100% Of Bakken Wells Coming Off Confidential List Go To DUC Status -- July 5, 2018

Three out of three:

Thursday, July 5, 2018:

• 33943, SI/NC, MRO, Sibyl USA 44-19TFH, Reunion Day, no production data, 
• 33942, SI/NC, MRO, McDonald USA 44-19H, Reunion Day, no production data,

Wednesday, July 4, 2018:

• 31347, SI/NC, Crescent Point, CPEUSC Paopao 2-35-26-158N-100W,  Dublin, no production data,

John Kemp: says we are in "severe backwardation." Oil prices projected to be lower six months from now.

WTI: essentially flat today; around $74. World "outages" offset by Saudi's promise to flood the global market with oil, according to President Trump.

Trump: Steel, Aluminum, Autos; Canada: Ketchup, T+35 -- July 5, 2018

The tariff war, T+35. Chinese tariffs yet to go into effect -- if I recall correctly.

President Trump is concerned about the US steel, aluminum, and automobile sector.

The Canadians are concerned about ketchup.

Now this, from CNBC from earlier this week: the EU is reportedly considering international talks to cut car tariffs. We've talked about this before -- why are there tariffs at all with regard to automobiles between the EU and North America -- it's practically one and the same. Maybe Mexico is a bit different, but certainly Germany, England, France, Italy, and the US should be competing on a "flat field." The CNBC story:

• European officials are considering holding talks on a tariff-cutting deal between the world’s largest car exporters
• Trump threatened to impose a 20 percent on all car imports from the EU sending shares (sic) -- I guess CNBC forgot to finish the story
• the EU had threatened retaliatory tariffs
• the FT link is here

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Fact-Checking CNBC

Section 5-151-95, The Hess BB-Chapin And BB-Federal Wells

Wells in this area:
34206, 2,954, Hess, BB-Chapin ..... 10; t12/18; cum 308K 1/21; cum 359K 6/22;
34205, 2,215, Hess, BB-Chapin ..... 9; t12/18; cum 158K 1/21; cum 176K 6/22;
34204, 2,971, Hess, BB-Chapin-151-95-0506H-8, Blue Buttes, t12/18; cum 223K 1/21; cum 242K 6/22;
34203, 3,137, Hess, BB-Chapin ..... 7; t12/18; cum 81K 1/21; (no typo); cum 93K 6/22;
34202, 3,050, Hess, BB-Chapin ..... 6; t12/18; cum 221K 1/21; cum 251K 6/22;
34201, 3,153, Hess, BB-Chapin ..... 5; t11/18; cum 219K 1/21; cum 250K 6/22;

32486, 1,376, Hess, BB-Chapin A-151-95-0403H-6, Blue Buttes, t5/17; cum 312K 1/21; 65 stages; 4.6 million lbs; cum 353k 6/2;
32485, 1,016, Hess, BB-Chapin A-151-95-0403H-5, Blue Buttes, t5/17; cum 208K 1/21; cum 224K 6/22;
32484, 1,213, Hess, BB-Chapin A-151-95-0403H-4, Blue Buttes, t5/17; cum 252K 1/21; cum 273K 6/22;
32483, 1,221, Hess, BB-Chapin A-151-95-0403H-3, Blue Buttes, t5/17; cum 205K 1/21; cum 219K 6/22;
32482, 1,120, Hess, BB-Chapin A-151-95-0403H-2, Blue Buttes, t5/17; cum 260K 1/21; cum 290K 6/22;

18271, 547, Hess, BB-Chapin A-151-95-0403H-1, Blue Buttes, t1/11; cum 247K 1/21; intermittent production after 5/19; cum 259K 6/22;


25057, 1,033, Hess, BB-Chapin 151-95-0506H-2, Blue Buttes, t12/13; cum 222K 1/21; cum 240K 6/22;
25058, 1,286, Hess, BB-Chapin 151-95-0506H-3, Blue Buttes, t12/13; cum 267K 1/21; off line 7/19; cum 284K 6/22;
25059, 1,086 Hess, BB-Chapin 151-95-0506H-4, Blue Buttes, t1/14; cum 260K 1/21; off line as of 8/19; intermittent  production before then; cum 279K 6/22;

29159, 1,193, Hess, BB-Chapin 151-95-0403H-7, Blue Buttes, t7/15; cum 215K 1/21; off line as of 8/19; cum 230K 6/22;
29160, 980, Hess, BB-Chapin 151-95-0403H-8, Blue Buttes, t8/15; cum 175K 1/21; cum 188K 6/22;
29161, 1,051, Hess, BB-Chapin 151-95-0403H-9, Blue Buttes, t8/15; cum 182K 1/21; cum 194K 6/22;
29162, 1,001, Hess, BB-Chapin 151-95-0403H-10, Blue Buttes, t8/15; cum 199K 1/21; cum 208K 6/22;
29163, 809, Hess, BB-Chapin 151-95-0403H-1, Blue Buttes, t8/15; cum 232K 1/21; cum 258K 6/22;

30151, 1,851, Hess, BB-Federal A-151-95-0910H-6, Blue Buttes, t4/18; cum 265K 1/21; cum 299K 6/22;
30150, 1,747, Hess, BB-Federal A-151-95-0910H-5, Blue Buttes, t4/18; cum 309K 1/21; cum 343K 6/22;
30149, 1,632, Hess, BB-Federal A-151-95-0910H-4, Blue Buttes, t4/18; cum 290K 1/21; cum 324K 6/22;
30148, 463, Hess, BB-Federal A-151-95-0910H-3, Blue Buttes, t5/18; cum 178K 1/21; cum 194K 6/22;
30147, 1,343, Hess, BB-Federal A-151-95-0910H-2, Blue Buttes, t4/18; cum 329K 1/21; off line 8/19; back on line 10/19; cum 362K 6/22;


30031, 4,189, Hess, BB-Federal ..... 2; t6/19; cum 394K 1/21; cum 464K 6/22;
30030, 3,609, Hess, BB-Federal ..... 3; t6/19; cum 163K 1/21; cum 184K 6/22;
30029, 3,969, Hess, BB-Federal ..... 4; t6/19; cum 325K 1/21; cum 368K 6/22;
30028, 3,724, Hess, BB-Federal ..... 5; t6/19; cum 216K 1/21; cum 256K 6/22;
30027, 3,957, Hess, BB-Federal ..... 6; t6/19; cum 399K 1/21; cum 476K 6/22;

18105, 860, Hess, BB-Federal A-151-95-0910H-1, Blue Buttes, t2/10; cum 459K 1/21; off-line from 1/18 to 5/18; just brought back up on-line in 5/18; jump in production when brought back on line 5/18; but then appears to have problems 3/19; taken off line then with intermittent production; cum 495K 6/22; production update here;


From a reader earlier this week who commented on a huge pad:

This pad is a monster 18 wells, mostly federal. Most are on the confidential list. They’re using a side track lateral on this new well, too.

This is the pad the reader is talking about, I believe:

But, in addition, there are more BB-Chapin wells to the north:

The BB-Chapin wells and BB-Federal wells in section 5-151-95:

Brits Like Higher-CO2 Gasoline More Than Diesel, T+35 -- July 5, 2018

From The Financial Times, do as I say, not as I do:

UK sales of new diesel cars fell by 30 per cent in the first six months of this year, as buyers shunned the once-dominant fuel in favour of higher-CO2 petrol. 

Diesel sales fell to 428,612 between January and June, compared to 613,985 in the same period a year earlier. 

Petrol sales climbed 11 per cent to 812,535, taking the fuel’s market share to 61.8 per cent, compared to 52 per cent a year earlier. 

Total UK car sales over the six months fell 6.3 per cent to 1.3m, as the market declined following years of strong growth. Sales in June slipped by 3.5 per cent, despite sales of new cars across Europe rising in the same month.

Chevron-exit?  Chevron getting ready to exit all UK central North Sea assets? Link and data points:

Chevron's presence in the U.K. North Sea spans more than 50 years, according to the company’s website, which highlights that on December 26, 1964, Chevron's joint venture operator Amoseas (American Overseas Petroleum Ltd.) drilled its first North Sea well, 165 miles offshore the United Kingdom.

And now it's leaving. 

Enbridge-exit? Enbridge agrees to sell its Canadian natural gas gathering and processing business
19 natural gas processing plants and liquids handling facilities --

• total capacity 3.3 billion cf/day
• 3,550 km of natural gas gathering pipelines

Nineteen gas processing plants. Sounds like a lot. But the state of North Dakota, alone, has about 34 NG processing plants and by 2020 will have a total capacity of almostt 3 billion cf/day

The North Dakota Pipeline Authority tracks the natural gas plants in North Dakota. Link here: https://northdakotapipelines.com/gas-plants/.

California spot prices for electricity will spike today, link here:

NYC: that heat wave?

Demand For Trucks Soaring -- July 5, 2018

Keep on trucking: we've talked about this several times in the past year. Now, again, at The WSJ-- truck-factory backlogs soar on heavy demand for rgs.

Fleets ordered 42,200 trucks in June, more than double the number they bought in the same month a year ago, and 18.5% more than they ordered in May.

“We’re expecting in June that the backlog will rise to a level we haven’t seen since about 1999,” said Kenny Veith, president of Columbus, Ind.-based ACT. The backlog-to-build ratio was about 9.6 months at the end of May, he said, meaning most trucks ordered in June won’t arrive until the first half of 2019.

June is typically a weak month for truck orders. But the persistent robust demand for the heavy-duty vehicles used for long hauls meant carriers ordered new trucks at a seasonally adjusted rate of 492,000 vehicles in the first six months of this year—“the strongest six-month order period that we have in our database, which goes back to 1982,” Mr. Veith said.

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Back to the Bakken

Active rigs:

$74.19→	7/5/2018	07/05/2017	07/05/2016	07/05/2015	07/05/2014
Active Rigs	66	57	31	76	191

RBN Energy: rising Canadian gas imports push back on Rockies supply in the US west.