One New Permit -- October 9, 2026

Locator: 51898B.

Dallas Cowboys: local radio fans didn't want to talk about last night's game today. I watched the whole game. It was awful. Jerry Jones got up to leave before the game was over. My hunch: he wasn't headed for the dressing room.  

OpenAI mis-reporting yesterday. Apparently journalist confused between "gross" and "net."  Accurate data:

• gross revenue reported last month: $70 billion;
• net revenue reported this month: $50 billion.

Anticipation: next week -- ASML and TSMC both report mid- to late-week.  

What the market really got wrong today: the telecoms.  

What the market also got wrong: enthusiasm over the diesel deal with Russia.

The Nobel Peace Price: from Elisha Wiesel in The Free Press. This (the headline below) was my first thought. I suppose there's more to the story. We'll see if anything can change my mind. 

Elisha Wiesel: The death of the Nobel Peace Prize.

My father, Elie Wiesel, received the Nobel Peace Prize for ensuring the Holocaust wouldn’t be forgotten. By honoring Navi Pillay, who accused Israel of genocide, the committee has betrayed his legacy. 

As regards the "death of the Nobel Peace Prize," I think that happened long ago. 

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Back to the Bakken

WTI: $91.85.

Active rigs: 34.

One new oil & gas permit, #43396

• 43395, Dakota Fluid Solutions, Cougar 2 SWD, Little Knife,
• 43396, CLR, Billings 7-16H, East Fork, NENE 21-156-99, 460 FNL and 770 FEL.

Alison's Top Bakken Stories -- October 9, 2026

Locator: 51897B.

Alison's quick connects:

• ND Supreme Court hears arguments over oil royalty deductions -- North Dakota Monitor

• ND's US House candidates discuss AI regulation, data centers -- North Dakota Monitor

• Casselton residents question data center location on prime farmland -- North Dakota Monitor

• Cracking the code: extending life of one of America's most important oil plays -- UND Today

• Chevron to take charge and divest Hess ownership; restructuring Bakken contracts -- Morningstar

• Public Service Commission hears extensive testimony regarding Homestead Wind Project -- Williston Herald

• Commentary: long-standing contention underlies data center debate in the state -- North Dakota Monitor

• Mandan voters will decide whether to ban large-scale data centers in a special election -- Bismarck Tribune

• Julie Fedorchak still has the favor of North Dakota voters; reelect her to the US House -- Grand Forks Herald

• Arguments set in court case challenging four North Dakota legislative candidates -- North Dakota Monitor

• Seven coffins, unknown wooden box removed from governor's residence property -- North Dakota Monitor

• Stephanie Bates announced as executive director for state HHS Medical Services division -- Dickinson Press

• Bank of North Dakota announces stablecoin pilot program launch with local partners -- North Dakota Monitor

• North Dakota farmers to receive an estimated $721 million this month in federal payments -- KFYR-TV

• Concept for new $152 million legislative wing at North Dakota Capitol unveiled to lawmakers -- KFYR-TV

• North Dakota boasts nation's second-lowest unemployment rate; 12,000 jobs currently open -- InForum

• North Dakota's longstanding dispute over Missouri River water usage has new front -- Bismarck Tribune

• Special legislative session last month cost about $220,000 according to staff agency -- North Dakota Monitor

• North Dakota governor's campaign donations total $430K to GOP candidates -- North Dakota Monitor

• North Dakota measure campaigns pull in millions from national and in-state groups -- North Dakota Monitor

• Bonuses proposed for North Dakota teachers to improve recruitment, retention -- North Dakota Monitor

• Getting to Know: Minot native Alyssa Cool excels in her teaching, receives unique award -- Minot Daily News

• $1 million in high-tech gear rotates through rural western North Dakota classrooms -- KFYR-TV

• ND author, storyteller and entertainer DesLauriers visits John Hoeven Elementary -- Minot Daily News

• 12 reports of motorists illegally passing stopped school buses in Watford City -- McKenzie County Farmer

• Superintendent candidate Foss supports teacher bonuses as a temporary fix -- North Dakota Monitor

• North Dakota Children's Cabinet visited Minot to discuss regional needs and problems -- Minot Daily News

• Bismarck Public Schools shares details of revised $116.5M bond proposal at community forum -- KFYR-TV

• Dickinson Public Schools board discusses reading goals and student mobility in district -- Dickinson Press

• As state social studies standards change, so do fourth grade North Dakota history books -- KFYR-TV

• The Mandan, Hidatsa, and Arikara Nation holds grand opening for its new community center -- KX News

• Missing Indigenous numbers drop in North Dakota with work still needed on alert systems -- InForum

• David Hume Kennerly displays his 60-year photography career at the Presidential Library -- Dickinson Press

• Rural North Dakota communities under 20,000 invited to apply for AgTech program -- Williston Herald

• Economic Development Association of North Dakota will hold fall conference in Williston -- Minot Daily News

• Compliance with Minot's public comment rules will be strictly enforced going forward -- Minot Daily News

• Grenora alumna hired as assistant state's attorney in Mountrail and Burke counties -- The Journal

• District 7 state House candidates debate child care, school meals and affordability -- Bismarck Tribune

• Senator Kevin Cramer says it wears down energy firms, but courts are pushing back -- Washington Times

• District 7 state Senate candidates debate oversight, tribal relations and child care -- Bismarck Tribune

• Rebuilding Readiness: McKenzie County revamps emergency management -- McKenzie County Farmer

• Section of the Maah Daah Hey Trail in North Dakota once again fully open -- McKenzie County Farmer

• Tioga City Commission unanimously voted to approve its 2027 budget and levy -- Williston Herald

• Dickinson City Commission introduces public works director, oks purchase agreement -- Dickinson Press

• 2027 Mercer County budget is now (narrowly) within the allowed levy limits and 6% cap -- Hazen Star

• US natural gas production hits all-time high in July 2026, driven by Permian Basin -- Pipeline & Gas Journal

• G7 nations agree to release 100 million barrels of oil, including diesel, in a boost for Trump -- KMPH

• President Trump claims that refinery disruptions, not Hormuz closure, are driving gas prices -- The Hill

• Seven of the world's largest oil exporters agree to continue consistent production in November -- The Hill

• With an energy executive order, Trump could solve 'affordability' once and for all -- RealClearEnergy

• US to announce $150 million for Alaska power lines as Vance campaigns in Senate battleground -- Reuters

• Baker Hughes signs two Venezuela agreements targeting oil, gas and LNG development -- World Oil

• With election pressure mounting, more states moving to suspend fuel taxes -- North Dakota Monitor

• President Trump announces executive order allowing anyone to use red-dyed diesel -- North Dakota Monitor

• Trump will propose to loosen restrictions that rein in methane from oil and gas production -- The Hill

• International Energy Agency to accelerate oil reserve release, says 100 million barrels still to come -- Reuters

• China accelerates efforts to produce more oil from ultra-deep formations to boost domestic supply -- Oil Price

• Trump exempts oil exploration in Arctic petroleum reserve from environmental reviews -- The Hill

• World's top crude trader isn't ruling out $200 if ship-to-ship transfers near Hormuz are disrupted -- Oil Price

• Climate activists want the Supreme Court to impose Green New Deal that voters rejected -- The Federalist

• U.S. Supreme Court weighs fate of hotly-contested climate lawsuits against oil companies -- Free Beacon

The Elon Musk Starlink Announcement -- Telecoms -- October 9, 2026

Locator: 51896TELECOMS.
Locator: 51896STARLINK.  

Buried in this long discussion: American Tower (AMT, up 8% today); and Crown Castle (CCI, up 13% today on the announcement). Counterintuitive:

• each individual cell tower has, all of a sudden, become much more valuable
• there is little incentive now to build more towers (this will have huge impact in rural areas) 
• to make his system work, Elon Musk / Starlink needs terrestrial towers
• will Elon Musk end up paying the telecoms to use their towers?

Mostly smoke, little fire. It's a non-story (don't take this out of context).

It's a physics problem (that may never get solved); not an engineering problem (which was relatively easy to solve).

So, why would Elon Musk want it?

• military
• robots (every Elon Musk robot will be connected)
• Tesla autos (ditto) 

Analyst on CNBC: Craig Moffett, Moffettnathanson, senior analyst.

• the market is overreacting

Query:

With Elon Musk / Starlink announcement today (800 Mhz frequency announcement), the question naturally arises: with LEO isn't Amazon also likely to offer the same service?

Reply:

Query:  How soon could Starlink start providing this surface?

Query: 

A CNBC analyst says this makes the existing terrestrial towers much more valuable, stating that existing providers will be hesitant to build more towers AND terrestrial towers are still needed. Why is true?

Reply: 

"They" Say The US Bull Market Turns Four Years Old Next Week -- It's Simply Cocktail Chatter -- October 9, 2026

Locator: 51895BULLMARKET. 

It's hard to argue the US equity bull market is only four years old:

Definition Of Compute -- A Term CNBC Talking Heads Mention So Much, It Works For The Classic Drinking Game -- October 9, 2026

Locator: 51894COMPUTE. 

Compute: basically relates to whom can afford to buy the most of the highest capacity chips available.  

Previously posted (Locator: 51549CRAMER):

New asset class? Some analysts still support this concept. A financial asset class is being built by Jensen Huang. Folks may want to discuss with Gemini the concept of a  financial asset class. 

• the asset: specifically AI chips (GPUs) and AI compute capacity, not tokens;
• mechanism: Wall Street is creating structured financial instruments, lease backstops, and asset-backed debt tied directly to physical chips and data center compute power; 
• the analogy: prominent investors like Mark Cuban and Jeff Gundlac have noted that Wall Street is trying to treat silicon chips like a tradable commodity (akin to oil or gold), prompting major exchanges like the CME group to plan future contracts tracking GPU rental indices
• asset-backed debt: financial insitutions are issuing long-dated loans and bonds using physical AI chips as the underlying collateral
• One may want to use this prompt: one may recall that Larry Ellison bought a huge amount of compute (chips) for which he was criticized but now it turns out that he can indeed rent them, even if they are seen by some as "old."
• in hindsight, one might argue that Larry Ellison was the first big investor to note this "new" financial asset class. 
• Larry Ellison was absolutely the first major tech titan to aggressively treat AI compute as an investable infrastructure asset class, essentially proving the concept years before Wall Street formalized it. 
• Again, not chips, but compute: capacity / chip x chip = compute. But that's a theoretical number, similar to "nameplate capacity" used by utilities. Compute is also affected by optimum wiring, optimum cooling, optimum power availability, etc. So, analysts must consider all these factors to determine "compute."  
• but there's more -- see the BOX below:

 Tag: Ellison

 

Just One Of Many Surprises Today -- SCCO -- October 9, 2026

Locator: 51893SCCO. 

SCCO. 

See disclaimer.

 

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Disclaimer

Briefly: 

I am inappropriately exuberant about the Bakken and I am often well out front of my headlights. I am often appropriately accused of hyperbole when it comes to the Bakken.

I am inappropriately exuberant about the US economy and the US market.

I am also inappropriately exuberant about all things Apple.

See disclaimer. This is not an investment site. 

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 something appears wrong, it probably is. Feel free to fact check everything.

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. 

Reminder: I am inappropriately exuberant about the Bakken, US economy, and the US market.

I am also inappropriately exuberant about all things Apple. 

And now, Nvidia, also. I am also inappropriately exuberant about all things Nvidia. Nvidia is a metonym for AI and/or the sixth industrial revolution. 

I've now added Broadcom to the disclaimer. I am also inappropriately exuberant about all things Broadcom. Now, I've added Amazon. And QCOM. Nothing on this site should be seen as recommendations for the general public. On the other hand, I have no problem if members of my extended family "see" recommendations I might be making - but only members of my extended family, limited to my children and my grandchildren.

Longer version here.

Raising The Alarm About The Dangers Of AI -- Nothing New Under The Sun -- October 9, 2026

Locator: 51892AI. 

Watching CNBC these days, one can be misled to thinking that all this talk about the risks of AI is something new. Hardly:

 

For a full discussion, link here. Link: https://share.google/aimode/J8aPjMif04LjQzMbg. 

Update, link here. Link: https://share.google/aimode/bFrCyAuOzEzgk0sr6.  

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Nvidia Vs AMD: Flashback

From Stephen Witt's biography of Jensen Huang, c. 2025, chapter 14: "The Good Year," page 156:

"In 2016, Nvidia's stock price appreciated 224 percent, restoring Jensen Huang to glory and making a billionaire once again. Yet Nvidia was not the best-performing stock in the S&P that year. The title went to Nvidia's longtime rival AMD, which went up 309 percent. Huang didn't like coming in second. He redirected himself to victory and found it the next year. Revenues doubled, profits tripled, and the company launched new products at dizzying speed. Few companies anywhere, ever, could hope to have a year as successful as Nvidia had in 2017."  

Lisa Su is CEO of AMD. She joined the company in 2012 and became president and CEO in 2014. AMD was founded in 1969 and went public in 1972.

Jensen Huang co-founded Nvidia in 1993.  

TGIF -- October 9, 2026

Locator: 51891B. 

The Bakken.

WTI: $90.53.

New wells reporting: 

• Sunday, October 11, 2026: 17 for the month, 17 for the quarter, 516 for the year, 
• 41974, conf, KODA Resources, Amber 2133-1BH,
• Saturday, October 10, 2026: 16 for the month, 16 for the quarter, 515 for the year, 
• 42225, conf, Whiting, Paulson 5104 44-13 2B, 
• 41922, conf, Hess, GO-Lemire-157-973613H-2,  
• Friday, October 9, 2026: 14 for the month, 14 for the quarter, 513 for the year, 
• 41914, conf, Devon Energy, Scha 33-34 6H.

RBN Energy: what's driving the gulf coast storage buildout and how much more space is needed? Link here. Archived.

The Gulf Coast gas storage market today is a different animal, marked by steeper prices, an emphasis on high injection and withdrawal rates, and a looming capacity shortfall. How did we get here, which market players are shaping things the most, and how much new gas storage is likely to get built over the next few years as a slew of new gas pipelines, LNG export terminals, and gas-fired power plants come online? In today’s RBN blog, we continue our series on Gulf Coast gas storage.

In Part 1, we said that after a long period of storage-capacity surplus and relatively low storage prices, the Gulf Coast market has been on a tear lately. More than 350 Bcf/d of new storage capacity is currently under development, most of it additional salt cavern space at existing facilities in coastal Texas and Louisiana. This massive buildout, which is expected to continue for at least a few more years, is being driven primarily by the storage needs of new and expanding LNG export facilities, each of which need a place to quickly store large volumes of gas in the event of a liquefaction plant outage.

To a lesser degree, new gas storage capacity is also needed to manage gas flows along the Gulf Coast, which have increased sharply in recent years due to Permian gas production growth and new LNG export, power and industrial demand. Power generators, many tied to planned AI data centers, need backup gas supply if regional gas and power demand soars or traditional supplies are interrupted.

As for the storage-capacity surplus that characterized the Gulf Coast market through most of the 2010s and the very early 2020s, that has been largely contracted for — again, mostly by LNG export terminals — resulting in both higher storage prices and a competition among storage developers to provide the incremental space that will be required.

Lastly, we discussed the differences between salt cavern and depleted reservoir gas storage facilities. Most important by far, salt caverns offer considerably higher gas injection and withdrawal rates — a must-have for LNG export terminals and other customers that may need to “park” large volumes of gas within a short period of time. Also, salt caverns require considerably less “base” or “cushion” gas. (See Part 1 for details.)

Today, we’ll begin with a look at Gulf Coast gas storage prices or, more specifically, the monthly rates that market participants pay storage owners/operators for Firm Storage Services (FSS) — that is, the fixed fee they pay each month under long-term contracts for the right to store X amount of gas at their facilities, whether or not they use it. (Note: In addition to that fee, customers pay volume-based fees for moving gas into and out of storage.)

In the second half of the 2000s, when large amounts of gas storage capacity were being built in anticipation of fast-growing LNG imports (something that never materialized, as it turned out), FSS prices were relatively high — north of 15 cents per dekatherm (dth) per month (blue arrow in Figure 1 below). That price level not only supported the capacity buildout, it also reflected the wide winter-summer spread in gas prices, the high gas price volatility and the hurricane risk that drove the demand for more storage.