Category: Natural GasThe analysis published under this category are as follows.
Wednesday, June 12, 2013
Tara Clarke writes: Hydraulic fracturing, or fracking, the art of separating oil from rock, has the potential of turning America into the world's top oil and natural gas producer.
But as with any bonanza it has some secrets oil and gas companies want to keep under wraps. And some companies are willing to put some big bucks behind that.Read full article... Read full article...
Wednesday, June 12, 2013
The economics of oil or natural gas hydrofracking are seldom analyzed from the perspective of the American consumer. Most discussions focus upon the investment opportunities of specific companies, royalties to leaseholders, windfall tax revenues that state governments will benefit from and the bonanza that local communities will enjoy from the added business activity. Missing is a clear understanding of the pricing points and factors that will determine the actual selling charge and total all inclusive retrieval costs in the domestic market. Will the price of energy drop precipitously or will the net effect be that the native end user sees no direct benefit from the rush to drill?Read full article... Read full article...
Monday, June 10, 2013
Peter Krauth writes: Oh, the law of unintended consequences and the opportunities it brings.
Thanks to the new standard of Keynesian Abenomics, the Nikkei has blasted 47% higher since November. The Yen has lost about 25% against the U.S. dollar in the same time.
While we don't know what the future will hold for these trends, there's something else going on that will not fade quickly: The weak Yen has made imports to Japan a whole lot more expensive...including energy.Read full article... Read full article...
Friday, June 07, 2013
Ramping up domestic North American liquid natural gas production for export to pricier international markets could be a game changer for struggling junior explorers. In this interview with The Energy Report, C. K. Cooper & Company's Jeff Grampp tells us why drilling in domestic gas fields for export is a good idea. . .if the Feds play along. And he identifies promising juniors with leaseholds in particularly desirable fields.
The Energy Report: Jeff, if the Obama administration continues to authorize liquid natural gas (LNG) exports, will that benefit the juniors as well as the big producers?
Jeff Grampp: I believe all U.S. natural gas producers will generally benefit from an increase in LNG exports. Historically, the pricing dynamics of natural gas in the U.S. have been linked to local supply-demand dynamics. With an increase in the potential to export, domestic natural gas producers would be able to access higher priced markets internationally, particularly in Europe and Asia. There will also be local economic benefits tied to the creation of jobs at newly constructed exporting facilities.Read full article... Read full article...
Thursday, May 16, 2013
DYING IN GREEN TAPE
BusinessEurope president Jürgen Thumann speaking to EurActiv at the European Business Summit which opened 15 May, squarely blamed the European Commission for "the negative effects of green tape”, also saying EU regulations create ‘unnecessary burdensome legislative instruments in climate, energy and environment policies’. One of these is the so-called Third energy package, which is supposed to encourage Europe's gas importers, producers, pipeline transporters, distributors and users, because gas is cleaner-burning, lower emission and therefore preferable to coal for power generation. Gas-fired power is also the fastest-response, best backup power choice to run with renewable power.
Wednesday, May 15, 2013
The Coming Natural Gas Boom - These Will Soon be the World's Most Profitable Corporations / Commodities / Natural Gas
Porter Stansberry writes: I'm extremely bullish on natural gas.
That might sound strange to you. If you've been reading our work for any amount of time, you've heard about new drilling techniques that have produced a tremendous glut of natural gas in the U.S.
Saturday, May 11, 2013
EYES SET WEST
European policymakers at Commission level, in European Council of ministers meetings, and in national governments now curtly say that the shale gas issue is "very political", because the subject will not go away. Allowing shale gas extraction by hydraulic fracturing to move ahead is already politically correct - in some countries such as Poland - and may soon also become correct in the UK, France, Germany, Spain and Italy. The logjam is breaking.
Thursday, May 02, 2013
THE SLIPPERY SLOPE - FOR GAZPROM
Gazprom has a deserved reputation for price gouging, but only little different from Qatar, Norway and Algeria, all of which have endlessly delayed biting the bullet and accepting to cut gas export prices to Europe, by abandoning "oil indexation" of prices. As some economists say, how would it be if world wheat prices were "indexed" to cotton, rice, or iPhone prices? Would that be "rational" or as Gazprom, and Qatargas, Statoil and Sonatrach have said in the recent past, "transparent"?
Thursday, April 04, 2013
The first gas has started flowing from Israel's supergiant Tamar gasfield in the Levant Basin. Where it will go will redraw the Mediterranean energy map and the geopolitics that goes along with it.
The Tamar field stakeholders announced on 30 March that the gas had started flowing, raising the value of Texas-based Noble Energy Inc. (NYSE: NBL), which holds a 36% stake, and Israel's two Delek Group subsidiaries, which each hold a 15.6% stake.Read full article... Read full article...
Monday, March 25, 2013
THE POTENTIAL IS THERE
Engaged players in unlocking the offshore gas potential of Cyprus at present only concern a few major energy corporations: Noble Energy of the US, Total of France, and Korea Gas. So far and to date, the single major find in 2011 by Noble Energy is estimated, by Noble, as holding about 0.3 billion cubic metres of gas (8 trillion cu feet). But Cyprus’ gas discoveries adjoin Israeli territorial waters where the discovery of the massive Leviathan gasfield (estimated at 425 billion cubic metres) and the smaller Tamar gasfield (250 billion cubic meters) have been enough to make foreign companies rush to cash in on this. European Union total gas consumption in 2012 was about 460 billion cubic metres, in decline for the second straight year, and EU 27 total gas production in 2012 was about 150 bn cu metres, also declining but not at the double-digit rates of annual gas demand in almost all EU countries.
Saturday, March 23, 2013
Cyprus is preparing for total financial collapse as the European Central Bank turns its back on the island after its parliament rejected a scheme to make Cypriot citizens pay a levy on savings deposits in return for a share in potential gas futures to fund a bailout.
On Wednesday, the Greek-Cypriot government voted against asking its citizens to bank on the future of gas exports by paying a 3-15% levy on bank deposits in return for a stake in potential gas sales. The scheme would have partly funded a $13 billion EU bailout.Read full article... Read full article...
Wednesday, March 20, 2013
Dr. Kent Moors writes: On Saturday, I outlined why natural gas prices were moving up.
Today, let's talk about how investors can make some money off this.
As gas prices inch toward $4 per 1,000 cubic feet (or million BTUs) on the NYMEX futures market, we need to remember that this is not going to be either an accelerated rise or one that will be without volatility.Read full article... Read full article...
Sunday, March 17, 2013
Dr. Kent Moors writes: Not long ago, the market was laboring under expectations that the NYMEX futures contract for natural gas would remain at around $3 per 1,000 cubic feet (or million BTUs).
The pundits were proclaiming that a surplus of shale gas, over production, and historic storage surpluses translated into long-term discounts in natural gas prices.Read full article... Read full article...
Friday, March 15, 2013
Jeff Uscher writes: Japan just extracted offshore deposits of methane hydrate - sometimes called "fire ice" - and the country may be sitting on enough of it to supply its natural gas needs for a century.
That's the buzz among scientists after the announcement Tuesday that the methane hydrate had been found in the Nankai Trench, a deep-water feature that lies 50 miles south of the Atsumi Peninsula in central Japan.Read full article... Read full article...
Wednesday, March 06, 2013
Diane Alter writes: Royal Dutch Shell (NYSE: RDS.A) last week inked a $6.7 billion deal to buy Spanish energy company Repsol SA's (RPYY) liquefied natural gas (LNG) business.
Shell will buy a portion of Repsol's LNG assets for $4.4 billion in cash and $2.3 billion in financial leases and assumed debt - more than double pre-sale estimates, according to Bernstein Research.Read full article... Read full article...