Thursday, June 28, 2018 -- North Dakota Active Rigs Up To 66

Wow, lots of stuff today. Since I have limited time at the moment, I'm just going to list the stories to which I need to return.

Top energy story of the day (so far): SRE will sell entire wind and solar portfolio. This is huge. Maybe Sempra Energy can sell entire portfolio to GE. Data points:

• announcement comes less than a month after activist investor got involved
• pressured by shareholders
• will sell several energy infrastructure assets, including its entire portfolio of US wind and solar assets, as well as certain US midstream assets 
• SRE jumped 17% at opening on June 11, 2018, when news of activist investor bought shares
• on this news, SRE up slightly on a day when the market is going to fall again (based on futures and final 1Q18 GDP reading)
• connecting the dots: note data point below -- US preparing for "century of natural gas supply"

Enbridge Line 3: latest news. It's a process. Regardless of the decision, it will end up in court. North Korean nuclear disarmament will happen faster.

New IRS form: postcard size. Pretty much. Too bad it's even more difficult to complete.

Trump: four recent court victories.

Iran sanctions: Trump winning. Last hold-out -- India -- appears to be preparing for cut in oil imports from Iran. Methinks Russia and Saudi Arabia are loving this.

Iran sanctions: Iran says removing oil from market by November as called for by US is impossible. Inshallah.  

Disappointing 1Q18 GDP: final reading -- 2.0% vs 2.2% reading expected. Futures down. Maybe that fourth rate hike scheduled for later this year not such a great idea.

Maxing out on tax credits: Tesla and GM will soon max out at 200,000. Track data here.

Capex on pipeline spending: Russia and the United States. Story here.

Jobs report (unemployment claims): link here. Forecast: 220K; actual, 227K.

US crude oil supply: dropping fast. From 30+ days of supply to 23 days in less than a couple of years.

US natural gas: "never" going to run out. Natural gas industry sees "century of supply" in US shale. Projected growth is staggering:

The United States currently produces about 72 billion cubic feet (bcf) of natural gas each day, a figure that is expected to grow by 7 bcf per day this year. And within 20 years, U.S. shale gas output should grow an additional 60 percent.

Meanwhile, things not looking good in Europe: Groningen gas output falling faster than planned. 

DOA: the Biden rule. Senator Schumer suggested President Trump should follow the "Biden rule" with regard to nominating/confirming the next Supreme Court Justice. See poll at sidebar at the right.

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Back to the Bakken

Active rigs:

$72.46→	6/28/2018	06/28/2017	06/28/2016	06/28/2015	06/28/2014
Active Rigs	66	58	30	75	19

RBN Energy: dynamite! Kinder Morgan and EagleClaw Midstream's proposed Permian highway gas pipeline will be a monster.

Wells that should be coming off confidential list today:

• 30230, conf, Nine Point Energy, Simpson 151-102-5-8-4H, Elk, a nice well;
• 24521, conf, Slawson, Gabriel 7-36-25TFH, North Tobacco Garden, no production data,