Executive Summary
The first quarter of 2021 saw generally increasing commodity prices, a welcome change from the volatile price environment seen during 2020. WTI increased from approximately $48/bbl to $59/bbl during the first quarter. Natural gas was volatile but started and ended the quarter at approximately $2.60/mmbtu. With a more constructive commodity price backdrop, some see a recovery in sight, but ongoing uncertainty looms as the Biden Administration begins implementing its oil & gas policies. In this newsletter, we examine the macroeconomic factors that have affected the industry in the first quarter of 2021 and peek behind the curtain on what the remainder of 2021 might hold.
