06.30.2022 Energy
Jun 30, 2022
Since my last edition of Energy Tidbits in mid-June the price of crude has risen approximately $8 to near $113 per barrel. Market volatility is still in play, Russia/Ukraine, COVID, and low production are still the driving forces behind the Energy complex. Just recently we have seen some glimmers of hope in regards to the high pricing in front of us. The most impressive statistic to take note of is that there are now 222 more rigs drilling for oil in the US compared to last year at this time. The majority of these drillers are working in the Permian Basin, Southern Texas, and Louisiana with Williston ND receiving Honorable Mention. This increase in rigs is helping increase production which gives us a ray of hope for lower pricing as we move through summer. Having said that we will be paying close attention to diesel and gasoline product supplies and encouraging tank fills prior to harvest if we see any supply issues develop.