration (EIA) said [Read more]
Oil steadies on dim OPEC demand outlook, pares gains from Gulf of Mexico storm
Oil prices steadied on Thursday as OPEC forecast slower demand for its crude next year, with crude futures easing from their highest in more than a month after U.S. producers cut nearly a third of their output in the Gulf of Mexico ahead of what could be one of the first major storms of the Atlantic hurricane.Brent crude futures fell 23 cents to $66.78 a barrel by 12:59 p.m. EDT (1659 GMT). During the session, they hit their highest since May 30 at $67.65 a barrel.U.S. West Texas Intermediate [Read more]
Intensifying storm shuts U.S. coastal refinery, adding to energy production losses
Threatened flooding from a tropical storm in the U.S. Gulf of Mexico that cut nearly a third of the region's oil production has forced the shutdown of a coastal refinery, pushing oil and gasoline prices higher on Thursday.Phillips 66 said it expected to complete the closing of its 253,600-barrel-per-day (bpd) Alliance, Louisiana, refinery on Thursday after local authorities ordered a mandatory evacuation of the area.Pipeline operator Enbridge evacuated staff from three offshore [Read more]
Oil at six-week high on Gulf of Mexico storm, Iran tensions
Oil prices hit a six-week high on Thursday as oil rigs in the Gulf of Mexico were evacuated ahead of a storm, while an incident with a British tanker in the Middle East highlighted tensions in the region. U.S. West Texas Intermediate crude futures were up 25 cents at $60.68 a barrel, having touched their highest since May 23 at $60.94. They gained 4.5% in the previous session. Brent crude futures were up 32 cents at $67.33 a barrel by 1153 GMT. Earlier in the session they hit their [Read more]
Heavy crude differential narrows slightly
The discount on Canadian heavy crude narrowed slightly on Wednesday:* Western Canada Select (WCS) heavy blend crude for August delivery in Hardisty, Alberta, last traded at $11.50 per barrel below West Texas Intermediate (WTI) oil, according to Net Energy Exchange. On Tuesday, WCS for August delivery settled at $11.70 a barrel below WTI crude futures.* Some minor draws on storage have supported prices and narrowed the differential, a Calgary trader said.* Many industry players are attending [Read more]
Enbridge eases oil volume terms for Mainline pipeline in response to small producers’ fears
Enbridge Inc has lowered oil-shipping requirements on its Mainline pipeline by nearly two-thirds, the company confirmed on Wednesday, a move likely to satisfy smaller producers that feared they would be elbowed out by the company's initial requirements.Enbridge now requires minimum volume commitments of 2,200 barrels per day (bpd), down from the 6,000 bpd commitment it previously sought, Enbridge spokesman Jesse Semko told Reuters. The company confirmed the change after sources said [Read more]
U.S. oil producers shut offshore output as storm forms in Gulf of Mexico
Anadarko Petroleum Corp (APC.N) has joined major U.S. oil producers shutting production and withdrawing staff from offshore platforms in the U.S. Gulf of Mexico ahead of a storm threatening oil-producing areas. U.S. oil prices climbed 2.7% on Wednesday as more producers shut production and removed workers at Gulf oil and gas platforms. A tropical cyclone could form by Thursday, moving westward over the northern Gulf of Mexico, with the potential to produce a storm surge from Louisiana to the [Read more]
Heavy crude differential edges narrower
The discount on Canadian heavy crude tightened on Tuesday:* Western Canada Select (WCS) heavy blend crude for August delivery in Hardisty, Alberta, settled at $11.70 per barrel below West Texas Intermediate (WTI) oil, according to Net Energy Exchange. On Monday, WCS for August delivery settled at $12.05 a barrel below WTI crude futures.* One industry source said trading volumes were reasonably strong despite many industry players attending events at the Calgary Stampede, a 10-day rodeo in [Read more]
Canadian oil companies see output cuts easing as rail capacity grows
Major Canadian oil companies, which publicly disagreed over the Alberta government’s forced curtailments this year, are in lockstep over how to end the production limits, saying they should be eased as more rail capacity comes online.Senior executives from Suncor Energy , Canadian Natural Resources , Imperial Oil Ltd and Cenovus Energy said at a TD Securities investor conference in Calgary on Tuesday that they are in talks with Premier Jason Kenney’s Alberta government [Read more]