The G7 and EU are finalizing details of a price cap that is intended to be implemented with the EU ban on seaborne Russian crude imports on Dec. 5 and Russian oil products on Feb. 5, 2023.

The recent fall in European gas prices may not last, according to Italian energy major Eni SpA. “It’s a temporary situation,” Chief Executive Officer Claudio Descalzi said in Abu Dhabi. “We have problems in 2023 because in 2023 we don’t have Russian gas.”

The push to fill storage facilities before the start of winter has been successful -- with many close to capacity. But some suppliers may now want to hold back those reserves until they can sell their stored gas at more attractive rates.

Just eliminating fossil fuel alone is a tall order -- 22 percent of the current generating mix is coal and 38 percent is natural gas. Half of the generation will, in theory, go offline while demand for electricity soars.

U.S. Rig Count is down 3 from last week to 768, Canada Rig Count is up 2 from last week to 212.

Brent dropped $1.02, or 1.1%, to $95.94 a barrel, WTI were down $1.24, or 1.4%, at $87.84 a barrel.

Dutch front-month gas, Europe’s benchmark, rose 3.4% to €111 per megawatt-hour at 8:57 a.m. in Amsterdam, paring some of the weekly decline.

While US fuel now makes up 40% of Europe’s liquefied natural gas imports, it will only offset a fraction of the deficit from Russia next summer,

Lower Russian supplies sent European gas prices to all-time highs in late August though prices have come down sharply as storage sites across the EU were filled to close to capacity.

U.S. commercial crude oil inventories increased by 2.6 million barrels to 439.9 million barrels.

Brent rose 56 cents, or 0.6%, to $96.25 a barrel, WTI gained 41 cents, or 0.5%, to $88.32.

Further in 2023, consumption is forecasted to increase by up to 1.1% driven by China, South and South East Asia and the Middle East.

Brent fell $1.03, or 1.1%, to $92.49 a barrel, WTI were down 75 cents, or 0.9%, to $84.57.

The other cap in the mix is one to limit the price of gas used in electricity generation, which is backed by a vociferous group of member states.

Brent fell by $1.30 to $91.96 per barrel, WTI fell by $1.24 to $83.34 per barrel.