Page 8 - NorthAmOil Week 01 2023
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NorthAmOil                                   PERFORMANCE                                          NorthAmOil


       EIA reports US proven reserve




       increases for 2021




        US               ACCORDING to a new report by the US Energy  a drop of 19mn barrels or 1%.
                         Information Administration (EIA), the country’s   The 12-month, first day of the month average
                         proven reserves of crude oil and lease condensate  spot price for West Texas Intermediate (WTI)
                         increased by 6.2bn barrels, or 16%, from 38.2bn  crude oil at Cushing, Oklahoma increased by
                         barrels to 44.4bn barrels in 2021.   67% from $39.66 per barrel in 2020 to $66.26 per
                           Proven reserves of US natural gas grew 32%  barrel in 2021.
                         by 152.1 trillion cubic feet (4.3 trillion cubic   For the second consecutive year, Alaska saw a
                         metres), from 473.3 tcf (13.4 tcm) at the end of  substantial volume of proven gas reserves added
                         2020 to 625.4 tcf (17.7 tcm) as of December 2021,  in 2021. The annual total of proven gas reserves
                         establishing a new record for proven gas reserves  in Alaska grew in 2021 by 63.3 tcf (1.8 tcm),
                         in the US.                           almost tripling the state’s total from 36.5 tcf (1.0
                           In 2021, US domestic production of oil and  tcm) to 99.8 tcf (2.8 tcm) – the largest increase
                         lease condensate decreased 1%. Texas, where  across all US states in 2021.
                         more proven reserves of oil and lease condensate   Texas saw the second-largest increase in
                         are located than in any other state, saw the largest  proven reserves of gas in 2021 at 34.3 tcf (971bn
                         net increase in proven reserves in 2021 at 12% or  cubic metres) or 30% and New Mexico had the
                         1.9bn barrels.                       third-largest increase at 10 tcf (283 bcm) or
                           New Mexico had the second-largest net  38%.
                         increase of proven reserves of crude and lease   The 12-month, first day of the month aver-
                         condensate at 1.4bn barrels or 39%, and Alaska  age spot price for gas at Henry Hub in Louisiana
                         was behind the third-largest increase, at 700mn  increased by 84% from $1.99 per million British
                         barrels, or 31%.                     thermal units ($55.04 per 1,000 cubic metres)
                           The largest net decrease in proven reserves  in 2020 to $3.67 per mmBtu ($101.51 per 1,000
                         of oil and lease condensate in 2021 was  cubic metres) in 2021, representing the highest
                         reported by operators in Oklahoma, which saw  annual average price since 2014.™

                                             PROJECTS & COMPANIES

       US government authorises Sempra to re-



       export gas from Mexican LNG terminals





        US-MEXICO        US-BASED Sempra Energy recently secured  able to export the equivalent of 200 bcf (5.7 bcm)
                         authorisation from the US government to pump  per year via Vista Pacífico LNG, where work has
                         natural gas by pipeline to Mexico, where it will  yet to begin.
                         be processed into LNG for export via terminals   The DOE had come under some pressure not
                         slated for construction on the Pacific coast.  to approve Sempra’s plan from environmental
                           On December 20, the US Department of  lobbyists opposed to projects that support fossil
                         Energy (DOE) approved the permits that will  fuel extraction within the US. (The company is
                         allow Sempra to send gas to the Energía Costa  planning to pump gas from its US fields to the
                         Azul (ECA) site, located near Ensenada in Baja  ECA and Vista Pacífico LNG plants.) However,
                         California State, and to the Vista Pacífico LNG  the department concluded during the approval
                         site in Topolobampo, a port in Sinaloa State.  process that carbon emissions could be reduced
                         With these permits in hand, the company will  by 4-8% by authorising re-exports in order to
                         be able to re-export US-produced gas from Mex-  facilitate LNG shipments to Asia via ports on
                         ican territory.                      Mexico’s Pacific coast instead of maintaining
                           Specifically, it will be able to export the equiv-  the status quo, in which gas is piped overland to
                         alent of 475bn cubic feet (13.45bn cubic metres)  LNG plants on the US Gulf Coast (USGC) and
                         per year of gas from ECA, which is being built in  then shipped to Asia via the Panama Canal.
                         multiple phases. (The plant was originally con-  The lower emissions intensity of Sempra’s
                         structed to serve as an LNG import terminal, but  projects is “due to the shorter tanker route from
                         Sempra’s IEnova subsidiary is now converting it  [western] Mexico to markets in Asia,” according
                         into an export facility.) Additionally, it will be  to DOE documentation cited by Reuters.™



       P8                                       www. NEWSBASE .com                        Week 01   05•January•2023
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