- An oil tanker was struck by an “external” source off the coast of Jeddah, a port city along the Red Sea
- The tanker, BW Rhine, was filled with nearly 60,000 tonnes of gasoline, according to shipping data from Refinitiv
- This new attack comes after a missile struck a Saudi fuel distribution center in Jeddah on November 23. The Red Sea is a vital shipping lane for global energy supplies
- Iran announces oil production plans for 2021 as the country expects a loosening of U.S. restrictions
- Oil Minister Bijan Namdar Zanganeh told lawmakers the government aims to pump 4.5 MMBbl/d of oil and gas condensate
- The oil minister also said Iran would increase oil exports to 2.3 MMBbl/d, provided that the U.S. eases sanctions
- The Baker Hughes oil rig count gained 15 rigs to bring the total gas rig count to 338
- The major basins, Permian, Eagle Ford, and Denver-Julesburg, added 4, 3, and 1 rig, respectively
- Weather model changes from Friday showed an increase in colder risks at times (CWG)
- The cooler shift was focused on the south and Southeast regions throughout the 6-12 day window
- The changes amounted to an additional 20 Bcf of demand
- The Mountain Valley Pipeline could be close to resuming construction within a 25-mile buffer area around part of the natural gas pipeline route that would cross the Jefferson National Forest
- The U.S. Forest Service finalized a supplemental environmental impact statement for a 3.5-mile forest crossing (Platts)
- The environmental review release could allow for a new right-of-way authorization and a special use permit from the U.S. Department of the Interior in early 2021, according to ClearView Energy Partners
- The 2 Bcf/d project connecting Appalachian gas to Mid-Atlantic demand is nearly finished, except for a few key pieces that have faced permitting challenges
- Kinder Morgan’s new Permian Highway Pipeline (PHP) started operations earlier this month and flowed about 0.2 Bcf/d on December 8, according to PointLogic
- PHP will transport up to 2.1 Bcf/d of natural gas from West Texas to the Texas Gulf Coast
- Associated gas flows ticked higher in the Permian at the same time PHP started up service. Output grew by 0.9 Bcf/d during 4-11 December (PL)
- At the same time, northbound net outflows from the Permian into the Mid-Continent fell by nearly 0.5 Bcf/d during December 1-10
- AEGIS notes that the addition of PHP and Whistler (3Q 2021) will likely redirect more gas volume to the east and into the Texas Gulf Coast, where LNG demand waits
- These two new 2 Bcf/d pipes are slated to steal gas from other legacy pipes and the Permian Basin flow direction of last resort – northbound
