Fracking Feed

Is America Too Good At Fracking?

The U.S. is producing natural gas so efficiently it’s almost counterproductive to the industry.

Investors are worried what the future holds for the natural gas market. Contracts for natural gas futures are down 25 percent in the last 10 weeks after rising 60 percent last year largely on worries production is outpacing demand.

New natural gas power plants and liquid natural gas (LNG) export terminals would reduce the gas glut, but hydraulic fracturing is increasing production faster than demand.

“Investors right now across the board just hate natural gas,” Pearce Hammond, an analyst at the financial firm Simmons & Co. International, told The Wall Street Journal.

via dailycaller.com


OPEC unity breaking down amid 'perfect storm,' says Helima Croft

Crude market sentiment is under pressure as OPEC sends mixed messages about its deal to cut oil output, according to Helima Croft, global head of commodity strategy at RBC Capital Markets.

The Organization of the Petroleum Exporting Countries reached a historic accord with 11 other exporters late last year to reduce total production by 1.8 million barrels a day in a bid to reduce brimming stockpiles of crude.

That lifted oil prices firmly above $50 a barrel until last week, when the cartel's united front began to fracture at CERAWeek by IHS Markit, one of the world's most closely watched energy industry conferences, Croft said on Monday.

"What had been sort of working against the sell-off had been OPEC having very strong message discipline. For most of the year, they just kept coming out and saying, 'We've got this. Compliance is great,' and then it starts to break down at CERAWeek," she told CNBC's "Power Lunch" on Monday.

via www.cnbc.com


U.S. shale plots production growth despite OPEC's warning

HOUSTON (Reuters) - U.S. shale oil producers are plotting ambitious production growth outside the red-hot Permian Basin in Texas, widening a resurgence that could confound OPEC's strategy to tighten global supplies.

As shale firms rebound from a two-year price war with OPEC, many are planning to expand production in North Dakota, Oklahoma and other shale regions.

The Permian - America's largest oilfield - has already seen output jump in the past six months.

via whtc.com


US Oil Rebound Hits Roadblock, Lack of Truckers

Five years ago, the thought of $55-a-barrel oil would have given Piotr Galitzine heartburn. Now it’s keeping one of his steel-pipe shops in Houston open 24/7 and fueling a flurry of orders.

It’s stoking business for National Oilwell Varco Inc., too, with the oilfield-equipment giant for the first time in better than a decade selling more land-based than offshore gear. And it’s got Perry Taylor on the hunt for truckers to haul fracking sand. Even at $80,000 a year, jobs are hard to fill. “It’s tough,” said the CEO of Agility Energy Inc. “We’ve got commitments that are very difficult to keep right now because we can’t get the drivers.”

via www.ttnews.com


As the Bakken heats up again, Williston prepares for more growth

Even as the bottom fell out of the Bakken boom, Shawn Wenko saw good news in the economic statistics for Williston, America’s fastest growing small city during the oil days.

True, more than 6,000 jobs had vanished along with the high oil prices in October 2014. That’s when overproduction put more crude on the world’s plate than it could possibly consume. The housing shortage, which had oilmen living in camper trailer villages and shipping container man camps, disappeared. The vacancy rate for apartments swelled to 40 percent. Restaurants experienced a 30 percent drop in business.

via billingsgazette.com


Oil rises as OPEC sticks to output pledges

Oil reversed earlier losses on Wednesday as investors took heart from strict OPEC compliance with its pledge to cut output, although evidence of increasing U.S. production capped gains.

The Organization of the Petroleum Exporting Countries reduced its oil output for a second month in February, a Reuters survey found, showing the exporter group has boosted already strong compliance to around 94 per cent. Heftier cuts by Saudi Arabia and Angola helped offset weaker compliance by other members that agreed to limit their output.

May Brent crude futures were last up 27 cents at $56.78 a barrel by 1030 GMT, while U.S. West Texas Intermediate (WTI) futures for April were up 18 cents at $54.19.

Oil prices are 23 per cent higher than they were at the end of November, when OPEC announced its deal, but this strength has encouraged more U.S. production to come back online.

via www.theglobeandmail.com


Oil prices dip, rising U.S. output offsets OPEC cuts

Global oil prices dipped on Tuesday but continued to trade in a tight range with the OPEC-led output cuts offset by increasing crude production from the United States.

The Organization of the Petroleum Exporting Countries has so far surprised the market by showing record compliance with oil-output curbs, and could improve in coming months as the biggest laggards - the United Arab Emirates and Iraq - pledge to catch up quickly with their targets.

But while the Nov. 30 agreement to reduce production prompted oil prices to rise $10 a barrel, they have been trading in a narrow $3 range in recent weeks.

via www.reuters.com


Safe Fracking: Good for America

Many veterans of war, including myself, have concerns with foreign products being purchased from countries at war, namely those in the Middle East. We have come a long way in recent years to obtain our own oil and natural gas within the U.S., however we can’t lift our feet off of the pedal.

Our country must use all forms of energy to become energy independent for the good of all. There is a direct correlation between energy reliability on the Middle East affecting matters of national security. Many American veterans agree in order to improve our quality of life at home, it’s imperative we continue safely improving all energy infrastructure on our home land.
 
One safe and viable option for domestic oil and natural gas production is through hydraulic fracturing. Contrary to popular belief, this process has been used in the United States for nearly 70 years. It’s not a new technology; the practice has been tested and refined for decades. Another important point to remember is fracking falls under at least eight different federal regulations, not to mention state and local laws.

via www.sunshinestatenews.com


The future of fracking: Moratorium in Maryland expires this October | WBFF

BALTIMORE (WBFF) -- Fracking can produce clean energy and good jobs, or it can produce dirty fuel and health problems, depending on who one asks.

The two sides of the debate are talking as a moratorium on fracking is about to end, and a permanent ban could begin.

Hydraulic fracturing drills into the ground and uses chemicals on the rock below, to produce natural gas.

Delegate Wendell Bietzel of Allegany and Garrett Counties, says fracking can produce good jobs. Land owners who lease their property to fracking companies can benefit, too.

via foxbaltimore.com