U.S. EIA - Crude oil inventories held at Cushing, Oklahoma, decreased by more than half since this time last year, recently falling to lows last reached in 2014. Logistical factors and strong demand for crude oil from both domestic refining and exports markets have contributed to the steep year-over-year decrease.
U.S. EIA - During 2017, owners and operators of U.S. nuclear power plants purchased 40 million pounds of uranium from foreign suppliers. Canada, Australia, Russia, Kazakhstan, and Uzbekistan represented the top five countries of origin and together accounted for 84% of total U.S. uranium purchases in 2017.
U.S. EIA - From January through June of 2018, net natural gas exports from the United States averaged 0.87 billion cubic feet per day (Bcf/d), more than double the average daily net exports during all of 2017 (0.34 Bcf/d). The United States, which became a net natural gas exporter on an annual basis in 2017 for the first time in almost 60 years, has continued to export more natural gas than it imports for five of the first six months in 2018.
REUTERS - The Nord Stream 2 gas pipeline is important to secure German energy supplies and Russia is a safe and reliable provider, Thomas Bareiss, Germany’s state secretary for energy, said.
PLATTS - Japan continued to press for relief from US sanctions against Iran's oil customers during a meeting in Washington this week and urged US counterparts to consider the impact on the Japanese economy.
SHELL - Shell Canada Energy, an affiliate of Royal Dutch Shell plc (“Shell”), today announced it has taken a final investment decision (FID) on LNG Canada, a major liquified natural gas (LNG) project in Kitimat, British Columbia, Canada, in which Shell has a 40% working interest. With LNG Canada’s joint venture participants also having taken FID, construction will start immediately with first LNG expected before the middle of the next decade. Shell’s 40% share of the project’s capital cost is within the company’s current overall capital investment guidance of US$25-$30 billion per year.
U.S. EIA - US oil production average 10.964 million b/d in July. Production in July was up 1.73 million b/d from July 2017. U.S. natural gas production average 100,243 million cubic feet per day. Production in July was up 11,093 mcfd from July 2017.
SHANA - The National Iranian Oil Company (NIOC) CEO explicitly said his company, the sole producer of hydrocarbons in Iran, had no plans to reduce its output.
PLATTS - Russia's Gazprom and five European energy companies are committed to fully financing Russia's 55 Bcm/year Nord Stream 2 natural gas link to Germany if no external financing is raised
BAKER HUGHES A GE - U.S. Rig Count is down 2 rigs from last week to 1,053, with oil rigs down 1 to 866, gas rigs unchanged at 186, and miscellaneous rigs down 1 to 1. Canada Rig Count is down 29 rigs from last week to 197, with oil rigs down 13 to 135 and gas rigs down 16 to 62.
PLATTS - A 10% tariff on US liquefied natural gas is not steep enough to make shipping cargoes to China unprofitable, but it adds an obstacle for the second generation of American terminals, industry observers said.
U.S. BEA - Real gross domestic product (GDP) increased at an annual rate of 4.2 percent in the second quarter of 2018, according to the "third" estimate released by the Bureau of Economic Analysis. In the first quarter, real GDP increased 2.2 percent.
FRB - In view of realized and expected labor market conditions and inflation, the Committee decided to raise the target range for the federal funds rate to 2 to 2-1/4 percent.
U.S. EIA - Crude oil surpassed hydrocarbon gas liquids (HGL) to become the largest U.S. petroleum export, with 1.8 million barrels per day (b/d) of exports in the first half of 2018. U.S. crude oil exports increased by 787,000 b/d, or almost 80%, from the first half of 2017 to the first half of 2018 and set a new monthly record of 2.2 million b/d in June.
API - “Placing constraints on exports of American-made energy works against America’s energy future,” said API Chief Economist Dean Foreman. “While the picture is still a bit muddied, it seems to be getting clearer – the trade war appears to be limiting the United States’ access to crude export markets. As we produce more energy here at home, the U.S. needs markets for its products in order for our economy to continue to grow. There’s no question that the 1.6 MBD increase U.S. petroleum net imports, which undid a full year’s worth progress, is a setback to the United States’ goal of energy dominance.”