Follow

December 2, 2011 Energy Data Highlights Crude oil futures price 11/30/2011: $100.36/bbl up$4.19 from week earlier up$16.25 from year earlier Natural gas futures price 11/30/2011: $3.550/mmBtu up$0.090 from week earlier down$0.630 from year earlier Weekly coal production 11/26/2011: 20.807 million tons down0.411 million tons from week earlier up0.324 million tons from year earlier Natural gas inventories 11/25/2011: 3,851 Bcf down1 Bcf from week earlier up43 Bcf from year earlier Crude oil inventories 11/25/2011: 334.7 mmbbl up3.9 mmbbl from week earlier down24.9 mmbbl from year earlier

Natural Gas/ Power News

EIA Storage Release 11/23/11 (Actual): -1 Bcf Previous Week: +9 Bcf +1.1% Change from 1 Year Ago +7.3% Change 5-year Average Spot natural gas prices dipped to two-year low in November Spot natural gas prices at the Henry Hub in Erath, Louisiana fell to $2.83 per million British thermal units for delivery on November 24, 2011, the lowest price since November 17, 2009. Henry Hub is the benchmark location for key natural gas financial instruments on the New York Mercantile Exchange and the IntercontinentalExchange such as futures contracts, swaps, and options.

http://www.eia.gov/todayinenergy/detail.cfm?id=4130

Oneok sells retail gas business to Constellation for $22.5 mil Oneok reached an agreement to sell its retail natural gas subsidiary to Constellation Energy Group for $22.5 million, plus working capital, the Tulsa, Oklahoma-based seller said Thursday. http://www.platts.com/RSSFeedDetailedNews/RSSFeed/NaturalGas/6727542 ISO New England proposes reopening regulation service pilot program Additional market participants would be able to participate in ISO New England's regulation services market under a proposal filed with federal energy regulators Thursday. http://www.platts.com/RSSFeedDetailedNews/RSSFeed/ElectricPower/6727544

Green/ Alternative Energy News

Europe set to lead 'next frontier' in renewables: analyst Yergin Countries in the European Union will spearhead the drive for the next generation of renewable energy technology, Pulitzer Prize-winning energy analyst Daniel Yergin told Platts late Thursday. http://www.platts.com/RSSFeedDetailedNews/RSSFeed/ElectricPower/8655871

Crude Oil News

OPEC Daily Basket Price 12/1/2011- $109.41 (OPEC Daily Basket Price 11/30/2011- $110.38)

Crude Oil Futures Rise Amid Middle East Tension, Head for Weekly Gain Oil rose, heading for its first weekly gain in three, as investors bet U.S. employers quickened the pace of hiring last month and concern deepened that tension between Iran and the west will disrupt Middle East exports. Futures gained as much as 0.9 percent and are up 4.3 percent this week. European governments tightened sanctions on Iran, the second-biggest oil producer in the Organization of Petroleum Exporting Countries, in a clampdown over the Persian Gulf nations nuclear program. Bank of America Corp. cut its 2012 Brent forecast. The oil market is strongly supported by the geopolitical risks over Iran, and a physical market thats already very tight, said James Zhang, a strategist at Standard Bank Plc in London, who forecasts prices will remain at current levels for the rest of the year. Oil will be range-bound without a crisis in Iran or blow-up in the euro zone.

http://www.bloomberg.com/news/2011-12-02/crude-oil-rises-amid-middle-easttension-heads-for-weekly-gain.html

OIL FUTURES: Nymex Crude Up; To Be Rangebound Ahead Of US Jobs Data Crude-oil futures rose slightly in Asia Friday but traded in a narrow range amid investor caution ahead of key U.S. non-farm payrolls data due later in the global day and a Europe finance ministers' meet next week. On the New York Mercantile Exchange, light, sweet crude futures for delivery in January traded at $100.54 a barrel at 0739 GMT, up $0.34 in the Globex electronic session. January Brent crude on London's ICE Futures exchange rose $0.69 to $109.68 a barrel. "Oil prices will remain subject to the vagaries of global economic headlines," Jim Ritterbusch at Ritterbusch & Associates said. http://online.wsj.com/article/BT-CO-20111202-701915.html? mod=rss_Commodities Shell to Exit Syria Royal Dutch Shell PLC will pull out of Syria amid a wave of tighter sanctions against President Bashar al-Assad's regime, the Anglo-Dutch energy company said Friday. A Shell spokesman said: "Shell will cease its activities in Syria in compliance with sanctions. Our main priority is the safety of our employees of whom we are very proud. We hope the situation improves quickly for all Syrians." http://online.wsj.com/article/SB1000142405297020482670457707390184541998 4.html?mod=WSJ_hp_LEFTWhatsNewsCollection Europe prepares Iran oil embargo Europe has moved towards imposing an oil embargo on Iran, intensifying the pressure on Tehran to abandon its suspected nuclear weapons programme. Meeting in Brussels, European Union foreign ministers started working on an embargo, saying they had agreed to broaden existing sanctions and were examining measures aimed at severely affecting Irans financial and energy sectors. Oil industry executives and diplomats said the EU was likely to back an embargo by its next meeting in January. Iran is the worlds third largest oil exporter. Executives and officials said Italy, Spain and Greece the biggest buyers of Iranian oil in Europe had dropped their opposition to an embargo but had asked for time to find alternative supplies. http://www.ft.com/intl/cms/s/0/4d6efae2-1c44-11e1-af0900144feabdc0.html#axzz1fHtw0Z3R Oil embargo move raises fears of Iranian reaction Now that the European Union has made clear it is moving towards imposing an embargo on Iranian oil, how will Tehran respond? What if Iran moves first, on its own terms, and imposes an oil embargo to Europe? The scenario, raised by Lawrence Eagles, head of oil strategy at JPMorgan in New York, is tremendously important. Mr Eagles is a former senior official at the International Energy Agency, the western countries oil watchdog, so his warning carries a bit of extra weight.

The closer more stringent oil market sanctions come to reality, the greater the potential for Iran to become the first mover, he says. Iran is the worlds thirdlargest oil exporter, behind Saudi Arabia and Russia, selling about 2.2m barrels a day. The EU last year bought about 450,000 b/d, or one-fifth of Irans sales. Italy and Spain accounted for about 70 per cent of the EU imports, with the rest made up by Greece, France, Germany, the Netherlands and the UK. http://www.ft.com/intl/cms/s/0/9bae9a54-1cc2-11e1-a13400144feabdc0.html#axzz1fHtw0Z3R

Oil Hovers At $100 Ahead Of Key US Jobs Report Oil prices rose to above $101 a barrel Friday as traders awaited a U.S. jobs report for evidence about the strength of the U.S. economy and demand for crude. By early afternoon in Europe, benchmark crude for January delivery was up from $101.02 to $101.22 a barrel in electronic trading on the New York Mercantile Exchange. The contract fell 16 cents to settle at $100.20 on Thursday. http://www.npr.org/templates/story/story.php?storyId=143003514 Tight Oil Market is the New Normal The era of cheap oil is over and the new normal will be a very tight oil market, said Petrobras Chief Executive Officer Jos Sergio Gabrielli de Azevedo to the fifth annual Platts Global Energy Outlook Forum, The Worlds Quest for Clean Energy, held in New York City today. He said one factor that may shift the balance will be the penetration of electric vehicles. Nearly a dozen panelists from the energy industry, government and think tanks engaged in wide-ranging discussions centering on the challenges to and realities of the green economy and the economics and supply/demand factors of low-carbon energy alternatives for the future. http://www.commodities-now.com/commodities-now-news/power-andenergy/9077-tight-oil-market-is-the-new-normal.html

Brazil's Petrobras wins Platts Platts Energy Company of the Year award Brazil's state-owned oil and gas company Petrobras took the title of Energy Company of the Year as winners from seven countries and four continents won top honors at the 13th annual Platts Global Energy Awards in New York City Thursday night. http://www.platts.com/RSSFeedDetailedNews/RSSFeed/Oil/8655899

Recent Rig Counts Date of Last Year's Count

Area

Last Cou Change from Count nt Prior Count

Date of Prior Count

Change from Last Year

U.S. Canada

23 Nov 2000 11 23 Nov 484 11

-1 -3 +23

18 Nov 11 18 Nov 11 Septembe r 2011

+313 +69 +98

24 Nov 10 24 Nov 10 September 2010

Internatio October 1197 nal 2011

http://investor.shareholder.com/bhi/rig_counts/rc_index.cfm

Weather

6 to 10 Day Outlooks Temperature

Precipitation

8 to 14 Day OutlooksTemperature

Precipitation