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The biggest refineries in US are going dark amid the cold


The biggest refineries in US are going dark amid the cold
Jeffrey Bair and Barbara Powell, Bloomberg
Feb. 16, 2021
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The Port Arthur Refinery, operated by Motiva Enterprises, closed Monday.Jon Shapley, Staff photographer / Staff photographer
After creating havoc in the power and natural gas markets, the next commodity sector causing concern in Texas is the state’s enormous oil refining industry, where installations are being forced offline by the big freeze.
The largest refineries in North America shut down Monday because of arctic conditions that have cut electricity, water and fuel supplies across Texas. More than 3 million barrels of daily oil-processing capacity has been idled in the wake of the record-setting cold, according to consultant Energy Aspects Ltd. ....

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Texas cold blast boosts oil


Texas cold blast boosts oil
Sharon Cho, Rob Verdonck and Alex Longley, Bloomberg
Feb. 15, 2021
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Oil rallied to a 13-month high as cold weather in Texas disrupted flows from America’s largest shale patch, exposing the fragility of global supplies amid sharp cutbacks by OPEC and its allies.
U.S. West Texas Intermediate futures surged as much as 2.5% and rose above $60 a barrel for the first time since January last year. Brent crude in London, meanwhile, rose above $63. Permian oil production has fallen by as much as 1 million barrels a day as temperatures fall to minus 1 Fahrenheit (minus 18 degrees Celsius) in Midland, Texas, the de facto capital of U.S. shale production, according to the National Weather Service Midland. ....

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Natural gas prices soar as cold temperatures spread over U.S.


Natural gas prices soar as cold temperatures spread over U.S.
Brian K. Sullivan, Bloomberg
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Prices for natural gas, propane and heating oil, fuels used to heat homes, are surging as cold sets in over most of the U.S.
Spot gas at the Waha hub in Texas traded at a two-year high Monday while, at Boston’s Algonquin City Gate hub, prices neared a two-year high. Demand for propane has surged to its highest since 2004.
A parade of snowstorms is threatening to roll through the Eastern U.S. over the next few days while bitter cold stabs through the heart of the country, driving temperatures below freezing all the way to Houston. Temperatures in Southeast Texas will fall to 28 degrees Sunday, the National Weather Service said. ....

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Oil climbs for 7th-straight session


Oil climbs for 7th-straight session
Bloomberg
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Offshore drilling rigs in the North Sea.Simon Dawson/Bloomberg
Oil continued its advance for the seventh straight session on expectations of a strong rebound in demand and as as the dollar weakened.
Futures in New York climbed to above $58 a barrel, the highest since January 2020 after a choppy trading session Tuesday. The nearest Brent contract sharply widened its premium to the following month, pointing to supply tightness, with inventories shrinking globally and amid expectations of further supply declines in the U.S. A weaker U.S. dollar is boosting the appeal of commodities priced in the greenback. ....

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