The Million Dollar Way (The Bakken Oil Blog): Notes From All Over -- The Energy Issue -- July 9, 2021

Friday, July 9, 2021

There are at least seven subjects with regard to energy that we could talk about today:

comparing Joe Biden and Jimmy Carter; spoiler alert: there is no comparison. Period. Dot.
renewable energy is useless: Minnesota, California, Texas, and the list goes on;
coal is dead! Long live coal.
peak oil demand is a "thing." Hardly.
the OPEC+ spat over production quotas;
the Mideast is getting noisy;
finally, what's going on with shale? No one seems to understand what's going on.

1. Comparing Joe Biden and Jimmy Carter:

Jimmy Carter: OPEC was in control of their destiny and OPEC knew it; inept president.
Joe Biden: OPEC is not in control of their destiny and OPEC knows it; inept president.

2. Renewable energy is useless:

Minnesota; wind, not blowing;
California: drought; hydroelectricity not producing; Californians asked to voluntarily cut water usage by 15%;
Texas: what can I say?
even the EIA notes how useless renewable energy is;

3. Coal is dead! Long live coal:

4. Peak oil demand; proxy: US gasoline demand hits all-time high:

this data point might be "dialed back" when underlying ethanol numbers reviewed but ... that's quibbling; whether it's ten million bbls or nine million bbls, the writing is on the wall .. we're headed higher.
this is a bigger story than most folks realize;
there's more to come.

5. The OPEC+ spat:

6. The Mideast is getting noisy.

7. What's going on with shale?

I have no idea -- that's because I don't follow the Permian very closely and follow other US shale plays even less; I know the Bakken pretty well -- I figure I know one percent of everything that's going on in the Bakken and based on twitter experts, that's about twice as much as what others know.
the story over at twitter regarding US shale: DUCs
spoiler alert: folks don't understand the Bakken; DUCs are simply the tip of the iceberg, as they say.