WTI Holds Near $79 as EIA Reports Crude Inventory Draw
Bakken differential narrows slightly as U.S. crude stocks fall, while EIA raises long-term natural gas price outlook.
West Texas Intermediate crude oil held near $79 per barrel in midday trading Thursday, showing little change despite a reported drawdown in U.S. commercial inventories. WTI was trading at $79.02, down 13 cents from the previous settlement, while global benchmark Brent Crude was flat at $84.95, according to live price data.
The U.S. Energy Information Administration reported a nearly 2 million barrel decrease in commercial crude oil stocks for the week ending July 10. Excluding the Strategic Petroleum Reserve, inventories now stand at 409.7 million barrels, according to Rigzone. This draw provided underlying support, countering broader market pressures and keeping prices in a narrow range.
For Bakken producers, the price for local crude showed a modest improvement. The Bakken differential to WTI was recorded at -$3.42 per barrel, a key metric for netback pricing in the region. A narrower discount compared to recent weeks improves revenue for operators and royalty owners in North Dakota's primary oil play.
Natural gas prices faced downward pressure in Thursday's session, with the benchmark price down $0.07 to $2.85. However, the longer-term outlook for gas strengthened this week. In its latest Short-Term Energy Outlook, the U.S. Energy Information Administration raised its Henry Hub natural gas spot price projection for both 2026 and 2027, Rigzone reported.
The mixed price signals create a nuanced environment for Williston Basin operators. Stable oil prices near $80, supported by inventory draws, support continued drilling and completion activity. The slightly improved Bakken differential enhances the economics of moving crude to market. Meanwhile, the elevated long-term forecast for natural gas provides a more favorable outlook for associated gas production, which is a significant factor in Bakken well economics.
The midday trading pattern suggests a market in equilibrium, balancing the supportive inventory data against concerns over demand and economic growth. Bakken operators are likely to view the current price level as workable for sustaining production, though significant new investment often requires prices consistently above current thresholds.
Source
Live Price Data, Rigzone (USA Crude Oil Stocks Drop Almost 2MM Barrels WoW, USA EIA Raises Henry Hub Price Forecast for 2026, 2027)
