- WTI is up $2.79 to $16.57/Bbl, and Brent is up $1.74 to $22.11/Bbl
- Oil extended its gains from Monday’s dive below zero, but still remains under pressure from a swelling global glut (Bloomberg)
- ICE future Europe Ltd. confirmed Tuesday that it had taken steps to prepare for negative Brent pricing, while the CME took similar steps earlier in the week
- Many oil traders are rewriting their risk models to deal with prices below zero
- U.S. crude stocks soared by 15 MMBbl last week as storage at Cushing, Oklahoma, climbed for a seventh consecutive week (EIA)
- The 15 MMBbl build was larger than the average analyst estimate of 13.7 MMBbl
- Stocks at Cushing rose by 4.8 MMBbl to 59.7 MMBbl – only about 16 MMBbl away from stated EIA working capacity
- Natural gas is down 4.4c to $1.895/MMBtu
- Kinder Morgan released earnings yesterday and provided an update on its on-going projects
- From a markets view, the company sees natural gas volumes in the Permian and the Bakken being impacted the most
- The company also noted that they are seeing increased interest in expanding incremental capacity in the Haynesville
- Kinder Morgan still expects the 2.1 Bcf/d Permian Highway Pipeline to be in service in early 2021
- Analysts expect a 49-Bcf injection for the week ending April 17 (Platts)
- This would be below the 92-Bcf injection reported in the corresponding week last year, and would match the five-year average of 49 Bcf
- Analyst injection estimates ranged from a low of 26 Bcf to a high of 65 Bcf
- A withdrawal within expectations would expand the surplus to the five-year average to 370 Bcf with total stocks at 2.146 Tcf
Final commissioning has commenced on Cameron LNG Train 3 (Point Logic)
- Sempra has announced that Feed gas will begin flowing to Train 3
- Commercial operation of Train 3 remains on track to begin in the third quarter of 2020
