Daily Energy Report 05.26.2020
Crude Oil Futures for July 2020 settled up $1.10 @ $34.35/bbl trading in a $2.33 range including the overnight-RBOB settled up 1.07/cpg and Heating Oil settled up 0.88/cpg.
According to Energy Information Administration’s weekly data, total petroleum products supplied over the last four-week period averaged 16.1 million barrels a day, down by -19.0% from the same period last year. Over the past four weeks, motor gasoline product supplied averaged 6.7 million barrels a day, down by -29.1% from the same period last year. Distillate fuel product supplied averaged 3.4 million barrels a day over the past four weeks, down by -13.8% from the same period last year. Jet fuel product supplied was down 66.9% compared with the same four-week period last year.
Natural Gas Futures for June 2020 settled up $0.062 @ $1.793/mmbtu trading in a .117 cent range including the overnight session.
According to weekly industry data, domestic producers were operating the fewest oil and natural gas drilling rigs on record in the United States at 318 as of May 22nd 2020, the lowest level in the Baker Hughes Company’s rig count data series that dates back to 1987. The number of active rigs began sharply decreasing in mid-March as crude oil prices fell: rigs have fallen by -59.0% (455 rigs) since March 20. Most of the decrease was in oil-focused geologic plays, but natural gas-focused plays also saw significant decreases. A similar situation is taking place in Canada, where only 23 rigs remaining operational compared with 63 last year.