RUS | ENG | All
Enter the email or login, that you used for registration.
If you do not remember your password, simply leave this field blank and you will receive a new, along with a link to activate.

Not registered yet?
Welcome!

2022-02-04 11:05:00

OIL PRICE: ABOVE $91

OIL PRICE: ABOVE $91

PLATTS - 04 Feb 2022 - Crude oil futures were higher in mid-morning Asian trade Feb. 4, extending strong overnight gains and sending both benchmarks further above the $90/b handle as a deep freeze sweeps across the US and shuts in production. 

At 10:53 am Singapore time (0253 GMT), the ICE April Brent futures contract was up 47 cents/b (0.52%) from the previous close at $91.58/b, while the NYMEX March light sweet crude contract rose 63 cents/b (0.7%) at $90.90/b.

Oil prices had pushed to fresh highs overnight on the heels of media reports that some Permian basin producers had shut in production Feb. 3 because of freezing temperatures and ice disrupting trucking operations.

"WTI crude surged over the $90[/b] level after an arctic blast made its way to Texas and disrupted some oil production in the Permian Basin," OANDA's senior market analyst Ed Moya said in a Feb. 4 note. "The oil market is too tight and vulnerable to any shock. Even as thousands of flights are canceled, the energy market is fixated [on] production and not so much short-term demand shocks."

The latest disruption will further compound fears of a widening supply deficit as demand continues to recover globally and OPEC producers struggle to raise output to adequate levels.

The backwardation in prompt time spreads for ICE Brent has widened in a sign of the growing call on prompt oil barrels. The M1-M2 spread was trading around $1.45/b as of 0230 GMT, up from a $1.39/b settlement at the start of February.

The Q1-Q2 spread was trading around $3.40/b, up from $3.26/b as of the Asian close at 4.30pm in Singapore Feb. 3, a record high according to S&P Global Platts data of Asia's closing prices going back to Oct. 2014.

"$100/b oil now looks in sight and the possibility of oil trading in triple-digit prices is growing," OCBC Treasury Research analysts said in a note.

Nonetheless, oil executives said US oil production will ramp up soon, potentially easing the supply crunch. US oil producer ConocoPhillips' CEO Ryan Lance said Feb. 3 that the US' crude production may grow as much as 900,000 b/d this year and could be cause for worry.

"[It's] right at the front of our mind," he said. "I am absolutely concerned about it. If you're not worried about it, you should be."

S&P Global Platts Analytics forecasts similar growth in US output. "We expect exit-to-entry growth of 880,000 b/d and average 12.05 million b/d in 2022," Platts Analytics' manager for North American Supply Rene Santos said.

-----


Earlier:

OIL PRICE: ABOVE $91
2022, February, 3, 13:55:00
OIL PRICE: NOT ABOVE $89
Brent was down 43 cents/b (0.48%) from the previous close to $89.04/b, WTI fell 60 cents/b (0.68%) at $87.66/b.
OIL PRICE: ABOVE $91
2022, February, 2, 12:25:00
OIL PRICE: NEAR $89 YET
Brent crude rose 11 cents, or 0.1%, to $89.27 a barrel, WTI was up 14 cents, or 0.2%, at $88.34 a barrel.
OIL PRICE: ABOVE $91
2022, February, 2, 12:15:00
OPEC+ WILL UP BY 400 TBD
Demand is expected to surpass pre-pandemic levels in the second half of the year "with a healthy recovery trend," the analysis showed, easing the market oversupply to 1.2 million b/d in the third quarter and 1.1 million b/d in the fourth.
OIL PRICE: ABOVE $91
2022, February, 1, 14:55:00
OIL PRICE: NEAR $89 ANEW
Brent was down 74 cents, or 0.8%, at $88.52 a barrel , WTI slipped 83 cents, or 0.9%, to $87.32.
OIL PRICE: ABOVE $91
2022, February, 1, 14:45:00
OPEC+ RUSSIA: +400 TBD
Already, oil prices have hit seven-year highs in recent days over the ratcheting tensions between the West and Russia over Ukraine.
OIL PRICE: ABOVE $91
2022, January, 31, 12:45:00
OIL PRICE: NEAR $91
Brent futures contract was up $1.30/b (1.44%) from the previous close at $91.33/b, WTI rose $1.21/b (1.39%) at $88.03/b.
OIL PRICE: ABOVE $91
2022, January, 31, 12:40:00
THE NEW RUSSIA SANCTIONS
Oil, gas and resources companies, and trading desks, are fretting about the provisions around sanctions on Russian extractive industries, financial institutions and banks, Russian leaders and businessmen, and the use of global services, such as wire transfers.
All Publications »
Tags: OIL, PRICE, BRENT, WTI
Chronicle:
OIL PRICE: ABOVE $91
2023, February, 1, 12:04:00
TRANSPORTATION OIL AND GAS CONGRESS 2023 (TOGC 2023)
Transportation Oil and Gas Congress 2023 (TOGC 2023) takes place on February 20-21, 2023. The Congress brings together representatives from the whole pipeline chain and focuses on both strategic and technical issues of the oil and gas pipeline transportation.
OIL PRICE: ABOVE $91
2023, February, 1, 12:03:00
9TH INTERNATIONAL LNG CONGRESS LNGCON 2023
9th International LNG Congress (LNGCON 2023) 6-7 March, 2023 Link to the Congress website: https://bit.ly/3tXVmr7
OIL PRICE: ABOVE $91
2023, February, 1, 12:00:00
GLOBAL GROWTH WILL DOWN
Global growth is projected to fall from an estimated 3.4 percent in 2022 to 2.9 percent in 2023, then rise to 3.1 percent in 2024.
OIL PRICE: ABOVE $91
2023, February, 1, 11:55:00
S.KOREAN NUCLEAR FOR TURKEY
KEPCO CEO Seung-il Jeong presented the proposal to Fatih Dönmez, Turkey's Minister of Energy and Natural Resources, on 30 January during a meeting in which they discussed plans for KEPCO to participate in the nuclear power plant project.
OIL PRICE: ABOVE $91
2023, February, 1, 11:50:00
OIL AND GAS AUTOMATION AND DIGITALIZATION 2023
Event Title: Oil and Gas Automation and Digitalization 2023 Conference Date: 03 - 04 May 2023 Event Type: In-Person Event Event Organizer: PTN Events
OIL PRICE: ABOVE $91
2023, February, 1, 11:45:00
СПГ КОНГРЕСС РОССИЯ 2023
СПГ Конгресс Россия – это международная инвестиционная площадка, где традиционно собираются лидеры индустрии. Ежегодно в мероприятии принимают участие более 250 операторов крупно-, средне- и малотоннажных СПГ-проектов, водородных проектов, правительство и технологические лидеры СПГ-индустрии.
OIL PRICE: ABOVE $91
2023, January, 30, 11:45:00
OIL PRICE: BRENT NEAR $86, WTI NEAR $79
Brent fell 74 cents, or 0.8%, to $85.92 a barrel , WTI was at $79.07 a barrel, down 61 cents, or 0.8%.
All Publications »