Saturday, August 24, 2019

Business-Friendly US Brings Australia's Largest Steelmaker To Ohio -- August 24, 2019

Remember this graph? From Rystad Energy, 2020 - 2029. Based on the graphic below, Ohio will be producing as much NEW oil and gas (mostly natural gas) as Russia over the next decade. See first comment.

Now this article Don saw over at, link here, from August 21, 2019.
The chief executive of Australia’s largest steelmaker, BlueScope, says much cheaper energy in the United States is a major driver of the company’s preparedness to invest in a $1 billion expansion of its star performer, the North Star steel mill in Ohio.

North America was providing far more growth opportunities than Australia, Mr Vassella said.

He said energy prices in the US were only a third of those in Australia and New Zealand, and that was a big plus, along with North Star’s proximity to customers and the strong market for steel products, which has benefited from trade sanctions that favour US steelmakers in supplying automotive companies and building products.

“It’s part of the package of a competitive business model,” he said. “We’re still paying too much for energy in Australia.”

...the $1 billion expansion of the North Star mill, to be fully up and running by 2023, was the largest capital investment the steelmaker would likely ever make…
But look at this:
While Mr Vassella renewed his criticism of Australia’s energy market, again joining the legion of key manufacturing bosses to condemn high domestic energy prices and call for a domestic gas reservation policy to drive down local power prices, he said energy prices did not play a role in BlueScope’s decision to expand its US presence.

“Let’s be clear: we weren’t ever going to put another steel mill in Australia — it wasn’t an Australia versus the US decision, it’s probably more of a statement about how business-friendly it is in the US,” he said.
I had a bit of difficulty following Mr Vassella comments regarding energy prices ... but the bottom line is that the CEO of Australia's largest steelmaker we weren’t ever going to put another steel mill in Australia. And their $1 billion expansion will be in Ohio.

I assume both Bernie Sanders and Pocahontas will do what they can to stop this -- in the name of global warming. For those who missed it, both Crazy Bernie and Pocahontas have said "when" they are elected president, they will revoke the permits for both the Keystone XL and the DAPL.

Random Update Of A True Oil Well In Red Wing Creek -- August 24, 2019

So, what's new in True Oil's Red Wing Creek oil field? How about this:

In section 36-148-101:
  • 20240, 706, True, Williston Basin 42-36H, a Madison well; long lateral, from section 36 through section 1; the Madison interval from 10,000 feet to 14,500 feet (numbers rounded). The vertical section of the Madison was from 9,726 feet to 9,782 feet -- all of 56 feet thick. This is the second horizontal Madison well in this field; the first was True's Burlington Resources 11-1H well. This was a very poor well, a stripper well from the beginning, and is currently averaging about 2 bopd; update, producing 6,000 bbls/months recently, 6/19; 
PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare

Happy 58th Birthday -- Cedar Creek Unit 8B 14X-2A-8 -- August 24, 2019

The well:
  • 2949, 260, Denbury Onshore, Cedar Creek Unit 8B 14X-2A-8, Cedar Creek, target: Ordovician, unitized, t8/61; cum 478K 6/19;  producing for 58 years;  

Week 34: August 18, 2019 -- August 24, 2019

Craziest I've seen since blogging about the Bakken
Top international non-energy story:
  • "Global recession right around the corner" (unchanged from last week)
Top international energy story:
 Top national non-energy story:
  • "Recession right around the corner" (unchanged from last week)
Top national energy story:
Top North Dakota non-energy story:

Top North Dakota energy story: 
    Geoff Simon's top ND stories:
      Red River:
      Bakken economy:

      NASCAR Today -- 2:00 P.M. Central Time Today

      Thank goodness.

      Something other than the PGA FedEx Championship tournament. As I mentioned the other day: I don't think I've ever seen a more boring tournament.

      So, NASCAR in a few minutes. Thank goodness.

      In the meantime, Rick Steves on PBS. LOL.

      I"ll get back to the Bakken later today.

      Sophia's team -- the under six-year-old group -- won their game, 8 - 5 or thereabouts. Sophia did not score but her core competency: defense. Wow, she was good. I was impressed.

      Meanwhile, Olivia's team won their very important opener, 2 - 0. They will get points in their league for winning, and points for a shutout. This was a biggie. Olivia is a mid-fielder, she did not score; her core competency: also as a defender, and someday the captain of the US Olympic team. By that time I will be long gone.

      The NASA Page

      This never, never, never would have happened under James E. Webb.  Only in America; what a great country. This tells me one thing: today's astronauts have too much time on their hands.

      The Canned Meat Page

      I love Spam. Long story.

      I thought my favorite was jalapeno spam. That changed today. New favorite: hickory smoke Spam. 

      Going Up The Country, Canned Heat

      Red River Formation, North Dakota -- Teaser -- August 24, 2019

      I don't have time to write about it now, but that note about seismic crews ... break, break, break .... wow, talk about connecting dots .... connect these two dots:
      • seismic crews moving into Bowman County
      • a land company buying the entire county of Bowman
      I will provide the links later but I'm pretty sure regular readers of the blog know how to find those posts.

      Seismic crews moving into Bowman County ..... a land company buying the entire county of Bowman .... Auugst, 2019, state lease sales ... coincidence .... LOL .... I think not. And if I recall correctly, the leases were bought for $1 / acre -- the minimum bid. Compare with tens of thousands of dollars for acres in the Permian and simply thousands of dollars for acres in the Bakken.

      This is absolutely amazing.

      There are a few more dots to connect and this gets to be quite a story.

      Three links for those who want to get an early start (I believe the second one will load as a pdf):
      As you go through those links, two important data points to note:
      • TOC: easy to find
      • API gravity: much more difficult to find
      Red River Rock

      Red River Rock, Johnny & The Hurricanes

      The "Seward (Nebraska) Jog" -- August 24, 2019

      If you like O. Henry stories, you will like this story from the Schuyler (Nebraska) Sun. At least I did. I hope there are no more surprises; I only read about half of the article -- have to keep going. I'm already behind.

      The reader who sent me that story also sent me the map and asked if I had any idea why the "alternate" route included the "Seward Jog"?

      I did not but I bet there's a story there.

      Here's the map:

      Note that once the "XL" met up with the existing Keystone pipeline the routes were the same -- the "XL" would use the same corridor / easements as the original Keystone ... except for little "Seward jog."

      Off To A Slow Start -- Soccer Season Begins -- August 24, 2019

      I'm off to a late start and a slow start due to family commitments. Two granddaughters have their first soccer game of the season, so lots of Uber-granddaughter driving today. This will be Sophia's first soccer game ever. She just turned five. This should be quite a hoot.

      Oh, I forgot. The real reason I'm off to a slow start: we lost our wi-fi / cable at the house overnight. Happens rarely. I assume it will be back up and running by the end of the day. I  might "miss" the PGA FedEx championship third round but based on what I've seen of that tournament so far, I doubt I will miss anything worth watching. 

      First things first. I was duped, suckered. I certainly was not awake when I posted an earlier note. I've updated it, taking full responsibility. Sorry. It isn't the first time I screwed up; it won't be the last.

      Years ago I remember following a blogger like me who was a gazillion times better analyzing what was going on in the US shale revolution, a regular contributor and highly respected contributor to Seeking Alpha.

      One day he made a "major" error. He was so distraught; he felt that he had lost all credibility, said he would quit blogging for that reason and he did. Unless he's come back under a new pseudonym he no longer writes about the shale revolution. Huge loss.

      Enough of that.

      Two links and then if I get time I will come back to this story. This has to do with EV trucks being built by Daimler (the Mercedes Benz company) in Portland, Oregon:
      Later: the update here