Possible U.S. Power Shortages, Diversified Energy: Your Daily Energy News

Energy Market highlights gathered by Industrial Info and IIR Energy

POWER
NERC: Extreme Heat Could Cause U.S. Power Shortages This Summer - North American Electric Reliability Corporation (NERC), which develops power reliability standards for the United States, Canada and parts of Mexico, warned energy shortfalls were possible this summer in California, Texas, New England and the central United States based on above-normal temperature forecasts for much of the region. "Of greatest concern (during extreme heat) is California, where up to 11 gigawatts (GW) of additional transfers are expected to be needed in late afternoon to offset reduced solar output" versus just 1 GW on a normal day, NERC said following a board meeting. (Reuters)

PRODUCTION
U.S. Drillers Add Rigs - For the week ending May 14, U.S. energy firms added oil and natural gas rigs for a third week in a row. The oil and gas rig count rose five to 453 in the week, its highest since April 2020, energy services firm Baker Hughes Company (NYSE:BKR) (Houston, Texas) said. U.S. oil rigs rose eight to 352, their highest since April 2020, while gas rigs fell three to 100 in their biggest weekly decline since July 2020. (Reuters)

CORPORATE
Diversified Energy to Keep Growing by U.S. Acquisitions - Diversified Energy Company's (Birmingham, Alabama) chief executive expects the natural gas production company to keep growing through U.S. acquisitions, he told Reuters. "I think the size of the company will grow substantially over the next several months," CEO Rusty Hutson said. Diversified, which this month changed its name from Diversified Gas & Oil, in April agreed to spend $135 million to buy gas and natural gas liquids production in Cotton Valley, located mostly in Louisiana, from Indigo Minerals. Previously, almost all of Diversified's activity was in Appalachia in the U.S. Northeast. Hutson said the company's new Central region, which includes Texas, Oklahoma, Louisiana and Arkansas, is closer to the U.S. Gulf Coast where demand for gas from industrial customers and liquefied natural gas exporters is growing fast. (Reuters)

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About IIR Energy
Energy asset information on power plants, oil refineries and natural gas infrastructure is now more important than ever. A unit of Industrial Info Resources, IIR Energy provides infrastructure information on these assets, as well as real-time tracking of planned and unplanned interruptions affecting the commodity-trading community. We are the number one source for information about power plant outages, refinery turnarounds and midstream natural gas disruptions.

About Industrial Info
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn.