Today’s energy and equity market action:
- Brent rises 2% to over US$70/bbl, as backwardation steepens.
- WTI gains almost 1%, taking Cdn Light and C5+ higher.
- WCS drops 1%, as heavy oil discount widens by almost US$1/bbl.
- Recession concerns trigger market sell-off and drop in bond yields.
- Energy sectors fall 1.1% on both sides of the border.
- Russian output dips to 11.2M bbl/day in May, finally below OPEC+ quota.
- Chinese diesel demand slumps to levels not seen since financial crisis.
- Flooding in Midwest region curtails pipeline flows around Cushing, OK.
Today’s other notable energy news:
- TC Energy sells 85% stake in Northern Courier Pipeline to AIMCo for $1.2B.
- Husky Energy shaves 10% off 5-year capital spending budget …
… but maintains plans to add another 100,000 boe/day by 2023. - Ontario court approves Bellatrix Exploration‘s plan to restructure debt.
- AltaGas‘ Ridley Island Propane Export Terminal officially opens for business.
- Algeria not thrilled with Total‘s planned takeover of Anadarko‘s assets …
… and threatens to block the sale. - Occidental expected to offload Anadarko‘s midstream and GoM assets …
… as OXY stock plunges to 10-year low. - Brazilian court throws another wrench into Petrobras‘ divestiture plan.