Energy quick reads

** US oil and gas production is booming, but policies being imposed now could jeopardize the country’s energy might, the industry’s top trade group is warning Washington. That sobering outlook is being delivered by the American Petroleum Institute as it holds an annual gathering in the nation’s capital Wednesday to highlight top policy priorities, amid concerns about climate change and conflicts around the globe that have heightened tensions over fossil fuel supplies.

** U.S. natural gas production and demand, as well as liquefied natural gas (LNG) exports, will hit record highs again in 2024, the U.S. Energy Information Administration (EIA) said in its Short Term Energy Outlook (STEO) on Tuesday.

** PJM Interconnection, the biggest U.S. power grid operator, has predicted that mounting electrification of transportation and industry will drive an increase in demand this year.

** Exxon Mobil’s write-down of about $2.5 billion of troubled California properties aims to end five decades of offshore oil production in the state, but a full exit from those assets could take some time.

World

** Russia was on pace for a second year of record oil drilling in 2023, further evidence of the nation’s resilience to Western sanctions.

** India’s finance ministry has scrapped a 50 billion rupee ($602 million) plan to top up the nation’s strategic crude oil reserves, given market volatility and the prospect of a further decline in prices.

** Britain’s thousands of wind turbines grabbed their biggest slice of the electricity mix ever in December, sending output from gas-fired plants to their lowest in almost four years.

** European natural gas prices fluctuated as traders evaluated comfortable supplies against risks posed by more attacks on vessels in the Red Sea and colder weather on the continent.

** China is estimated to have overtaken Japan as the world’s largest auto exporter in 2023, the China Passenger Car Association (CPCA) said on Tuesday, as BYD, Chery and other domestic automakers made major strides overseas.