The WTI prompt-month contract rose $2.40 to $100.66/Bbl on Thursday morning (7:30 AM CT)
Reuters reported that Iran’s Supreme Leader, Ayatollah Mojtaba Khamenei, has banned the transfer of Iran’s enriched uranium stockpile to any location abroad
The report adds the directive was issued over fears that sending the uranium abroad would leave the country more exposed to future attacks by the US and Israel
The semi-official Iranian Students’ News Agency reported that Tehran is in the process of responding to the latest proposal by the US which “has narrowed the gaps to some extent”
However, both parties have been unwilling to give any concessions on nuclear capabilities and enrichment
Meanwhile, global oil liquid stockpiles are being drawn down at a record pace in May according to Goldman Sachs
Analysts noted visible inventories shrank by a record 8.7 MMBbl/d so far in May, nearly double the average since the conflict began
Domestically, US crude inventories, including the Strategic Petroleum Reserves, fell by a record 17.8 MMBbls last week
Natural gas inches up as production slips
Natural gas is up 0.7c to $3.011/MMBtu (As of 07:30 AM CDT)
Dry gas production fell 0.5 Bcf/d this morning to 108.1 Bcf/d led by production losses in the Northeast (S&P)
L48 power demand slipped 3.4 Bcf/d this morning to just above 33 Bcf/d
The demand outlook flattens out near 101-105 Bcf/d through the next two weeks as rescom rolls off into June (Criterion)
LNG feedgas extended its rebound this morning, climbing 490 MMcf/d to 18.3 Bcf/d
The rebound was led by a reawakening at Golden Pass this morning as it jumped from 4 MMcf/d to 204 MMcf/d (Criterion)
The EIA will release its weekly natural gas storage report today with Bloomberg showing a median expectation of a 96 Bcf build in storage
Kinetik reaches FID on King’s Landing complex expansion
King’s Landing II processing plant received a 100 MMcf/d capacity increase from the initial proposal up to 300 MMcf/d
Kinetik’s system-wide processing capacity is expected to exceed 2.7 Bcf/d of gas upon completion of the Kings Landing II project in 2H28 (S&P)
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