Posts Categorized: Articles

In last week’s article we warned that the next few weeks and months could be very ugly for crude prices due to fundamental supply and demand factors. Even so, our jaws were on the floor at seeing Monday’s WTI May contract trade at -$37/barrel. As most of our readers are… Read more »

With WTI prices flirting with $20/barrel or even lower, many U.S. tight oil producers are considering shut-ins. Which types of producers are at the greatest risk of shut-ins, and why? While COVID-19 is injecting uncertainty into the market, we believe that many U.S. and international producers are at very high… Read more »

The US and China have reached a (temporary) truce in the trade war, raising hopes that U.S. LNG exporters can tap demand in the world’s second largest LNG importer. Indeed, four tankers carrying U.S. LNG are en route to China. We are skeptical that Chinese buyers will ink long-term contracts… Read more »

Corpus Christi has replaced Houston as the largest port for U.S. crude exports. Although COVID-19 is injecting extreme uncertainty into energy markets, Corpus will likely remain the king of U.S. crude oil exports due to its proximity to producing basins, pipeline and storage buildouts, and commercial operation of new export… Read more »

Two months ago, economic risks were serious, but WTI prices stood at $50/barrel. Fast forward to today: the world appears to be on the brink of a pandemic-driven recession, and WTI prices are below $30/barrel, with some predicting a floor below $15/barrel. How did we get here and where do… Read more »

An umbrella in a hurricane: the pause in the US-China trade war and implications for U.S. LNG The US and China have reached a (temporary) truce in the trade war, raising hopes that U.S. LNG exporters can tap demand in the world’s second-largest LNG importer. We are skeptical that Chinese… Read more »