- WTI is up 18c to $59.61/Bbl, and Brent is up 20c to $66.75/Bbl
- Crucial meetings will take place over the next week that will impact oil
- Trump is meeting with China’s President XI on the sidelines of the G-20 in Japan to discuss the trade war
- OPEC and its allies will gather in Vienna on Monday and Tuesday to discuss and possibly decide on the group’s production cut policy
- So far this month WTI has gained over 11%, mostly due to rising geopolitical events between the US and Iran
- Sentinel Midstream has submitted an application to regulators to build and operate an offshore crude export terminal near Freeport, Texas
- Texas GulfLink will include the loading of various grades of oil at rates up to 85 MBbl/hour
- The terminal will be able to load 15 VLCCs or equivalent volumes per month for the deepwater port for a total of 1 MMBbl/d (Argus)
- The project also includes building a 42-inch pipeline from Brazoria County, Texas, to the deepwater port
- OPEC+ cut extensions is apparently “in the bag”, according to Saudi Arabia’s Energy Minister Khalid Al-Falih (Bloomberg)
- The group’s three largest members – Saudi Arabia, Iraq, and UAE – are all willing to continue the current policy
- Natural gas is down 1.5c to $2.309/MMBtu
- The recently completed 2.6 Bcf/d Sur de Texas pipeline has declared a force majeure indefinitely after Mexico’s state power utility, CFE, moved an arbitration case against it
- This case comes as the line was starting to flow close to 0.5 Bcf/d for testing
- The re-delay of the pipeline will cut off a large source of demand for NGPL STX and Houston Ship channel basis
- Mexico is currently suffering from a large gas supply deficit with several areas facing the threat of blackouts
- Summit Midstream Partners has announced a positive FID on its Double E Pipeline Project that serves the Permian
- The pipeline has an initial capacity of 1.35 Bcf/d, but can be expanded to 1.85 Bcf/d should demand persist
- The project will run from the southeastern tip of New Mexico into the western portion of Texas
- There is an anticipated start date for 3Q2021
- Storage increased by 98 Bcf which was lower than the average 100 Bcf analysts were expecting
- Total storage is now at 2.3 Tcf
- The 98 Bcf injection snapped what was a seven week run of triple digit builds
