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We are pleased to release the latest issue of our client newsletter, “Energy Update,” designed to inform clients and friends of the firm about important developments affecting U.S. and international energy markets. Please see full Newsletter below for more information. Link: https://breakingenergy.com/2018/02/12/energy-update-february-2018/

The market continues to figure itself out for yet another week as the market expectation of a 183 Bcf withdrawal was exceeded by the EIA’s report of a 194 Bcf pull. Despite the apparent delay until early March of colder weather being reported, today’s slightly bullish move managed to eclipse last year’s draw of 120 Bcf and the five-year average value of 154 Bcf as well. Interestingly enough, this withdrawal…

Deregulation was one of the primary promises of President Trump’s campaign, and the administration has been keeping that promise, particularly as it relates to environmental regulations. Rule rollbacks are on a fast track while the implementation of other rules has been stayed. In some cases, such as the reinstatement of pre-2015 rules relating to wetland jurisdiction under the Clean Water Act, no public comment opportunity was provided. Other rules, such as the…

This week’s withdrawal provided yet another non-event as the 119 Bcf pull nearly fell exactly in line with the market prediction of 116 Bcf. This draw falls beneath both last year’s and the five-year average’s values of 142 Bcf and 151 Bcf respectively. Despite previous and erroneous reports of an influential cold pattern sweeping in around this time for February, mild weather conditions are currently prevailing in a sideways market…

Confidence in the anticipated cold snap slotted to occur during the first few days of February has certainly diminished from last week as the streak of triple digit storage withdrawals ended with a 99 Bcf pull, falling short of the market expectation of 104 Bcf. This withdrawal managed to scrape by last year’s value of 92 Bcf, but paled in comparison to the five-year average withdrawal of 150 Bcf. While…

The past week or so we’ve talked a lot about how natural gas and oil help Americans power past the impossible – meeting the challenges of today and building a path to a better future. See API’s 2018 annual report, check out our keynote video and listen to API President and CEO Jack Gerard’s State of American Energy remarks. All point to the positive momentum for our nation provided by secure, abundant energy. Now, how do…

Today marked the sixth week in a row of triple-digit storage withdrawals, as today’s pull easily surpassed the market expectation of a 272 Bcf draw by coming in at a fairly massive withdrawal of 288 Bcf. Yet again, the pulls from last year and the five-year average were demolished by today’s withdrawal, which were shown to be at 137 Bcf and 164 Bcf respectively. After Tuesday’sjump of 30 cents on the…

Natural Gas  The February 2018 Nymex natural gas contract continues to trade in a volatile manner.  This morning it’s up 5c to $3.235 and is set to expire next Monday the 29th.  While near term cold weather has moderated for the Midwest and East regions, forecasts for February remain cooler than normal and another late month arctic intrusion is looming for the Midwest.  Storage withdrawals remain a bullish factor illustrating…

Following a record-setting storage draw due to a larger than normal pull from the South Central region and a blast of wintery mix in the Northeast, storage levels decreased by 183 Bcf this week and came up short of the market expectation of a 199 Bcf withdrawal. This value also managed to not live up to last year’s draw of 230 Bcf and the five-year average of 203 Bcf. Prior…

Congress has passed the tax reform bill, known as the “Tax Cuts and Jobs Act”, and President Trump signed it into law on December 22, 2017.  The Act contains wide-ranging changes to the tax law that affect many industries.  For the energy industry, the changes have not proved to be as harmful as some feared earlier in the legislative process.  Nevertheless, there is a lot that is new to consider. …