Register

Peak Oil is You


Donate Bitcoins ;-) or Paypal :-)


Page added on August 7, 2017

Bookmark and Share

Is This the Beginning of the End for the Oil Industry?

Production

The energy sector is undergoing a seismic shift that has caught many pundits by surprise. That shift was triggered by the Saudi decision to boost production as the Kingdom sought to challenge the U.S. shale oil industry’s rise and reassert OPEC’s dominance. Because of growing global supplies coupled with waning demand growth, crude prices plunged. There are signs, despite moves by OPEC and other oil dependent non-OPEC states to boost prices, that the oil industry is in decline and that prices will never recover to their pre-crisis highs.

You see, the industry is experiencing an inevitable confluence of events that is causing long-term demand for petroleum to decline. That makes oil stocks unattractive investments. 

Now what?

The secular trend to clean sources of renewable energy continues to gain momentum as the challenges posed by global climate warming and climate change weigh heavily on humanity. That has seen a massive push by governments across the world to curb global warming and led to the formation of the Paris Agreement on climate change which entered force in November 2016.

This document aims to keep the global temperature increase this century to below two degrees Celsius above pre-industrial levels.

It has already been speculated by energy industry insiders and analysts that in a less than two-degree world, a third known oil reserves would become stranded assets. Among the most vulnerable are Canada’s oil sands because of the significant amount of energy expended to produce usable crude from bitumen.

The agreement aims to eventually eliminate fossil fuels from the global energy mix. It has been speculated by Carbon Tracker, a think tank of energy, financial and legal analysts, that oil demand growth will peak in 2020 a mere three years from now. After that point, the oil industry will no longer need to grow.

The rise of the electric car certainly supports this thesis.

The single largest consumer of oil globally being responsible for nearly half of all barrels consumed is gasoline and already there are moves afoot to eliminate gasoline powered vehicles. The governments of France and Britain have banned the sale of petrol and diesel cars by 2040. Other European governments are planning similar legislation.  China, which is battling to curb the massive amounts of pollution in its major cities created by the country’s rapid industrialization is implementing legislation aimed at seeing electric vehicles make up 12% of all new car sales by 2020.

While those targets appear ambitious renewable energy, technology is moving at a rapid pace.

Already, there is analysis that shows electricity generated from solar and wind power is cheaper than coal, oil and natural gas fired plants per megawatt hour produced.

The performance of electric cars is progressing in leaps and bounds while costs are falling. Tesla Inc.’s Model 3, which is set to go into production before the end of this year has a 346-kilometre range per charge, a top speed of around 200 km/h and is able to accelerate from 0 to 100 km/h in roughly six seconds.

So what?

This means that weaker oil prices are here to stay and if demand growth drops off altogether by 2020 as some analysts have predicted, then global oil supplies will exceed demand causing prices to tumble once again. None of this is good news for Canada’s energy patch. Oil sands are responsible for more greenhouse gas emissions per barrel of crude produced than conventional oil production and production costs are also higher.

Deeply indebted intermediate oil producers such as Baytex Energy Corp. (TSX: BTE)(NYSE:BTE) and Pengrowth Energy Corp. (TSX:PGF)(NYSE:PGH), which are dependent on crude being at US$55 to survive will be sharply impacted by weaker oil prices.

Furthermore, Pengrowth has invested considerable capital in its oil sands assets notably the Lindbergh Thermal project. Even energy majors such as Suncor Energy Inc. (TSX:SU)(NYSE:SU) would not escape unscathed because three-quarters of its oil production comes from oil sands.

fool



49 Comments on "Is This the Beginning of the End for the Oil Industry?"

  1. MASTERMIND on Mon, 7th Aug 2017 3:49 pm 

    People don’t want the truth. They want to feel happy. Imagine if the MSM were to run front page stories about how shale is a joke — how conventional oil and gas are well past peak — how solar and wind are nonsense — how EV’s are bullshit and increase pollution… how we shredded Iraq and Libya and Syria so that we could keep BAU alive and continue to live large for a few more years….This would cause mass hysteria. So since nobody wants truths — and giving them truths would only end badly for all involved… might as well use the MSM to keep the sheeple under control and entertained. See everybody wins! The public get their puff of hopium, the MSM owners get their shot of influence and wealth, and politics get their PR department for free, and doomsters get their laughs and (like everybody else) a few more years of life.

  2. eugene on Mon, 7th Aug 2017 4:24 pm 

    In your dreams

  3. Dredd on Mon, 7th Aug 2017 6:14 pm 

    “Is This the Beginning of the End for the Oil Industry?”

    We can hope.

    But they are engineering a coup that the people are embracing blindly (Will The Military Become The Police? – 11).

  4. tahoe1780 on Mon, 7th Aug 2017 6:25 pm 

    OT – Godspeed Makiti

    http://www.zerohedge.com/news/2017-08-07/us-preparing-airstrikes-against-isis-philippines

  5. Makati1 on Mon, 7th Aug 2017 6:41 pm 

    tahoe, I’ll worry about it IF it happens. I doubt that the article is accurate as I have not seen any sign of such here in the news or gossip. The “terrorist” problems are 600 miles from where I live. Are the people in Atlanta worried about the Chicago gangs? I doubt it.

    You should worry about your own situation if you live in the dying U$ Police State. I see a collapse of the system there in the near future and a massive breakdown in civil order. TPTB are running out of time.

    http://theeconomiccollapseblog.com/archives/the-dow-closes-at-a-record-high-for-the-9th-straight-time-but-experts-warn-that-a-stock-market-crash-could-be-imminent
    https://www.theburningplatform.com/2017/08/07/is-america-on-the-verge-of-a-nervous-breakdown-or-civil-war/

    Drastic measures to follow. Are YOU prepared? I am.

  6. boat on Mon, 7th Aug 2017 6:45 pm 

    Oil and gas at peak?

    Think decades if your talking combined btu.

  7. tahoe1780 on Mon, 7th Aug 2017 7:52 pm 

    Makati1 – Good to know you’re not in harms way.

  8. twocats on Mon, 7th Aug 2017 7:53 pm 

    you are confusing “combined btu” with “conventional” a simple mistake that someone who has no idea what they are talking about could make. so, about spot on for you.

    and although conventional gas has peaked, shale gas is holding its own…

    https://shaleprofile.com/index.php/2017/07/24/marcellus-pa-update-through-may-2017/

  9. GregT on Mon, 7th Aug 2017 8:16 pm 

    There is more than enough “combined BTU” to cook the planet boat.

    Which fossil fuel reserves must stay in the ground to avoid dangerous climate change?

    “A third of oil reserves, half of gas reserves and over 80% of current coal reserves globally should remain in the ground and not be used before 2050 if global warming is to stay below the 2°C target agreed by policy makers, according to new research by the UCL Institute for Sustainable Resources.”

    https://www.sciencedaily.com/releases/2015/01/150107131401.htm

    I know, not going to happen. Crispy critters.

  10. Makati1 on Mon, 7th Aug 2017 8:22 pm 

    Tahoe, thank you. I hope you, and yours, are always safe also.

  11. boat on Mon, 7th Aug 2017 8:29 pm 

    twocats,

    My water heater, car, stove, the refineries, the petrochemical plants, none of them give a shyt what the oil or gass is called. Only doomers in some failed crash scheme.

  12. twocats on Mon, 7th Aug 2017 8:50 pm 

    you are correct, but that wasn’t the original statement or counter-statement from you, nor does it address any of the underlying POD issues.

    You are so far from the original comment that we might as well be talking about wine vintages. my belly doesn’t care where the grapes came from it’s all alcohol to me.

    sounds like someone’s been drinking. nice try though!

  13. GregT on Mon, 7th Aug 2017 9:07 pm 

    “sounds like someone’s been drinking. nice try though!”

    There’s a big difference between having a few drinks and permanent brain damage.

  14. boat on Mon, 7th Aug 2017 10:13 pm 

    twocats,

    What if convential oil went to 50 percent but fracked oil went to 50 percent. All it would mean is fracking is gaining market share. The cars trucks and vans will still chug along.

  15. GregT on Mon, 7th Aug 2017 11:48 pm 

    boat,

    You make absolutely zero sense.

  16. boat on Tue, 8th Aug 2017 12:37 am 

    greggiet,

    Of course not to a guy that lives in the sticks and think there is a deep state run by jews. Lol Hows that stock market doing for ya. Lots of cents to be made if ya know what your doing. Btw how many recessions have we had since 2007. Did ya notice the 16 year low in unemployment in your nonrecovery.

  17. Cloggie on Tue, 8th Aug 2017 2:19 am 

    Of course not to a guy that lives in the sticks and think there is a deep state run by jews.

    If you would read books on culture and history, you would arrive at the same conclusion. But you only care about finance and Swedish cuisine. Making a buck is all that matters. Then you withdraw in your gated community and lecture the world on-line that you do not understand racism and that mass-immigration is fine, because Leroy harmoniously drives your golf-cart for a tired dollar. You do not understand identity, because you haven’t got any. Yesterday you lived in A, today in B and tomorrow in C. No “blood and soil”. For you globalist, everybody is an economic resource. You are the ultimate shallow cultural Marxist of the capitalist variety. And when America turns into the next XXL Yugoslavia (as even Kunstler now openly suggests is going to happen, he advises to move to Missouri to escape the consequences of what is coming and seeing another one of his tribe’s projects going to fail), you will not have a clue of what is happening. “Can’t we just get along?”, you will cry in horror, seeing your business opportunities going up in flames. If you would have accurate knowledge of history, you would know that the answer is “no”. Your very own deplorables, those who have less money than you and can not afford to live in a gated-community, will begin to revolt and they will see you as their enemy.

    The first 13 minutes of this video are enough to see what is happening, what is brewing, what is coming in the US:

    https://www.youtube.com/watch?v=LBOTk00eMT4

    #BirthOfANation-2.0

    The only difference I have with Kunstler is in guestimating how the new frontiers will look like. Kunstler condescendingly professes…

    Daniel and Evan learn that America has fractured into three separate countries. The most colorful of these is a confederation of southern states called the Foxfire Republic, led by a former country singer named Loving Morrow. Described by Kunstler as a case of “Dolly Parton meets Hitler,” she preaches hatred of various minority groups that allegedly stand in the way of a return to progress.

    Kunstler is still too Jewish not to have anything but contempt for these heartland deplorables, but at the same time is too realistic to see that this will happen eventually.

    Regarding the borders, I think that the coming white republic on North-American soil will coincide with the Mississippi basin, a land-locked entity with only the Missisipi debouchment as the only access to the ocean.

    Only time will tell.

    https://en.wikipedia.org/wiki/Mississippi_River#/media/File:Mississippiriver-new-01.png

    The (not so) United States has the same area as Europe, Europe in a Gaullist sense that is, from the Atlantic to the Ural mountains, or ca. 10 million km2:

    http://tinyurl.com/y6v9wdfl

    The difference is that Europe consists of ca. 30 countries, the Unites States only one (the very reason why America could get Europe under control… until it no longer doesn’t… by playing European countries out against each other).

    Here you see the accurate, fine-grained territorial development of the United States since 1776:

    https://en.wikipedia.org/wiki/Territorial_evolution_of_the_United_States

    One yuge fact immediately stands out: the border is constantly moving, it remains static for only a limited duration… after which history marches on. The next border “correction” is coming alright… er… make that altright. And the initiation point will probably be the downfall/retreat of president Donald J. Trump, just like president Mikhael Gorbachev marked the downfall of the USSR and split-up in fifteen pieces.

  18. peakyeast on Tue, 8th Aug 2017 2:38 am 

    @dredd: It looks more like the police itself is becoming militarized.

  19. Cloggie on Tue, 8th Aug 2017 4:20 am 

    2 x 1.2 GW wind projects given the green light in Spain and Britain:

    https://deepresource.wordpress.com/2017/08/08/1-2-gw-wind-parks-to-be-built-in-spain-and-britain/

  20. Cloggie on Tue, 8th Aug 2017 4:25 am 

    95% Germans support expansion renewable energy in principle:

    http://www.spiegel.de/wirtschaft/soziales/energiewende-95-prozent-der-deutschen-wollen-mehr-oekostrom-anlagen-a-1161812.html

    If they are informed about the cost (20 euro per month extra) the figures are amended:

    – 37% too high
    – 49% OK
    – 8% not ambitious enough

  21. Davy on Tue, 8th Aug 2017 4:34 am 

    “There’s a big difference between having a few drinks and permanent brain damage.”
    Grehg, I was wondering what all your issues were that make you such a disagreeable person. You show the sign and talk about them to us subliminally. You must be on and off your meds too because you talk about meds a lot. This must be what makes you such a mean person.

  22. Davy on Tue, 8th Aug 2017 4:39 am 

    “The first 13 minutes of this video are enough to see what is happening, what is brewing, what is coming in the US:”

    Clog, we are doing fine and will be better positioned than your Eurotard land sandwiched between overshoot and the Atlantic Ocean. You got Russia to the east with a huge army to keep you from moving that way and likely to move in again like the last century. You give these long spiels on the destruction of the US that are choreographed copy and paste. You present them twice a week at least. Same shit different day. You are showing signs of makatism. Get a life brother you can do better than stale agenda.

  23. Davy on Tue, 8th Aug 2017 4:57 am 

    “BP Unlocks a New Shale Gusher in New Mexico”
    http://tinyurl.com/y9p3hnd5

    “Typical Mancos well tests have cost $13 million to $15 million, Deckelbaum said. Meanwhile, most wells in Texas’s Permian Basin cost $8 million to $10 million while those in the Marcellus formation of the eastern U.S. range from $5.5 million to $7 million. BP declined to provide additional information on the costs of its Mancos well, which was drilled with a 10,000-foot (3,000-meter) lateral.”

    “In June 2016, the U.S. Geological Survey estimated that the part of the Mancos shale lying in the Piceance Basin of Colorado and Utah alone contains 66 trillion cubic feet of natural gas, making it the second-largest assessment of continuous gas resources the agency has ever done. The estimate was up from a previous assessment of just 1.6 trillion.”

  24. Cloggie on Tue, 8th Aug 2017 5:05 am 

    and will be better positioned than your Eurotard land sandwiched between overshoot and the Atlantic Ocean.

    We are (not yet) a demographic pressure cooker, your fatal weakness. Keep on misreading the reason why Trump was elected.

    You got Russia to the east with a huge army to keep you from moving that way and likely to move in again like the last century.

    We in Europe have zero intent to move eastwards and the Russians do not fear us. And they do not fear us. They fear the intentions of the US and (in the longer term) China. In fact Putin offered free land in the Far East to Europeans, but nobody is interested.

    https://www.rt.com/business/392450-russia-free-land-putin/

    Russia moved in, in 1945 because it was communist and aspired to take over the entire world and was backed by the crypto-communist Roosevelt government. Communism however is gone and gone is the Russian expansionist drive. Nowadays Russia has a rapidly growing Chinese neighbor, which scares the hell out of them and in reality Russia is seeking shelter with Europe.

    http://russia-insider.com/en/china-fears-it-merely-russias-plan-b/ri15401

    Clog, we are doing fine

    Sure, go tell that to Kunstler. Or reread your own, more than 5 years incessant broadcasting of your collapse message. I’m happy for you that you got an Italian passport. You are going to need it.

  25. boat on Tue, 8th Aug 2017 5:26 am 

    clog,

    You suffer from racism block. I am totally against immigration just not for the same reasons you are. The world suffers from overpopulation and immigration just exacerbates the problem.
    One of my best friends is a collage educated black guy from NJ that I worked with. In fact I got him started in mutual funds in the eighties. My respect for him didnt come from from the color of his skin or his money, it came his work ethic. He was in shape and hustled.
    Lol at being a globalist, I have yet to see all 50 states let alone add extra mileage for new terrain.
    Another thing I don’t need are opinion laced books on culture, religion or nationalism. Everybody and their dog needs some kind of affirmation on how or why they think/feel the way they do. I am not one of those people. I learned early in life the purpose of debate and researching all sides/information. An open mind with a little common sense works well, not an idea looking for a group or snip-it of history to empower my ass.

  26. Davy on Tue, 8th Aug 2017 5:53 am 

    clog, you are just preaching. You preach fantasy and fiction. Sure you present some facts but they are not holistic reality because they have not coalesced into something. They are in your head. Maybe some of it will happen but you don’t know that but you often say you know it and it will happen. You preach an agenda that attacks others with a basis of self-promotion. I can see right through that BS.

  27. peakyeast on Tue, 8th Aug 2017 6:44 am 

    Looks like newspeak is here..

    tard has replaced human, “you”, man, woman, friend, asshole, idiot, comrade and a lot of other references to another person that you are communicating with or referring to.

    Imagine in just a few years you wont be able to think “friend” or otherwise about other people. They will all be “tards”. Its double plus good.

  28. Cloggie on Tue, 8th Aug 2017 7:22 am 

    You suffer from racism block.

    You suffer from a general lack of education, other than finance.

    How do explain the following recent conflicts:

    – Donbass-Ukraine
    – Syria
    – Iraq
    – Yugoslavia
    – Palestine
    – Turkey-Kurds

    Let me guess, you will brand them all as “racists” and “haters” and “bigots” and the rest of the vocabulary you picked up from TalmudVision.

    I have a far better explanation: identitarianism. That is the existence of ethnic-religious groups, with an outspoken identity of many centuries old (Americans can only dream of that), who try to carve out a little existence for themselves and escape from domination by another ethnic-religious groups.

    One of my best friends is a collage educated black guy from NJ that I worked with.

    There you go, globalist Davos people. Your private experiences are in no way exemplary for the far more common interactions outside of the shining CNN-world of academia and international business. On the “deplorable level”, things look very different.

    https://www.youtube.com/watch?v=ZGSAhNZnisk

    You are so atomized individualistic, you couldn’t care less about “your people”, because you have no people, other than those you do business with, irrespective of ethnic-religious background.

    You and to a lesser extent Davy, have no clue, c.q. pretend to have no clue, that behind your Davos/US empire backs, your own country is falling apart.

  29. Davy on Tue, 8th Aug 2017 7:43 am 

    “Imagine in just a few years you wont be able to think “friend” or otherwise about other people. They will all be “tards”. Its double plus good.”

    You are right peakie but you realize you are part of what you are talking about right? I have been here a long time on a regular basis and I have watched this blog deteriorate. Yes I am part of it. I fight my battles to. We are a reflection of the world that is degenerating also. One of the key differences with me is often I am defending myself against unfair and extremist hate from the Anglotards and Eurotards. These people congregate in hate. We used to spend more time on the issues and we had many practical exchanges on personal solutions. Now days it is a fuck-fest and getting old. Is there any cure for it? I doubt it. We have too many extreme positions here. We have too many people without manners. I would like to have manners but we are engaged in a war of words. War is hell so let’s get on with it and get it over with.

  30. Davy on Tue, 8th Aug 2017 7:51 am 

    “You and to a lesser extent Davy, have no clue, c.q. pretend to have no clue, that behind your Davos/US empire backs, your own country is falling apart.”

    BS, clog, I am here because my country is falling apart. I am against the empire thing and I am against what Davos is about. You are an Empire wannabe and revel in a dirty Eurotard (UN)civilization. You are lost in the 20th century and act as though the 21st century is an extension of the 20th. We are in a new age and your 20th century fantasies are broken and stale. Your brand of racism is a failure. I believe in separation of the races to an extent. We need to stop this cultural war with a homogenized globalism taking over all. I want no more immigration to my country. Anyone that is here that is fine but no more to add to the already too many people. Your racism is about whites only. You want to destroy other cultures to further your white Eurotard culture. You are lost in a contorted Jewish conspiracy theory. Jews are nowhere near the force they once were. The world has changed there are new powers at work. Theses powers are mostly about power, money, and privilege. Get a grip and join the 21st century.

  31. rockman on Tue, 8th Aug 2017 8:41 am 

    Wow! Another “beginning of the end” for the petroleum industry. LOL. Just like the BOTE we experienced in 1946 when the inflation adjusted price dropped to $18/bbl. But then increased until 1973 when we hit the BOTE in 1973 when it hit $20/bbl. But then we jumped to $119/bbl. Until the BOTE hit once more in 1986 when it fell to $25/bbl. But then the real BOTE hit in 1998 when it fell to $13/bbl. But that BOTE lasted only to 2008 when the price increased to $139/bbl. But son of a bitch the BOTE hit again in Feb ’09 when it dropped to $35/bbl. Of course that BOTE lasted just a few years until oil went above $100/bbl. Of course then the price plunged to $28/bbl…a nasty hit but still not as bad as $13/bbl as 1998. And then recovered to the current price of $45-$50 per bbl.

    But now I’m confused: the current oil price is 2X to 3X higher then when we reached the BOTE multiple times in the last 70 years. So is this the really, not f*cking kidding, BOTE for the industry or are we in a recovery mode and doing better then we have for the majority of the time over the last 7 decades?

    The words of this armchair expert say we are seeing the BOTE today but the statistics don’t seem to support that proposition.

  32. Cloggie on Tue, 8th Aug 2017 8:43 am 

    Beginning-of-the-End-for-the-Oil-Industry latest:

    http://www.spiegel.de/wirtschaft/unternehmen/post-street-scooter-diesel-skandal-heizt-interesse-an-elektro-transporter-an-a-1161865.html

    German Post (does that still exist?) has ordered 20,000 e-vans/e-trucks, which they produce themselves, to counter the diesel-scandal.

    And it is not just the Deutsche Post that is interested in these e-vehicles, other companies have shown interest as well. Deutsche Post even thinks that in the end it could produce 100,000 e-vans per year and give Volkswagen c.s. the finger.

  33. Kenz300 on Tue, 8th Aug 2017 10:26 am 

    Investors that want to make money look to the future fueled by renewables like wind and solar power.

    Investments in fossil fuels are the past and will decline in value.

  34. GregT on Tue, 8th Aug 2017 11:18 am 

    “Of course not to a guy that lives in the sticks and think there is a deep state run by jews.”

    The sticks suck boat. Please tell everyone that you meet.

    “I learned early in life the purpose of debate and researching all sides/information.”

    You obviously didn’t learn that lesson well, or you would have at least perused the hundreds upon hundreds of links provided to you over the years in regards to the deep state. Ignorance doesn’t count as research.

    “Hows that stock market doing for ya. Lots of cents to be made if ya know what your doing.”

    Pretty good so far this year. The differences between you and I however, are that I don’t have any debt, and I gamble with money that I can afford to lose. As mentioned before, there is a very good reason why I retired at 53. I know what I am doing.

    Btw how many recessions have we had since 2007.

    One. The great recession, AKA the global financial crisis. The crisis that we still have not recovered from. If we had of, you wouldn’t have heard about the recovery each and every day for the last 7 years.

    “Did ya notice the 16 year low in unemployment in your non recovery.”

    Did you notice that according to http://www.usdebtclock.org total debt per family in the US is $815,905, while total savings per family is $8,561? They call that the working poor boat.

  35. GregT on Tue, 8th Aug 2017 11:36 am 

    Oops sorry.

    If we had of, you wouldn’t have heard about the recovery each and every day for the last 9 years.

  36. GregT on Tue, 8th Aug 2017 11:42 am 

    “This must be what makes you such a mean person.”

    I am a very well liked, and respected member, of both my family, and my community Davy. I really could care less what somebody who has never met me, knows next to nothing about me, and lives over 3000km away from me.

    Oh battle hardened warrior.

  37. GregT on Tue, 8th Aug 2017 11:47 am 

    and lives over 3000km away from me, has to say about me.

    Oh battle hardened warrior.

  38. Davy on Tue, 8th Aug 2017 12:58 pm 

    “I really could care less what somebody who has never met me, knows next to nothing about me, and lives over 3000km away from me.”
    Da dumbass, drink some of your own medicine friend. You don’t know me but you choose to hypocritically discuss everything about me. This has been typical of you for year’s grehg. You talk one talk about others and change the tune for yourself because you know you have double standards you live by.

  39. Anonymous on Tue, 8th Aug 2017 1:59 pm 

    Natural gas continues to be a shale gale. High volumes and low prices.

    http://www.barrons.com/articles/natural-gas-efficiency-improvements-are-terrifying-1502131187?mod=yahoobarrons&ru=yahoo&yptr=yahoo

  40. Anonymous on Tue, 8th Aug 2017 2:03 pm 

    Rock, the industry will survive a lot.

    Upper 40s and lower 50s is not a dream but is bearable.

    Prices in sub40 are a problem (and definitely sub 30). At those levels, E&P capital projects and workforce get massively cut. The only places that can grow supply are in the Middle East. Even then, there is a lot of existing production so the industry continues to exist. Just very little drilling.

  41. GregT on Tue, 8th Aug 2017 2:08 pm 

    “You talk one talk about others and change the tune for yourself because you know you have double standards you live by.”

    More delusional thinking on your part, oh battle hardened warrior. (Your words, not mine.)

  42. Anonymous on Wed, 9th Aug 2017 2:22 am 

    US had a few months of net gas exporting! Where is the Rockman to talk down how we have to import. We exported more. And HH is below $3! SHALE GALE! The M

  43. Anonymous on Wed, 9th Aug 2017 2:23 am 

    arcellus is a monster.

    https://www.eia.gov/todayinenergy/detail.php?id=32392

  44. rockman on Wed, 9th Aug 2017 7:03 am 

    A – “…the industry will survive a lot.” Yep but it’s like a person with cancer that goes into remission (the next boom)…for a while. When it flares back up (the next bust) the pain returns. That cycle will persist much longer then anyone on this site today. LOL.

    “US had a few months of net gas exporting!” And remember why we’re exporting NG: it’s not because our consumers burn it. It’s because foreign buyers are outbidding them. Same reason we export 25% of the refinery products we export…more then we import. And doing so much longer then we have NG.

    Without those exports our consumers would be paying a lot less for NG and gasoline. But good short term but a disaster long term as less drilling brings on much higher prices/shortages. Again, the cycle will persist.

  45. onlooker on Wed, 9th Aug 2017 7:27 am 

    According to those who are paying heed to the Net Energy situation yes we are approaching end of days for the Oil Industry. Especially, the ground breaking Etp modeling analysis done by the Hills Group is determining that this Industry has but a few years left and by extension the modern economies of this planet

  46. Anonymous on Wed, 9th Aug 2017 10:10 pm 

    Right, Rock. The resource belongs to the mineral owners and who they lease to. Not to the consumers. Shale gale.

    P.s. Henry Hub is sub-3. No complaints needed.

  47. Cloggie on Fri, 11th Aug 2017 4:21 am 

    Intel into autonomous driving:

    https://deepresource.wordpress.com/2017/08/11/intel-in-autonomous-cars/

    But remember fellow collapseniks and repeat after me: “it is never going to work!”

  48. Davy on Fri, 11th Aug 2017 5:29 am 

    Cloggie, you make some great points with offshore wind. You are talking some good pump storage strategies, a little grandiose but some good solid ideas. Batteries and chemical storage may become viable widespread for many applications. Autonomous driving is an itty bitty niche if ever it is even perfected. It is a distraction from the real issues of decline. It is a techno optimist’s wet dream. It is stupid and nonsense even if it gets perfected which is a big if. You are in the baby pool on that one.

  49. Davy on Fri, 11th Aug 2017 5:58 am 

    Clog, here you go… great ideas and potentials with the real challenges of transformative technologies.

    “Parked Electric Cars Earn $1,530 Feeding Power Grids in Europe”
    http://tinyurl.com/y7ec4gax

    “Electric car owners are earning as much as $1,530 a year just by parking their vehicle and feeding excess power back into the grid. Trials in Denmark carried out by Nissan Motor Co. and Italy’s biggest utility Enel SpA showed how batteries inside electric cars could help balance supply and demand at times and provide a new revenue stream for those who own the vehicles. Technology linking vehicles to the grid marks another challenge for utilities already struggling to integrate wind and solar power into their distribution system. As the use of plug-in cars spreads, grid managers will have to pay closer attention to when motorists draw from the system and when they can smooth variable flows.”

    “If you blindingly deploy in the market a massive number of electric cars without any visibility or control over the way they impact the electricity grid, you might create new problems,” said Francisco Carranza, director of energy services at Nissan Europe, in an interview with Bloomberg New Energy Finance. “It’s feasible,” he said. “It’s just a matter of finding the appropriate business model to deploy the business wide-scale.’’ Electric car demand globally is expected to soar, putting further pressure on grid operators to find new ways of balancing demand. Power consumption from vehicles will grow to 1,800 terawatt-hours in 2040 from just 6 terawatt-hours now, according to Bloomberg New Energy Finance.”

Leave a Reply

Your email address will not be published. Required fields are marked *