U.S. Crude Oil Production – World Oil Lightening Rod

Summary Key world oil number. Decline not “off a cliff.” Weekly estimates flawed. Projections influenced. Oil shale’s influence on U.S. production sparked a world oil price war. It affects the value of energy sector investments worldwide. It is of keen interest by U.S. and world oil market participants. The Energy Information Agency (EIA) reported the …

Only Recession Can Prevent An Oil Price Spike

Summary $30 dollar oil is pushing a lot of producers under. This environment will, in the long run, create an environment in which demand will outstrip supply. Only a reduction in demand through a recession will stop this supply-demand imbalance from occurring. By Nick Cunningham The biggest result from the collapse in oil prices could …

E&P ‘Bottom Of The Barrel Club’ Issue #2: Of Stocks And Bondage

Summary Since its introduction a month ago, Bottom of the Barrel Club members have seen significant equity and debt price declines. Already, two members declared bankruptcy, so additional companies are added and the list is expanded. Comparative equity price performance, as well as selected debt, enterprise and EBITDA figures are presented and analyzed. Comparative bond …

Oklahoma production data shocks oil market

“Shocking” data from Oklahoma may be moving the oil market this week as much as the shouting between Saudi Arabia and Iran, WSJ‘s Nicole Friedman reports. First, data released Thursday showed that while U.S. oil production is falling, overall output is higher than previously reported; new reporting methodology prompted the EIA to revise its production data higher for …

Prospects For The Oil Market – What Is Market Structure Telling Us As We Head Into 2016?

Summary Market close to December 2008 lows. Term structure. Refining spreads. Quality/location spreads. Divergence with XLE. It has been a rough year for the energy markets in 2015. Crude oil opened in January of this year at over $50 per barrel on the active month NYMEX crude oil futures contract. There was some wild volatility …