Oil prices were mixed on Tuesday, with Brent pulling back from an early gain on profit-taking, while U.S. crude extended its rally amid signs that producers are cutting output as promised just as demand picks up on a resumption of economic activity. U.S. West Texas Intermediate crude was up 11 cents, or 0.4%, at $31.93 a barrel, giving up some of its earlier gains. It rose as high as $33.44 earlier in the session, hitting its highest since March 16. Brent crude fell 19 cents, or 0.6%, to [Read more]
Headlines
Point Loma Resources announces the cessation of operations
CALGARY, AB - Point Loma Resources Ltd. (TSX.V:PLX) (the "Corporation" or "Point Loma") announces the cessation of all operations effective May 21, 2020. The board of directors, after extensive and careful consideration, have determined that Point Loma's business is no longer viable. In the present economic environment, Point Loma has been unable to refinance or recapitalize its business, and the Corporation, therefore, no longer has the financial capability to carry on its operations. Point [Read more]
Biden vowing to rip up Keystone XL approvals if former VP wins White House
WASHINGTON – Joe Biden’s campaign says the former vice-president will rip up President Donald Trump’s approvals for the Keystone XL pipeline if he takes over the White House next year. Campaign officials made Biden’s first policy pronouncements on the controversial cross-border pipeline expansion, designed to ferry Alberta oilsands bitumen to refineries on the U.S. Gulf Coast, in a statement today to Politico. Biden is no stranger to standing in the way of the Calgary-based TC Energy [Read more]
U.S. oil output from major shale to drop in June to nearly 2-year low
U.S. crude production from seven major shale formations is expected to fall by a record 197,000 barrels per day in June to 7.822 million bpd, the U.S. Energy Information Administration said in a monthly report on Monday. The output from shale formations would be the lowest since August, 2018, according to data from the agency. U.S. crude production from shale formations has more than doubled since 2013, lifting the country's overall oil output to new record highs. [Read more]
U.S. natgas futures jump over 10% as output slows
U.S. natural gas futures jumped over 10% on Monday on slowing output as energy firms shut wells and slash spending on new oil drilling after crude prices sank earlier this year due to coronavirus-led demand destruction. Those oil wells also produce a lot of gas. Front-month gas futures for June delivery on the New York Mercantile Exchange (NYMEX) rose 17.1 cents, or 10.4%, to $1.817 per million British thermal units at 10:26 a.m. EDT (1426 GMT). That puts the contract on track for its biggest [Read more]
U.S. oil tops $31 as restrictions ease
Oil prices climbed more than $2 a barrel on Monday, with benchmark Brent hitting a one-month high and U.S. crude topping $30 supported by optimism about the re-opening of economies and output cuts by major producers. U.S. West Texas Intermediate (WTI) crude was up $2.63 or almost 9% at $32.06 per barrel, its highest since mid-March. Brent crude was up $2.03, or 6.2%, at $34.53 a barrel by 1217 GMT, its highest level since mid-April. “Optimism on the demand side of the oil equation [Read more]
A month after negative oil prices, U.S. crude contract expiry looms
A month after sellers had to pay nearly $40 a barrel to get rid of U.S. oil futures, the next watershed moment looms with the expiry of the June contract on Tuesday - and so far there is little sign of a repeat of the historic plunge. The extent of the damage that the coronavirus pandemic had inflicted on the oil industry came into focus on April 20, when the U.S. benchmark WTI contract plunged to minus $38 a barrel. The virus destroyed so much fuel demand as billions of people stopped [Read more]
Canada weekly rig count down 3 to 23
Canada’s fleet of active drilling rigs shrank from 26 to 23 since last week according to data from Baker Hughes. Total drilling count was 23 at May 15th. 7 rigs were drilling for oil; 16 for natural gas. The drilling activity in Alberta fell from 15 to 11 since last week. Saskatchewan’s drilling remained at 2 rigs. View a full breakdown of Western Canada’s rig activity. [Read more]
Column: Canada targeted (yet again) as a scapegoat for global climate change challenge
May 14, 2020 – The recent decision by the Norwegian wealth fund, Norges, to pull its investments in Cenovus Energy and three of our oil sands peers is another example of Canada being used as a pawn by institutions attempting to earn climate points. But these announcements are motivated more by public relations than fact. The data they used to assess Cenovus’s greenhouse gas performance is outdated and incorrect. Here’s what Norges failed to consider in its decision. Cenovus has reduced the [Read more]
U.S. oil & gas rig count plunges to record low for 2nd week
U.S. energy firms cut number of U.S. oil and natural gas rigs operating to an all-time low for a second week in a row as producers slash spending on new drilling after oil prices collapsed due to a slump in demand caused by global lockdowns to stop the coronavirus pandemic. The rig count, an early indicator of future output, fell by 35 to a record low of 339 in the week to May 15, according to data from energy services firm Baker Hughes Co going back to 1940. The prior all-time low was 374 [Read more]