US Inventories Climb, but Canadian Spot Gas Still Up
Reuters reported that higher-than-average temperatures and a lack of short-term supply led to a rise in Canadian spot gas prices despite the fact that US weekly inventories increased unexpectedly.
Articles Tagged "spot price"
China Continuing to Obtain Gas Resources
The recent deal represents the biggest investment to date by a Chinese company in the North American energy sector, appearing to balance demand to develop gas fields at a time when low commodity prices are not providing companies with enough cash flow efficiently. The agreement could underscore greater exposure for resource companies to eventually export shipments to offshore markets.
Oil Price Trends
Oil prices have risen steadily this quarter. Benchmark crude hit a 26-month high on Monday near $92 per barrel and is forecast by some analysts to be headed to $100, driven by quantitative easing in the United States and as data supporting robust growth in India and China drive demand. Analysts believe OPEC's evident reluctance to increase output and the prospect of continued dollar weakness add to the case for costlier oil in 2011.
Analysts’ Forecasts Positive for Gas Investors
On Tuesday, Richard Bernstein, Chief Executive Officer at Richard Bernstein Advisors LLC (RBA) offered bullish commentary for the broader energy sector for 2011: “if the economy is indeed beginning to enter the mid-phase of the cycle, then energy and materials stocks begin to take leadership positions. We expect both global sectors to outperform in 2011.”
Alberta Gas Exploration Company Reporting Strong Operational Efficiency
Disciplined capital allocation and efficient operations have been the primary catalyst for strong results. The year has been very good for Vero Energy shareholders as prices have increased 49% since the beginning of the year to its current trading range at $6.63 per share.
European Roadblocks for Shale Gas Extraction
The comparatively high population density of Europe could mean that shale production will run into local opposition because of the way drilling might disrupt communities, and the way that prohibitions could target the pollution associated with drilling processes.
Offshore Oil Drilling May Continue to Face Impediments
Prior to the Gulf of Mexico oil leak in April, U.S. regulators approved about a dozen permits a month to drill in the shallow waters off the Gulf. Following the spill, a considerably more cautious approach has barely allowed one a month, despite the six-month moratorium only affecting wells in much deeper waters.
Australian Investment in Gas Projects
Shell may spend $50 billion in Australia over the next decade as Europe’s largest oil company continues a shift to gas.
Alberta Gas Fields on Sale
Suncor Energy Inc, Canada's largest energy company, has just announced that it has agreed to a transaction with Direct Energy to sell natural gas assets for about $358.5 million. The deal comes as part of Suncor’s strategic business alignment and ongoing plans to divest of a number of non-core assets totaling $2.8 billion.
Gas Price Levers Driven by Investor, Environmental and Weather Concerns
Moving away from more traditional supply and demand side fundamentals, gas prices and the costs of production may increasingly be leveraged by oversight, share holder accountability, and seasonal meteorology.
