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Amazon Raises Prices On Groceries -- January 29, 2023

When I see the following "words" in one sentence, it's not good: Amazon delivery $10 $150.  

At almost $10 for deliveries under $50, Amazon is telling its customers: we're done with this craziness. I've heard folks with Amazon Prime tell me they didn't think twice about ordering four bananas as their complete grocery order. Absolutely crazy. 

Link to The Verge.


It would be surprising if Target and Walmart didn't follow suit, as they say. 

Link here.

This is a huge story. I'm not exactly sure how it plays out, but I'm sure everyone will have an opinion on it. 

I think it's one of the bigger news stories of the week and it seems to be getting no attention. So, we'll see. 

Amazon must have been losing a lot of money on groceries to "sock it to" its Prime members at the amount. It makes one wonder if Amazon will look at its other delivery costs.

But back to food.

Are there three broad areas of food delivery?

  • grocery delivery, like Target, Amazon, Walmart, Costco?
  • meals-to-prepare at home (meal kits), like Blue Apron?
  • meals-ready-to-eat, like DoorDash and Grubhub?

The last category can be divided into three sub-categories:

  • fast food delivery: McDonald's, Starbucks
  • pizza; and,
  • restaurants more upscale than McDonald's;

So, the first one, grocery delivery: this business will grow significantly but the business model will also be tweaked significantly; costs will go up.

Meals-to-prepare at home (meal kits)? Perhaps more than a passing fad, but not for me. Perhaps best purpose: date night. Plan a Friday night "date night" and order early in the week. 

By the way, one would think that this would be a huge competitor to "mail-order steak services" like Omaha Steaks and/or ButcherBox. Costco has really, really good steak options at a much, much better price than "mail-order steak services" and it's easier / less expensive to buy steak for two people / one meal (Costco) than buying the typically much larger order from a "mail-order steak service" (Omaha Steaks).

DoorDash and Grubhub: will definitely get more expensive. Interestingly, pizza delivery might be the beneficiary, as folks tire of wilted Fries and other fast foods that don't travel well. Does sushi travel well at all?

Open Book Test: Denbury Wins Big With Biden's "Green" Agenda -- January 29, 2023

Link here.

Like Intel, it doesn't matter whether you excel at what you do; it matters how you play the game -- the political game.  

Denbury really didn't have to pivot. It was already "doing CO2." 

But then Greta showed up. LOL

"Doing CO2" was the right business to be in and Denbury was "in CO2." LOL.

Middling oil producer Denbury Inc. emerged from bankruptcy in September 2020 with a collection of aging wells, pipelines to move around carbon dioxide and uncertain prospects.

Today, the Dallas-based company is one of the big winners of the Biden administration’s signature climate bill.

Denbury took on significant amounts of debt over the past decade acquiring oil properties and building out the pipelines, which ferry CO2 to depleted oil fields and coax out more crude. By 2019, debt equivalent to around 11 times its earnings was weighing on the producer’s finances, before Covid-19 lockdowns and falling oil prices pushed it into bankruptcy.

The company has since expanded into waste management, with plans to carry emitters’ CO2 through hundreds of miles of pipelines and bury it in rocky reservoirs—for a fee.
Its stock is trading around $88—more than four times its price when Denbury relisted in late 2020. And analysts say that the company’s foothold in the carbon business makes it an attractive acquisition target for large oil companies.

“I would certainly say it’s moved faster than I expected,” Denbury Chief Executive Chris Kendall said of the company’s recovery.

Behind Denbury’s renaissance: billions of dollars of public money juicing carbon capture. Tax credits in the Inflation Reduction Act, which President Biden signed into law last year, reward companies that store CO2 underground. Denbury won’t receive public funding directly in most cases—it will go to customers who capture the carbon—but the company will charge customers for handling their emissions.

My day, if he were still around, would find this humorous, to say the least. 

Another example of the importance of investors to pay attention to President Biden and his "green agenda."

As for me, I'm loving it. 

DEN: a P/E of nine; pays no dividend.

By the way, another great example of the strength -- if that's the right word -- the American system -- the opportunity of companies to reorganize with protection from creditors granted by the courts in an expeditious matter. 

On every level, I find this a wonderful -- if that's the right word -- story. Good for Denbury, its CEO, its board or directors, its roughnecks, and its shareholders. 

By the way, same with Intel -- getting a huge "bailout" from the Biden administration. 

For the record: I don't invest directly in either Intel or Denbury. 

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.

All my posts are done quickly: there will be content and typographical errors. If anything on any of my posts is important to you, go to the source. If/when I find typographical / content errors, I will correct them

Largest US Companies By Revenue -- January 29, 2023

In March, 2023, I will be tweaking my "new money" allocation with regard to my investing. 

An interesting data point: US companies by revenue. Link here. The top 25 should not surprise anyone.

USPS revenues grew to $78.8 billion from $77.1 billion in fiscal year 2021.

  • at $79 billion in revenue, the USPS would fall between Intel ($79 billion) and Procter & Gamble ($76 billion).

By sector, top 25: 

  • healthcare: 4 -- CVS, Cardinal Health, UnitedHealth Group, Elevance Health, 
  • retail: 4 -- Walmart, Costco, The Home Depot, Kroger
  • petroleum: 3 -- XOM, CVX, Marathon Petroleum
  • conglomerate: 2 -- BRK, ATT
  • technology: 2 -- Google, Microsoft,
  • pharmaceutical: 2 -- AmerisourceBergen, Walgreeens Boots Alliance,
  • automotive: 2 -- Ford, General Motors
  • retail and cloud computing: 1 -- Amazon,
  • electronics: 1 -- Apple
  • health: 1 -- McKesson
  • health insurance: 1 -- Cigna
  • telecommunications: 1 -- Verizon
  • financial services: 1 -- JPMorgan Chase

If one lumps all sectors related to health (health care, health insurance, pharmaceutical, etc): 8.

Twenty most profitable:

  • Apple, BRK, Google, Microsoft, JPMorgan Chase,
  • Facebook, Amazon, BofA, XOM, Fannie Mae
  • Verizon, Pfizer, Citigroup, Goldman Sachs, Wells Fargo
  • JNJ, ATT, Intel, Ford, UnitedHealth Group

Only one oil company in that group of twenty.

Three health-related company in that group of twenty, two of which are pharmaceutical, one more than the other.

Technology? Five.

Financial? Six.

It will be interesting to see where Ford ends up ten years from now. 

Lipstick Message -- A Musical Interlude -- January 29, 2023

From wiki:

Yumi Matsutoya, Matsutōya Yumi, born January 19, 1954), nicknamed Yuming, Yūmin), is a Japanese singer, composer, lyricist and pianist. Generally the writer of both the lyrics and the music in her songs, she is renowned for her idiosyncratic voice and live performances, and is one of the most prominent figures in the history of Japanese popular music.

Her recording career has been commercially successful with more than 42 million records sold.
In 1990, her album The Gates of Heaven became the first album to be certified "2x million" by the RIAJ, and she has had twenty-one No. 1 albums listed on the Oricon charts.
She is the only artist to have at least one number-one album every year on the Oricon charts for 18 consecutive years.

After gaining several years of experience as a session musician, she debuted as a singer-songwriter in 1972. During her early career, she worked under her birth name Yumi Arai, Arai Yumi).
In 1975, Arai became known as a composer for "Ichigo Hakusho wo Mou Ichido", a commercially successful song recorded by the folk duo BanBan. She also gained popularity as a vocalist in the same year through the success of "Ano Hi ni Kaeritai", which became her first number-one hit on Japan's Oricon Charts. Other famous songs include "Haru-yo, Koi" and "Sweet, Bitter Sweet.".


Link here
.

*************************
Streaming Wars

Link here.

Hope Springs Eternal Or Not Paying Attention? January 29, 2023

When there are 15,000 publicly traded companies from which to choose, it boggles my mind why one would chose an oil company drilling in California. It's the same thought I have regarding PFE: when there are 15,000 publicly traded companies from which to choose, it boggles my mind why one would chose one with a public relations lightning rod.

Link here:

 
How does one spell CVX, XOM, COP, DVN .....? 

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.

All my posts are done quickly: there will be content and typographical errors. If anything on any of my posts is important to you, go to the source. If/when I find typographical / content errors, I will correct them

Just Some Of The Things We Will Be Talking About This Week -- January 29, 2023

Link here.

Arizona's Pima County public defender crisis:

Iran, Syria, Israel?

AAPL.

Updating The Whiting Kannianen Wells In The Sanish -- January 29, 2023

The following Whiting Kannianen wells have gone over 400K bbls crude oil cumulative: 

  • 17035, cum 900K 4/22; off line 4/22;
  • 18077, cum 501K 9/21; off line 9/21;
  • 18298, cum 726K 3/22; off line 3/22;
  • 18553, cum 441K 11/21; off line 11/21;
  • 22174, cum 451K 4/22; off line 4/22;

The Whiting Kannianen wells that are off line:

  • 17035, IA/2,016, Whiting, Kannianen 11-4H; 4-153-91; middle Bakken;  t8/08; cum 889K 12/20; cum 893K 4/21; cum 900K 4/22; off linee 4/22;
  • 18077, AB/1,773, Whiting, Kannianen 11-5H; 5-153-91; middle Bakken; t9/09; cum 495K 12/20; cum 498K 4/21; cum 501K 9/21; off line 9/21;
  • 18298, IA/3,422, Whiting, Kannianen 44-33H; 33-154-91; middle Bakken;  t1/10; cum 713K 12/20; remains off line 1/20; back on line 3/20; cum 717K 4/21; cum 726K 3/22; off line 3/22;
  • 18553, IA/1,776, Whiting, Kannianen 43-13H; 31-154-91; middle Bakken;  t7/10; cum 426K 12/20; remains off line 1/20; back on line 4/20; cum 433K 4/21; cum 441K 11/21; off line 11/21;
  • 19174, AB/IA/2,090, Whiting, Kannianen 43-33H; 33-154-91; middle Bakken; t10/10; cum 391K 4/19; off line 4/19; remains off line 4/21; remains off line 11/22;
  • 21031, IA/1,969, Whiting, Carl Kannianen 21-4H; 4-153-91; s7/11; t12/11; cum 359K 12/20; cum 362K 4/21; cum 369K 4/22; off line 6/22;
  • 22173, IA/1,180, Whiting, Carl Kannianen 22-32TFX; 32-154-91; t9/12; cum 224K 12/20; cum 227K 4/21; ; cum 231K 11/21; off line 11/21;
  • 22174, IA/3,126, Whiting, Kannianen 22-32XH; 32-154-91; t9/13; cum 431K 12/20; cum 436K 4/21; cum 451K 4/22; off line 4/22;
  • 22175, A/AB/1,249, Whiting, Kannianen 22-32TFX; 32-154-91; t9/12; cum 238K 6/19; remains off line 12/20; back on line 2/21 but poor production; cum 238K 4/211; cum 288K 4/22; off line 4/22;
  • 25350, IA/1,501, Whiting, Carl Kannianen 24-33H, t8/13; cum 230K 12/20; cum 235K 4/21; cum 241K 4/22; off line 4/22;
  • 25636, IA/363, Whiting, Carl Kannianen 13-7XH, t9/13; cum 209K 12/20; cum 212K 4/21; off line 8/22; cum 219K 219K 7/22;
  • 26340, IA/934, Whiting, Kannianen 43-31TFH, t2/14; cum 232K 12/20; cum 237K 4/21; cum 243K 11/21; off line 11/21;
  • 28481, IA/260, Whiting, Kannianen 21-4H, middle Bakken, low background gas, t11/14; cum 270K 12/20; cum 273K 4/21; cum 285K 3/22; off line 3/22;

Evidence Of Halo Effect Among The Hess BB-Budahn Wells -- January 29, 2023

According to "the" theory, this is not supposed to happen.

Parent well; drilled back in 2014; second jump in production; hits 500K bbls crude oil cumulative milestone:

  • 19737, 1,341, Hess, BB-Budahn A-150-95-0403H-1, Blue Buttes, t1/12; cum 460K 5/19; bump in production from halo effect; cum 508K 11/22; just came back on line; another jump in production; 2K over 23 days extrapolates to 3K over 30 days;
PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare
BAKKEN11-2022222166220111813172311359
BAKKEN10-2022242235212310323531347259
BAKKEN9-20220000000
BAKKEN8-20220000000
BAKKEN7-20220000000
BAKKEN6-20220000000
BAKKEN5-20220000000
BAKKEN4-202213372429107139013900
BAKKEN3-20223110171484293367736770
BAKKEN2-202228912697230328032800
BAKKEN1-20222611361414343371237120
BAKKEN12-2021311062710279396339630

Update and recent production, this well was drilled back in 2014:

  • 23454, 1,422, Hess, BB-Budahn A-150-95-0506H-3, Blue Buttes, t5/13; cum 307K 5/19; cum 367K 11/22; just came back on line; halo effect;
PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare
BAKKEN11-20223038433861121252024523379
BAKKEN10-202231446844231695661543072002
BAKKEN9-202230477250972008686334113156
BAKKEN8-2022450927753524354135
BAKKEN7-20220000000
BAKKEN6-20220000000
BAKKEN5-20220040000
BAKKEN4-202217933103921134863181140
BAKKEN3-2022166377121583069291217
BAKKEN2-20222810619032404418411831
BAKKEN1-20223115991596411642534432683
BAKKEN12-20211974077822035093104222
BAKKEN11-202130127612743084808442088
BAKKEN10-20213176384322537113115286
BAKKEN9-2021301139111131555324991241

Update and recent production, this well was drilled back in 2014:

  •  23456, 1,476, Hess, BB-Budahn-150-95-0506H-2, Blue Buttes, t3/14; cum 357K 5/19; cum 426K 11/22; just came back on line; definite halo effect, though moderate;
PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare
BAKKEN11-202229344534651365531136561405
BAKKEN10-202231402740512321694345932042
BAKKEN9-202218249123891119295914071394
BAKKEN8-20220000000
BAKKEN7-20220000000
BAKKEN6-20220000000
BAKKEN5-202200100000
BAKKEN4-20221789994934639133554201
BAKKEN3-2022311454152977969446152514
BAKKEN2-2022281747162952776857171247
BAKKEN1-2022311844197072183337913110
BAKKEN12-2021311771168667670445903845
BAKKEN11-202121118212494703529331510
BAKKEN10-2021311373133357059055261337

"Here, Hold My Oil Can" -- January 29, 2023

Link here:

Now, today, coming off confidential list this next week:

  • 38163, conf, Hess, BB-Budahn-N-150-95-0506H-1, Blue Buttes, t--; cum 146K in four months, at $70 / bbl = $10.2 million at the wellhead.
DateOil RunsMCF Sold
11-20222631753555
10-20222944249304
9-20223211552951
8-20224980178447
7-202278499418


And updated:

  • 381632, F/A, Hess, BB-Budahn A-LN-150-95-0403H-1, Blue Buttes, t--; cum 1134K in less than four months, at $70/bbl = $9.4 milliion dollars at the wellhead.
PoolDateDaysBBLS OilRunsBBLS WaterMCF ProdMCF SoldVent/Flare
BAKKEN11-2022302577425605711447720456451775
BAKKEN10-2022302824428252994348796470941407
BAKKEN9-2022242195222274878735174338471090
BAKKEN8-20223146164461391538272702713391054
BAKKEN7-20224118051139101314712413694

Initial Production For Wells Coming Off Confidential List This Next Week -- Jannuary 29, 2023

Note:

The wells:

  • 39020, conf, CLR, Rhonda 6-28H1, Jim Creek, no production data,
  • 38916, conf, Rampart Energy, Coteau 2, Wildcat, SWSW 2-145-88, no production data,
  • 38466, conf, Crescent Point, CPEUSC Riley Anne 8-36-156N-98W-TFH, Wheelock, no production data,
  • 38465, conf, Crescent Point, CPEUSC Riley Anne 9-36-156N-98W-MBH, Wheelock, no production data,
  • 39063, conf, KODA Resources, Bock 3211-1BH, Fertile Valley,

DateOil RunsMCF Sold
11-202275250
  • 39011, conf, CLR, Rhonda 5-28, Jim Creek, no production data, 
  • 38166, conf, Hess, BB-Budahn A-150-95-0403H-12, Blue Buttes,
DateOil RunsMCF Sold
11-20222731057878
10-20222891751686
9-2022864514276
8-20222388434042
  • 31770, conf, BR, Ivan 5-1-2UTFH, Elidah, no production data, 
  • 31769, conf, BR, Ivan 4-1-29MBH, Elidah, no production data,
  • 31768, conf, BR, Ivan 3-1-29UTFH, Elidah, no production data, 
  • 31767, conf, BR, Ivan 2-1-29MBH, Elidah, no production data, 
  • 39120, conf, Crescent Point, CPEUSC Szarka 5-36-25-159N-100W-MBH-LL, Blue Ridge, no production data,
  • 39072, conf, Crescent Point, CPEUSC Samples 3-35-26-158N-100W-MBH, Blue Ridge, no production data, 
  • 39033, conf, CLR, Rhonda 12-28HSL1, Jim Creek, no production data, 
  • 38167, conf, Hess, BB-Budahn A-150-95-0506H-9, Blue Buttes,
DateOil RunsMCF Sold
11-2022944616179
10-20223069155951
9-20223283454392
8-20223355346245
  • 39073, conf, Crescent Point, CPEUSC Samples 2-35-26-159N-100W-MBH, Blue Ridge, no production data,
  • 38582, conf, Whiting, Connor TTT 11-26-1H, Sanish,
DateOil RunsMCF Sold
11-202278508677
10-20221295411263
9-20221667911376
8-202287873884
  • 39074, conf, Crescent Point, CPEUSC Szarka 4-36-25-159N-100W-MBH, Blue Ridge, no production data, 
  • 39071, conf, Resonance Exploration, Resonance Fylling 3036H, West Roth,
  • 39034, conf, CLR, Rhonda 11-28H, Jim Creek no production data, 
  • 38409, conf, Whiting, Kannianen 11-5TFHU, Sanish,
DateOil RunsMCF Sold
11-202241803990
10-202237563852
9-202254135991
8-202223422424
  • 38164, conf, Hess, BB-Budahn A-150-95-0403H-11, Blue Buttes,
DateOil RunsMCF Sold
11-20222190942589
10-20222241639196
9-20221964133797
8-20222193536465
  • 39075, conf, Crescent Point Energy, CPEUSC Szarka 3-36-25-159N-100W-MBH, Blue Ridge, no production data,
  • 39043, conf, CLR, Kelling 3-4H, Jim Creek, no production data, 
  • 39044, conf, CLR, Kelling 4-4H, Jim Creek, no production data, 
  • 38163, conf, Hess, BB-Budahn-N-150-95-0506H-1, Blue Buttes,
DateOil RunsMCF Sold
11-20222631753555
10-20222944249304
9-20223211552951
8-20224980178447
7-202278499418
  • 39045, conf, CLR, Kelling 5-4H1, Jim Creek, no production data, 
  • 38351, conf, Resonance Exploration, Resonance Wilmot 8-27H, South Westhope,
DateOil RunsMCF Sold
12-202214480
11-202214640
10-202220620
9-20225970
8-20222000
7-20228250
6-20228210
5-20229670
4-20229750
3-202210060
2-202210020
1-202211560
12-202114030
11-20214160
10-202120070
9-20218280

Wells Coming Off Confidential List This Next Week -- January 29, 2023

Wednesday, February 8, 2023:
39020, conf, CLR, Rhonda 6-28H1,
38916, conf, Rampart Energy, Coteau 2,
38466, conf, Crescent Point, CPEUSC Riley Anne 8-36-156N-98W-TFH,
38465, conf, Crescent Point, CPEUSC Riley Anne 9-36-156N-98W-MBH,

Tuesday, February 7, 2023:
None.

Monday, February 6, 2023:
39063, conf, KODA Resources, Bock 3211-1BH,
39011, conf, CLR, Rhonda 5-28,
38166, conf, Hess, BB-Budahn A-150-95-0403H-12,
31770, conf, BR, Ivan 5-1-2UTFH,
31769, conf, BR, Ivan 4-1-29MBH,
31768, conf, BR, Ivan 3-1-29UTFH,
31767, conf, BR, Ivan 2-1-29MBH,

Sunday, February 5, 2023:
39120, conf, Crescent Point, CPEUSC Szarka 5-36-25-159N-100W-MBH-LL,

Saturday, February 4, 2023:
39072, conf, Crescent Point, CPEUSC Samples 3-35-26-158N-100W-MBH,
39033, conf, CLR, Rhonda 12-28HSL1,
38167, conf, Hess, BB-Budahn A-150-95-0506H-9,

Friday, February 3, 2023:
39073, conf, Crescent Point, CPEUSC Samples 2-35-26-159N-100W-MBH,
38582, conf, Whiting, Connor TTT 11-26-1H,

Thursday, February 2, 2023:
39074, conf, Crescent Point, CPEUSC Szarka 4-36-25-159N-100W-MBH,
39071, conf, Resonance Exploration, Resonance Fylling 3036H,
39034, conf, CLR, Rhonda 11-28H,
38409, conf, Whiting, Kannianen 11-5TFHU,
38164, conf, Hess, BB-Budahn A-150-95-0403H-11,

Wednesday, February 1, 2023: 1 for the month; 71 for the quarter, 71 for the year
39075, conf, Crescent Point Energy, CPEUSC Szarka 3-36-25-159N-100W-MBH,

Tuesday, January 31, 2023: 70 for the month; 70 for the quarter, 70 for the year
39043, conf, CLR, Kelling 3-4H,

Monday, January 30, 2023: 69 for the month; 69 for the quarter, 69 for the year
None.

Sunday, January 29, 2023: 69 for the month; 69 for the quarter, 69 for the year
39044, conf, CLR, Kelling 4-4H,
38163, conf, Hess, BB-Budahn-N-150-95-0506H-1,

Saturday, January 28, 2023: 67 for the month; 67 for the quarter, 67 for the year
39045, conf, CLR, Kelling 5-4H1,
38351, conf, Resonance Exploration, Resonance Wilmot 8-27H,