Natural gas consumption countrywide increased both due to the rapidly falling temperatures and a rise in household gas consumption with time spent at home increased due to COVID-19 pandemic restrictions and lockdowns.

The European Commission is planning to issue new proposals for gas legislation in the last quarter of 2021. EU gas markets are on the cusp of dramatic changes.

U.S. production of all fossil fuels—crude oil, coal, dry natural gas, and natural gas plant liquids (NGPL)—to increase in 2022, but forecast fossil fuel production will remain lower than the 2019 peak.

U.S. Rig Count is up 13 from last week to 373, Canada Rig Count is up 44 from last week to 161.

Spot LNG prices LNG-AS have nearly tripled since early November as freezing temperatures across North Asia boosted demand and depleted inventories. Since July, prices are up a dizzying 1,000%.

U.S. crude oil production will average 11.1 million b/d in 2021, down 0.2 million b/d from 2020 as result of a decline in drilling activity related to low oil prices.

U.S. marketed gas production for 2021 will fall 2% and average 96.2 billion cubic feet per day (Bcf/d).

The combination of a severe cold snap in Asia, supply outages and maritime congestion has propelled spot prices for LNG to previously unforeseen heights. The North Asian price benchmark has now risen 18-fold in less than nine months, outperforming other commodities

Brent crude oil spot prices to average $53 per barrel (b) in both 2021 and 2022 compared with an average of $42/b in 2020.

The companies could be at risk of U.S. sanctions under existing law if they do not stop work.