Friday, February 7, 2020
Energy, Petrochemicals and Plastics 50
1 Oil Price Fundamental Daily Forecast
https://www.fxempire.com/forecasts/article/oil-price-fundamental-daily-forecast-pressured-by-russia-decision-to-wait-on-production-cuts-631576
U.S. West Texas Intermediate and international-benchmark Brent crude oil futures are edging lower on Friday after Russia said it would need more time before committing to output cuts along with OPEC and other producers amid falling demand for crude as China battles the coronavirus epidemic.
2 Natural Gas Price Fundamental Daily Forecast
https://www.fxempire.com/forecasts/article/natural-gas-price-fundamental-daily-forecast-could-strengthen-over-1-884-weaken-under-1-855-631543
Natural gas futures are inching lower on Friday after failing to follow-through to the upside following yesterday’s price surge. The price action indicates the market is still being controlled by strong sellers.
3 Weekly resin report: End-of-month spot PE prices mixed
https://www.plasticstoday.com/resin-pricing/weekly-resin-report-end-month-spot-pe-prices-mixed/69583808262343
Though the flow of both spot offers and resin requests slowed from the rampant pace seen throughout January, the PlasticsExchange (Chicago) reports that a series of relatively large transactions generated an overall high volume of completed resin deals at its trading desk last week. Several fresh railcars were offered early in the week, but as material sold, availability dwindled, which is typical into month-end, said the resin clearinghouse in its Market Update.
4 Industrial goods, oil, gas get slammed as China coronavirus slashes demand
https://www.reuters.com/article/us-china-health-commodities-idUSKBN2010UP
Industrial goods from jet fuel and iron ore to rubber and sulphuric acid are sliding toward their lowest prices in weeks, months or even years as China’s coronavirus epidemic hobbles movement and eats away demand in the world’s no.2 economy.
5 Crashing Copper Prices Spell Trouble For Oil
https://oilprice.com/Energy/Energy-General/Crashing-Copper-Prices-Spell-Trouble-For-Oil.html
Copper has spoken. Its voice is the loudest of the commodities, and it’s not optimistic for the global economy.
The coronavirus–which had by the time of writing claimed 490 lives and infected over 24,300 people–is battering all commodities right now, but it’s copper that the oil bulls should be watching because this is the barometer of global economic health, which speaks volumes about future oil and gas demand.
6 Total beats quarterly forecasts despite low oil price, raises payout
https://www.reuters.com/article/us-total-results-idUSKBN2000PG
Total (TOTF.PA) beat forecasts on Thursday by keeping net adjusted fourth-quarter profit steady at $3.2 billion despite low oil prices and fulfilled a pledge to boost dividends, lifting the French energy firm’s shares.
7 Oil slips as Russia needs time on OPEC+ cuts amid virus outbreak
https://www.reuters.com/article/us-global-oil-idUSKBN201056
Oil prices edged down on Friday as Russia said it would need more time before committing to output cuts along with OPEC and other producers amid falling demand for crude as China battles the coronavirus epidemic.
8 Oil Demand Under Siege As Airlines Cancel Over 50,000 Flights
https://oilprice.com/Energy/Energy-General/Oil-Demand-Under-Siege-As-Airlines-Cancel-Over-50000-Flights.html
Over 54,011 airline flights scheduled to, from, and within China between January 23 and February 4 were canceled, according to Cirium data cited by CNBC, creating a ripple effect for global oil demand.
The 50,000+ flights account for 28% of all scheduled flights to, from, and within China, and 14% of those flights that were canceled were international flights.
9 Gulf Coast could see over $300 Billion in new investments
https://www.bicmagazine.com/industry/refining-petchem/gulf-coast-could-see-over-300-billion-in-new-investments/
When it comes to the petrochemical industry and refining, the outlook for energy manufacturing (as well as LNG exports) is tied to the global economy. According to the Gulf Coast Energy Outlook for 2020, there could be “considerable headwinds” that would push against capacity investments that have been made during the past several years and new capital investments over the next three years.
10 Fitch Solutions Slashes Oil Price Forecast
https://www.rigzone.com/news/fitch_solutions_slashes_oil_price_forecast-06-feb-2020-161011-article/
Fitch Solutions Macro Research (FSMR) has revised down its Brent oil price forecast for 2020, a new report by the company has revealed.
FSMR now sees Brent averaging $62 per barrel this year, which marks a $3 drop compared to its previous forecast in January.
11 Coronavirus set to slash Chinese LNG demand but US LNG tariff lift could save the day
https://www.rystadenergy.com/newsevents/news/press-releases/coronavirus-set-to-slash-chinese-lng-demand-but-us-lng-tariff-lift-could-save-the-day/
The unseasonably warm weather in the northern hemisphere has undercut liquefied natural gas (LNG) demand and, combined with the steady rise of global supply levels, has resulted in record-low prices. Adding insult to injury, the coronavirus epidemic in China has reduced business and industrial activity, with January’s LNG imports dropping by about 10% year on year.
12 Total rejects Chinese LNG buyer’s force majeure notice
https://www.lngindustry.com/liquid-natural-gas/07022020/total-rejects-chinese-lng-buyers-force-majeure-notice/
Multiple Chinese LNG buyers have begun issuing force majeure notices in response to the coronavirus epidemic, which, coupled with a mild winter, has slowed down demand for LNG and oil spot imports to the country. LNG spot cargoes are currently priced at less than half the price being paid for long-term contracts in the region.
13 The End Of The Oil Price Boom And Bust Cycle
https://oilprice.com/Energy/Energy-General/The-End-Of-The-Oil-Price-Boom-And-Bust-Cycle.html
Something strange is happening in the oil world. A string of events and developments that should have pushed prices much closer to three-digit territory has, in fact, had only a transient effect on the benchmarks.
Could this trend suggest that the boom-bust cycle the oil industry has been following since its inception may be over?
14 Canada oil sands players target smaller, cheaper expansions
https://www.rystadenergy.com/newsevents/news/newsletters/EandP/Bit_by_bitumen_Canada_oil_sands_players_target_smaller_cheaper_expansions/
|
15 Suncor posts $2.3B loss, writes down oil sands and offshore assets
https://www.canadianmanufacturing.com/operations/suncor-posts-2-3b-loss-writes-down-oil-sands-and-offshore-assets-246520/
Suncor Energy Inc. is reporting a net loss of $2.3 billion for the fourth quarter of 2019 due mainly to asset impairment charges of $3.3 billion.
16 Suncor focuses on low-cost oilsands expansions
https://www.cbc.ca/news/canada/calgary/suncor-oilsands-montreal-refinery-1.5454582
Suncor Energy Inc.’s on-again, off-again plan to add a coker unit to its Montreal refinery to allow it to process heavier barrels of oil, including oilsands bitumen, is off the table as it shuffles its spending priorities.
17 UAE finds 80 tcf gas field, the world’s biggest since 2005
https://www.worldoil.com/news/2020/2/6/uae-finds-80-tcf-gas-field-the-world-s-biggest-since-2005
Dubai and Abu Dhabi made what could be the world’s largest natural gas discovery since 2005 as the two biggest sheikhdoms in the United Arab Emirates aim to push the country to energy self-sufficiency.
18 EIA launches redesigned International Energy Portal
https://www.eia.gov/todayinenergy/detail.php?id=42695
The U.S. Energy Information Administration (EIA) has redesigned its International Energy Portal to streamline navigation, simplify data presentation, and implement responsive design use. EIA based many of the redesigned aspects on customer feedback about the earlier beta release of the portal.
