Global benchmark Brent hit an 11-week high as supply disruptions tightened the physical market. Libya’s second-largest oil field is in the process of being shut down amid protests there. The outage at the 250,000-barrel-per-day Sharara field follows outages in the country’s El Feel area and Nigeria’s Forcados oil terminal. “This event is getting more attention as the market has recently moved from a surplus to a deficit,” said Rebecca Babin, senior energy trader at CIBC Private Wealth. “The macro backdrop has improved, making every barrel count.” Prices recently broke above key technical levels such as the 100-day moving average, breaking…
Author: Automotivedealernews.com
NextDecade Corporation (NASDAQ: NEXT ) has announced that it has made a positive final investment decision to build the first three liquefaction trains at its 27 million tonne per year Rio Grande LNG (RGLNG) export facility in Brownsville, Texas. In a statement posted on its website, the company said it executed and closed a joint venture agreement for Phase 1 of RGLNG, which it noted included approximately $5.9 billion in financial commitments from Global Infrastructure Partners, GIC, Mubadala Investment Company and TotalEnergies. NextDecade noted in the statement that it has committed to invest approximately $283 million in Phase 1, including…
The exponential growth of renewable energy is driving down global electricity prices and helping to remove so much carbon from power systems that fossil fuels are no longer cheap and their use has peaked, according to a report. From China to Europe, solar, battery and wind power capacities are increasing, the Rocky Mountain Institute said in an analysis released Thursday jointly with the Bezos Earth Fund. This means demand for gas, oil and coal linked to electricity generation falls sharply, a critical step in curbing emissions linked to climate change. “Fossil fuel demand on the electricity system, specifically, has peaked…
Even an “Act of Congress” may not be enough to keep the Mountain Valley Pipeline out of trouble. Appalachia’s long-stalled natural gas takeout project appeared briefly freed from regulatory and legal hurdles after Congress incorporated an MVP mandate into the debt ceiling bill: the Fiscal Responsibility Act (FRA) of 2023. With the MVP provision, Congress effectively approved all necessary permits for the greenfield project without judicial review in order to expedite completion and initial commissioning of the pipeline. The FRA, which President Biden signed into law on June 3, appeared to instantly clear the way for MVP. But this suspense…
The price of oil is around $70 per barrel. That’s FGE’s view, according to James Davis, director of global short-term oil servicing and the company’s head of Upstream Oil, who told Rigzone that “the problem right now is that the world thinks it needs a higher price.” “Financial institutions think international oil companies need a higher price to incentivize upstream development, OPEC producers want a higher price to cover fiscal budgets,” Davis said. “But really, any more than $70 and the cost of energy starts to hurt [in] the macro picture, while encouraging excessive supply growth,” he added. “International oil…
The U.S. Department of Energy (DOE) announced Wednesday a $90 million grant offer to support the development of state and local building energy codes to improve efficiency. Selected as potential recipients are the District of Columbia and 26 states, including California, Pennsylvania and Illinois. “Awardees will provide technical assistance to update state and local building codes,” the DOE said in a news release. “Modernizing energy codes is one of the most cost-effective ways to improve energy efficiency in homes and businesses and make communities more resilient to extreme weather events, which are key to addressing the climate crisis and achieving…
The US Energy Information Administration (EIA) has revealed its latest Brent and West Texas Intermediate (WTI) oil price forecasts in the July edition of its Short-Term Energy Outlook (STEO). According to the July STEO, the EIA now sees the Brent spot price averaging $79.34 per barrel in 2023 and $83.51 per barrel in 2024, and the WTI spot price at 74, $43 per barrel this year and $78.51 per barrel next year. The latest price projections reflect very little movement compared to the EIA’s June STEO, which saw Brent spot prices reaching $79.54 a barrel in 2023 and $83.51 a…
In a deal that avoids US sanctions and gives a lifeline to its power grid, Iraq agreed to swap oil for gas from Iran. The agreement, announced Tuesday on television by Iraqi Prime Minister Mohammed Shia Al-Sudani. ends Iraq’s longstanding problem with Iran over payments for gas imports. Iraq has been struggling to pay gas dues since Iran came under US sanctions. Iraq’s power generation fell sharply in recent days as Iran cut 50 percent of gas shipments above quotas, Al-Sudani said. Despite being OPEC’s second largest oil producer, Iraq has trouble meeting its own energy needs as it depends…
Discussions about electric vehicles (EVs) often focus on the additional demands they will place on the electricity grid in the coming years, with concerns about grid reliability and the ability to meet peak demand often taking center stage. There’s no doubt that a widespread transition to electric vehicles would pose real challenges, but utilities in California and elsewhere are also starting to think creatively about how to turn those challenges into opportunity, though there are important obstacles to eliminate along the way, including necessary ones. purchase by electric vehicle owners. In today’s RBN blog, we explain the so-called California duck…
The energy unit of Berkshire Hathaway Inc. has signed an agreement to acquire a 50% stake in Dominion Energy Inc. in a US LNG exporter for which the investor led by Warren Buffet already has the exploitation rights. Berkshire Hathaway Energy Co. (BHE) will own 75 percent of Cove Point LNG LP after the closing of the definitive agreement, with the remaining 25 percent retained by Brookfield Infrastructure Partners LP, according to a BHE press release this week. BHE’s interest in Cove Point is held by BHE subsidiary GT&S. The transaction is expected to close by the end of the…