July 9, 2019

July 9, 2019
Share
Print Friendly, PDF & Email
  • WTI is up 30c to $57.96/Bbl, and Brent is up 36c to $64.47/Bbl
  • Iran has vowed to retaliate against the seizure of an oil tanker loaded with its crude by British Royal Marines last week (Bloomberg)
    • Mohammad Bageri, the chief of staff for Iran’s armed forces said “It will be reciprocated, at a suitable time and in a suitable place”
    • British Royal Marines boarded the ship, Grace 1, off the coast of Gibraltar and seized it for trying to take oil to Syria (Reuters)
    • AEGIS notes Iran has been trying to sell its crude oil in any way possible in the face of US sanctions and have employed multiple methods to avoid detection
  • Enterprise Products Partners will expand its crude, LPG and polymer grade propylene (PGP) export capacity at its Houston, Texas, terminal in the next year, according to Argus
    • The dock expansion will be able to accommodate a Suezmax vessel, the largest ship class that can traverse the channel
    • By the end of 2020 Enterprise’s Hydrocarbon Terminal will have a capacity to load another 840 MBbl/d of crude
    • AEGIS notes that crude oil export capacity will be important to the Gulf Coast supply/demand balance as much more crude oil will be heading to Corpus Christi and Houston from the Permian
  • Natural gas is down 1.2c to $2.391/MMBtu
  • There is a 40-60% chance of a cyclone formation in the northeastern portion of the Gulf of Mexico
    • Should a cyclone emerge, it is planned to travel westward along the northern rim of the Gulf
      • Storm has potential to bring heavy rainfall regardless of evolving into a cyclone or not
  • LNG feedgas sets a fresh record of 6.32 Bcf/d primarily on the back of Sempra’s Cameron Train 1 and Cheniere’s Corpus Christi Train 2
    • Despite records, there is still room for improvement as the heavily delayed Freeport LNG project is expected to be commercially operational by next month
    • The last of the first wave facilities, Kinder Morgan’s Elba Island, has gone radio silent as to when they expect to complete their project

Access Our Deeper Market Insights

Product Factor Matrix

Proprietary view of priced-in factors driving the market vs. potential bullish and bearish surprises.

Learn More

Trading Recommendations

Clear trading recommendations based on real market opportunities that enable clients to take action.

Learn More

Market Data

A comprehensive suite of the latest curves, spot pricing, settles, and strips to drive confident hedging decisions.

Learn More

Benchmarking and Trade Analytics

Real-time access to analyze your hedging strategy against AEGIS benchmarks and current market activity.

Learn More