Oil & Gas
Crude oil, natural gas, NGLs, LNG and refined products — the markets that move producer revenue.
Oil Market Volatility Reduces Liquidity
Crude oil markets have been upended by high levels of volatility, resulting in lower liquidity. Open interest in benchmark crude markets has sunk to the lo...
· Jay Stevens3 min read
Producers Expect Modest Growth in 2022
U.S. oil producers have resisted growth plans, even as prices have risen sharply. Earnings calls for 4Q2021 are complete and show modest growth among those...
· Rishi Rajanala3 min read
Low Oil Inventories Are The Foundation of High Oil Prices
Oil inventories are a good measure of the scarcity of oil. Prices have followed those inventory levels. Some analysts with bearish price outlooks are fore...
· Jay Stevens2 min read
Waha Basis Under Threat As Constraints Loom
Gas basis prices in the Permian Basin have moved lower over the past 12 months. Further price deterioration depends on the actual and perceived pace of…
· Jay Stevens3 min read
Why Did Your Natural Gas Hedges Hurt You in February?
Nymex and Inside FERC gas settlement prices made a rare move on Jan 27; It upset portfolios that had 'incomplete' hedges When mark...
· Matt Marshall5 min read
Hedge Settlements Are Affected by Jan 27 Settlement-Day Rally in Gas
Was it manipulation, a short squeeze, or real buyers? February 2022 NYMEX natural gas futures expired and settled at $6.265 on Thursday, up $1.988 on the d...
· Matt Marshall4 min read
Russia has Europe in Check Position
Crude oil futures have rallied to the highest levels since 2014. A major contributor to the rise in price is the perceived geopolitical risk caused b...
· AEGIS Market Analytics2 min read
Natural-Gas Fired Power Generation to Fall in 2022
According to the EIA, gas as a percentage of total generation will fall from 37% in 2021 to 35% in 2022. There are two reasons behind the decline in natura...
· Nick Hillman2 min read
Is Winter Over? No, But Gas Scarcity Is No Longer Likely
This winter's natural gas prices have plunged. Mild weather has severely reduced gas demand. The 1Q2022 strip has been the hardest hit, nosediving ab...
· Jay Stevens3 min read
Crude Oil Export Ban Would Increase Gasoline Prices, Not Reduce
Update: According to reports, a crude-oil export ban is now not under consideration. That's good, because it wouldn't work. Certain policy m...
· Matt Marshall3 min read
New COVID-19 Variant, Omicron, Helps Push Oil To Its Worst Day Since April 2020; Is This An Overreaction?
On Friday, November 26, oil prices came under heavy selling pressure as news of a new COVID-19 variant, B.1.1.529, now known as
· Nick Hillman3 min read
Canadian Regulatory Agency Denies Enbridge Mainline Contracting Proposal
Enbridge has been denied it's request to convert the Mainline from uncommitted service to firm service. The Canadian Energy Regulator (CER) ru...
· AEGIS Market Analytics2 min read
We are in for a tight winter for natural gas, high demand is not backing down
Matt Marshall, AEGIS Director of Market Analytics, was on BNN Bloomberg to discuss natural gas prices as they fall off recent highs and hit seven-week lows. Marshall says stagnating production paired with the recent increase in demand is causing this tight environment.
· Matt Marshall1 min read
Mind the WCS Gap
Canadian differentials have widened by ~$6-$8 USD/Bbl in the last six weeks. It’s likely that the cause of the sudden widening in Canadian spre...
· AEGIS Market Analytics3 min read
Haynesville Production Is Growing. What Happens to Basis Prices?
Local Production may rise faster than new pipeline capacity, further constraining the area and pressuring basis. Henry Hub Natural gas prices have surged ...
· Jay Stevens4 min read
Let The Energy Squeeze Begin; Oil Prices Surge to a Seven-Year High
A number of fundamental and market forces are aligning to push prices higher. Oil prices have been trading near their highest level since 2014, and many a...
· Nick Hillman4 min read
AECO - The Ugliest Competitor in the Natural Gas Beauty Pageant
Global gas prices have been wildly volatile this year as news headlines continue to paint a picture in which we run short of gas in the depths of winter.&n...
· AEGIS Market Analytics3 min read
Jet and Diesel Consumers: Could Prices Be Much Higher in 2022?
Hedging can address either (or both!) the fuel price and oil price that cause most of the inflation. With insufficient oil production from OPEC+, minimal...
· Matt Marshall4 min read
Gasoline Prices Hold at Multi-Year High; Demand is Back
A combination of depleted inventories, limited production, and surging demand has pushed gasoline prices to a multi-year high of around 225 cpg. Prompt-mon...
· Nick Hillman2 min read
Canada Has Some Good Pipeline News...For a Change
Enbridge Announces Line 3 Replacement In Service October 1st Canada has indeed hit a milestone as the Enbridge Line 3 Replacement Project has come to a co...
· AEGIS Market Analytics3 min read
U.S. Opens Border for Int'l Flights; Increasing Air Traffic May Boost Oil Demand
Air travel is expected to see a boost, as the U.S. has opened its airports to any international travelers who are fully vaccinated against COVID-19. Since ...
· Nick Hillman3 min read
Oversupply of Oil Forecast For 2022, But OPEC+ Still Holds the Key
Oil prices have made a dramatic comeback this year, climbing $25/Bbl to $73/Bbl for WTI as of September 23. Will oil’s strength continue into 2022, o...
· Jay Stevens2 min read
Wake Up AECO! The Gas World is Leaving You Behind!
Canadian Producers Don’t Want to Complain about the Price of AECO, But… Natural gas sure had its sexy back for a minute after the one-two Hur...
· AEGIS Market Analytics3 min read
$10 Gas Is Possible This Winter
There is now* about a 20% chance that natural gas prices reach $10/MMBtu for the January contract, implied by the options market! Gas prices have been on ...
· Jay Stevens3 min read