Dominion LNG Growth Strategy Starts in Florida

The articles listed below make up the top-ranked downstream oil and gas-related stories in Rigzone from the past week.

Dominion to Buy Regional LNG from Southern Co.

One of the most popular Rigzone articles from the past week is this piece highlighting Dominion Energy’s efforts to acquire “‘modestly-sized assets’” in the U.S. Southeast. As Rigzone contributor Gregory DL Morris notes, one such asset is Southern Company Gas subsidiary Pivotal LNG. In a partnership with NorthStar Midstream, Pivotal holds the small-scale liquefaction facility Jax LNG in Jacksonville, Fla. The Pivotal acquisition initiates a broader strategy for Dominion to leverage marine LNG market opportunities.

Oil Freefall Halted by OPEC+ Hope

Amid the backdrop of the coronavirus outbreak and concerns about its effect on the global economy, crude oil price movements have largely trended downward this year – with prices plunging by a double-digit percentage last week alone. As this Bloomberg article from March 2 reports, expectations that the OPEC+ alliance of major oil-producing countries would agree to further restrict crude output provided some relief.

America’s Gasoline Demand Has Quietly Reached Record Levels

Although they command much attention in the public eye, electric vehicles (EVs) represent less than 2 million of the U.S. auto fleet. Compare that to the number of gasoline-powered vehicles in the U.S.: approximately 255 million. As Rigzone contributor Jude Clemente points out in this article, the death knell for gasoline-powered vehicles in the U.S. touted in some quarters is very premature. In fact, Clemente shows that U.S. gasoline demand has trended upward for the past decade.

CERAWeek Canceled on Coronavirus Concern

One of the most-anticipated gatherings in the global energy industry is IHS Markit’s CERAWeek conference, held annually in Houston. Citing health and safety risks tied to the coronavirus outbreak, IHS Markit decided to cancel this year’s event; it had been scheduled to run from March 9 to 13. IHS Markit’s decision is hardly isolated, though, as organizers of conferences, concerts and other large public gatherings worldwide have canceled or postponed their events. The next CERAWeek is planned for March 1 to 5, 2021.

Oil Sinks in Worst Week Since 2008

One of the above articles mentions oil prices fell by a double-digit percentage last week. The decline was 16 percent for the West Texas Intermediate (WTI), Bloomberg reported on Feb. 28. Moreover, the news agency pointed out the cumulative decrease in oil prices at the time for 2020 was 27 percent. One market-watcher interviewed by Bloomberg expressed concern that pending action by OPEC+ would be insufficient to lessen – on a long-term basis – the coronavirus-induced impact to the oil market.

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To contact the author, email mveazey@rigzone.com.