Oil and gas firms have been using blockchain technology and working with digital start-ups to modernise and improve efficiency across operations at an increasing rate. As blockchain booms, will it soon be a vital component of oil and gas operations?
Natural gas prices have already surged to almost double that level in oil equivalent terms, and BofA says a spike in demand for diesel could push crude into similar territory.
Prices for natural gas, the most common way to heat homes and a leading fuel source for generating electricity, have surged more than 180% over the past 12 months to $5.90 per million British thermal units. Natural gas hasn't been this expensive since February 2014.
Just yesterday we warned that a "Power Supply Shock Looms" as the energy crisis gripping Europe - and especially the UK - was set to hammer China, and just a few hours later we see this in practice as residents in three north-east Chinese provinces experienced unannounced power cuts as the electricity shortage which initially hit factories spreads to homes.
“Oil and natural gas jobs pay among the highest wages in Texas, so job growth in this sector not only bolsters our economy and energy security, but also has a tremendous, positive impact for thousands of Texas families,” TXOGA President Todd Staples said in a statement. “Every direct oil and natural gas job in Texas generates an additional 3 jobs elsewhere in the state's economy.”
U.S. shale must by now be used to the price shocks. Even so, the pandemic-driven destruction of demand for crude must have hurt. On top of that pain, the large public shale producers had many unhappy shareholders to deal with. They dealt with them by cutting spending, slashing production, and focusing on cash flow generation.
Oil held gains near the highest since 2018 amid a global energy crunch that’s set to increase demand for crude, while stockpiles are falling from the U.S. to China.
The bill requires the Fed to mandate large banks to commit to 50 percent reduction in financed emissions by 2030 and 100-percent reduction in financed emissions by 2050. The Fed mandate, as per the bill, would also ban the financing of all fossil fuel projects after 2030 and prohibit thermal coal financing after 2024.
Natural gas prices all over the world are surging amid a perfect storm of tight regional gas markets and soaring power prices in Europe. The natural gas rally isn’t over yet—and it has further room to hit fresh record highs, especially if the coming winter turns out to be colder than typical in the northern hemisphere.
It would have been unthinkable a few months ago: ramping up production was the last thing U.S. shale drillers would do amid a hesitant price recovery and heavy uncertainty around demand recovery. In these few months, however, a lot has changed. Now, U.S. shale drillers may be ready to get back to drilling.
Baltimore filed suit against major oil companies demanding billions of dollars for what the city fears will be harms in the future from global climate change. The city is not willing to leave public policy up to Congress. It wants to usurp the role of our elected representatives and hand policymaking over local judges.
Two recent reports warned that oil and gas production needs to be significantly reduced if the world is to meet the Paris Agreement goals and curb the effects of climate change. They add to a growing body of research calling on Big Oil to stop pumping. But Big Oil seems to be doing the opposite.
Global crude inventories that ballooned during the pandemic have shrunk to the lowest level in 20 months as an economic rebound in top consumers China and the U.S. drive a robust recovery in fuel demand.
Whether coming from politicians, ESG insiders, or competing industries, the assertion that natural gas demand is somehow going away, and investments in new supply are thus unwarranted, is demonstrably false.
“Oil demand in 3Q21 has proved to be resilient, supported by rising mobility and traveling activities, particularly in the OECD. At the same time, the increased risk of COVID-19 cases primarily fuelled by the Delta variant is clouding oil demand prospects going into the final quarter of the year, resulting in downward adjustments to 4Q21 estimates,” the cartel noted.
The rig count rose to 503, after drillers added four offshore rigs in the Gulf of Mexico and two on land. Offshore drillers in late August shut down and evacuated rigs as a precaution ahead of the Category 4 hurricane. As of Thursday, four of the 11 stationary rigs in the Gulf of Mexico remain evacuated, and two of the 15 mobile rigs in the Gulf are still located off-site, according to the Interior Department.
Congressional Democrats are poised to advance sweeping legislation to combat climate change that would, if the Senate goes along, block drilling in most U.S. offshore waters and invest tens of billions of dollars in resilience measures.
Oil prices rebounded early on Wednesday, rising by more than 1 percent, as nearly 80 percent of the total crude oil production in the U.S. Gulf of Mexico remains shut-in more than a week after Hurricane Ida made landfall in Louisiana.
According to the EIA, associated natural gas production declines in the five major producing regions in 2020 – except for the Permian Basin, which increased both oil and associated gas production.
The government of Mexican President Andres Manuel Lopez Obrador, who has pledged to put the country’s oil riches back in the hands of the state, named Pemex Zama’s operator and gave it a 50.4% stake. It was one of his latest moves to backtrack on the previous administration’s historic reforms to open up Mexico’s energy industry to private investment.