Energy and Markets Newsletter 090611

8/3/2019 Energy and Markets Newsletter 090611

1/8

September 6,2011

Energy Data Highlights

Crude oil futures price9/1/2011: $88.93/bblup$3.63 from week earlierup$15.02 from year earlier

Natural gas futures price9/1/2011: $4.050/mmBtuup$0.119 from week earlierup$0.290 from year earlier

Weekly coal production8/27/2011: 21.153 million tonsup0.366 million tons from week earlierdown0.251 million tons from year earlier

Natural gas inventories8/26/2011: 2,961 Bcf up55 Bcf from week earlierdown137 Bcf from year earlier

Crude oil inventories8/26/2011: 357.1 mmbblup5.3 mmbbl from week earlierdown4.7 mmbbl from year earlierhttp://www.eia.gov/

Natural Gas/ Power News

EIA Storage Release 9/1/11 (Actual): +55 Bcf Previous Week: +73 Bcf -4.4% Change from 1 Year Ago-2.0% Change 5-year Average

Follow
http://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=RCLC1&f=Dhttp://www.eia.gov/dnav/ng/hist/rngc1d.htmhttp://www.eia.gov/cneaf/coal/weekly/weekly_html/wcpweek.htmlhttp://ir.eia.gov/ngs/ngs.htmlhttp://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=WCESTUS1&f=Whttp://www.eia.gov/http://www.choiceenergyservices.com/http://twitter.com/#!/Choice_Energyhttp://www.facebook.com/pages/Choice-Energy-Services/204397769603350http://www.linkedin.com/company/choice-energyhttp://www.eia.gov/dnav/ng/hist/rngc1d.htmhttp://www.eia.gov/cneaf/coal/weekly/weekly_html/wcpweek.htmlhttp://ir.eia.gov/ngs/ngs.htmlhttp://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=WCESTUS1&f=Whttp://www.eia.gov/http://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=RCLC1&f=D


2/8

Pipe regulators draft found to paint rosy picture The nations top pipeline regulators have produced a draft report on the state of the nations gas-transmission system that misrepresents accident statistics,overstates the industrys track record, and omits key issues arising from the SanBruno explosion and other recent disasters, according to a copy obtained by TheSan Francisco Chronicle.

http://fuelfix.com/blog/2011/09/06/pipe-regulators-draft-found-to-paint-rosy-picture/#loopbegin

Highest monthly volume since the beginning of the year was traded onthe Natural Gas Market of the EEXAt 6,290,107 MWh, the highest monthly volume since the beginning of the yearwas traded on the Natural Gas Market of the European Energy Exchange (EEX) inAugust 2011 (August 2010: 2,648,600 MWh). The higher volume is due, inparticular, to increased trading activities on the Natural Gas Derivatives Market forwhich EEX introduced a new incentive model at the beginning of August.http://www.mbendi.com/a_sndmsg/news_view.asp?I=118499&PG=35

TransCanada proposes lowering long-haul tolls 32% for 2012, 2013 TransCanada on Friday filed its proposed Mainline rates for 2012 and 2013 thatwould, among other things, reduce long-haul natural gas transportation chargesby about 32%, while raising prices for interruptible services, in an effort to boostthe competitiveness of the troubled pipeline, National Energy Board filings show.http://www.platts.com/RSSFeedDetailedNews/RSSFeed/NaturalGas/6439099

Gazprom Starts Filling Nord Stream Gas PipelineOAO Gazprom will today start pumping natural gas into a $10 billion subseapipeline from Russia to Germany, bypassing Ukraine, where disputes haltedsupplies to European customers twice since 2006.http://www.bloomberg.com/news/2011-09-05/gazprom-skirting-ukraine-eases-winter-shortage-threat-as-baltic-pipe-opens.html

Russian Gas Transit Flows Through Ukraine Rose 7% in August Ukraine shipped 7 percent more natural gas to Europe from Russia in Augustcompared with the same month a year earlier, the state-run pipeline operatorsaid . http://www.bloomberg.com/news/2011-09-06/russian-gas-transit-flows-through-ukraine-rose-7-in-august.html

Green/ Alternative Energy News

Obama delays ozone rules again; industry cheers, enviros jeer The Obama administration is shelving plans to tighten federal limits for ozone, alung-irritating pollutant that has fouled Houstons air for decadeshttp://fuelfix.com/blog/2011/09/02/obama-administration-delays-ozone-rules-again/

Brazil ethanol prices ease following cut in gasoline blend ratio Brazil's decision to cut the amount of ethanol that must be blended into gasolineweighed down on the price of the biofuel at the country's main center-southproduction region, data from research institute CEPEA/ESALQ shows.

http://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/8306664
http://fuelfix.com/blog/2011/09/06/pipe-regulators-draft-found-to-paint-rosy-picture/http://www.mbendi.com/a_sndmsg/news_view.asp?I=118499&PG=35http://www.platts.com/RSSFeedDetailedNews/RSSFeed/NaturalGas/6439099http://www.bloomberg.com/news/2011-09-05/gazprom-skirting-ukraine-eases-winter-shortage-threat-as-baltic-pipe-opens.htmlhttp://www.bloomberg.com/news/2011-09-05/gazprom-skirting-ukraine-eases-winter-shortage-threat-as-baltic-pipe-opens.htmlhttp://topics.bloomberg.com/europe/http://topics.bloomberg.com/russia/http://www.bloomberg.com/news/2011-09-06/russian-gas-transit-flows-through-ukraine-rose-7-in-august.htmlhttp://www.bloomberg.com/news/2011-09-06/russian-gas-transit-flows-through-ukraine-rose-7-in-august.htmlhttp://fuelfix.com/blog/2011/09/02/obama-administration-delays-ozone-rules-again/http://fuelfix.com/blog/2011/09/02/obama-administration-delays-ozone-rules-again/http://fuelfix.com/blog/2011/09/02/obama-administration-delays-ozone-rules-again/http://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/8306664http://fuelfix.com/blog/2011/09/06/pipe-regulators-draft-found-to-paint-rosy-picture/http://www.mbendi.com/a_sndmsg/news_view.asp?I=118499&PG=35http://www.platts.com/RSSFeedDetailedNews/RSSFeed/NaturalGas/6439099http://www.bloomberg.com/news/2011-09-05/gazprom-skirting-ukraine-eases-winter-shortage-threat-as-baltic-pipe-opens.htmlhttp://www.bloomberg.com/news/2011-09-05/gazprom-skirting-ukraine-eases-winter-shortage-threat-as-baltic-pipe-opens.htmlhttp://topics.bloomberg.com/europe/http://topics.bloomberg.com/russia/http://www.bloomberg.com/news/2011-09-06/russian-gas-transit-flows-through-ukraine-rose-7-in-august.htmlhttp://www.bloomberg.com/news/2011-09-06/russian-gas-transit-flows-through-ukraine-rose-7-in-august.htmlhttp://fuelfix.com/blog/2011/09/02/obama-administration-delays-ozone-rules-again/http://fuelfix.com/blog/2011/09/02/obama-administration-delays-ozone-rules-again/http://fuelfix.com/blog/2011/09/02/obama-administration-delays-ozone-rules-again/http://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/8306664


3/8

China Benefits as US Solar Industry Withers The bankruptcies of three American solar power companies in the last month,including Solyndra of California on Wednesday, have left Chinas industry with adominant sales position almost three-fifths of the worlds production capacity and rapidly declining costs.Some American, Japanese and European solar

companies still have a technological edge over Chinese rivals, but seldom a costadvantage, according to industry analysts.http://www.cnbc.com/id/44365972

Crude Oil News

OPEC Daily Basket Price 9/5/2011 $108.42(9/2/2011 $110.37)

Recent Rig Counts

AreaLast

CountCount

Changefrom Prior

Count

Date of Prior

Count

Changefrom Last

Year

Date of Last Year'sCount

U.S. 2 Sept11

1968 -7 26 Aug 11 +315 03 Sept 10

Canada 2 Sept11

517 +9 26 Aug 11 +129 03 Sept 10

International

July2011

1150 -8 June 2011 +41 July 2010

http://investor.shareholder.com/bhi/rig_counts/rc_index.cfmBrent Rises Above $110 on US Stimulus HopesBrent crude oil rose above $110 a barrel on Tuesday as expectations of a U.S.economic stimulus outweighed fears of recession and a worsening euro zone debtcrisis.http://www.cnbc.com/id/44401995

Brent Oil Recovers From Monday Losses Brent crude rebounded along with European stock markets and the euro, whileNymex crude remained pressured by worries over the health of the U.S. economy.

The October Brent contract on London's ICE futures exchange was up 94 cents, or0.8%, from Monday's settlement at $111.02 a barrel. It fell $2.25 on Monday.http://online.wsj.com/article/SB10001424053111904900904576554201110861160.html?mod=WSJ_markets_liveupdate

New York Oil Trades Near Two-Week Low on Economy; Brent Crude ParesGainsOil traded near the lowest close in two weeks in New York while London s Brentgave up earlier gains as investors bet that signs of a slowing global economyindicate fuel demand may falter. http://www.bloomberg.com/news/2011-09-06/brent-oil-climbs-0-9-in-london-new-york-crude-pares-loss-after-holiday.html
http://www.cnbc.com/id/44365972http://investor.shareholder.com/bhi/rig_counts/rc_index.cfmhttp://www.cnbc.com/id/44401995http://online.wsj.com/article/SB10001424053111904900904576554201110861160.html?mod=WSJ_markets_liveupdatehttp://online.wsj.com/article/SB10001424053111904900904576554201110861160.html?mod=WSJ_markets_liveupdatehttp://topics.bloomberg.com/new-york/http://topics.bloomberg.com/london/http://www.bloomberg.com/news/2011-09-06/brent-oil-climbs-0-9-in-london-new-york-crude-pares-loss-after-holiday.htmlhttp://www.bloomberg.com/news/2011-09-06/brent-oil-climbs-0-9-in-london-new-york-crude-pares-loss-after-holiday.htmlhttp://www.cnbc.com/id/44365972http://investor.shareholder.com/bhi/rig_counts/rc_index.cfmhttp://www.cnbc.com/id/44401995http://online.wsj.com/article/SB10001424053111904900904576554201110861160.html?mod=WSJ_markets_liveupdatehttp://online.wsj.com/article/SB10001424053111904900904576554201110861160.html?mod=WSJ_markets_liveupdatehttp://topics.bloomberg.com/new-york/http://topics.bloomberg.com/london/http://www.bloomberg.com/news/2011-09-06/brent-oil-climbs-0-9-in-london-new-york-crude-pares-loss-after-holiday.htmlhttp://www.bloomberg.com/news/2011-09-06/brent-oil-climbs-0-9-in-london-new-york-crude-pares-loss-after-holiday.html


4/8

Oil Advances in London for First Day in Four as SNB Pledge WeakensDollar Oil rose for the first time in four days in London as a drop in the dollar followingSwitzerland s attempt to cap the value of its currency made raw materials moreattractive to investors.

http://www.bloomberg.com/news/2011-09-06/crude-oil-rises-in-london-for-first-time-in-four-days-amid-supply-threats.html

Louisiana Offshore Oil Port yet to resume offloading crude tankers The Louisiana Offshore Oil Port said Monday it has not resumed discharging crudefrom oil tankers because the weather remains bad due to Tropical Storm Lee .http://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/8309424

Middle East Oil Gains as Saudi Arabia Raises Official PricesMiddle East oil for sale to Asia gained after Saudi Arabia raised its official prices,prompting some refiners to consider regional alternatives. Qatar Marine forNovember loading increased 5 cents to a discount of 1 cent a barrel to its officiallevel, according to data compiled by Bloomberg.http://www.bloomberg.com/news/2011-09-06/middle-east-oil-gains-as-saudi-arabia-raises-official-prices.html

Non-Commercials add 21,999 contracts to Brent futures longs: ICENon-commercials added 21,999 contracts of Brent futures in the week endedAugust 30, halting three weeks of selling to leave them long by 49,971 lots,according to data released Monday by the IntercontinentalExchange.http://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/8305265

Impacts from Lee receding; no reports of refineries affected by stormWith crews heading back to their platforms and no refineries reporting anyoutages, it appears that the impact of Tropical Storm Lee on the New Orleans-area

oil industry has peaked and is now waning.http://www.platts.com/RSSFeedDetailedNews/RSSFeed/NaturalGas/3670568

Five Foreign Oil Companies Back Working in LibyaA Libyan official says five foreign oil and gas companies have returned to Libya toresuscitate production choked off by civil war and sanctions. Aref Ali Nayed, amember of the Libyan interim government's so-called stabilization team, says thatadvance teams from five international oil companies that had infrastructure inLibya "are already back" to assess damage and restart output.http://www.cnbc.com/id/44372386

Asia's oil price threshold is critical At the start of the year, soaring oil prices sparked a spirited debate amonganalysts about the level of prices that would start to choke off demand growth.Like most oil-market debates, discussion was heated, with analysts fiercelydivided about whether any reduction in demand growth should be characterisedas "rationing" and "restraint" (both of which sound more short-term andreversible) or "destruction" (with its connotations of long term irreversible loss).http://www.commodities-now.com/reports/power-and-energy/7661-asias-oil-price-threshold-is-critical.html

Japan Government to Up Emergency Oil Product Reserves

Japan's government said on Tuesday that it plans to boost its reserves of refined
http://topics.bloomberg.com/london/http://topics.bloomberg.com/switzerland/http://www.bloomberg.com/news/2011-09-06/crude-oil-rises-in-london-for-first-time-in-four-days-amid-supply-threats.htmlhttp://www.bloomberg.com/news/2011-09-06/crude-oil-rises-in-london-for-first-time-in-four-days-amid-supply-threats.htmlhttp://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/8309424http://www.bloomberg.com/news/2011-09-06/middle-east-oil-gains-as-saudi-arabia-raises-official-prices.htmlhttp://www.bloomberg.com/news/2011-09-06/middle-east-oil-gains-as-saudi-arabia-raises-official-prices.htmlhttp://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/8305265http://www.platts.com/RSSFeedDetailedNews/RSSFeed/NaturalGas/3670568http://www.cnbc.com/id/44372386http://www.commodities-now.com/reports/power-and-energy/7661-asias-oil-price-threshold-is-critical.htmlhttp://www.commodities-now.com/reports/power-and-energy/7661-asias-oil-price-threshold-is-critical.htmlhttp://www.commodities-now.com/reports/power-and-energy/7661-asias-oil-price-threshold-is-critical.htmlhttp://topics.bloomberg.com/london/http://topics.bloomberg.com/switzerland/http://www.bloomberg.com/news/2011-09-06/crude-oil-rises-in-london-for-first-time-in-four-days-amid-supply-threats.htmlhttp://www.bloomberg.com/news/2011-09-06/crude-oil-rises-in-london-for-first-time-in-four-days-amid-supply-threats.htmlhttp://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/8309424http://www.bloomberg.com/news/2011-09-06/middle-east-oil-gains-as-saudi-arabia-raises-official-prices.htmlhttp://www.bloomberg.com/news/2011-09-06/middle-east-oil-gains-as-saudi-arabia-raises-official-prices.htmlhttp://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/8305265http://www.platts.com/RSSFeedDetailedNews/RSSFeed/NaturalGas/3670568http://www.cnbc.com/id/44372386http://www.commodities-now.com/reports/power-and-energy/7661-asias-oil-price-threshold-is-critical.htmlhttp://www.commodities-now.com/reports/power-and-energy/7661-asias-oil-price-threshold-is-critical.htmlhttp://www.commodities-now.com/reports/power-and-energy/7661-asias-oil-price-threshold-is-critical.html


5/8

petroleum products to ensure stable supplies and speed up their distribution inthe wake of natural disasters.http://www.cnbc.com/id/44405546

Weather

Eastern U.S. Drenched by Weather Systems That Are Threatening Floods

The eastern U.S., including New York, and parts of southern Canada are expectedto get drenching rains from two different weather systems currently movingacross North Americahttp://www.bloomberg.com/news/2011-09-06/eastern-u-s-drenched-by-weather-systems-threatening-floods-1-.html

Hurricane KATIA

http://www.nhc.noaa.gov/text/refresh/MIATCPAT2+shtml/060833.shtml

6 to 10 Day Outlooks
http://www.cnbc.com/id/44405546http://www.bloomberg.com/news/2011-09-06/eastern-u-s-drenched-by-weather-systems-threatening-floods-1-.htmlhttp://www.bloomberg.com/news/2011-09-06/eastern-u-s-drenched-by-weather-systems-threatening-floods-1-.htmlhttp://www.nhc.noaa.gov/text/refresh/MIATCPAT2+shtml/060833.shtmlhttp://www.nhc.noaa.gov/refresh/graphics_at2+shtml/?5-daynl?large#contentshttp://www.cnbc.com/id/44405546http://www.bloomberg.com/news/2011-09-06/eastern-u-s-drenched-by-weather-systems-threatening-floods-1-.htmlhttp://www.bloomberg.com/news/2011-09-06/eastern-u-s-drenched-by-weather-systems-threatening-floods-1-.htmlhttp://www.nhc.noaa.gov/text/refresh/MIATCPAT2+shtml/060833.shtml


6/8

Temperature

Precipitation
http://www.cpc.ncep.noaa.gov/products/predictions/610day/610temp.new.gif


7/8

8 to 14 day Outlooks

Temperature
http://www.cpc.ncep.noaa.gov/products/predictions/814day/814temp.new.gifhttp://www.cpc.ncep.noaa.gov/products/predictions/610day/610prcp.new.gif


8/8

Precipitation
http://www.cpc.ncep.noaa.gov/products/predictions/814day/814prcp.new.gif

Energy and Markets Newsletter 090611

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