- WTI is up 51c to $58.36/Bbl, and Brent is up 56c to $63.15/Bbl
- Oil prices are at six-week highs on optimism that OPEC and their allies may extend output cuts to support prices (Reuters)
- The new Saudi energy minister said that the OPEC+ alliance would be in place for the long term
- There have been concerns about some OPEC+ member adherence to their agreement as a few members have exceeded their quota
- The EIA’s monthly Short-Term Energy Outlook (STEO) is due out later today
- Production data will be important to watch. The EIA reports more accurate US supply data on a lag in its STEO
- Weekly government data pegs US oil production at 12.4 MMBl/d as of last week
- The EIA estimated US oil production at 11.7 MMBbl/d in its previous Monthly report for July
- Natural gas is up 4.8c to $2.633/MMBtu
- Freeport LNG has secured a $1.0 Billion loan for its Train 4 expansion project
- An official Final Investment Decision (FID) is anticipated within the next couple of months, according to the CEO
- With four trains running, the liquefaction facility would be able to export roughly 2.6 Bcf/d, assuming it receives a positive FID
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Waha spot price has steadily improved since May and is now $1.30
- This improvement has largely been the result of line packing flows on the Gulf Coast Express, according to Platts
- Once the project fully comes online, Waha basis could see continued upside as the pipeline will be able to handle the excess associated gas in the region
