EIA Weekly Petroleum Report, Gasoline Demand -- August 14, 2024

Locator: 48413B.

EIA weekly petroleum report, link here:

• crude oil in storage: 5% below historical average;
• refiners: 91.5%
• jet fuel: up 16% y/y

Gasoline demand, link here:

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Back to the Bakken 

WTI: $76.98.

Active rigs: 37.

One new permit, #41025:

• 41025, Grayson Mill, L And E 9-4 5H, Ragged Butte, NWNW 15-151-101, 
• to be sited 349 FNL and 425FWL;

One permit canceled:

• 40894, Prairie Horizon Land Development, Grasshopper 1, Stark Co

One producing well (a DUC) reported as completed:

• 39677, 527, Petro-Hunt, Burian 144-98-14B-23-3H, Billings County;

Global Warming -- Whoo-Hoo -- August 14, 2024

Locator: 48412GLOBALWARMING.

New tag! GlobalWarming_2024_2025.

Link here.

This confirms / corroborates earlier stories already posted.

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The Book Page

A Plausible Man: The True Story of the Escaped Slave Who Inspired Uncle Tom's Cabin, Susanna Ashton, c. 2024.

Foxconn -- Nvidia -- AI -- August 14, 2024

Locator: 48411AI.

AI, two camps:

• AI is hyped;
• AI is not hyped.

I'm in the second camp.

Exhibit A: Foxcon.

Link here.

Foxconn is known internationally because it makes iPhones for Apple — but the Taiwanese tech giant is reaping the benefits from the artificial-intelligence boom, too.

The company’s AI server sales jumped 60% over the second quarter, an earnings report published on Wednesday showed.

Its profit climbed for the fourth straight quarter to 35.045 billion New Taiwanese dollars ($1.08 billion), beating the NT$33.73 billion figure analysts were expecting, according to data from FactSet. Revenue rose 19% to NT$1.551 trillion, a record for the three months ending June 30, powered higher by a 60% surge in AI server sales.

“The performance of AI servers was more robust than expected and drove revenue growth of the group to be better-than-expected,” spokesman James Wu said on an earnings call.

Taipei-listed shares of Hon Hai Precision Industry, as Foxconn is officially called, climbed 2.5% to close at NT$185.50 on Wednesday.

Slumping iPhone sales have been a cause for concern on Wall Street this year—even though Apple has promised to pack the next iteration of its flagship device with a bunch of generative AI features.But Foxconn has sought to diversify away from electronics in recent years and in October expanded an existing partnership with chip maker Nvidia to build a new class of data centers powering AI technology. It has a goal of eventually capturing 40% of the overall server market.

Ibotta Lemon -- August 14, 2024

Locator: 48410LEMON.

Updates

August 26, 2024: Amazon aggregators feeling the pinch. That dot-com bust? Exhibit A:

Original Post 

No, I never invested in Ibotta. 

We'll discuss this later.

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Dot-Com Bubble

Ibotta reminds me of the dot-com bubble. 

From my perspective, the dot-com bubble was nothing more than venture capitalists throwing millions (billions?) of dollars to Harvard MBA graduates who were building websites -- with or without a viable product.

Not part of the 2000 dot-com bubble, but Ibotta seems to be cut from the same cloth. 

How it works.

I'll be surprised if Ibotta is still active ten years from now.

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Disclaimer Briefly 

Reminder

• 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 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 US economy and the US market, 
• I am also inappropriately exuberant about all things Apple.

ENB Hits 52-Week High -- August 14, 2024

Locator: 48409ENB.

Tea leaves: Fed will not cut in September.

ENB:  

From Motley Fool, August 12, 2024, link here:

Enbridge reported solid second-quarter performance earlier this month. The midstream energy company posted an adjusted EBITDA (earnings before interest, tax, depreciation, and amortization) of $4.3 billion, representing an 8% increase from the previous year’s quarter. Besides, its distributable cash flow for the quarter stood at $2.9 billion, representing a 3% increase compared to the prior year’s quarter.

During the quarter, it completed the acquisition of Questar Gas Company and Wexpro, and hopes to close the acquisition of Public Service Company of North Carolina in the third quarter. These acquisitions would diversify its business and enhance its cash flows, thus strengthening its long-term dividend growth prospects. Further, the company is progressing with its $24 billion secured capital program, spending $6 to $7 billion annually. These investments would strengthen its asset base, driving its cash flows.

Moreover, Enbridge has rewarded its shareholders by paying dividends for the last 69 years and has raised the same for the previous 29 years at an around 10% CAGR (compound annual growth rate). It currently offers a forward dividend yield of 6.9% and trades at an attractive NTM (next 12 months) price-to-earnings multiple of 17.7.

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Back to the Bakken

WTI:$77.57.

Thursday, August 15, 2024: 34 for the month; 90 for the quarter, 416 for the year
40466, conf, Kraken, Milloy 10-3-34 3H,
40387, conf, WPX, Missouri River 25-26HY,
39798, conf, Enerplus, Garnet 148-95-03B-10H,
Wednesday, August 14, 2024: 31 for the month; 87 for the quarter, 413 for the year
40467, conf, Kraken, Milloy 10-3-34 2H,
40386, conf, WPX, Missouri River 25-26HIL,
40262, conf, Empire North Dakota, Whooping Crane 29-15 1H,
39253, conf, Hess, SC-4WX-153-98-3130H-5,

RBN Energy: New England hopes new life for Everett LNG will help ease reliability concerns, despite Mystic's closure.

The 1,413-MW Mystic Generating Station, a longtime workhorse for New England, shut its doors for good May 31. Located in Charlestown, MA, on the north side of Boston, Mystic is adjacent to the Everett LNG terminal, which supplied 100% of Mystic’s natural gas for several decades. The power plant’s closure meant the Everett terminal might also be history. However, the Massachusetts Department of Public Utilities (DPU) recently approved new contracts that will keep Everett LNG open for at least six more years. In today’s RBN blog, we’ll discuss the combined impact of Mystic’s demise and Everett’s stay of execution, how the region has handled this summer’s heat wave, and what could be in store for next winter.