Tuesday, June 18, 2019

API Weekly Crude Oil Inventories: A Draw Of Less Than One Million Bbls -- June 18, 2019

API:
  • forecast: a moderate draw of 2.033 million bbls
  • actual: a draw of only 812,000 bbls
  • in the big scheme of things: no change
  • false precision: forecast and actual measure to the near thousand bbls
  • validation: tomorrow with the EIA data
  • WTI: closes over $54 -- closing at $54.08
Link here.

Who Will Stop The Rain? -- June 18, 2019

For the archives. We will come back to this in September (2019).

Link to iceagenow.

Too much rain.

Farmers not getting corn crop in.

What crop they are getting in, is getting in late.

More rain expected.

Corn getting in late, could be hit by early freeze this autumn.

So, we'll see. Archived and follow-up in September.

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In Addition To The Expected Long, Deep Solar Minimum ..... 

... global temperatures have been falling for quite some time now.

Link here.


US scientists at NOAA expect the cooling trend to continue through the next 11-year cycle. From
spaceweatherarchive:
 



Hess With Seven New Permits; Whiting With Three New Permits -- June 18, 2019

API:
  • forecast: a moderate draw of 2.033 million bbls
  • actual: a draw of only 812,000 bbls
  • in the big scheme of things: no change
  • false precision: forecast and actual measure to the near thousand bbls
  • validation: tomorrow with the EIA data
  • WTI: closes over $54 -- closing at $54.08
Giving back to the community: I'm waiting for the renewable energy sector to make similar announcements:


Active rigs:

$53.276/18/201906/18/201806/18/201706/18/201606/18/2015
Active Rigs6264572878

Ten new permits:
  • Operators: Hess (7); Whiting (3)
  • Fields: Manitou (Mountrail County), Glass Bluff (McKenzie)
  • Comments:
    • Hess has permits for a seven-well EN-Anderson pad in section 7-156-94, Manitou oil field; it appears that all seven may be "section line" wells (not sure about this, but all seven have "LE" in their legal name)
    • Whiting has permits for a three-well Erickson pad in section 26-152-103, Glass Bluff oil field;
Seven permits renewed:
  • Kraken (4): a Rat Lake, a Knife River, a Sikes, and a Liberty permit, all in Mountrail County
  • Slawson (2): two Nightmaker permits, Mountrail County
  • RimRock: a Moccasin Creek permit in Dunn County

A Group Of MRO Wells In Bailey Oil Field Taken Off Line Late Last Year Are Back On Line -- June 18, 2019

This page won't be updated.

These wells are tracked at this post; they will be updated at that post.

At the linked post above, it was noted that a number of great MRO wells in Bailey oil field were taken off-line late last year; they are now back on line and back to producing:
  • 30550, 4,516, MRO, Brush ..., Bailey, t9/17; cum 255K 4/19; no jump in production;
  • 29384, 1,931, MRO, Ulmer ..., Bailey, t1/16; cum 189K 4/19; no jump in production;
  • 29383, 1,975, MRO, Wilhelm ..., Bailey, t1/16; cum 163K 4/19; no jump in production;
  • 29382, 1,100, MRO, Ringer ..., Bailey, t2/16; cum 150K 4/19; no jump in production;
  • 29381, 2,449, MRO, Trinity ..., Bailey, t2/16; cum 266K 4/19; no jump in production;
  • 28704, IA/1,072, MRO, Greider ..., Bailey, t3/15; cum 111K 7/18; remains off line;
  • 28459, 2,350, MRO, Otto ..., Bailey, t11/14; cum 370K 4/19; no jump in production;
  • 28360, 1,118, MRO, May ..., Bailey, t12/14; cum 178K 4/19; no jump in production;
  • 28358, 1,816, MRO, Reidun ..., Bailey, t12/14; cum 194K 4/19; no jump in production;
  • 28111, 1,675, MRO, Susana ..., Bailey, t11/14; cum 178K 4/19; no jump in production;
  • 25114, 2,417, MRO, Patrick ..., Bailey, t8/13; cum 232K 10/18; remains off line;
  • 24973, 2,437, MRO, Brigner ..., Bailey, t7/13; cum 234K 10/18; just came back on line for 5 days 4/19;
  • 24075, 1,371, MRO, Hansen Ranch ..., Bailey, t4/13; cum 165K 10/18; remains off line
  • 23980, 576, MRO, Klay Carlson ..., Bailey, t6/13; cum 127K 1/19; remains off line;
  • 22658, 1,324, MRO, Lee Christensen ... Bailey, 9/12; cum 272K 4/19; just came back on line;
  • 22451, 1,504, MRO, Curtis Kerr ...., Bailey, t3/13; cum 232K 4/19; just came back on line;
  • 22333. See this post. Remains off line 4/19.

Starting To See 500K Milestones -- June 18, 2019

This is the year that we will start to see many wells go over the 500K-bbl threshold.

There are dozens of "monster wells" in the Sanish oil field; here are a few examples:
  • 16902, 2,192, Whiting, Lacey 11-1H, t7/08; cum 500K 4/19;
  • 18711, 4,126, Whiting, Fladeland 12-10H, t7/10; cum 505K 4/19;
  • 17586, 2,004, Whiting, McNamara 42-26H, t12/08; cum 527K 4/19;
  • 18943, 2,169, Whiting, Locken 14-9XH, t11/10; cum 575K 4/19;
  • 17917, 1,912, Whiting, Olson Federal 42-8H, t5/10; cum 600K 4/19;
  • 17133, 2, 421, Whiting, Smith 11-7H, t8/08; cum 540K 4/19;

The Woodrow Star "A" 1 Went Off-Line -- June 18, 2019

The Woodrow Star "A" 1 went off line 1/19. 
  • 1987, IA/150, CLR/Pan American/Prima, Woodrow Star "A" 1, Antelope field; Sanish; t10/58; cum 1.105529 million bbls 12/18; a vertical well; went off line 1/19; no recent sundry form;
Recent production:
PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare
SANISH4-20190000000
SANISH3-20190000000
SANISH2-20190000000
SANISH1-2019150002440240
SANISH12-201831972261055840496
SANISH11-201830930885870480
SANISH10-2018314916983508890470
SANISH9-2018304584523388860481
SANISH8-2018314082323158630475

A South Red River B Well Has Gone Over The One-Million Bbl-Milestone -- June 18, 2019

The well:
  • 16242, 405, Denbury Onshore/BR, CHSU 11C-5NH 05, t8/06; Cedar Hills, cum 997K 4/19;
Recent production as reported through 4/19, but still producing as of June 18, 2019:
PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare
SOUTH RED RIVER B4-2019302033202681674000
SOUTH RED RIVER B3-20193119891999862264624620
SOUTH RED RIVER B2-2019281768177979202000
SOUTH RED RIVER B1-201931166316298463745644412
SOUTH RED RIVER B12-2018311367137889619000
SOUTH RED RIVER B11-2018301357137082372000
SOUTH RED RIVER B10-2018311455144379713434108326
SOUTH RED RIVER B9-20183014431434687104730473
SOUTH RED RIVER B8-20183116221635715494930493
SOUTH RED RIVER B7-20183116621663750485090509

Fascinating -- June 18, 2019

June 18, 2019, T+18 (link here): Acting Defense Secretary Shanahan won't go forward with confirmation, Trump says. Shanahan wants to spend more time with his family. March 28, 2019, article: When will Trump nominate a permanent defense secretary?
In the 70 years before 2019, the Department of Defense had never gone more than two months without a permanent leader. Now, President Donald Trump’s administration is poised to double that wait.
The post formerly filled by Defense Secretary Jim Mattis has been open since January 1, 2019, a leadership void that has drawn increasing concern among lawmakers.
From Talking Points Memo:
President Trump on Tuesday announced that Acting Secretary of Defense Patrick Shanahan has declined to move forward with the confirmation process to formally assume the role. At the same time, a new report was published outlining shocking details from episodes of domestic violence within Shanahan’s family.

Trump said he would name Army Secretary Mark Esper as the acting secretary. Shanahan’s withdrawal is not completely unexpected, as Yahoo News reported Monday that his confirmation process was being hampered by a longer-than-usual FBI background check, which included a domestic violence episode that resulted in his ex-wife’s arrest.

He addressed that and some other grisly familial incidents with the Washington Post in a story published nearly simultaneously with Trump’s tweets.

In November 2011, Shanahan’s then-17-year-old son William beat his mother with a baseball bat, rendering her unconscious in a pool of her own blood. She sustained skull fractures and internal injuries so severe that they required surgery.
And much more at the link.

Sounds like someone needs to spend more time with his family. Although I assume his "original" family is now quite dispersed. He is divorced, father of three. This all happened almost ten years ago. This article, May 14, 2019, completely missed the history of family violence. This article has more but is also lacking.

From wiki:
Shanahan served as Deputy Secretary of Defense from 2017 to 2019. He previously spent 30 years at Boeing in a variety of roles.

On May 9, 2019, President Trump announced his intention to nominate Shanahan as the Secretary of Defense, a decision that was reversed on June 18, 2019.
Again, it seems Trump was given really, really bad advice when Shanahan was brought on as Deputy SecDef.

Top IPs In The Bakken -- Hart Energy -- June 18, 2019

Behind a pay wall, but one can see this much, the top 12 IP wells in the Bakken as recorded by Hart Energy, in boepd:
  • 7,088, Whiting, Tarpon-Federal 21-4H, McKenzie, Nov, 2011;
  • 7,013, BR, Llano 34-34H, McKenzie, June, 2012;
  • 6,766, BR, Brazos 24-34H, McKenzie, June, 2012;
  • 5,330, BEXP, Sorenson 2-H, Mountrail, March, 2011;
  • 5,238, Oasis, Casey 13-30B, McKenzie, July, 2012; 
  • 5,200, Newfield, Wisness-Federal 152-96-4-2H, McKenzie; July, 2011; 
  • 5,133, BEXP, Sorenson 29-32, Mountrail, March...
Not nearly as current (or as accurate) as the list at the blog.

There are so many ways to rank IPs:
  • one-hour flow rate with spigot wide open at time of test and then extrapolate to 24 hours (this was common early on in the Bakken, but I don't think it's often used any more)
  • peak 24-hour flow rate at time of test after the frack/completion
  • first full month/peak month (one-month) production -- calendar month (some first "full months" not full months / first full peak month is not a full 30 or 31 days)
  • first full three months (throw out the early "outlier" months)
  • first full six months (throw out the early "outlier" months)
  • boepd (oil, NG [gas], NGL [liquids]) -- common obfuscation in corporate presentations
  • bopd (oil only)
I prefer the 24-hour, one-month, and three-month production numbers.

On top of this, we haven't even begun following re-fracked IPs.

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Parts One and Two

This is an incredibly long video for such.

Part 1 was THE hit but part 2 was important. It tells me that Harry Chapin was never able to move on.

Taxi and sequel, Harry Chapin

Long Island.

Taxi:
In 1972, he released his debut album, Heads & Tales.
The album was an international success, selling over 1 million units. Its success was due to the top 25 Billboard Hot 100 hit single, "Taxi".
The song also became a top 5 hit in Canada.
The success of the song in America is credited to American radio personality Jim Connors, who helped promote the song on the radio despite its length, and helped it to stay on the charts for 16 weeks.
It became the number one requested song for 10 weeks in a row. The song was performed on The Tonight Show Starring Johnny Carson, which received so many calls that Chapin returned the next night. It was the first time in the show's history that a performer had been called back the next night.
It was also one of the first performances on The Midnight Special, with John Denver hosting.
In my journal those years, I mentioned these songs:
  • The Doors: Riders on the Storm
  • Bill Withers: Ain’t No Sunshine (released September, 1971)
  • Barry Manilow: Mandy (1971)
  • Ringo Starr: It Don’t Come Easy (April, 1971)
  • Bee Gees: How Do You Mend a Broken Heart? (1971)
  • Karen Carpenter: Rainy Days & Mondays Always Get Me Down
  • Hamilton, Joe Frank & Reynolds: Don’t Pull Your Love
  • Donna Fargo’s Happiest Girl in the Whole USA
  • Maggie May, Rod Stewart, #1 October, 1971
  • Vicki Lawrence records The Night the Lights Went Out in Georgia, Nov 72Number one hit for Vicki Lawrence
  • Steely Dan’s Do It Again, released in 1972
  • Elton John: Crocodile Rock, Nov 1972

Oil Prices Just Surged 4% -- June 18, 2019 -- 10:08 A.M. CT

From oilprice:


No story at oilprice, yet.

Dow up 400 points.

Strange things are happening.

Jay Powell getting anxious: first Fed chairman in quite some time to lead US into recession? Trump, of course, will get the blame on "Main Street," but Jay Powell will get the blame on "Wall Street."

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The Dictionary Page

Not a typo:


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Update On The Granddaughters

Arianna and Olivia rested yesterday in Paris after an exhausting two weeks:
  • Rome, the Vatican, Kinder Eir in the Sistine Chapel
  • Athens
  • seven days sailing on the Aegean Sea
  • Sunday: Paris -- the women's soccer team defeat Chile, 3 - 0; the granddaughters on the Chile side of the field, row 5, at center line
  • yesterday, resting, laundry, charting four days in Paris
  • then, on to London for a long week

Production Data For The Equinor Cheryl Wells In Banks Oil Field Has Been Updated -- June 18, 2019

A reminder to look at the incredible Equinor Cheryl wells in Banks oil field.
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Film Noir

From the 1940s film noir The Third Man, a famous line delivered by Orson Welles:
In Italy, for thirty years under the Borgias, they had warfare, terror, murder and bloodshed, but they produced Michelangelo, Leonardo da Vinci, and the Renaissance. In Switzerland, they had brotherly love, they had five hundred years of democracy and peace -- and what did that produce/ The cuckoo clock.

Welles is said to have written that line himself. 
From The Vital Question: Energy, Evolution, and the Origins of Complex Life, Nick Lane, c. 2015, page 157.

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Family Portrait

Sophia's impressionist painting of her family: mommy, daddy, sister Arianna, and herself. Her mommy is at the top in the painting below. Arianna and Sophia are skipping and holding hands. Her father is in the middle.

When I asked where Olivia, her other sister, was, Sophia answered without missing a beat: "At soccer practice."


US Shale Oil Plays Should Report New Record Production This Summer -- EIA -- June 18, 2019

Drilling productivity report: released yesterday, June 17, 2019 -- EIA predicts another record-breaking production report for North Dakota for June.  
  • all four shale oil plays should report an increase in new-well production per rig; the Bakken could increase from 1,409 bopd to 1,413 bopd -- the highest among the four plays -- 
    • compare that 1,413 in the Bakken with only 698 in the Permian
  • predicted oil production per day by region
    • Permian: 4.171 million bopd
    • Bakken: 1.428 million bopd
    • Eagle Ford: 1.393 million bopd
    • Anadarko: 561,000 bopd
  • DUCs by region (May, 2019)
    • Permian: almost 4,000
    • Eagle Ford: 1,500
    • Anadarko: 1,000
    • Bakken:700 
Boeing: in dire straits. From zerohedge

Great writing. From Powerline. Agree completely -- even TCM is political. But that doesn't keep me from watching. The writer calls out Eddie Muller for his left-liberal perspective, but Ben Mankiewicz is even worse.

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Back to the Bakken

Wells coming off confidential list today -- Tuesday, June 18, 2019: 64 for the month; 253 for the quarter;
  • 34658, SI/NC, Petro-Hunt, USA 153-95-3A-10-4H, Charlson, no production data,
  • 34605, SI/NC, Slawson, Wolverine Federal 8-31-30H, Elm Tree, no production data,
  • 34240, 504, Oasis, Nelson 5298 422-23 5T, Banks, t1/19; cum 82K 4/19;
  • 33651, 1,429, CLR, Ransom 6-30H1, Elidah, t12/18; cum 102K 4/19;
The "parent uplift" phenomenon: next to #33651, this well:
  • 19824, 1,683, BR, Ransom 44-31H, Elidah, t5/11; cum 204K 4/19;
Production:
PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare
BAKKEN4-2019305171537732191111210452586
BAKKEN3-201928561055193579111361104521
BAKKEN2-201916260325521767464746070
BAKKEN1-201924270323073410366836080
BAKKEN12-201830289130075148483747630
BAKKEN11-2018178344595686161815760
BAKKEN10-20180000000
BAKKEN9-20180000000
BAKKEN8-20180000000
BAKKEN7-2018572033855421
BAKKEN6-20180000000
BAKKEN5-20180000000
BAKKEN4-2018138236015150
BAKKEN3-20180000000
BAKKEN2-2018100015130
BAKKEN1-2018319611155605223021550
BAKKEN12-20173113151175451243623590

Active rigs:

$51.876/18/201906/18/201806/18/201706/18/201606/18/2015
Active Rigs6264572878

RBN Energy: more on the changes coming to Texas gulf coast, part 2.
This much seems clear: natural gas demand along Texas’s Gulf Coast will be rising sharply, as will gas supply from the Permian and other inland plays to the coast. The catch is that, like clumsy dance partners, the increases in demand — mostly from new liquefaction/LNG export terminals and Mexico-bound gas pipelines — and the incremental supply to the coast via new, large-diameter pipes from the Permian are likely to be out of sync. That shifting imbalance, in turn, may well cause volatility in Houston Ship Channel gas prices as they relate to Henry Hub. In fact, we’re already seeing signs of what’s to come. Today, we continue our look at upcoming gas infrastructure expansions and their potential impact on the greater Texas Gulf Coast gas supply-demand balance.
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Increased Atmospheric CO2 Leading To Lush Texas Foliage