By Paul Sankey
Published on February 15, 2024 at 10:03 AM
The market whisper is that natgas is heading to break the buck (<$1/mmbtu Henry Hub). Time to buy natgas? We are not switching stance until Comstock capitulates. The company reported results and held its conference call yesterday. ~ ExxonMobil: the company risks Maduro vs Guyana as 1:10 risk where one is low. Clients are asking about Chevron’s delayed proxy too. CVX say the S-4 will be issued this quarter and “nothing recently in the news …
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By Paul Sankey
Published on December 17, 2023 at 5:31 PM
Season’s Greetings! Beautiful mid-December day in London has passed, it is completely dark by 4pm here at this time of year. We had a thematic on natgas yesterday and broke the record for “out of office” replies, so I hope you are reading this from your Scottish castle, readying for feasts, thoughtfully swirling an Oban 16 in your heaviest Baccarat. One of my great friends nipped into see us in London this week; then to …
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By Paul Sankey
Published on December 16, 2023 at 9:43 AM
We have argued for several years that Saudi/OPEC oil production cuts are bearish for US natgas prices, as they encourage US Permian players to grow oil supply, with attendant associated “free” natgas and natural gas liquids (NGL) production. With oil price economics at $70/bbl still justifying aggressive activity/growth in major US oil basins, vast quantities of natural gas are produced as a by-product. Excess gas supply in the Permian has led to the start up …
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