New report identifies industry breaking points
Published by Sara Simper,
Editorial Assistant
World Pipelines,
Enverus Intelligence Research (EIR), a subsidiary of Enverus, the most trusted energy-dedicated SaaS platform, has released its latest ‘Macro Forecaster’, a report developed for the financial services industry, and is focused on the outlook for near-term oil and gas prices. In EIR’s report, relevant fundamental drivers of oil and gas are discussed, of which include resurgent Chinese oil demand, Permian supply concerns, inflationary impacts on oilfield services and general global economic uncertainty.
“We expect additional crude and product inventory draws in the second half of 2023, as accelerating demand exceeds supply growth. Crude and product inventories that currently remain stubbornly below the five-year average will be further stressed and triple digit oil prices seem inevitable,” said Al Salazar, Senior Vice President at EIR.
“Natural gas production has been resilient in 2023 in comparison to 2022, and we expect 2.9 billion ft3/d of growth over the summer. Some of the growth will be offset by incremental LNG demand from Freeport LNG terminal’s restart and increased price-induced power burn growth, but natural gas prices will be under intense pressure,” Salazar said.
Key takeaways the report:
- EIR forecasts Brent to reach triple-digit oil prices in the second half of 2023 as demand is expected to grow 1.5 million bbl/d y/y and Russian shipments of crude are falling month over month.
- EIR forecasts NYMEX to remain depressed this summer with risks to the downside if activity in the Haynesville maintains current pace.
Read the article online at: https://www.worldpipelines.com/special-reports/15032023/new-report-identifies-industry-breaking-points/
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