November 22, 2019

November 22, 2019
Share
Print Friendly, PDF & Email
  • WTI is down 6c to $58.52/Bbl, and Brent is up 8c to $64.05/Bbl
  • WTI crude hit price levels yesterday not seen since late September after China’s vice premier invited US trade negotiators to Beijing for further talks
    • The US crude oil benchmark is trading near the top end of a six-month range at ~$58.25 this morning
    • Cal 20 is near $56/Bbl and Cal 21 is at $53/Bbl
    • Cal 21 is at its highest level since July
  • Tallgrass Energy is weighing an expansion of its 400 MBbl/d Pony Express crude pipeline from new origin point near Carpenter, Wyoming, to destinations Colorado (Argus)
    • The company is seeking binding commitments for the project, which include building 25 miles of pipeline from the new origin point to Hereford Colorado
    • The segment is expected to be in service in 2Q2020 with the open season ending Jan. 20
    • Pony Express system moves crude from Guernsey, Wyoming, to Cushing, Oklahoma
  • Natural gas is up 5.1c to $2.618/MMBtu
  • FERC approved four proposed LNG facilities at its latest meeting
    • Texas LNG Brownsville: 0.3 Bcf/d of capacity; FID is expected in 2020
    • NextDecade’s Rio Grande: 3.5 Bcf/d of capacity; FID is expected in 1Q2020
    • Exelon’s Annova LNG: 0.8 Bcf/d of capacity; FID is expected in 4Q2019
    • Cheniere’s Corpus Christi Stage 3: 1.5 Bcf/d of capacity; FID is expected in 2020
  • TC Energy is contemplating two projects that would add 0.5 Bcf/d of capacity to the Bakken region
    • The Bison Reversal Project, which runs from Stateline/Watford City to Cheyenne Hub, could come in-service in two phases during 3Q2021 and 4Q2022
    • The Stateline/Watford City to Ventura project could also come in-service in two phases during 3Q2021 and 4Q2023
    • The Bakken is in desperate need of additional takeaway capacity as the region has some of the highest flaring rates in the country. Associated gas growth, and the flaring that has come with it, has played a role in stemming oil production
  • The EIA reported a withdrawal of -94 Bcf for the week ending November 15 marking the end of the injection season
    • Price action following the announcement was relatively muted as the market had already priced in a very large withdrawal occurring last week

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