Daily Energy Report
Crude Oil Futures for November settled up $0.96 @ $53.55/bbl trading in a $2.39 range including the overnight-RBOB settled up 3.62/cpg and Heating Oil settled up 0.15/cpg. Africa’s largest oil producer Nigeria was formally included in the OPEC+ production cuts and compliance tracking this January, however, since it became part of the deal, Nigeria has been one of the largest overproducers and noncompliant members. In August, Nigeria pumped 1.866 mil/bpd, up by 86,000/ bpd from July, according to OPEC’s secondary sources that the cartel uses to calculate official production and compliance rates. The seemingly rogue nation pledged in September to fall within their respective quota while the cartel and its allies are trying to rebalance the oil market. Nigeria has promised to reduce its oil production by 57,000/bpd.
Natural Gas Futures for November settled down $0.016 @ $2.218/mmbtu trading in a .060 cent range including the overnight session. Iran’s state oil company has struck a substantial new natural gas deposit, according to a report by PressTV. The National Iranian Oil Company head of exploration Saleh Hendi told reporters “this field was discovered after a year of continuous exploration in southern Iran.” Hendi reportedly added the gas was found at a depth of 3,900 meters and that the deposit that was tapped contained enough energy to provide power to Tehran, which has a population of 12 million, over a period of 16 years. Thursday morning’s weekly Energy Information Administration natural gas storage report showed an increase of +98 bcf for the week.