- WTI is up $1.01 to $55.88/Bbl, and Brent is up 87c to $59.51/Bbl
- Yemeni separatists attacked a Saudi oil facility on Saturday August 17
- The attack likely buoyed crude oil this morning despite oil production not being affected, according to Saudi Aramco
- The drone attack from Yemen’s Houthi group caused a fire at a Saudi gas plant in eastern Saudi Arabia
- The US oil-directed rig count rose by six to 770 last week, according to Baker Hughes
- Prior to last week’s increase, oil rigs had also declined for six week to their lowest since January 2018
- Including gas plays, drilled but uncompleted wells (DUC) fell 100 in July to 8,108, a fifth consecutive month
- OPEC published its monthly oil market report on Friday reporting that it produced 29.61 MMBbl/d of crude in July, down 8.2% from June
- Saudi Arabia is producing at the lowest level in five years at 9.7 MMBbl/d
- OPEC’s report painted a somewhat bearish picture for the rest of the year, given softening economic growth
- Natural gas is down 4.3c to $2.157/MMBtu
- Enbridge announced that they are planning to bring two of three pipelines back online by early September
- The resumption of commercial activity will bring back 800 MMcf/d of capacity on TETCO Line 25 and Line 10
- PointLogic reports that Kinder Morgan’s Gulf Coast Express (GCX) is starting to receive 400 MMcf/d of flows into its line
- Flows are most likely associated with line packing and could signal an earlier than anticipated startup date
- GCX is a 2 Bcf/d pipeline and will run from the Permian to the Agua Dulce Hub in south Texas
- The back half of August is forecast to cool off much of the Midwest and East Coast
- The heat wave gripping Texas will also begin to dissipate by the end of the month
- Hot temperatures should remain present in the western portion of the United States
