Five Wells Coming Off Confidential List -- October 25, 2021

Covid-19: from a couple of days ago, average new Covid cases per capita in Florida are now the lowest of any state in the continental US. Some suggest Florida has no political coercion or mandates. Look at the source for that factoid: The New York Times. Source. 

Books on Broadway, Williston, ND: new audiobooks platform lets you listen while supporting your hometown bookstore. Link to The Williston Herald.

Saved by the SPAC: DWAC could make him rich again. Link to Bloomberg via Yahoo!Finance. At $10 when it first hit the news waves a few days ago, up another 12% in pre-market trading, up about $11; trading at $104.

The sound bite just doesn't work: "It's not a wealth tax, but a tax on unrealized capital gains of exceptional wealthy individuals." Targets 700 of the wealthiest individuals in the US. My hunch: John Kerry is just below the cut line. Warren Buffett will have to re-think his buy-and-hold strategy; re-think capital gains vs dividends. Source. 

CBS: in news, both morning and evening, #3 of three. Changes coming? Norah O'Donnell looking vulnerable. Not a pretty picture. Source. 

No thanks: Denver airport jobs fair had hoped for 5,000 visitors. Only one hundred showed up. 

Reflationary environment, a different investing environment. Morgan Stanley.

UK: no plan B. Source. 

Coal generated less than 2% of electricity in the U.K. in 2020, according to International Energy Agency data, compared with a fifth in the U.S., a quarter in Germany and almost a third in Japan. Surviving U.K. coal power stations have orders to close by late 2024.

Mr. Johnson has said the drive to cut emissions could rejuvenate the economy, particularly in struggling towns such as Blyth that were Labour Party strongholds until he flipped them Conservative in 2019.

The evidence is mixed. Blyth, just north of Newcastle, is home to a growing number of companies in the renewable and battery industries, but thousands of secure jobs lost when coal mines closed are yet to be replaced. Unemployment here is higher than in the U.K. overall and the town’s main drag is peppered with closed shops and discount stores.

Hertz/Tesla: Hertz orders 100,000 Teslas. TSLA, pre-market: up 4.4%. Announcement comes just after Tesla announces increase in prices. Morgan Stanley upgrades, from $900 to $1200 target price. Tesla will open at new high. Hertz deal said to be $4 billion = $40,000 / vehicle. Hertz will roll out its own charging network at airports. With deal, Tesla market cap goes over $50 billion.

Jargon confusion? This should help.

• how to calculate volatility with spot and strip prices, Motley Fool, May 10, 2017.
• how to calculate annualized volatility, Motley Fool, October 20, 2016.
• roll yield defined, Investopedia, July 9, 2021 (note how recent this article was posted).

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Back to the Bakken

Active rigs:

$84.63	10/25/2021	10/25/2020	10/25/2019	10/25/2018	10/25/2017
Active Rigs	29	14	57	68	54

Five wells coming off confidential list:

Monday, October 25, 2021: 21 for the month, 21 for the quarter, 244 for the year:

• 36928, conf, Rimrock, FBIR Guyblackhawk 24X-27D, Heart Butte, HUGE WELL, 74K 8/21; first production, 7/21; t--; cum 78K 8/21;
• 36917, conf, Whiting, Satterthwaite 14-35HU, Robinson Lake, first production, 5/21; t--; cum 45K 8/21;
• 36065, conf, Enerplus, Obsidian 147-93-16B-21H-TF, Moccasin Creek, first production, 4/21; t--; cum 40K 8/21;
  

Sunday, October 24, 2021: 18 for the month, 18 for the quarter, 241 for the year:

• 37977, conf, Hess, EN-Joyce-LE-156-94-1721H-6, Manitou, 51K in 5/21, a huge well, first production, 4/21; t--; cum 121K 8/21;
• 36769, conf, Hess, CA-Russell Smith-155-96-2425H-10, Capa; first production, 4/21; t--; cum 55K 8/21;

Saturday, October 23, 2021: 16 for the month, 16 for the quarter, 239 for the year:

• None.

RBN Energy: producing, transporting, liquefying, and buying responsibly sourced natural gas, part 2. 

It seems that hardly a week goes by without another announcement on responsibly sourced natural gas. Either in response to rising interest among electricity generators, gas-distribution utilities, and gas-consuming industrials in procuring RSG or as proactive moves to boost their own ESG cred, a number of players in the gas sector — from producers to pipeline companies to LNG exporters — have been working to qualify their natural gas, their long-haul pipes, or their liquefaction plants for RSG status. 

A few producers have also been reaching deals to supply independently verified RSG to the market, with the expectation that at least a subset of gas/LNG buyers will be willing to pay the price premium involved. But all this is relatively new, and there’s still a lot that needs to be sorted out on the RSG front. In today’s RBN blog, we continue our series on RSG with a look at recent announcements and the associated challenges when selling RSG.