Energy and Markets Newsletter 091411

8/3/2019 Energy and Markets Newsletter 091411

1/7

September14, 2011

Energy Data Highlights

Crude oil futures price9/12/2011: $88.19/bblup$1.74 from week earlierup$11.74 from year earlier

Natural gas futures price9/12/2011: $3.885/mmBtuup$0.013 from week earlierup$0.005 from year earlier

Retail gasoline price9/12/2011: $3.661/galdown$0.013 from week earlierup$0.940 from year earlier

Retail diesel price9/12/2011: $3.862/gal

down$0.006 from week earlierup$0.919 from year earlier

Weekly coal production9/3/2011: 20.986 million tonsdown0.167 million tons from week earlierdown0.825 million tons from year earlier

http://www.eia.gov/

Natural Gas/ Power News

EIA Storage Release 9/1/11 (Actual): +64 Bcf

Previous Week: +55 Bcf-4.2% Change from 1 Year Ago-1.9% Change 5-year Average

Natural Gas: Boom or Bust

Natural gas, in many ways, is a tough form of energy to beat.

http://www.greentechmedia.com/articles/read/natural-gas-article-for-ge/

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/oog/info/gdu/gasdiesel.asphttp://www.eia.gov/oog/info/gdu/gasdiesel.asphttp://www.eia.gov/cneaf/coal/weekly/weekly_html/wcpweek.htmlhttp://www.eia.gov/http://www.greentechmedia.com/articles/read/natural-gas-article-for-ge/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/oog/info/gdu/gasdiesel.asphttp://www.eia.gov/oog/info/gdu/gasdiesel.asphttp://www.eia.gov/cneaf/coal/weekly/weekly_html/wcpweek.htmlhttp://www.eia.gov/http://www.greentechmedia.com/articles/read/natural-gas-article-for-ge/http://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=RCLC1&f=D


2/7

Conoco Tries to Fuel More Natural-Gas Use

ConocoPhillips is launching a campaign for natural gas to play a greater role in

meeting U.S. energy needs, even as it plays a diminished role in the energy

giant's portfolio because of weak prices driven by a supply glut.With the initiative,

"Power in Cooperation," Houston-based Conoco is staking out a position on a

major domestic energy issue, touting the country's massive natural-gas resourcesas a job-creating, clean-burning energy source, while trying to address concerns

about its impact on the environment.

http://online.wsj.com/article/SB1000142405311190353280457656891328224747

4.html?mod=rss_Politics_And_Policy

Japan hopes to buy LNG from U.S. by 2015

Japan hopes to start buying liquefied natural gas from the United States after a

project there starts exporting LNG in 2015, as the country looks to secure a steady

supply amid growing demand for the fuel, a trade ministry official said on

Wednesday. Japan's demand for natural gas is expected to rise for years to come,

with its LNG imports climbing at a record pace this year as utilities ramp up gas-fired generation to offset a drop in nuclear utilisation following the Fukushima

crisis.

http://www.sharenet.co.za/news/Japan_hopes_to_buy_LNG_from_US_by_2015/708f

4e271b1011c2c88e4c92443b13cb

Australia's Norwest Energy gets approval to fracture shale gas wellAustralia's Norwest Energy has received approval from the Western AustralianDepartment of Mines and Petroleum to hydraulically fracture stimulate theArrowsmith-2 shale gas well, the company said Wednesday in a release to theAustralian Securities Exchange.http://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/7350157

EPA says it tried to help Luminant avoid plant shut downsDallas-based Luminant said Monday it was shutting down two of its coal-firedpower generation units at the end of the year because it wasnt possible to retrofitthem to meet new air quality standards set to go into effect on Jan. 1. The movehas been telegraphed for a while Luminant has been the most vocal of the

Texas power plant operators about the pending Cross State Air Pollution Rules eversince the final version was released in July with the surprise inclusion of Texas forsulfur dioxide reductions.http://fuelfix.com/blog/2011/09/13/epa-says-it-tried-to-help-luminant-avoid-plant-shut-downs/

Green/ Alternative Energy News

Carbon emissions to go on rising way beyond 2030Energy experts are seriously concerned about the world's capacity to cut carbonemissions over the coming decades, according to a new report published today bythe Economist Intelligencehttp://www.commodities-now.com/news/environmental-markets/7807-carbon-emissions-to-go-on-rising-way-beyond-2030.html

Crude Oil News
http://online.wsj.com/article/SB10001424053111903532804576568913282247474.html?mod=rss_Politics_And_Policyhttp://online.wsj.com/article/SB10001424053111903532804576568913282247474.html?mod=rss_Politics_And_Policyhttp://www.sharenet.co.za/news/Japan_hopes_to_buy_LNG_from_US_by_2015/708f4e271b1011c2c88e4c92443b13cbhttp://www.sharenet.co.za/news/Japan_hopes_to_buy_LNG_from_US_by_2015/708f4e271b1011c2c88e4c92443b13cbhttp://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/7350157http://fuelfix.com/blog/2011/09/13/epa-says-it-tried-to-help-luminant-avoid-plant-shut-downs/http://fuelfix.com/blog/2011/09/13/epa-says-it-tried-to-help-luminant-avoid-plant-shut-downs/http://fuelfix.com/blog/2011/09/13/epa-says-it-tried-to-help-luminant-avoid-plant-shut-downs/http://www.commodities-now.com/news/environmental-markets/7807-carbon-emissions-to-go-on-rising-way-beyond-2030.htmlhttp://www.commodities-now.com/news/environmental-markets/7807-carbon-emissions-to-go-on-rising-way-beyond-2030.htmlhttp://www.commodities-now.com/news/environmental-markets/7807-carbon-emissions-to-go-on-rising-way-beyond-2030.htmlhttp://online.wsj.com/article/SB10001424053111903532804576568913282247474.html?mod=rss_Politics_And_Policyhttp://online.wsj.com/article/SB10001424053111903532804576568913282247474.html?mod=rss_Politics_And_Policyhttp://www.sharenet.co.za/news/Japan_hopes_to_buy_LNG_from_US_by_2015/708f4e271b1011c2c88e4c92443b13cbhttp://www.sharenet.co.za/news/Japan_hopes_to_buy_LNG_from_US_by_2015/708f4e271b1011c2c88e4c92443b13cbhttp://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/7350157http://fuelfix.com/blog/2011/09/13/epa-says-it-tried-to-help-luminant-avoid-plant-shut-downs/http://fuelfix.com/blog/2011/09/13/epa-says-it-tried-to-help-luminant-avoid-plant-shut-downs/http://fuelfix.com/blog/2011/09/13/epa-says-it-tried-to-help-luminant-avoid-plant-shut-downs/http://www.commodities-now.com/news/environmental-markets/7807-carbon-emissions-to-go-on-rising-way-beyond-2030.htmlhttp://www.commodities-now.com/news/environmental-markets/7807-carbon-emissions-to-go-on-rising-way-beyond-2030.htmlhttp://www.commodities-now.com/news/environmental-markets/7807-carbon-emissions-to-go-on-rising-way-beyond-2030.html


3/7

OPEC Daily Basket Price 9/13/2011 $108.42

(9/10/2011 $107.86)

Recent Rig Counts

Area

Last

Count

Cou

nt

Change

from Prior

Count

Date of

Prior

Count

Change

from Last

Year

Date of

Last Year's

Count

U.S. 9 Sept11

1958 -10 2 Sept 11 +304 10 Sept 10

Canada 9 Sept11

515 -2 2 Sept 11 +132 10 Sept 10

International

August2011

1183 +33 July 2011 +81 August 2010

http://investor.shareholder.com/bhi/rig_counts/rc_index.cfm

Oil gains ground as risk appetite recoversBrent crude rose on Wednesday as proposals from the European Commission to

issue joint bonds reassured investors hoping for a resolution to the euro zone debt

crisis.

http://www.reuters.com/article/2011/09/14/us-markets-oil-

idUSTRE77838320110914

New York Oil-Price Contango Narrows as Stockpiles Decline

The price gap between front-month and November crude oil futures in New York

fell for a sixth day after settling yesterday at the narrowest in almost three years.

Crude for October delivery on the New York Mercantile Exchange was at $89.39 a

barrel in electronic trading at 10:54 a.m. Singapore time, 6 cents below the

November contract. On a settlement basis, the discount was 7 cents yesterday,

the smallest for front-month futures since November 2008, according to data

compiled by Bloomberg

http://www.bloomberg.com/news/2011-09-14/new-york-oil-price-contango-

narrows-as-stockpiles-decline-1-.html

Crude Oil Drops From Six-Week High on Concern Economic Recovery to

FalterOil declined from a six-week high on concern that Europes debt crisis and the

faltering U.S. economic recovery will temper fuel demand.

Futures fell as much as 1.9 percent after technical indicators signaled gains of

more than 3 percent in the past two days may have been excessive. The European

Central Bank said it will lend two euro-area banks dollars tomorrow, a sign they

are having difficulties with borrowing. The International Energy Agency yesterday

cut global oil-consumption forecasts for this year and 2012. The Energy

Department may say U.S. crude stockpiles fell last week, according to a

Bloomberg survey.
http://investor.shareholder.com/bhi/rig_counts/rc_index.cfmhttp://www.reuters.com/finance/bondshttp://www.reuters.com/article/2011/09/14/us-markets-oil-idUSTRE77838320110914http://www.reuters.com/article/2011/09/14/us-markets-oil-idUSTRE77838320110914http://www.bloomberg.com/news/2011-09-14/new-york-oil-price-contango-narrows-as-stockpiles-decline-1-.htmlhttp://www.bloomberg.com/news/2011-09-14/new-york-oil-price-contango-narrows-as-stockpiles-decline-1-.htmlhttp://investor.shareholder.com/bhi/rig_counts/rc_index.cfmhttp://www.reuters.com/finance/bondshttp://www.reuters.com/article/2011/09/14/us-markets-oil-idUSTRE77838320110914http://www.reuters.com/article/2011/09/14/us-markets-oil-idUSTRE77838320110914http://www.bloomberg.com/news/2011-09-14/new-york-oil-price-contango-narrows-as-stockpiles-decline-1-.htmlhttp://www.bloomberg.com/news/2011-09-14/new-york-oil-price-contango-narrows-as-stockpiles-decline-1-.html


4/7

http://www.bloomberg.com/news/2011-09-14/crude-oil-drops-from-six-week-high-

on-concern-economic-recovery-to-falter.html

OIL FUTURES: Crude Oil Mixed on Uncertainty Over Eurozone DebtCrude prices were mixed Wednesday as investors remained cautious ahead of aconference call between Greek Prime Minister George Papandreou, GermanChancellor Angela Merkel and French President Nicolas Sarkozy to discuss theGreek debt crisisAdding to the gloom, Moody's Investors Service cut the creditratings of two French banks, Societe Generale and Credit Agricole, because of theirexposure to Greek debt, causing fresh concern that the European debt crisis couldspread to other countries in the euro zone.http://www.nasdaq.com/aspx/stock-market-news-story.aspx?storyid=201109140647dowjonesdjonline000297&title=oil-futures-crude-oil-mixed-on-uncertainty-over-eurozone-debt

Commodities speculation debate heats up

The debate over whether high oil prices are the result of tight fundamentals or

pure financial speculation is heating up, and economists are trading heavy

punches.

http://www.ft.com/cms/s/0/f36db348-deaa-11e0-a228-

00144feabdc0.html#axzz1XvXdsyuu

Heavy crude oil growth to outstrip new condensate supply to 2030: HART

The world will see far more incremental barrels of heavy crude in the market over

the next two decades than the additional condensate supply that will come on

stream, according to an analyst at Hart Energy, a provider of specialized data and

information products to the energy industry. Global crude production is expected

to grow from 73.5 million b/d in 2010 to 93 million b/d in 2030, of which heavy

crude oil (API gravity of less than 22 degrees) will account for 38% and

condensates and natural gas liquids or NGLs for 14%, Hart Energy's executivedirector for refining, planning and evaluation, Rodrigo Favela, told a recent

industry conference in Singapore.

http://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/8340130

BP sees 'good' initial result from Alaska North Slope heavy oil test well

BP is getting very good results from the first of four test production wells drilled

into the Ugnu heavy oil deposit on the Alaska North Slope, company officials said

in an interview Tuesday. The well produced up to 650 b/d of oil mixed with sand

and with the sand removed the net production was about 550 b/d, said Eric West,

BP's manager on the project. Production began on April 22. "It was higher than we

expected. It is a good well," West said.http://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/6473799

Alberta wants more oil sands pipelinesCanadas oil sands producers need to build at least two more pipelines the size ofthe controversial Keystone XL project if they are to meet their ambitious plans forgrowth, Albertas energy minister has said.http://www.ft.com/intl/cms/s/0/5a0b442e-dd86-11e0-b6db-00144feabdc0.html?ftcamp=rss#axzz1XvXdsyuu

Weather
http://www.bloomberg.com/news/2011-09-14/crude-oil-drops-from-six-week-high-on-concern-economic-recovery-to-falter.htmlhttp://www.bloomberg.com/news/2011-09-14/crude-oil-drops-from-six-week-high-on-concern-economic-recovery-to-falter.htmlhttp://www.nasdaq.com/aspx/stock-market-news-story.aspx?storyid=201109140647dowjonesdjonline000297&title=oil-futures-crude-oil-mixed-on-uncertainty-over-eurozone-debthttp://www.nasdaq.com/aspx/stock-market-news-story.aspx?storyid=201109140647dowjonesdjonline000297&title=oil-futures-crude-oil-mixed-on-uncertainty-over-eurozone-debthttp://www.nasdaq.com/aspx/stock-market-news-story.aspx?storyid=201109140647dowjonesdjonline000297&title=oil-futures-crude-oil-mixed-on-uncertainty-over-eurozone-debthttp://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/8340130http://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/6473799http://www.bloomberg.com/news/2011-09-14/crude-oil-drops-from-six-week-high-on-concern-economic-recovery-to-falter.htmlhttp://www.bloomberg.com/news/2011-09-14/crude-oil-drops-from-six-week-high-on-concern-economic-recovery-to-falter.htmlhttp://www.nasdaq.com/aspx/stock-market-news-story.aspx?storyid=201109140647dowjonesdjonline000297&title=oil-futures-crude-oil-mixed-on-uncertainty-over-eurozone-debthttp://www.nasdaq.com/aspx/stock-market-news-story.aspx?storyid=201109140647dowjonesdjonline000297&title=oil-futures-crude-oil-mixed-on-uncertainty-over-eurozone-debthttp://www.nasdaq.com/aspx/stock-market-news-story.aspx?storyid=201109140647dowjonesdjonline000297&title=oil-futures-crude-oil-mixed-on-uncertainty-over-eurozone-debthttp://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/8340130http://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/6473799


5/7

Tropical Storm MARIA

http://www.nhc.noaa.gov/text/refresh/MIATCPAT4+shtml/141148.shtml

6 to 10 Day Outlooks

Temperature

Precipitation
http://www.nhc.noaa.gov/text/refresh/MIATCPAT4+shtml/141148.shtmlhttp://www.cpc.ncep.noaa.gov/products/predictions/610day/610temp.new.gifhttp://www.nhc.noaa.gov/text/refresh/MIATCPAT4+shtml/141148.shtml


6/7

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


7/7

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

Energy and Markets Newsletter 091411

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