Rd Energy Newsletters & Blogs

RD Energy: Stay Current Newsletter- March 2023
Key Drivers March 2023 forecasted to return to more normal and even below normal in the Midwest and Northeast Signs of life at the Freeport LNG facility as volumes begin to slowly come back online U.S producers slow drilling as natural gas and oil prices fall after raking in record breaking 2022 profits Commentary The enormous plunge in natural gas, and therefore, electric prices have very much appeared to hit bottom last Tuesday when prices found

RD Energy Stay Current Newsletter: February 2023
Key Drivers January temperatures averaged well above normal in the Midwest and Northeast February temperature forecasts are favoring a near repeat of January mild temperatures in Midwest and Northeast Fast growing year over year natural gas storage surplus Extremely high number of speculative traders selling NYMEX short pushing prices down Commentary The vast majority of our RD Energy clients in 2022 were able to completely avoid the extreme price volatility by not needing to

RD Energy Stay Current Newsletter: January 2023- Past & Future
Want to listen to the update on our podcast? Click Here! As we enter 2023 we felt it was a great time to briefly look back at 2022 and note a few key events and price drivers of wholesale natural gas and wholesale electric and then look ahead at happenings and events that could shape energy commodity prices in 2023. Learning from the past can help our vision of the future. The year 2022 in

RD Energy December 2022: Stay Current Newsletter
Key Drivers Short-term warm and cold temperature swings keeping prices volatile Long range weather models forecasting a deepening NOA (cold December) Increasing prices in Europe as winter arrives Freeport LNG facility coming back online in December Strong increase in NG production September – November Commentary Future price direction for both the natural gas and electric wholesale markets has never been more difficult to predict. Just look at the electric price target graph of a current

RD Energy November 2022 Stay Current Newsletter – Price Volatility Rollercoaster
Key Drivers Extreme warmth in the eastern half of the U.S. Week of November 11-17 shows extreme warmth ending Freeport, LA LNG facility – when will it come back online? Europe natural gas storage nearly full and warm weather persists The sizeable 2022 storage deficit versus 2021 will likely be eliminated Commentary If you like an amusement park with the largest rollercoasters, risky games that’s difficult to win and food you wish you hadn’t

RD Energy Stay Current October 2022 Newsletter – Lower Price Optimism For Consumers
Key Drivers Highest U.S. Natural gas production since 2019 Lower domestic energy demand in the Fall season Electric demand destruction in FL from Hurricane Ian Sizable U.S. natural gas storage deficit reduction expected in October End of Season storage will still likely trail 5 year storage average and 2021 La Nino this coming winter for 3rd year in a row Weak Polar Vortex forming meaning some very cold winter weather at times for the eastern

RD Energy Stay Current Newsletter: Sept 2022
Key Driver & Startling Facts 3.4 TCF final storage expectation well below 4 TCF full capacity Very tight supply and demand NG balance in U.S, tilted heavily in demand’s favor Global NG demand pushing European prices above $90/MMBTU vs. $9.00/MMBTU in U.S. Electric prices in Europe now over $1000/MW vs. $115/MW in OH 20 million U.S. households in U.S. or 1 in 6 behind on energy bills Nearly 50% of European households face energy cost

RD Energy Stay Current Newsletter: August 2022 – No time To Panic!
Key Drivers July was extremely hot this summer in the U.S. – very high consumption of NG in power generation U.S Natural gas storage deficit heading in the wrong direction. Looking to be the lowest deficit in many years. U.S. natural gas production is slowly increasing – will higher volumes hit the market before winter? There are fewer speculative traders having a financial appetite at these high prices making price volatility even worse Commentary

RD Energy Stay Current Newsletter: July 2022 – The Price Implosion From The LNG Terminal Explosion
Key Drivers Explosion at the Freeport LNG exporting facility in Texas The news that the repairs on the Freeport facility will take 90 days instead of 3 weeks Higher than expected weekly storage injections since the LNG facility was shut down 2 bcf/day of natural gas staying home in the US instead of being shipped to Europe and Asia The severe storage deficit in the U.S. is no longer severe due to higher storage injections

RD Energy Stay Current Newsletter: June 2022
Key Drivers Hot May Temperatures Summer expected to average above normal temperatures Natural gas storage 300 bcf behind 5 year average U.S. end of summer storage level expected to be near 3.4 TCF versus being full around 3.9 TCF Commentary June natural gas NYMEX traded strongly above $9.00 before settling at $8.908/MMBTU. Natural gas prices continue to stay volatile with some strong bullish fundamentals leading the charge higher. May is starting the Spring/Summer season

RD Energy Stay Current Newsletter: May 2022 – Flipping The Switch from Heating To Cooling Demand Causes Surge In Energy Prices
Key Drivers Natural gas demand flips from heating to cooling with higher temperatures in Texas Long Speculators are squeezing the wholesale natural gas and electric markets up too much Natural gas drilling ramping up, but the first deliveries will be 2022 Q4 or 2023 Q1 Will the natural gas storage deficit grow this summer? Very strong LNG exports continue Commentary In late April natural gas NYMEX settled for May at $7.267/MMBTU. The highest since

RD Energy Stay Current Newsletter: April 2022 -Energy Prices Still Soaring
Key Drivers Revised cooler April temperature outlooks add much more natural gas consumption End of 2022 winter NG storage is at a 19.7% deficit vs 2021 and 14.7 deficit vs the past 5 year average Near record level of LNG exports to Europe and Asia U.S. natural gas production is below pre-COVID 19 March 2020 levels Multiple LNG projects beginning construction adding up to 10 bcf/day export demand by 2025 Commentary April 2022 NYMEX settled

Wholesale Energy Market Update 3/7/2022
Electric and natural gas prices should probably be somewhat lower than they are right now, but higher oil prices are keeping them not only propped up but climbing. Natural gas NYMEX this morning is over $5.00/MMBTU. Even with the strong supply and demand balance of natural gas domestically and globally, natural gas prices fundamentally should be around $4.25/MMBTU. Because electric prices mostly parallel natural gas prices, electric prices are at historical levels as well. It’s

RD Energy Stay Current Newsletter: March 2022
Key Drivers Ukraine War adding uncertainty and volatility Higher oil prices keeping short-term natural gas prices supported Higher oil prices stimulating oil and natural gas drilling Warming temperatures in March as the worst of winter is behind us Commentary Global and domestic natural gas supplies initially dropped substantially in early 2020 due in large part to lower oil and natural gas production after COVID-19 hit. The drop in natural gas production has never come close

RD Energy Stay Current Newsletter: January 2022
Key Drivers Will January through March temperatures in the Midwest and Northeast trend warm or cold? Will LNG deliveries to Europe and Asia continue at a near record pace for all of 2022? How much natural gas production in the Southwest is lost to winter freeze-offs? Will natural gas producers increase drilling in 2022 above 2020 and 2021 levels? Commentary Would You Rather Listen to the Commentary? Try our new Podcast! December NYMEX settled at

RD Energy Stay Current Newsletter: February 2022
Key Drivers Brutally cold January Cold hanging on at least through mid-February Well freeze offs in the south Strong LNG exports Rapidly declining natural gas storage levels Technical short-squeeze + fundamental strength Commentary Would You Rather Listen to the Commentary? Try our new Podcast! While the majority of businesses have electric and natural gas fixed prices this winter, there are still a lot of large energy consumers buying at least a portion of their

RD Energy Stay Current Newsletter: December 2022 – High Coal Prices Are Pushing Electric Prices Up!
Key Drivers Above normal temperature forecasts for the first week of December New higher LNG record exports in November to Europe and Asia Highest coal prices in over a decade Colder temperatures and possible snowstorm in week 2 of December Commentary Fact: Natural gas is the key driver of electric prices. False: The two run 100% parallel with each other. Historically natural gas prices and electric prices run in tandem at a 80

RD Energy Stay Current Energy Newsletter: November 2021
Key Drivers Weather forecasts – revised colder and warmer almost daily Dutch TTF gas futures for Europe and Asia trading 5X higher than U.S prices LNG exports to Europe and Asia 2021 rebound of U.S. natural gas production – moderate Commentary FACTS: Natural gas prices and therefore electric prices have jumped 200% since the end of 2020, which is over 350% since the 2020 NYMEX low point in July 2020. We also know that

RD Energy Stay Current Newsletter: October 2021 So Hot AC Load Is Back
Key Wholesale Energy Market Drivers Natural Gas prices in Europe and Asian are trading 7X greater than U.S. U.S. Natural Gas storage deficit versus 2020 is at 500 BCF October 2021 will likely be the warmest October on record in the U.S. adding extra cooling demand Commentary The average natural gas NYMEX price for all of 2020 was $2.077/MMBTU. Natural gas prices for October 2021 delivery closed at $5.841/MMBTU. Prices in Europe and Asia

RD Energy Stay Current Newsletter Special Edition: Electric & Natural Gas Prices Surging Over 250%
Electric & Natural Gas Prices Surging Over 250% Businesses’ that paid $.33/ccf last winter could be paying $.73/ccf this winter. Manufacturers who were quoted fixed rates at .037/kWh for multiple terms earlier this year will be seeing rates around $.047/kWh Commentary Natural Gas NYMEX is rising fast and furious. September NYMEX settled for the month at $4.37/MMBTU in late August. This was the second highest settlement price since December 2018 and the 4th highest since

RD Energy Stay Current Newsletter: Energy Markets Gets Hit With One Two Punch, But No Knockout!
Key Wholesale Energy Market Drivers Natural gas U.S. storage deficit continues to grow week after week Hurricane Ida plows through Gulf area shutting down production Onshore processing plants possibly lose power for weeks Will U.S. natural gas storage deficit grow beyond expected 500 bcf shortfall Electric cooling degree day drops substantially beginning Sept in high power consuming NE Commentary Hurricane Ida staggered the energy markets with quite the punch, but achieved no knockout. Nearly

RD Energy Stay Current: May 2021
Key Drivers U.S. Storage inventories are 302 bcf behind 2020 levels European natural gas inventories ended the winter at a very concerning 11% below their 5 year average European natural gas (NG) prices have shot up making U.S. LNG exports to Europe even more profitable LNG export demand is currently 11.5 bcf/day vs 4.5 bcf/day during the summer of 2020 In April speculator NG NYMEX traders lowered their short positions as they wait for new
Ready To Save !?
Schedule A Quick Call!
Just Let Us Know A Convenient Time For You And Darrell will call you to discuss how we can save you money today!
We Can't Wait To Save You Money