Focus On Fracking — August 6, 2023

Locator: 45361OIL.

Link here.

Finally, with the big increase in our oil exports, our commercial supplies of crude oil in storage fell for the 14th time in 31 weeks and for the 25th time in the past year, decreasing by a record 17,049,000 barrels over the week, from 456,820,000 barrels on July 21st to 439,771,000 barrels on July 28th, after our commercial crude supplies had decreased by 600,000 barrels over the prior week. 

With that record decrease, our commercial crude oil inventories ​f​ell back to about 1% below the most recent five-year average of commercial oil supplies for this time of year, but are 30.1% above the average of our available crude oil stocks as of the last weekend of July over the 5 years at the beginning of the past decade, with the apparent disparity between those comparisons arising because it wasn’t until early 2015 that our oil inventories first topped 400 million barrels. 

This Is Absolutely Obscene -- August 6, 2023

 Locator: 45360CO2.

Atmospheric CO2:

Two links with the same story.

• link one;
• link two.

From a reader:

If you look at the Giga tonnes of CO2 from the coal used by China. then add in the 290 mega-tonnes of smoke from Canada in the first 7 months, and really the world smoke /CO2 number of 425 PPM or what ever it is, is not so bad. 

Then the Bombing/burning for 18 months in Ukraine... and "they" think the US is singularly responsible or atmospheric CO2.

Venting -- Why Folks "No Longer" Watch Television -- Now It's OTT -- August 6, 2023

Locator: 45359TV.

The only thing I watch on "television"  -- serial, scheduled programming" -- any more: sports. That's it. 

I just got back from running an errand. I turned on the television at 2:40 p.m. local time to catch either a) NASCAR; or, b) PGA.

I clicked on NASCAR first. I had to sit through five minutes of commercials ... mostly for urologists .... and then when NASCAR appeared -- a weather delay. You have to be kidding.

So, I switched over to the PGA tournament. Same thing. Three minutes of commercials. Finally, golf. A no-name golfer. Then, another commercial. About ready to give up and then Hoffman sinks an albatross -- two strokes on the par -5 fifteenth hole.

So, perhaps it was worth it. But, still, how many minutes of commercials for twenty seconds of sports?

And networks wonder why folks are "done" with television.

Later, PGA: and now another weather delay with just a few holes left for the championship. I just don't have time for this. LOL. 

Later, NASCAR: so, I switch over to NASCAR ... oh, give me a break, in stage 2 thirty of 75 laps, they're just getting out of their cars, covering them with tarps, and getting the umbrellas out. As noted, I just don't have time for this. Over to Amazon.com to watch Good Omens. 

************************

Storage

I'm guilty.

In addition to personal storage now, I also have instructions to the executor on storing my "things" after I die. The estate will pay for the storage. Storage is way cheaper than a bigger house. 

By the way, one can use storage for a lot more than "storage." 

Link here.

*******************

The Dumbest Politician Award

The Dan Quale Award

This is really nasty and I shouldn't be doing this. 

About six months ago, SecEnergy said something so dumb, CNBC actually deleted the original video, re-wrote the story, and deleted any reference to her quote. I was going to post that but I missed it --- CNBC had already deleted it and re-posted a new video without the quote.

That was after a similarly dumb quote by Ms Granholm some months earlier.

Now this:

I may start a new series, to go along with the Darwin Awards and the Geico Rock Awards.

It would be nominations for the dumbest "active" US politician. "Active": currently holding some political office (elected or unelected) or "running" for some political office (such as Chris Christie). 

It would be the Dan Quale award. Or the Quale award for short. Though spelled differently than the bird, now that the "blue bird icon of twitter" is available -- perhaps that could represent the award.

Algore would be ineligible because, to the best of my knowledge, he is not currently holding any political office. 

My reply to the reader who sent me the graphic above: 

Clearly the dumbest US politician: Granholm. And she's got a lot of competition, starting with Kamala Harris.

Saudi Wealth Fund Takes Big Hit -- August 6, 2023

Locator: 45358SAUDI.

Link here.

Link here.

UAW Contract Demands -- Commentary -- August 6, 2023

Locator: 45357EVS.

Commentary to this story linked below.

Link to the UAW story. 

**********************************

Article

From the linked article:

The United Auto Workers union is set to demand the largest pay increase on record as it continues contract negotiations with car manufacturers Stellantis, Ford and General Motors.

The raise, divided into yearly increments, would ultimately boost auto worker pay by 46%. 

The first 20% increase would be effective once the new contract is signed by Detroit car manufacturers, with additional 5% raises implemented annually until 2027. 

The top-earning union members would eventually make $47.14 an hour, nearly $15 more than the current maximum hourly rate of $32.32. 

UAW president Shawn Fain, who has promised to aggressively pursue the organization’s interests in the face of “corporate greed,” revealed the wage demands in an overview of the union’s proposed contract released Tuesday, August 1, 2023. 

Fain took to Facebook the same day to explain his reasoning.

“Big Three CEOs saw their pay spike 40% on average over the last four years…We know our members are worth the same and more,” he commented. As evidence, Fain pointed to Mary Barra, General Motors CEO, whose total pay for 2022 amounted to $29 million, up 34% from the year before. A majority of Barra’s earnings came from benefits, as her $2.1 million salary remained unadjusted throughout the period.

Two of the Detroit Three car manufacturers responded to Fain’s comments over the course of the week. Ford spokesperson Kelli Felker stated the company would continue negotiating with the UAW to develop “creative solutions during this time when our dramatically changing industry needs a skilled and competitive workforce more than ever.” 

General Motors appeared less outwardly receptive to the union’s proposed price, although the company has confirmed it is amenable to a wage hike. 

“The breadth and scope of the Presidential Demands, at face value, would threaten our ability to do what’s right for the long-term benefit of the team. A fair agreement rewards our employees and also enables GM to maintain our momentum now and into the future. We think it’s important to protect U.S. manufacturing and jobs in an industry that is dominated by non-unionized competition.” 

Although it is perhaps the least interested in entertaining a significant wage increase, Stellantis has yet to respond directly to Fain’s demands.

While its requests may sound extreme, the raises pitched by the UAW do have some precedent. In its report, The Detroit News notes that the International Brotherhood of Teamsters, a labor union active in both the U.S. and Canada, recently negotiated an average top rate of $49 per hour with UPS, slightly above the $47.14 requested by Fain. 

Workers are also experiencing rising living costs in an economy undergoing intense inflation and interest rate hikes. Should it fail to score a win against The Detroit Three, the union may resort to a labor strike, a decision which could heavily impact dealers, car manufacturers, consumers and auto workers in the months to come.

**********************************

Commentary

I wholeheartedly support the UAW on this one. I can come up with several reasons why but the main reason: Ford can price their F-150 Raptors for $100,000 and still not be able to keep up with demand. Period. Dot. 

And $50 / hour will not break the bank -- see IBT / UPS -- and a lot of what Ford does can be outsourced. Assembling EVs is a completely different process than assembling ICEs. 

By the way, what is Elon Musk paying his hourly Tesla workers?

This will have zero impact on inflation compared to other inflation drivers.

Might someone run the numbers and suggest what Ford's earnings might be, based on Ford's EV sales projections, if the auto manufacturers meet the UAW demands? My hunch: very little impact. 

Flashback: EV Startups Are Proving Warren Buffett Right -- May 11, 2023 -- Re-Posting August 6, 2023

Locator: 45356EVS.

I got to re-thinking this article from a year ago after a reader sent me an article suggesting the UAW would be seeing a 46% increase in wages over four years, the length of their next contract.

If one thinks EV automakers are burning through cash now, think what this new contract might man for EV makers.

Link to the UAW story. 

**********************************

Flashback, a year ago, May 11, 2022. 

EVs: tracked here.

********************************

Original Post

EVs:

• must-read story today; The WSJ; brings us up-to-date on the sorry excuse for EVs
• link here;

From the linked WSJ article:

A Flurry Of Articles On Nio This Past Week -- August 6, 2023

Locator: 45355EVS.

Apple, Canoo, And The SEC, Too -- August 6, 2023

Locator: 45354AAPL.

See Canoo update here.

I think this is the article that reminded me about Canoo.

Initial Production Data For Wells Coming Off Confidential List This Next Week -- August 6, 2023

Locator: 45353B.

The wells:

• 39553, conf, Neptune Operating, Gibbins LE 11-2 1H, Painted Woods, 

Date	Oil Runs	MCF Sold
6-2023	23774	0
5-2023	22033	0

• 39452, conf, CLR, Edward 12-23HSL, Little Knife, no production data,
• 37879, conf, BR, Kermit 1-8-32MBH, Pershing, no production data, 
• 37878, conf, BR, Rink 1-1-5MBH, Pershing, no production data, 
• 38945, conf, Hess, BW-Rolfson-151-98-2116H-12, Siverston, 

Date	Oil Runs	MCF Sold
6-2023	23400	73306
5-2023	27880	74744
4-2023	25472	70729
3-2023	33265	70728
2-2023	24701	1457

• 39571, conf, Challenger Point Energy, Jacobsen 11-6, Woburn, no production data, 
• 39491, conf, Kraken, Ricky-Lee LE 18-7-6- 11H, Squires, no production data, 
• 38905, conf, Enerplus, MC-Kudrna 144-95-10-3-4H, Murphy Creek, 

Date	Oil Runs	MCF Sold
6-2023	12821	8408
5-2023	16312	9743
4-2023	9357	5324
3-2023	19474	11072
2-2023	17675	7653

• 39492, conf, Kraken, Anseth LW 20-29-32-12H, Squires, no production data, 
• 39454, conf, CLR, Edward 2-23HSL1, Little Knife, no production data, 
• 39567, conf, CLR, Edward 3-23H, Little Knife, no production data,  
• 39455, conf, CLR, Edward 4-23H1, Little Knife, no production data,  
• 38915, conf, Enerplus, MC-Kudrna 144-95-10-3-5H, Murphy Creek, 

Date	Oil Runs	MCF Sold
6-2023	25538	17135
5-2023	14342	8201
4-2023	15496	8454
3-2023	20591	11542
2-2023	21842	8539

• 39456, conf, CLR, Edward 6-23H1, Little Knife, no production data, 
• 38946, conf, Hess, BW-Rolfson-151-98-2116H-13, Siverston, 

Date	Oil Runs	MCF Sold
6-2023	13332	39341
5-2023	17483	49017
4-2023	25069	60590
3-2023	20923	30767
2-2023	34894	61898

• 39457, conf, CLR, Edward 6-23H1, Little Knife, no production data, 
• 39314, conf, Stephens Williston DBA SEG Williston, Gernand 13X-32D, Ross, no production data, 
• 39313, conf, Stephens Williston DBA SEG Williston, Gernand 13X-32C, Ross, no production data, 
• 38947, conf, Hess, BW-Rolfson-151-98-2116H-14, Siverston, 

Date	Oil Runs	MCF Sold
6-2023	21728	70657
5-2023	22786	68408
4-2023	32600	94010
3-2023	36311	78575
2-2023	43458	52274

Wells Coming Off Confidential List This Next Week -- August 6, 2023

Locator: 45352B.

Wednesday, August 16, 2023: 28 for the month; 230 for the quarter, 475 for the year
39553, conf, Neptune Operating, Gibbins LE 11-2 1H,
39452, conf, CLR, Edward 12-23HSL,
37879, conf, BR, Kermit 1-8-32MBH,

Tuesday, August 15, 2023: 25 for the month; 227 for the quarter, 482 for the year
37878, conf, BR, Rink 1-1-5MBH,

Monday, August 14, 2023: 24 for the month; 226 for the quarter, 481 for the year
38945, conf, Hess, BW-Rolfson-151-98-2116H-12, 

Sunday, August 13, 2023: 23 for the month; 225 for the quarter, 480 for the year
39571, conf, Challenger Point Energy, Jacobsen 11-6, 
39491, conf, Kraken, Ricky-Lee LE 18-7-6- 11H, 
38905, conf, Enerplus, MC-Kudrna 144-95-10-3-4HH,

Saturday, August 12, 2023: 20 for the month; 222 for the quarter, 477 for the yea
39492, conf, Kraken, Anseth LW 20-29-32-12H, 
39454, conf, CLR, Edward 2-23HSL1, 

Friday, August 11, 2023: 18 for the month; 220 for the quarter, 475 for the year
39567, conf, CLR, Edward 3-23H, 

Thursday, August 10, 2023: 17 for the month; 219 for the quarter, 474 for the year
39455, conf, CLR, Edward 4-23H1, 
38915, conf, Enerplus, MC-Kudrna 144-95-10-3-5H, 

Wednesday, August 9, 2023: 15 for the month; 217 for the quarter, 472 for the year
39456, conf, CLR, Edward 6-23H1,

Tuesday, August 8, 2023: 14 for the month; 216 for the quarter, 471 for the year

38946, conf, Hess, BW-Rolfson-151-98-2116H-13,

 

Monday, August 7, 2023: 13 for the month; 215 for the quarter, 470 for the year
39457, conf, CLR, Edward 6-23H1,

Sunday, August 6, 2023: 12 for the month; 214 for the quarter, 469 for the year
39314, conf, Stephens Williston DBA SEG Williston, Gernand 13X-32D,

 

Saturday, August 5, 2023: 11 for the month; 213 for the quarter, 468 for the year
39313, conf, Stephens Williston DBA SEG Williston, Gernand 13X-32C, 
38947, conf, Hess, BW-Rolfson-151-98-2116H-14,