Rig Count Continues to Decline
Wednesday, June 24, 2020
Baker Hughes’ June 19 rig count found that the U.S. was down by 13 rigs to 266 total and Canada was off by four to 17. Of the 13 lost in the U.S. during the week prior, oil rigs were down 10 to 189; gas rigs were off three to 75; and miscellaneous rigs unchanged at two. The U.S. offshore rig count is down two rigs from last week to 11 and down 13 year-over-year.
Mid-Month to Mid-Month: Prices Rise in Spring Finale
Thursday, June 18, 2020
Energy prices remain subject to “heightened levels of uncertainty because mitigation and reopening efforts related to COVID-19 are still evolving,” is the analysis offered in the most recent EIA SEO. It continues, “Reduced economic activity related to the COVID-19 pandemic has caused significant changes in energy supply and demand patterns in 2020, particularly for petroleum and other liquid fuels. Uncertainties persist across EIA’s outlook for other energy sources, including natural gas…” Propane prices react to this uncertainty as well.
Natural Gas Market Pummeled by Pandemic and Mild Winter
Wednesday, June 17, 2020
In a report released June 10, the International Energy Agency (IEA) said the combination of the COVID-19 crisis and an exceptionally mild winter in the northern hemisphere have put global demand for natural gas on course for its largest annual decline in history. Global gas demand is expected to fall by 4%, or 150 Bcm, twice the amount of the decline following the 2008 global financial crisis.
World LPG Association Makes Changes to LPG Week
Wednesday, June 17, 2020
Following its announcement of the postponement of LPG Week 2020/Dubai to 2021 (date and venue to be confirmed), the World LPG Association (WLPGA) has been exploring innovative ways to unite the LPG industry this year. As the association states, “It is a challenging time to connect, and change is inevitable.” However, it is pleased to announce the launch of a virtual event, e-LPG Week: When the LPG Value Chain Connects, to be held in November 2020.
World Energy 2020: A Pivotal Moment
Wednesday, June 17, 2020
On June 17, bp released the 69th annual edition of the bp Statistical Review of World Energy (bp Stats Review). This year’s edition, which collects and analyses energy data for 2019, highlights the global energy trends emerging prior to the current COVID-19 pandemic.
Valley Farmers Supply Introduces New Propane Identity
Wednesday, June 17, 2020
Valley Farmers Supply (VFS; Worden, Mont.), a local agricultural cooperative, has introduced Valley Propane, a separate brand identity for its established propane business. Under the new identity, VFS will continue to provide delivery service to residential and commercial propane users in southeastern Montana. The new identity of Valley Propane was revealed to the cooperative’s membership in March during the co-op’s 81st annual meeting in Worden.
New OPEC+ Cuts Point to Crude and Condensate Supply Deficits Through 2021
Wednesday, June 10, 2020
A Rystad Energy (Oslo, Norway) analysis on June 8, confirms the forced oil production shutdowns and the extension of the generous OPEC+ voluntary cuts into July will not only balance the COVID-19-hit global crude and condensate demand, but are also deep enough to create a monthly deficit starting from June 2020 and continuing uninterrupted until at least the end of next year.
Propane Grain Drying is Popular with Midwest Producers
Wednesday, June 10, 2020
According to a new survey from the Propane Education & Research Council (PERC), a vast majority of Midwest producers are choosing propane for grain drying compared with other energy options. The findings were gathered from a survey of corn and soybean growers in the Midwest and fruit and vegetable growers in California, conducted by PERC in the first quarter of this year. The survey also revealed the widespread use of propane among producers on their farm and in their homes.
Winter 2019-20 Propane Consumption Slides
Wednesday, June 10, 2020
During the winter period 2019–2020 (October through March), U.S. propane supplied averaged 648,000 bbld, the lowest level since winter 2016-17, according to EIA’s recently released May Petroleum Supply Monthly. Propane inventories typically build from April to October and then draw down as temperatures begin to drop. In some years, when the corn harvest is delayed or corn grain moisture is too high, an early seasonal spike in demand may occur.
Paycheck Protection Program (PPP) Extension, Increased Flexibility Legislation Moves Forward
Wednesday, June 10, 2020
The National Propane Gas Association (NPGA) reports that on June 5, President Trump signed H.R. 7010, Paycheck Protection Program Flexibility Act (PPPFA), which will increase access for small businesses as well as expand the program’s flexibility. Congress approved the bill on an overwhelmingly bipartisan basis with the House voting in favor 417-1. The Senate quickly followed suit, passing the bill under unanimous consent on Wednesday evening.

The PPPFA makes several modifications to the program, including:
Canada Remains the Largest Source of U.S. Energy Imports
Wednesday, June 10, 2020
Canada is the largest source of U.S. energy imports and the second-largest destination for U.S. energy exports, behind only Mexico, according to a recent report from the U.S. Energy Information Administration (EIA). Energy is an important component of trade between Canada and the United States. Based on the latest annual Standard International Trade Classification (SITC) data from the U.S. Census Bureau, in 2019 energy accounted for $85 billion (U.S.), or 27%, of the value of all U.S. imports from Canada.
April Heating and Cooling Equipment Shipments Released
Wednesday, June 10, 2020
The Air-Conditioning, Heating, & Refrigeration Institute (AHRI) reports U.S. shipments of residential gas storage water heaters for April 2020 decreased 15.1%, to 311,683 units, off from 367,028 units shipped a year earlier. Residential electric storage models shipped fell 5.7% in April 2020 to 322,258 units, down from 341,834 units shipped in April 2019. Year-to-date U.S. shipments of residential gas storage water heaters are off 4.6% to 1,473,757, compared to 1,544,800 shipped during that same period in 2019.
National Forklift Safety Day Reinforces Industry Safety
Wednesday, June 10, 2020
The Industrial Truck Association (ITA; Washington, D.C.) celebrated its seventh annual National Forklift Safety Day on June 9 as a virtual event. The occasion gives forklift manufacturers an opportunity to highlight the safe use of forklifts, the value of operator training, and the need for daily equipment checks.
COVID-19 Causes Largest Fall In Global Energy Investment
Wednesday, June 3, 2020
The COVID-19 pandemic has set in motion the largest freefall in global energy investment in history. The International Energy Agency (IEA) said in a May 27, 2020 report that spending is expected to plunge in every major sector this year—from fossil fuels to renewables and efficiency.
FMCSA Publishes Start Date for Hours of Service Modifications
Wednesday, June 3, 2020
The Federal Motor Carrier Safety Administration (FMCSA) officially published modifications to Hours of Service (HOS) regulatory provisions on June 1, the National Propane Gas Association (NPGA) reports. Motor carriers and drivers can implement the modifications starting September 29, 2020.
2020’s Oil Demand Recovery Slower; 2021 Demand Downgraded
Wednesday, June 3, 2020
Rystad Energy (Oslo, Norway) continues to update its weekly COVID-19 reports that calculate the effect of the novel coronavirus on global fuel markets. Its more frequent updates have resulted from recent developments, with travel restrictions, quarantine obligations, and new government policies being announced daily around the globe.
U.S. Customers Experience Longer Power Outages in 2017, 2018
Wednesday, June 3, 2020
Interruptions in electricity service, caused by many factors including weather, vegetation patterns, and utility practices, vary in frequency and duration across the nearly 3000 electric distribution systems in the U.S., the Energy Information Administration (EIA) reports. In 2018, power outage durations for these electricity users averaged 5.8 hours per customer.
U.S. Rig Count Continues to Decline
Wednesday, June 3, 2020
According to the latest Baker Hughes rig count, the U.S. rig count has declined by 17 rigs from last week to 301 rigs. Oil rigs fell by 15 to 222; gas rigs lost two to fall to 77; and miscellaneous rigs were unchanged at two.

The current U.S. count is down 683 rigs from last year’s 984, with oil rigs down 578, gas rigs down 107, and miscellaneous rigs up two to two.
The U.S. offshore rig count is unchanged from last week, at 12, but is down 11 year-over-year.
PPP Loan Forgiveness Application and Guidance
Wednesday, June 3, 2020
The National Propane Gas Association (NPGA) recently reported on the U.S. Department of the Treasury and Small Business Administration’s (SBA) release of the Paycheck Protection Program (PPP) loan forgiveness application and clarifying guidance on the process. The application and guidance include measures to reduce compliance burdens for borrowers, which include:

• Options for borrowers to calculate payroll costs using an “alternative payroll covered period” that aligns with borrowers’ regular payroll cycles.