List Of Premature Deaths

One might want to add King Coal to wikipedia's list of "premature deaths." Bloomberg is reporting:

Coal will replace natural gas as the dominant fuel for producing electricity in Southeast Asia as the region almost doubles its energy consumption in the next two decades, according to the International Energy Agency.

The 10 members of ASEAN, with energy demand growing at more than twice the global average, will get 49 percent of their power from coal by 2035, up from 31 percent in 2011, the IEA said today in its Southeast Asia Energy Outlook. The share from gas will drop to 28 percent from 44 percent. 

“Coal is emerging as the fuel of choice because of its relative abundance and affordability in the region,” Maria Van der Hoeven, executive director for the IEA, said today in Bangkok. “As long as fuel-price differentials continue to favor coal over gas by a significant margin, Southeast Asia’s incremental power generation is set to be dominated by coal.”

While the trends support plans by Indonesia, the world’s top exporter of thermal coal, to almost double output by 2035, emissions linked to climate change will increase at the same rate, the IEA forecasts. Coal, which emits about twice as much carbon as gas, is the fuel source for about 75 percent of power-generating capacity being built by members of the Association of Southeast Asia Nations, the IEA said. 

"Emissions linked to climate change will increase at the same rate." Considering there has been no increase in global temperature for the past 17 years, I'm at a loss to explain what that "increase" means.

It is very possible, as Don has noted, "Asian coal" emits no CO2 when burned. LOL.

Another Wall Street Recommendation In The Bakken

Flashback, November, 2010: Hess acquires 167,000 net acres in the Bakken from privately-held TRZ Energy, LLC for $1.05B in cash.

Why a Hess flashback today?

Last week:

• Goldman Sachs names Oasis as top energy pick.

Later:

• Sun Trust Robinson names Whiting as top energy pick.

Now:

• Merrill Lynch recommends Hess as (a) top energy pick. 

Data points from a recent Merrill Lynch note:

• ML team recently spent three days on the ground in the Bakken
• buy recommendation; target: $115 (currently $80)
• Hess transitioning into pure E&P play, led by the Bakken
• price target based on potential of the Three Forks
• Hess' "flagship" -- its Bakken play
• "We maintain our view that Hess is amongst the most attractive value stocks of the large cap US oils - and with the catalysts to release value over the next year."

This was just one piece of a very exiting 27-page report on Hess:

Bakken upside adds $10/sh: 140,000 boepd realistic by 2018

If there was one key message from management, we believe it is that the Bakken, and in particular the Three Forks, is both bigger and more productive than previously thought. Hess is already drilling 100% of wells on pads; but recognizing the potential of the TF, management looks poised to step its drilling pattern to levels that increase resource potential by 1/3rd and NAV by ~$10/sh. Separately, we believe a stable/growing international asset base sets Hess apart from international E&P peers with Norway the single asset that is materially underrepresented within consensus expectations. 

Can Fracking Save The US Economy?

That's the question being asked over at MarketWatch.

All the journalist had to do was read CarpeDiem and she would know that fracking SAVED the US economy.

America’s government may be closed, but its energy sector is open for business. We are overtaking Russia as the world’s largest oil and gas producer.

Other countries with large reserves of natural resources have governments that are functional, yet their institutions and technology limit their production. Russia’s Kremlin is open, Saudi Arabia’s King Abdullah reigns supreme, and Chinese president Hu Jintao has his country firmly under control.

But America is producing more oil because private sector brains trump government bureaucracy — and much of America’s oil is on private lands.

Despite delays over permits, the oil and gas industry has been able to outperform its foreign counterparts. 

A huge "thank you" to the reader who sent me this link: thank you.

Much, much more at the link. 

Who's Got The Best Wells In The Eagle Ford?

They will tell you over at SeekingAlpha.

Let me guess. EOG? Nope.

I'll get back to this article later.

A Bit Of Snow, Western South Dakota

This is a photo of Exit 10 off I-90, western South Dakota.

I don't know if folks can get to that link; it's a photograph on Facebook.

I don't know if folks on the east coast are aware that law enforcement out west puts up barriers on the interstate when the roads are impassable due to snow. I am curious if the government was able to send out folks to put up the necessary barriers despite the government shutdown.