An email from a long time SDA loyalist and retired industry insider;
I’ve long said the collapse of the hydro-carbon market is not something that can just be re-started, and as the available commodity becomes scarcer and harder to find we see the idiots in the WH try to burn the world down to access what they think are Iranian and Venezuelan stores.
What the industry knows or traders know is that this isn’t an answer, Iran is desperate to get its industry going, to my knowledge I had a colleague who went out there during the Obama years after the last great US reconciliation and after all the hurdles he was pissed at Trump because theynever even got started, but as he said it has had very little equipment in
the last 40 years and its most modern infrastructure is even older and decrepit, coming from the 70’s and early 80’s.It’s the same as Venezuela – does no one remember that the government there nationalised everything and left the oil majors of the day leaving millions in assets behind just for it to rust and rot while their own corruption meant they had to import fuel?
Rest assured though the Chinese are in both countries busy as hell using and supplying all that western oilfield equipment. What they may find difficult is the expertise to use it. The Chinese will of course make sure they can provide for their own use first and foremost. I remember that brief period when Libya opened back up and Europeans rushed in expecting a bonanza, only
to find next to nothing and then to lose what the did find in a still ongoing conflict.Russia on the other hand has maintained a competent industry and has the world’s largest reserves.
So in other unintended consequences of letting children play, we see systems built of years of stability near collapse which will in turn lead to more unintended consequences.
Interesting times are getting more interesting with each passing of the day.
How did the Oil Industry Collapse World Wide?
Slowly, then all at once.
It should be pointed out that the oil industry is not collapsing world wide. It is making tonnes of money. Please send bigger wheel barrows. See those guys laughing? They are off to the bank.
Now, the people who use the oil? Totally different story. There will be a big collapse of those with small pocket books.
The funny thing is … this should be a good thing for green energy, yet, green governments are running shit-scared. Imagine living in the European countryside and having no access to fuel. You can’t go anywhere. Then imagine living in the city without reliable electricity. Then imagine winter. Should be an interesting fall-2022.
In a related prediction of HORROR … PG&E has just raised its rates (The CAPUC approved those rate increases) TWICE in the last 3-months. So much so that the State is issuing some kind of a “green energy” rebate to ratepayers to offset these crippling rate increases.
Energy poverty is getting REAL … very REAL.
It appears as though the Socialists have finally finished off capitalism. The vast majority of Americans won’t be able to afford ANYTHING other than Energy … and the remaining products are inflated $$$ out of reach.
Can you imagine trying to flee a war zone in your electric car?
Steve, don’t miss the forest for the trees. Supply is collapsing, which will lead to a lot more than problems for the oil industry. Oil fields have to be found permitted, drilled, and then production permits, development permits, then front end engineering and design, construction, commissioning and finally production. I cannot comment about land, but in the offshore where the big new finds are and will be discovered, 5-10 years is normal for this process, 5 being very fast in corrupt jurisdictions (see Ghana) to 10 being more normal in civilized places like the Gulf of Mexico. Transocean has had the majority of it’s rigs cold stacked for years, they are just now getting manned up and under contract. Oilfields also require constant and continuous investment to produce, very quickly there will be a shortage of deep water capable vessels to do this. this is a problem best measured in decades, so long as you don’t mind cheaper, if available gas and diesel in 2035 great. If you want it in 2022-2030 range, too bad, that die is cast.
We are literally governed by the most cretinous, corrupt, imbecilic political class in history. And all too many moronic voters (psst: looking at you Colonanus, Johan I’m Kacked, Allan Sodomite, et al) cheer them on in the name of saving the Penis Pianist’s depraved regime from a cleansing it desperately needs.
CAI
+++++/\ 100%
Right down to big & Small city Mayors, Councils, School Boards, and Corporate Entities….and anyone in a “management” position….w/I don’t give a fk who. One look at the fact that the vast majority of corporate vax mandates are not coming down is all you need to know…
( and you forgot that cunnning STUNT Chelsea )
+++CAI
Biden shipping off Natural Gas supplies to the European Union doesn’t help and will only make domestic supplies more scarce and more expensive.
Spreading the global economic pain more evenly would be my guess.
No, it’s trying to keep the EU from buying Russian fossil fuel supplies is what this is.
Rise baby, rise as you collapse our other industries totally reliant on these more expensive fuels.
Bankruptcies R US will be our new normal.
Investment in exploration by BigOil has been in steady decline for 8 years, no thanks to ESG efforts. As a result, when a crisis is looming, new fields have not been identified for the forecast delivery demand or need. And when that need is apparent, BigOil can’t just quickly explore, drill and pump.
It takes YEARS to reach production capacity.
And killing Keystone was one of the stupidest, most short sighted decisions made, that both countries will pay for. It could still be rescued, but for stupidity and selfish narrow minded highly partisan interests.
Will $3/litre or $10A/gallon change anyone’s minds? We are about to find out.
Maybe this is the ultimate solution to finally changing the tide with the Trudopian fanatics. Being unable to afford anything, or choosing between food and fuel expenses, will snap these dimwits out of their dream state.
“will snap these dimwits out of their dream state.”
Not gonna happen. Almost half of Canadians are so blinded by propaganda that they’re no different from the meme of the dog sitting in a house on fire and saying, “This is fine.”
We’re in a death spiral that’ll only end when the useless mouth breathers are removed from the gene pool.
Dan, killing the keystone and everything else destroying our nations was/is intentional. Destruction of freedom, rights and prosperity is the goal.
People need to stop thinking that these are policy blunders.
Dan
Not a hope in hell.
One cursory glance back to the Jan 2020-Feb 2022 period should be more than enough evidence to demonstrate the Canadian populace is far far beyond anything remotely resembling intelligent or capable of critical thinking….I include my Entire Family in that.
Brain dead DRONES glued to their fking iPhones, TikTok, FB, instaShit, the VIEW….and the legion of legacy Media Whores…lapping up every bit of FEAR PORN they could find.
Same goes for our Politicians from the PMO right down to Town Councils – everyone of them a wannabe NAZI.
Seems to me that those who took the 3rd…the KILL SHOT, will find out soon well enough.
AIDS will destroy them. Only issue being is that those in power DID NOT take any of that garbage.
Any Bets…????
I was just reading some comments on a Daily Mail article and there were swarms of NPC’s all repeating the epithet … “anti-vaxxer!” over and over and over … how could that STILL be a thing!? Now that their “vaxx” has been revealed as useless and dangerous?
Yeah … useless mouth breathers … genepool.
“Brain dead DRONES glued to their fking iPhones, TikTok, FB, instaShit, the VIEW”
Star Trek The Next Generation, aired 1991: ‘The Game’ – the writers were prescient.
https://www.imdb.com/title/tt0708798/
Any links or even random guesses about how long it will take for the deaths to kick into high gear? We’re into year 2. Insurance companies are reporting excess deaths of 40%. I saw a brief video stating US military deaths were up 1100% – they are – theoretically – in better shape than the population. Athletes and children are dropping like flies.
I know a lot of unjabbed who are getting kind of anxious, including me. Not worried anxious. We just want the truth to break out to the dying masses…
Starting to pickup some good deals on expired peoples crap.
Brother just bought a 1979 Honda CB750K 10th Anniversary LTD bike with 2490 on the clock for peanuts, guy never rode it.
He is going to ride it till the wheels fall off.
There are some silver linings in this morbid tale.
No bets Mr Steak. However, there are still a few of us unjabbed that might be more than a tad upset that the “vax” killed Granny and Mom, as well as little Jimmy and Joanie. There will be a certain amount of retribution. My missis didn’t take the third jab, but stupidly took the first two. She immediately got hospitalized the next day with Pneumonia, followed by another lung infection a week or two later (pleurisy) . She’s also had ongoing health issues since then, and this week was diagnosed with heart problems and has started medications to help with it. As for me, I’m polishing the shotgun, and stocking up on ammo 🙂
Imagine you are an unloved oil & gas producer and the price of the commodity you produce is going up rapidly due to short supply. What to do, what to do…
Yeah … I’d fuck with the spot market. I’d feign a shortage.
Funny thing … there are still no gas lines like the 1970’s. I have NO PROBLEM pumping all the $ 6.95/gal. gasoline I can hold … supplies are definately not short at ANY gas station where I live.
I wouldn’t fuck with the spot market but I would be slow (nay – glacial) to allocate capital to the development of new prospects knowing I was unloved and that procrastination would only lead to higher prices. Meanwhile don’t worry Europe – Joe Biden is on the way.
Today a group of morons called Fossil Fuel Free Waterloo or some such nonsense is protesting at Waterloo square – against investing in our resources. All these idiot kids have been brainwashed all their lives since Al Gore made his movie and they had to see it every year in school.
Probably dropped off by their moms in SUVs.
Those who have outsourced their thinking skills to arts graduates or never bothered to learn skills that allow one to conceive of the notion that access to reliable and high density energy is critical to modern industrial society and prosperity, are about to experience a lesson from the school of realty.
The “dimwits” in power are not all that dim.
The pain inflicted on the masses will not reach them as they have insulated themselves from it through pensions and under the radar schemes, kickbacks and insider benefits.
Watched Alberta energy minister on Fox making the case for North American energy independence . We should see more of this where Alberta speaks directly to American law makers and leave Trudope playing in his sand box .
The problem is, the Canadian infrastructure to deliver crude oil and nat gas is full. It is really up to the Americans to expand their oil & gas exploration and production efforts which should be an interesting political problem. Joe Biden will be campaigning for the end of the oil & gas industry and the expansion of the oil & gas industry at the same time.
I think after Biden’s diktat cancelling the Keystone XL pipeline, TC should not build it unless the US government pays them upfront to complete it.
I am pretty sure they feel the same way.
Not to mention pensions.
Was Trump a sham, then? The story that he rapidly turned the Obama doldrums into an energy independent boayant economy a mere legend? Genuine questions, ‘cos it sure seemed like America could pick itself up and get going pretty fast when it wanted to.
Academic questions, sadly, as we are a long way from America wanting to do that (and even longer for anyone else).
The shale fracking revolution took off under Obama’s reign, despite him and not because of him. It was so successful, the market became saturated and the price crashed, leaving Trump to inherit cheap oil and gas.
Trump was not a sham and guys like him (DeSantis is another one that comes to mind) is what we need. The problem is, can the economy survive 3 more years of Bitten and Trudope?…It’s going to be a tough ride…Bring a knife and a baseball bat when grocery shopping and don’t leave your car unattended if you want to have gas to go back home.
Suggestion: Unless rarity creates gas line ups, only keep 1/4 full tank if you think you might get siphoned…That would be the lucky scenario they didn’t puncture the tank.
They’re drilling holes in the tank to drain it. I think syphoning went out years ago when they developed tank baffles to prevent gas from sloshing around and people syphoning gas. I did live through the ’70 though, where the thieves were more respectful and were stopped by a locked gas cap. Now they really cause some damage when they drill the tank and cut out your catalytic converter.
It’s going to get much crazier from here on out. I just can’t believe how many people are sleepwalking through this. It’s like the Eloi walking into the Morlocks cave not knowing what fate awaits them.
Currently the US is about 1.5 million barrels per day off of the Trump peak in generating oil
Additionally, the Government of Biden is refusing to conduct required auctions of new or recycled leases for exploration
and probably slow walking permits for drilling and production.
On top of which you have the “Idle Iron” rule, which requires the various companies to remove and seal anything that is not producing oil, in the interests of keeping the gulf “clean”.
Companies have gotten the message from the government that it is no longer a permissive environment, so that kills a lot of longer term projects that cost billions of dollars, that may or may not ever get built.
But if you listen to Forbes and the Like, the government has no control over this
I looked at oil refinery capacity in Alberta and Saskatchewan the other day so I’m fairly confident the pumps won’t run dry around here due to supply problems. Just like it’s better to have access to expensive food than empty grocery shelves…it’s better to have access to pricey fuel than no fuel at all.
Filling gas tanks and buying fuel is ridiculously expensive and the fault is due to political decisions from green policies over the decades to covid polices over the last couple years, far more than the Russian/Ukraine conflict. For the last 30 years or so, modern countries have been governed by the stupidest politicians in human history (with a few exceptions, of course)
Don’t blame the politicians they were elected by the voters. It’s the voters who are the problem. You and me.
Canadian voters believe the government is benign, helpful, and honest. They only want to do what’s right for the people.
The truth is government is incompetent, malignant and corrupt.
The overwhelming majority of Canadians have zero survival skills. When the lights go out (and they will) it will be over for 90% of the population within days. The remainder will be gone by months end. The Canadian population is completely dependant upon government incapable of functioning without it.
If you haven’t noticed,the world is sitting on a precipice. Our governments are playing chicken with nuclear weapons. One stupid move by one of these morons (they all have the mental capacity of the Bong – who obsesses about his socks) and we’re into nuclear winter.
I’m not buying that argument for 2 reasons.
1) I’ve only ever voted for pro-energy people.
2) voting changes absolutely nothing because politicians do whatever the hell they want, regardless of what they promised during the election period. “If voting made a difference, they wouldn’t let us do it”. If the last 2 years have shown anything, it is that political decisions are made by international organizations. They are in control and our votes are meaningless.
Not quite correct. Voting changes nothing because we are offered the same policies by all parties. It is true in all the Western “democracies”. Here in Canada, like elsewhere, we have the Uniparty where all groups speak from the same hymnbook. The difference between them is a matter of style or flavor.
Except the PPC, of course, and if you really want to see an end to these policies of servitude, then you have no choice but vote for them.
LC, that’s true, and the bureaucracy is worse. The bureaucrats are so isolated from economic reality that they actually believe this green, non physical version of the world. Any politician learns to go along with them or brown envelopes head to the Grope and Flail and the CBC. Being in government means you are responsible for compromises made before you showed up, so you are essentially hostage to them. I had a DM tell me to my face “politicians come and go every four years, we’re here forever”, without a hint of guilt or concern. You would need pols with the courage and lack of need for job security to come in and fire the entire top 4 layers of each ministry on the first day, of the departments which remained after some were closed in their entirety. It won’t happen.
It will take gas lines and food lines, and then the people will have to take care of business. Not optimistic in Canada. Still hold out hope for the US.
Exactly, Peter – as evidenced by Rona Ambrose in Harper’s first Government. Recall that she lasted 6 months as the Min of Environment before they chased her! That was the first evidence of the Softer and More Gentle Prime Minister Harper.
The department should have been summarily dismantled!
Immediately!
But no, we got a new M O E instead. I do not recall who, but Ambrose et al found out the hard way who was “in charge!”
And the CBC cutbacks were put on hold if they ever were considered.
After reading all the comments, I think the Reform Party was on the right track regarding the need to radically change the governing system in Canada and about the western prairies alienation from Ottawa. The current system in Canada is a joke of a democracy with an abusive relationship with Alberta and Saskatchewan and working class Canadians.
Not wanting to put too fine a point on this but political parties get elected by offering voters programs/platforms that they (the voters) have asked for. Sure, nobody in the west asked for the current governments position on energy but that’s politics. They don’t need votes in the west. The system needs to change to avoid things like this.
I once saw Sheila Copps say, “Tell me what you want and I’ll get it for you.” That is what I’m talking about. That is why we get the government we deserve.
The politicians are elected on a deceit. They are intent on policies that will impoverish the electorate; they think this is a good thing. And that’s all the way from the top to the lowly city councillor. They all think YOU using less – energy, food, transport, you name it – is a good thing, and pursue policies to make that occur. This is called impoverishment. This is done in the name of saving the planet but really all about restricting freedom. The truth is we have an abundance of energy – coal, oil, gas, nuclear – to last for hundreds of years.
“Its the voters!”
Well, yes. And no. The voters don’t really get to vote on individual policies. The politicians campaign on “Free cookies for everyone!”. And who doesn’t want free cookies? They never mention that they also believe in a whole raft of other bad policy, and/or that they will be voting in exactly the way they are told by people you never get to vote for.
Until Trump, who you voted for didn’t matter. They all had the same objectives (or the same objectives forced upon them) if they wanted to keep their jobs and the millions that seem to accumulate in the bank accounts of elected “representatives”.
Trump rocked the boat. That was why the voting had to be fixed. Normally, it wouldn’t matter if it was Hillary or Mittens sitting in the Whitehouse. This was the only time voting mattered, and they were not about to allow it to matter.
This is why we must sit back and watch.
Blame the media – virtually nobody has ever met any of the politicians they vote for. People are dependent on media to shape their opinions – and media is fully and wholly corrupt. Believe the inverse of what they report and you will be far better informed.
Agree abtrapper .. the green freaks have been running the show for much too long thanks to morons like gore and fruit fly . Maybe sitting on the edge of a volcano ( WW III ) will wake up the silent majority. Not holding my breath.
re abtrapper’s comments ; I watched a documentary called ‘A Century of Self’ last week which outlined the role of Sigmund Freud, Wilheim Reich and the development of advertising on the north american consumer. It’s whole purpose was to change people’s ideas from buying what they needed to needing everything. Just about every sociological ill you can think of can be traced back to adverising. Once the politicians saw the potentials of this, starting with Woodrow Wilson , they ran amuck, convincing people to leave all the decisions to the experts, in this case government. I am sure anyone here can identify people they know who get all their info from Oprah of the evening news. It would be funny if high energy costs forced people to turn off the tv, and then woke up. Is that even possible? anyway, to abtrapper’s point, I don’t think the majority of people have their own opinion on anything, they just parrot what they hear.
Exactly, i have asked so many people, why do you contract out your thinking to someone else? They don’t even think enough to understand the question. Pure laziness. Thinking is hard, but more people should try it.