• 4 minutes Energy Armageddon
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 10 minutes Russia Says Europe Will Struggle To Replace Its Oil Products
  • 3 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 11 hours Reality catching up with EV forecasts
  • 11 days "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 6 hours Famous author Michael Crichton talks about the "Climate Change Religion" aka Feudalism 2.0
  • 5 days 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 10 days A Somewhat Realistic View of the Near Future for Electric Vehicles Worldwide
Will U.S. Shale Ever Return To Its Glory Days?

Will U.S. Shale Ever Return To Its Glory Days?

While American shale production isn’t…

Oil Prices Rise As Another Storm Rocks U.S. Gulf Coast

Nearly half of all oil production on the U.S. Gulf Coast has been shut-in ahead of Tropical Storm Zeta, the Bureau of Safety and Environmental Enforcement (BSEE) said on Tuesday afternoon. And the oil markets are cheering.

In the latest update on the multitude of storms making their way through the Gulf Coast this year, disrupting U.S. oil production, the BSEE reports that 154 platforms in the Gulf have been evacuated—a figure that represents nearly a quarter of the 643 manned platforms residing in the Gulf.

Crude oil prices responded favorably to the latest disruption to U.S. oil production.  WTI was trading up 2.39% by 4:oo p.m. EDT, to reach $39.48.

The amount of oil production shut-in as of Tuesday afternoon equates to nearly a million barrels per day.

ADVERTISEMENT

For natural gas, more than 55 percent of all gas had been shut-in, or 1500 MMCFD.

For the day prior, only 16% of all oil production on the U.S. Gulf Coast had been shut-in.

Hurricane Zeta will be the 11th hurricane this season to hit the Gulf. It hit Mexico on Monday night, and is expected to hit the U.S. coast by Wednesday, with warnings issued from Louisiana to Florida. Oil companies are preemptively evacuating platforms.

ADVERTISEMENT

By Tuesday, Enbridge, BP, Shell, Chevron, Equinor, had experienced disruptions to their operations.

Oil prices have been essentially rangebound for months as the market eyes an uncertain future for oil demand, and any disruptions to production—particularly in the visible U.S. market—are likely to provide at least a temporary boost.

In the other direction, a ramp-up in Libyan oil production is pressuring prices, with the market skittish about

By Julianne Geiger for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

ADVERTISEMENT


ADVERTISEMENT


Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News