BP Market Update
It is estimated that the wholesale price of natural gas at “benchmark” Henry Hub will average $3.92 per million British thermal units (MMBtu) in 2022, an eight-year high, and will average $3.60/MMBtu throughout 2023. These spiking prices will put more pressure on drilling and production of Natural Gas.
Events in Ukraine have caused oil prices to skyrocket, The Russian Invasion caused an almost instantaneous global supply shock. Russia is one of the biggest oil producers in the world. As its attacks in Ukraine intensified, traders, shippers and financiers shunned Russian oil, removing much of it from the daily global supply. Roughly 8% of U.S. imports of crude oil and refined products came from Russia last year. For Americans already navigating inflation, the current crisis is likely going to push prices up before they come down.
DOE EIA Weekly Gas Storage Report
Working gas in storage was 1,519 Bcf as of Friday, March 4, 2022, according to EIA estimates.
This represents a net decrease of 124 Bcf from the previous week. Stocks were 281 Bcf less than last year at this time and 290 Bcf below the five-year average of 1,809 Bcf. At 1,519 Bcf, total working gas is within the five-year historical range.
Illinois AG Seeks Order Requiring Capacity Supplier To Refund $428 Million To Customers
Do you remember 2015?
The State of Illinois does. They claim wholesale power generator Dynegy manipulated the entire Mid-Atlantic energy marketplace. Illinois is claiming over $428 million in overcharges as a result.
The issue revolves around a bid for power supply conducted in April of 2015 which resulted in a large price increase. The bid process (from a newly created department in Illinois at the time) has been blamed along with the response by power generators.
The large concern is that power markets cannot be manipulated by any single supplier. The federal government overseeing the involvement of the Illinois Attorney General pursuing this matter shows the staying power and time frame required to review such large and complex markets. However, it also underscores that establishing fair market rules is critical. Oversight should include ensuring that entities requesting bids understand the dynamics of the market.
Realgy Energy Services is a registered Retail Energy Marketer in the states of Illinois, Michigan, Indiana and Ohio. We offer Service Plans that will provide electric and natural gas at wholesale pricing direct to customers without any utility markup. Our Service Plans work with the local utility to provide seamless service and annual energy savings. Service Plans include Guaranteed SavingsTM, ManagedPriceTM, ManagedGreenTM Index, Fixed and PriceAssuranceTM.
Realgy owns and operates 7 solar plants in Illinois and is looking to invest in additional locations.
Additional Information: Illinois AG Seeks Order Requiring Capacity Supplier To Refund $428 Million To Customers — EnergyChoiceMatters.com
DOE EIA Weekly Gas Storage Report
Working gas in storage was 1,643 Bcf as of Friday, February 25, 2022, according to EIA estimates.
This represents a net decrease of 139 Bcf from the previous week. Stocks were 216 Bcf less than last year at this time and 255 Bcf below the five-year average of 1,898 Bcf. At 1,643 Bcf, total working gas is within the five-year historical range.
DOE EIA Weekly Gas Storage Report
Working gas in storage was 1,782 Bcf as of Friday, February 18, 2022, according to EIA estimates.
This represents a net decrease of 129 Bcf from the previous week. Stocks were 209 Bcf less than last year at this time and 214 Bcf below the five-year average of 1,996 Bcf. At 1,782 Bcf, total working gas is within the five-year historical range.
DOE EIA Weekly Gas Storage Report
Working gas in storage was 1,911 Bcf as of Friday, February 11, 2022, according to EIA estimates.
This represents a net decrease of 190 Bcf from the previous week. Stocks were 404 Bcf less than last year at this time and 251 Bcf below the five-year average of 2,162 Bcf. At 1,911 Bcf, total working gas is within the five-year historical range.