Sandy Energy

Oil Slides, Gasoline Gains as Hurricane Sandy Nears U.S. at Bloomberg.

Energy chart of the day: Shale oil production in North Dakota and Texas has boosted US oil production to a 17-year high by Mark Perry.

Off topic:  North Dakota’s oil boom in pictures at Reuters.

OPEC’s oil production has spent the last 9 years between 30 and 32 million barrels a day.  Through July 2012 production has been over 33 MMbbl.  EIA  Yet, IEA says call on OPEC oil to rise slowly over next five years at Platts.

Non-OPEC Average Annual Crude Oil Supply in mbpd 2001-2012 at Peak Fish.

Canada’s Energy Stumble as an editorial in Friday’s WSJ.

The U.S. rig count was down:  Haynesville Play.

RJ raised its natural gas price outlook but is still bearish:  Raymond James.

With an already stretched balance sheet and the latest acquisition, sounds like MHR will be selling it’s Eagle Ford position.  Oil Gas 360

From my local newspaper:  Find out where oil and gas leasing activity is booming across Lower Michigan (Mlive).  What you need to know before you lease your land for oil and gas exploration (Mlive).

8 thoughts on “Sandy Energy

  1. Nice look at those Bankken (damm a new misspelled name) pictures! I have another link of the area which I will post…

    Thanks for the update of MHR…I have them on our watch list, however, I do not know what to make of this. I will have to finish reading the article…

    Remember the Benghazi Four! May they sit in the Kingdom of God!

    • I haven’t dug in yet, but Gary Evans may be about to zig into the natural gas direction in a big way…

      • I finished reading the article and I am not pleased. Simply, why does not management state why they have decided to move into a NG play and give up on Eagle-Ford.

        21k net acres is to small? Please!

        I think this decision is a mistake, as crude is a much more stable comod and provides for a high IRR over the long term…

        Furthermore, why are they acquiring these leaseholds for a 60% discount?

        How much debt is MHR taking on and do they have enough cash for a robust CAP-EX program..

        There currently CAP-EX is minor league and they are burning 60+ million dollars to do this deal..

        From this perspective, it is a trading vehicle only and not an extended investment…

        • Investors are drawn to MHR in part because of Gary Evans. Not knowing what he is up to means the shareholder must do a lot of trusting. Speculators only!

  2. Regarding Peak Fish, (something smelly hear) is that 80% of world reserves are held by NOCs..(Mr Likevern)…

    Draw your own conclusions…

  3. ‘Reserves’ is a funny word. But the chart is good and reflects the horizontal drilling boom.

  4. Mr Butler, I hope they find a plenty oil and gas in Michigan…The Tigers could sure use some gas to pep up their play in the field…

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