- WTI is up 63c to $60.68/Bbl, and Brent is up 89c to $64.24/Bbl
- Oil remained above $60/Bbl Wednesday morning as the cold temperatures in the south wreak havoc on the petroleum industry
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- Extreme temperatures have curtailed more than 2 MMBbl/d of U.S. production and refinery demand is also being hampered with over 3 MMBbl/d of capacity idled (Energy Aspects)
- Barring any lasting damage to the midstream and downstream oil complex, the impact of the cold on crude prices is seen as short-lived (Bloomberg)
- The deep freeze could affect oil and gas production more severely than downstream infrastructure, according to industry experts (Reuters)
- Icy roads in the Permian halted the trucking of everything from sand supplies to cement, while power losses affect electricity to oil pumps and saltwater disposal facilities
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- "Some producers in West Texas had to shut in entire fields when they lost power," said Texas Railroad Commissioner Jim Wright
- Todd Staples, president of the Texas Oil & Gas Association said "Hazardous travel conditions limit the accessibility of repair equipment to repair equipment, it limits the ability for service companies to reach production sites. You have unplanned communication and power outages that all create difficulties."
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