Wednesday, May 19, 2021

Legacy Fund, April, 2021, Deposit

Link here.

This was the April, 2021, deposit. I'm not sure if I have posted this before, if I missed it last month, or if this is the most recent. Whatever. It's the April, 2021, deposit. 

Gasoline Demand -- May 19, 2021

Link here

No New Permits, But Thirteen Permits Renewed, Including Kraken, Renewing Three Permits -- May 19, 2021

Woke, nonsense, or simply next-level ignorance: Saudi sells its entire Suncor Energy holdings to buy positions in companies in the video games industry. Wow, talk about an echo chamber among the princes. Note: the Saudi Arabian sovereign wealth fund, the Public Investment Fund (PIF).

Comment: for all the hand-wringing about the price of oil today, it still looks really, really good. For me, the sweet spot for WTI is $55 - $60. May $60 - $65 with the weakening dollar. And, yes, I bought more shares in a US shale oil company earlier today. I know the trade went through; I don't know the details. Be greedy when others are fearful.

Disclaimer: this is not an investment site.  Do not make any investment, financial, job, career, travel, or relationship decisions based on what you read here or think you may have read here

By the way, what did ARRK do today? Actually better than I would have expected; down only 1.75%.

Ford: idling plants, shutting down production; can't get enough chips. Something tells me this is not going to end well. Actually did quite well; a three-cent loss to close at $12.11. I guess "they" like the new Mustang (EV) and the new Lightning pick-up (EV). The latter won't be available until next year.

Reminder: this is not an investment site.  Do not make any investment, financial, job, career, travel, or relationship decisions based on what you read here or think you may have read here

Comment: because of family commitments today (and the rest of the week for that matter), I did not see "Fast Money" or "Mad Money" in real time today. I can watch re-runs on Hulu starting tomorrow, I believe, but I probably won't. A few more days like today (and this week) and some folks are going to start paying attention (either on the buy side or the sell side). 

Comment: just think how that car dealer that sold a brand new $150,000 car yesterday and took the payment in Bitcoin feels today. Ouch. I believe the North Dakota state treasurer accepts Bitcoin. I hope he/she's a nimble trader. 

ND refinery: this should make the environmentalists happy

Why do we even bother? Link here

Brought tears to my eyes:

Back to the Bakken

Active rigs

Active Rigs1914666151

No new permits.

Thirteen permits renewed:

  • BR (7): two Mathistad permits; two Croff permits, all in McKenzie County; three Keene permits in Dunn County;
  • Kraken (3): a Raymond LW permit, a Raymond permit; and, a Fairbanks permit, both in Williams County;
  • Lime Rock Resources (2): two Robert Sadowsky permits in Dunn County;
  • CLR: a Cuskelly permit in Dunn County;

Several Recently Completed MRO Wells Updated -- March 19, 2021

From January 5, 2021. Most of these wells did not have production data. Production data is now starting to show up.

"Monster wells" are tracked here

Record IPs are tracked here.

I don't know if I posted this before: some of these wells, particularly the Ruggles pad, is quite a ways to the east of the "center" of the Bakken. It's possible it's always been known as a "sweet spot," but on the NDIC map, it certainly looks a bit far to the east of the main Bakken play. One wonders.

Released from confidential status:

  • 36993, 3,442, MRO, Leiderbach 11-27H, Chimney Butte, first production, 11/20; t--; cum 29K first month; cum 153K 3/21;
  • 36994, conf, MRO, Hull 41-28TFH, Chimney Butte, first production, 11/20; t--; cum --;
    DateOil RunsMCF Sold
  • 37093, 3,209, MRO, Ruggles 14-33H, Bailey, first production, 11/20; t--; cum 15K first month; cum 98K 3/21;
  • 37095, 3,194, MRO, Wiest 24-33H, Bailey, first production, 11/20; t--; cum 27K first month; cum 98K 3/21;
  • 37250, conf, MRO, Hoss 41-3TFH, Killdeer, 
    DateOil RunsMCF Sold
  • 37251, conf, MRO, McGowan 11-2H, Killdeer, 
    DateOil RunsMCF Sold
  • 37395, 4,798, MRO, Wallentinson USA 44-8H, first production, 9/20; t--; cum 115K 11/20; huge well; note 49K over 19 days extrapolates to 78,147 bbls / 30-day month:
    PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare

Producing wells (DUCs) reported as completed:

  • 36994, MRO, Hull 41-28TFH, see above;
  • 37079, drl/A--> 3,930, MRO, Canon 21-15H, Chimney Butte, first production, 10/20; t--; cum 39K over 22 days; cum 159K 3/21;
    PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare
  • 32434, 4,679, MRO, Stillwell 21-13H, Lost Bridge, first production, 8/20; t--; cum 215K 11/20; previously posted, thanks to a tip from a reader; cum 325K 3/21;
  • 37081, 3,845, MRO, Mollie 31-15H, Chimney Butte, first production, 11/20; t--; cum 37K over 22 days; cum 166K 3/21;
  • 37080, drl/A--> 4,521, MRO, Buxton 31-15TFH, Chimney Butte, first production, 11/20; t--; cum 54K over 28 days; cum 174K 3/21;
    PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare

EIA's Weekly Petroleum Report And The Dashboards; WTI Plummets -- May 19, 2021

EIA dashboards:

EIA weekly petroleum report, link here:

  • US crude oil in storage increased by 1.3 million bbls from the previous week;
  • US crude oil in storage now stands at 486.0 million bbls, 1% below the five-year average;
  • refiners are operating at 86.3% of their operable capacity;
  • US crude oil imports averaged 6.4 million bopd, up 0.9 million bopd from the previous week;
  • imports averaged 6.0 million bopd, almost 11% more than the same four-week period last week;
  • distillates in storage decreased by 2.3 million bbls; are 5% below the five-year average;
  • jet fuel product supplied was up 106% compared with the same four-week period last year.

Back to the Bakken

Active rigs:

Active Rigs1914666151

One well coming off the confidential list -- Wednesday, May 19, 2021:

  • 37218, drl/NC, Slawson, Zephyr Federal 4-36H, first production, ; t--; cum --;

RBN Energy: why natural gas production took off in British Columbia's Montney region, part 2. The Montney is tracked here on the blog.

The Montney Formation in British Columbia and Alberta is exclusively responsible for the turnaround in Western Canada’s natural gas production in the past decade. Gas production in the Montney — a vast area with extraordinary reserves — has doubled in that time, with most of that growth coming from the BC side of the formation. This phenomenal growth story stems from a few key factors, including steadily improving gas well performance and increasing wellbore length, coupled with access to an established network of gas pipelines. Today, we delve into what has made BC’s portion of the Montney such as standout.

After the acclaimed oil sands of Alberta, the Montney Formation is probably the most talked about geologic play in Western Canada in the past 20 years. Mostly known for its immense reserves and growing production of natural gas, the Montney has risen to prominence in the context of both the Canadian and broader North American gas markets. Within a few years, its reserves will also begin feeding the currently under construction LNG Canada liquefaction plant and export terminal on the BC coast, extending the access of Montney gas to overseas markets.