WTI (Apr) $81.07 -20c, Brent (May) $85.78 -17c, Diff -$4.71.

USNG (Apr) $1.68 -2c, UKNG (Apr) 68.35 -2.15p, TTF (Apr) €26.4 -€0.75

Oil price

A two way pull in quiet markets at the moment, the furore between Russia and Ukraine is intensifying as more refining capacity is taken out each day tightening the market. Against that there is talk of an Easter ceasefire in the Middle East which may or may not happen. Finally the greenback remains strong as the Fed have until June at the very least on current rates.

IEA

One more thing, as mentioned on X and by Commentators like S&P Global Commodity Insight and others a great deal in the last 24 hours the IEA has come in for a great deal of opprobrium in the USA in particular and not before time. A letter sent by a member of the Senate Energy Committee and the Chair of the House Committee on Energy and Commerce to IEA Executive Director Fatih Birol accuses the organisation of being ‘an energy transition cheerleader’ and emphasised that the IEA, by advocating peak oil demand and discouraging investment in oil, natural gas, and coal production, ‘endangers energy security’.

Some are suggesting that the letter is the basis for a cut in Federal funding for the organisation, something I can only concur with as readers know that my opinion of the IEA is something similar, but then I have been suggesting for many years that the organisation is not value for the money that its members pay to keep the place afloat, now it seems that the accusations might carry some weight…

Zephyr Energy

Zephyr  announce that initial drilling operations have commenced on the State 36-2R well at the Company’s flagship project in the Paradox Basin, Utah, U.S. 

In line with the Company’s announcement on 15 March 2024, a small and low-cost spudder drilling rig was mobilised to the well location on 20 March 2024. The spudder rig subsequently drilled a 30-inch hole to a depth of 96-feet before successfully setting 20-inch conductor casing. All operations were conducted safely.

The remaining sections of the well will be drilled using the Helmerich & Payne Rig 257, as also announced on 15 March 2024.  The H&P rig has now been mobilised to the well site and will begin rig-up activity in mid-April, prior to commencing the larger drilling operation.

Colin Harrington, Zephyr’s Chief Executive, said

“We continue to make good progress at the well-site and are well prepared for the next phase of drilling which is expected to commence in mid-April.”

More good news as Zephyr announce the start of the drilling operations at the Paradox Basin well 36-2R. The spudder rig having been mobilised and doing all the necessary preparation work for the main drilling rig arriving in mid April.

Not much to add I know but it is good to see such regular updates. At 3.74p the shares are up 17% today and have nearly doubled since the turn of the year but enthusiasts should remember what they were before the operational difficulties and quite what the upside is at Zephyr.

My confidence is undented and  my 20p TP remains intact, my confidence in the Paradox Basin is still extremely high and the management at Zephyr amongst the best in the sector. 

And finally…

Sport goes from the sublime to the ridiculous as a feast of historic rugby, racing and footy turns into a famine of all proportions.

Last night Wales beat Finland and Poland saw off Estonia so they meet next Tuesday for the right to go to the finals of the European Championships in the summer.

And F1 returns but you will have to be up at 0400 hours on Sunday for the Australian GP in Melbourne. And it’s the Lincoln tomorrow at Donny if you can stand flat racing in the jumps season…