Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
"Unstoppable" California Gas Leak Now Being Called Worst Catastrophe Since BP Spill
Submitted by Tyler Durden on 12/24/2015 08:19 -0500
http://www.zerohedge.com/news/2015-12-24/unstoppable-california-gas-leak-now-being-called-worst-catastrophe-bp-spill
... the infamous Erin Brockovich writes, "the enormity of the Aliso Canyon gas leak cannot be overstated. Gas is escaping through a ruptured pipe more than 8,000 feet underground, and it shows no signs of stopping," as according to the California Air Resources Board, methane - a greenhouse gas 72 times more impactful in the atmosphere than carbon dioxide - has been escaping from the Aliso Canyon site with force equivalent “to a volcanic eruption” for about two months now.
Banks are massively short Gas and Oil futures:
http://www.cftc.gov/MarketReports/BankParticipationReports/deadec15f
Something Strange Is Taking Place In The Middle Of The Atlantic Ocean
Submitted by Tyler Durden on 12/16/2015 23:55 -0500
http://www.zerohedge.com/news/2015-12-16/something-strange-taking-place-middle-atlantic-ocean
Early last month, we noted that something very strange was happening off the coast of Galveston, Texas.
As FT reported, "the amount of oil [now] at sea is at least double the levels of earlier this year and is equivalent to more than a day of global oil supply.” In short: the global deflationary crude supply glut is beginning to manifest itself in a flotilla of stationary supertankers, as millions of barrels of oil are simply stuck in the ocean as VLCCs wait to unload.
An industry collapse seems to be at hand which means altered lives...
Looks like $WTIC is going to close at multi-year lows in November's monthly chart...
Something Very Strange Is Taking Place Off The Coast Of Galveston, TX
Submitted by Tyler Durden on 11/12/2015 - 10:43
http://www.zerohedge.com/news/2015-11-12/something-very-strange-taking-place-coast-galveston
Having exposed the world yesterday to the 2-mile long line of tankers-full'o'crude heading from Iraq to the US, several weeks after reporting that China has run out of oil storage space we can now confirm that the global crude "in transit" glut is becoming gargantuan and is starting to have adverse consequences on the price of oil.
While the crude oil tanker backlog in Houston reaches an almost unprecedented 39 (with combined capacity of 28.4 million barrels), as The FT reports that from China to the Gulf of Mexico, the growing flotilla of stationary supertankers is evidence that the oil price crash may still have further to run, as more than 100m barrels of crude oil and heavy fuels are being held on ships at sea (as the year-long supply glut fills up available storage on land). The storage problems are so severe in fact, that traders asking ships to go slow, and that is where we see something very strange occurring off the coast near Galveston, TX.
The Shale Massacre: Chevron Fires Another 7,000 After Laying Off 1,500 Three Months Ago
Submitted by Tyler Durden on 10/30/2015 10:25 -0400
http://www.zerohedge.com/news/2015-10-30/shale-massacre-chevron-fires-another-7000-after-laying-1500-three-months-ago
The good news: shareholders have nothing to worry about: the dividend of $1.07 per share is safe and sound, even though nearly 10,000 people have lost their jobs at Chevron so far this year.
And while the US department of labor magically continues to report week after week that initial jobless claims have literally never been lower, don't tell that to US workers across the shale patch and especially in Texas where as the accurate report of what is really going on from Challenger Gray shows, it is nothing short of another great recession.
Basically, the crude price is holding/consolidating without a great deal of volatility... stable at the moment.
You see what I was sayin?
Same thing happens when someone buys up all the beer!
Oil Surges To $45 After Saudi Troops Invade Yemen
Submitted by Tyler Durden on 08/28/2015 12:30 -0400
http://www.zerohedge.com/news/2015-08-28/oil-surges-after-saudi-troops-invade-yemen
For the 3rd day in a row, crude oil prices are spiking as the short squeeze morphs into a war premium. Heberler reports that Saudi ground troops have entered Northern Yemen and seized control of two areas in the Saada province. WTI is now above $45...
I think the back of the oil/energy bear has been broken... Period.
Check out the newest P&F chart... $15/bbl?!?!?! Que loco!!!
Ooops! That works.
I meant this though.
http://investorshub.advfn.com/Prudhoe-Bay-Royalty-BPT-453/
Track is wrong! Heading for the gulf!
http://www.ssd.noaa.gov/goes/east/tatl/flash-wv.html
Got PBT?
Know what! Hurricane season!
Junk-Rated Offshore Drillers Headed into Bankruptcy: Fitch
by Wolf Richter • August 17, 2015
http://wolfstreet.com/2015/08/17/junk-rated-offshore-drillers-after-hercules-headed-into-bankruptcy-fitch/
Both hands... Yikes...
That's what happens when you mess with the Russians! They break every finger on your hand!
I don't see it below $40.
Pain Worsens for Oil Giants Exxon and Chevron
Date : 07/31/2015 @ 8:48PM
Source : Dow Jones News
http://ih.advfn.com/p.php?pid=nmona&article=67980892
America's two biggest oil companies, Exxon Mobil Corp. and Chevron Corp., reported their worst profits from pumping oil and natural gas in more than a decade as low crude prices lopped off billions of dollars from their quarterly haul.
Exxon's second-quarter profit plunged 52% to $4.2 billion. The energy giant's division that pumps oil and gas accounted for just $2 billion of that, the lowest level since 2002. Chevron eked out a quarterly profit of $571 million thanks to its fuel-making refineries, which made up for the company's $2.2 billion loss from pumping oil and gas--the first such loss in nearly 20 years. Chevron lowered its outlook for crude prices and wrote down the value of its energy holdings by $2 billion.
The hard landing fell short of analysts' expectations, and Exxon and Chevron shares dropped nearly 5% Friday, making them the two worst performers in the Dow Jones Industrial Average.
Global oil prices have fallen more than 50% since last June, and settled Friday at $52 a barrel, the lowest since January. Exxon and Chevron have posted bigger profits during the 2009 downturn and earlier oil busts. But the world's biggest oil companies are ailing from more than low prices--problems that were masked when oil traded around $100 a barrel.
"The tide's going out and now we can see what was at the bottom," said Amy Myers Jaffe, executive director of energy and sustainability at the University of California-Davis.
The cost of unleashing new supplies of oil and gas has soared for the world's biggest oil companies, as they have spent enormous sums to harvest natural gas from Australia's remote waters and wring crude from Canada's oil sands, Ms. Jaffe noted.
Chevron is preparing to start up a massive gas-exporting project in Australia, whose costs have ballooned 45% to $54 billion. Exxon has boosted its oil output by scooping up thick, sludge-like crude from mines in the forests of Western Canada, a fuel that is expensive to unearth and sells for less than traditional oil. Royal Dutch Shell PLC on Thursday began wildcatting for oil in Alaska's Arctic waters, an undertaking that has already cost it more than $7 billion and it could take another decade before any oil flows.
As crude prices have tumbled over the past year, the three behemoths have been spending more to coax fuel from the ground and on dividends to shareholders than they have generated in cash. The companies are trying to conserve cash by laying off workers, negotiating for discounts with their suppliers and cutting spending.
Exxon plans to spend half as much on buying back its stock during the third quarter. Shell said this week it will cut 6,500 workers from its world-wide payroll. Chevron is reducing its workforce by 1,500, and didn't raise the dividend for the second quarter, as it typically does. Patricia Yarrington, Chevron's chief financial officer, said the company is committed to extending its streak of annual dividend increases for 27 years. "It is our number one priority," she said.
The companies are also seizing savings amid the downturn, particularly in the U.S. Jay Johnson, a Chevron executive vice president, said the company had been able to bring down the cost of tapping oil and gas by 20% to 50%, making it profitable to drill some new prospects even at today's oil prices. Exxon has operated at a lower cost on U.S. soil over the last three years than many smaller drillers, said Jeff Woodbury, head of investor relations. But both companies reported losses from their U.S. oil-and-gas drilling operations through the first half of the year, as have rivals BP PLC and ConocoPhillips.
The oil giants typically weather energy downturns because of their countercyclical businesses. When oil prices are high, they make richer profits from pumping crude out of the ground. When prices are low, they make more money from refining inexpensive crude into fuels like gasoline and diesel that they can sell at a greater profit.
Until this year, Exxon and Chevron typically made the vast majority of their profits from oil and gas production. Refining operations and chemical-making units have accounted for less than a quarter of Exxon's profits and barely 10% of Chevron's over the last 10 years. This year, however, is a different story.
Exxon made more money from refining crude and selling chemicals in the second quarter than it did from producing oil and gas--the first time since at least 2000. Chevron turned a $3 billion profit from its fuel-making plants, boosted by selling a stake in an Australia refiner, which accounted for the lion's share of its profits.
"I think they're largely benefiting from the integrated model," said Allen Good, a Morningstar Inc. analyst. Still, he said, they are spending more to generate cash than they used to.
Meanwhile, the price of crude continues to crater and many analysts don't see a rebound on the horizon.
IHS Energy, a research and consulting group, said the global oil glut is intensifying because the U.S., Saudi Arabia and Iraq have increased their collective output by 2 million barrels a day since November. Prices are poised to drop even further and could linger in a low $40-range for months before growing oil supplies stop swelling, according to a new report.
"Oil prices will be under downward pressure until there is evidence the glut is shrinking," IHS analysts wrote. "This will not happen quickly unless prices fall even further from recent levels."
Hey there Lowjack,
Thanks for the chart.
Pro-Life was gracious enough to post a very similar chart on one of my OTC plays.
The two reasons that I am sitting this out for now, is the failed pinch on the weekly chart.
That pinch took months to form and resulted in what looks like a potential dead cat bounce.
The second reason is because Pro-Life incorporated a $USD overlay on his chart.
I can't post complex charts like you guys because I am a cheapskate.
I see several secondary overlays and indicators that might indicate a bounce, but the failed pinch and $USD trend is keeping me out of the game.
Thanks again for posting the chart.
This board is one of the most under utilized boards on ihub.
It would be great to get more guys like you posting opinions here.
Have a great night.
IMO and FWIW.
I am probably preaching to the choir here Pro-Life.
I looked at HES. Wow...not sure I would wanna try to play that.
Its a shame to see those Bakken players hurting.
I would love to see Canadians flipping the bill for the Keystone, that would lower transportation costs for Bakken players to Cushing.
I guess Buffet would then have to sell all those Burlington-Northern oil cars for scrap.
Its part of the reason I still think oil moves higher at some point.
BNSF needs revenues. Oil is the primary force there.
IMO and FWIW.
Hess to Sell 50% Stake in Bakken Assets For $2.68 Billion
Date : 06/11/2015 @ 9:40AM
Source : Dow Jones News
http://ih.advfn.com/p.php?pid=nmona&article=67240826
I agree Pro-Life.
I know there are guys that can make money trading channels, but I am not one of them. I hate trying to make money in a sideways market.
I heard there are around 3000 wells that have been drilled but not finished (fracked) in 2015 so far, waiting to come online.
That new production can come online pretty quickly. It will probably keep $WTIC in the channel.
You never know though.
IMO and FWIW.
hey Pro-Life.
I just saw this slightly dated, but relevant PDF on Texas shale formations.
Its a fairly big file download, but contains a lot of info.
It is 82 pages and about 5 megs, but worth a look.
http://www.howardweil.com/docs/Reports/OtherReports/PermianBasin01-27-14.pdf
Congrats to you and lon on a different play.
Holy Moly, Nice gainer there.
IMO and FWIW.
Breitling Energy has released their full length documentary “Breaking Free: The Shale Rock Revolution” this week online and on DVD.
It was produced by Breitling CEO Chris Faulkner and filmmaker Robin Bossert, focusing on the controversial techniques of horizontal drilling and fracturing.
Here is the trailer. It should be interesting to anyone trading oil and gas stocks or commodities.
Crashes in whatever market are bad for the blood-pressure. Looks the market want's to test the 2009 low. The only ones smiling were those who bought puts and wrote nacked calls.
Crude knows no bottom... Amazing...
What a roller-coaster this has been the last couple of weeks in the Index and in the Crude.
Thanks god I decided for a the leverage 5 to 1 and not higher. Otherwise somebody would have gotten my positions cheap.
Important lesson: When volatility goes to an extrem start with a low leverage
I believe it will test the 30 area,and when it does i will load the boat withUCO,best way to play this by far!
Oil Holds Above $48 After US Stocks Hit Record High
Reuters | Updated On: January 29, 2015 17:52 (IST)
http://profit.ndtv.com/news/industries/article-oil-holds-above-48-after-us-stocks-hit-record-high-735531
London: Brent crude oil futures held above $48 per barrel on Thursday as investor inflows offset data showing that US crude stocks had hit a record high.
By 0928 GMT (2:58 p.m. in India) on Thursday, US crude was trading at about $44.50 a barrel, up 5 cents and off a six-year low hit on Wednesday. Brent was up 26 cents at $48.73 a barrel.
On Wednesday, the US Energy Information Administration (EIA) said domestic crude oil stocks had risen by almost 9 million barrels week on week to nearly 407 million, the highest level since the government began keeping records in 1982.
This pushed US crude futures to an intraday low of $44.08 a barrel, the weakest level since April 2009, but Brent held up relatively well.
"It's a tug of war between the non-supportive fundamentals and investor flows - investors are more concerned about missing a potential bounce," said Ole Hansen, senior commodity strategist at Saxo Bank. "But there is nothing bullish to be found in those numbers. The break will be to the downside."
Analysts expect stockpiles to keep building as US production has shown no signs of slowing, and when refiners enter seasonal turnarounds, utilisation rates will fall.
In addition, the market structure incentivizes traders to buy cheap crude to store, with the aim of selling it at a higher price for future delivery.
"With weak pricing and contango structures across most US grades, storage plays will continue to attract material into tanks. Until seasonal maintenance is out of the way there appears to be little incentive to do otherwise," analysts at Energy Aspects said in a note.
Some traders believe this buying to store has provided a "false bottom" in the market, and that when land storage gets filled, or floating storage economics no longer work, there will be another sell off in futures.
"Traders buying and putting oil into storage may be holding the price for now," said Christopher Bellew, a broker at Jefferies Bache in London. "I see the market as being in a consolidating phase ... (but) at some point I expect a move to the downside."
He suggested Brent could test $40 or go lower. "My principal reason for being so bearish is the production war within OPEC as Saudi and Iraq both seek to maximise sales and US production has not yet started to slow."
Saudi Arabia has said it is unwilling to balance the market alone and will maintain output in hopes low prices will drive higher-cost producers to cut their output.
Copyright @ Thomson Reuters 2014
Reversing... hammer candle on the weekly...
could very well be... the LOD finish today was flat out ugly...
RSI14 is 24.54 on the MONTHLY chart... talk about OVERsold!!!
All energies are beaten severely... more downside ahead...
http://finviz.com/futures_charts.ashx?t=ENERGY&p=w1
Who Is Behind The Oil War, And How Low Will The Price Of Crude Go In 2015?
By Michael Snyder, on December 31st, 2014
http://theeconomiccollapseblog.com/archives/behind-oil-war-low-will-price-crude-go-2015
Click the link for the entire comprehensive article filled with hyper-links...
Thanks Pro-Life.
Have a safe and happy new year.
Followers
|
18
|
Posters
|
|
Posts (Today)
|
0
|
Posts (Total)
|
450
|
Created
|
08/19/07
|
Type
|
Free
|
Moderators |
Volume | |
Day Range: | |
Bid Price | |
Ask Price | |
Last Trade Time: |