Wall Street Found Big Oil. Who Would Have Thought? – ENB Weekly Recap

In a rapidly evolving energy landscape, major oil companies are shedding weight to stay competitive amid fluctuating crude prices, mergers and acquisitions, and technological disruptions. As highlighted in a recent Wall Street Journal piece, giants […]

Highlights of the Podcast 

00:00 – Intro

00:13 – Dallas Fed Survey Reveals Unrest in America’s Shale Patch

09:48 – U.S. Shale Costs to Soar to $95 per Barrel Within a Decade

14:05 – OPEC+ is poised to slip further below oil output target

14:05 – Exclusive: OPEC+ plans another oil output hike in November, sources say

15:57 – U.S. Government Shutdown Leaves Energy Markets on Edge – What Investors Should Know

22:39 – Gold Revaluation Imminent? US Treasury Hoard Tops $1 Trillion For First Time – What do Investors Think?

26:02 – Big Oil Is Getting Leaner and Leaner, and AI Is Having an Impact

29:49 – Outro

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Video Transcription edited for grammar. We disavow any errors unless they make us look better or smarter.

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Michael Tanner: [00:00:00] Wall Street found big oil. Who would have thought? Next in the Energy Newsbeat Weekly Recap. [00:00:04][4.9]

Stuart Turley: [00:00:13] Dallas Fed survey reveals unrest in America’s shale patch. Michael, this was a big one, especially because this came from David Blackman’s Substack and we recommend subscribing to him. However, this brings up the biggest point, drill baby drill and then compared to what’s really going on in the oil and gas industry. And this Friday, I have David Blackmon and Josh Young. We are going to talk about the state of the oil markets coming up. We’re going to be live on X. YouTube and LinkedIn. In his remarks this week, President Donald Trump reminded the UN General Assembly, we have an expression, drill baby drill, you know, that’s what we’re doing. But according to 80%, this is out of the David Blackmon article, according to 80% of the dozens of shale oil executives who responded to the third quarter oil and gas companies by the Dallas branch of the Federal Reserve, that is all about to come to an end, thanks in large part to the president’s focus on cutting oil prices and means of controlling inflation. The uncertainty from the administration policies had put a damper on investment in the oil patch, one executive said. Another warns that drilling is about to disappear. Executive’s oil field service companies aired similar concerns pointing to recent layoff announcements as a symptom of the current market environment. A vibrant oil field services sector is critical if and when U.S. Needs to ramp up production, one says. This is a big deal. There’s a lot in this article. [00:01:43][90.0]

Michael Tanner: [00:01:43] First off, I love the Dallas energy fed survey because a lot of this is done and not a lot of it. All of it is done under the guise of anonymity. So. Part of that is people have a little bit more free rein. They feel like they can go at it a little bit more. But truthfully, I think you get a much better response from people when they’re able to give you comments under the guise of anonymity, because obviously the last thing you want is any fallout from your investors, from politically. This is unbelievable, Stu. Here’s this quote by one upstream executive. I usually just go straight to the quotes. I do tend to look at some of the statistics, but I always look at the comments. Listen to this, Stu, basically the business has been gutted by political hostility and economic ignorance. The previous administration vilified the industry, buried in regulation and cheered the flight of capital under the ESG banner. And now the current administration is finishing the job. I mean, going hard. Here’s one more. This is another one. I mean, this is a really, really, really long one. And to finish that quote, he basically says, and the same executive says, guided by the U S department of energy that tells them what they want to hear instead of hard facts. Ooh, that’s a pointed shot across the bow. Can I be honest? I don’t necessarily disagree with that comment though, but because they operate with little understanding of shale. I disagree with that. I think the secretary, right? Understand shale economics, but he’s caught between a rock and a hard place. He on his hand, his boss wants $40 oil. And on the other hand, his friends want $70 oil. Are you going to be in this interesting chasm instead of supporting domestic production? They’ve effectively aligned with OPEC using supply tactics to put prices below economic thresholds, need capping American producers in the process. The collapse of capital availability is feud consolidation by majors pushing out independence and entrepreneurs who wants to find the shale revolution in their place. A handful of giants now dominate at, but at the cost of enormous job loss and the destruction of the innovative risk taking culture that made the U S shale into sea. Great. Another quote says commodity pricing seems impossible to Dick with daily market swings over 5% up and down being normal for both natural gas and crude. We sell the spot pricing. So our near term financial performance is unpredictable. There are far too many levers that are being moved at the same time in everybody’s models, zooming out at the macro level. It’s no wonder the market is so volatile. And there’s some other interesting stuff. I mean, there’s one guy that talks about California permitting issues, but that, you know, one, I love this. We are very confused at the effect of the Saudi increases due to the increase in storages, crude prices are firm. What gives the absolutely, the service companies go absolutely even harder at the administration basically. And this one quote says the white house doesn’t know what they’re doing. Tariffs are increasing our supply costs. I mean, they’re going hard in the paints too. And to be honest, I can’t necessarily blame them because the industry has put it, has been put under a huge swing. This goes back to a comment I made multiple weeks ago, where it’s really crazy why people in the oil and gas, if you just think about it, logically, if think about looking out for your own, we always say, you know, president Modi, we love him because he’s looking out for the Indian people. Well, if you take that same approach to yourself and you look out for yourself, it’s crazy people in the oil and gas business vote Republican because especially this administration is doing everything they can to actually drive this industry into a worse economic financials. And the fact that they vote conservative shows that they’re actually principled people. They put other people’s and the country’s needs ahead of theirs. It’s really unbelievable. This goes hard in the paint. I highly, highly recommend everybody reading this too, but I was, I was getting a kick out of this [00:05:06][203.1]

Stuart Turley: [00:05:08] and there’s, there’s a couple of big things coming around the corner on pricing on this. My next article I’ll talk about here in a sec says U.S. Shale cost to sort of $95 in some basins kind of plays into this. It is a cyclical business. And when you said that there are very, there are a variety of issues. This is another quote affecting our businesses. One responds first excess in the global oil market is restraining oil prices near term. That is a false narrative because there’s really not an excess in the global market coming up because there is another OPEC increase that is being announced. But there is only one country that really has any spare excess capacity. In fact, we have a million barrels of oil a day of refining capacity that have come off line from Russia. So when you look at the downstream and the oil markets, it is a whole different [00:06:04][56.5]

Michael Tanner: [00:06:05] Yeah, I think it is. But I think what you’re seeing here, in my opinion, is the frustration of the oil and gas industry screaming to get some, some help from the administration. I mean, it’s truly, they extended the olive branch and helped elect this guy. And now all of a sudden they even got one of their own theoretically secretary right into the position of whispering in the ear of the president. Everything they do is anti oil and gas. It really is crazy. But the [00:06:34][29.4]

Stuart Turley: [00:06:36] I agree and I disagree because I think [00:06:37][1.7]

Michael Tanner: [00:06:39] President Trump, it’s [00:06:39][0.8]

Stuart Turley: [00:06:39] He’s not going to jump out of the screen and strangle I’m not criticizing President Trump because President Trump’s drill baby drill is not happening. I’m not trying to even say that I’m saying he does not understand the oil market. And when he does not understand that you can sit there and say drill baby, drill, not so much. [00:06:59][19.1]

Michael Tanner: [00:06:59] What’s funny is we’ll see in my segment, you know, rig count frat count spreader, both up. So maybe something is going on, but that has more to do with pricing. My last point here, the big defining theme from the Dallas energy ed survey is noise and chaos. There is no stability. If at least when the Democrats are in charge, we know things are going to suck. And it’s just a level of suckness that we agree to here. We’re up, down, left, right. And I think that’s what the people are screaming about is to let’s just get some stability. Even if the stability is lower extreme prices, this person who made this quote is absolutely correct. These 5% daily market swings up and down is no, no business will be able to survive no matter what industry you’re in. [00:07:41][42.1]

Stuart Turley: [00:07:41] It’s a global oil market not controlled by president Trump or the secretary. The global market is something that is the pricing matrices is something you can’t control. And so when you let me back up to that, you can just sit there and blame that on president Trump. He doesn’t understand the global market. And that comment also doesn’t understand the market when it is a global oil porous market. I mean, we can sit there and say, there are so many wrong things that are being priced in. Let’s take Iran, Iraq and California. Iraq. Is putting in another pipeline to Iran to help them ship more crude out. And I was going to run another story that you and I were going to talk about on that. It was including in this so that we could get more oil to California on that, how does all that play into this? Because all of it is a problem that is a global problem. It’s not just the administration’s problems. He’s trying to clean up four to five years of horrible problems. [00:08:49][67.7]

Michael Tanner: [00:08:51] I mean, yeah, and I don’t think these comments are saying it’s the administration’s or the secretary’s fault for oil. I think everybody knows oil prices, the global market, but then what you need to do is everything else that runs and also affects the oil and gas business that we can control. There would be nice to be some stability. I mean these tariffs I’m a fan of, but they were rolled out horribly one day. One day they were here. One day they we’re here left, right up down. Maybe. Yeah. Again, if there was a clear and I’m not saying they’re not working and I am actually a fan of them, but the problem is if you don’t have a clear policy and one day it’s 10%, the next day it is 15%, there’s a leak over in the New York Times that says it’s going to be 20%. If China doesn’t sneeze with their right hand, now it’s gonna be 35%. The uncertainty on where things are going is I think what this is getting at. And that’s where I definitely agree with these comments. [00:09:43][51.9]

Stuart Turley: [00:09:43] Well, I see it as negotiation. You see it as calamity. U.S. Shale cost to sort a 95 per barrel within a decade. And I had fun writing this little bit. U S shale industry, a cornerstone of the global energy supply is facing a pivotal. This kind of goes along. That’s the whole thing. The Dallas Fed survey caused me to write this article. This forecast signals the end of a relatively low shale extraction driven by the depleting high quality reserves. This follows also along the my good interview with Tricia Curtis over there at Petro nerds. And we talked about is the Permian hit peak Permian yet where we’ve not, but costs are going to rise. And Michael, I have a chart in here that is Permian Delaware current break even $55 to $64. Costs could rise 20 to 30% as tier one inventory deplete. Pushing toward the 75 to 85 and regulations and flaring are really adding pressure. Take a look at the middle, middle and area. There’s other ones. So I broke it down by basin by what is really causing some of their heartaches. And I have a feeling these are some of the reasons that that Dallas Fed survey had some of those comments in there. [00:11:03][79.4]

Michael Tanner: [00:11:03] Absolutely. Cause I think people are seeing this and I think really what this article is talking about is the, is the is really the exhaustion of what are called kind of tier one drilling locations, which are the creme de la creme, the best locations where you can just, you can lay a well, you drill a well. You know exactly what it’s going to get. Cause you’ve got two wells on the other side. You’re in a shale play, you know, depletion. You figured it out. You what your gun barrel is, all the stuff that, you oil and gas engineers and spend years trying to figure out. That’s what a tier one location, but then you have tier two, tier three, tier four. I mean, you have, it’s the same way in real estate. You’ve got your creme de la creme. You got a little bit worse than you’ve got yourself. It’s not that great. Really far out. I think it’s called like class a class B class C you get down to tier three tier four, your class Z sort of material. I’m in there. You might not even have air conditioning. You have rats running through the facility. So I think, and yes, the, what is happening. And I think what’s driving, I think one of the reasons why prices haven’t absolutely plummeted to $40 is the fact that as we were coming into this new administration, we had already exhausted a lot of those tier ones because those are getting drilled. Everyone drills tier one, regardless of what prices are really because it’s a great, because you can make the most amount of money on them. You know, nobody, you know, maybe in $120 oil, you might save some of your tier one in the bank and start drilling some lower end, but that’s to say that you’re a company that actually has enough that split out between tier one and tier two. There’s a lot of these independent companies, Stu, that they just have their locations. I mean, it’s, they don’t necessarily, you know, their acreage position sits somewhere and they don t necessarily have the ability to say, well, we’ve got a little bit in this tier one area. We’ve got some down over here in tier two so we can kind of jimmy around with the schedule. And I think what’s interesting here is that the shift from tier one to tier two, this is according to our good friends, Blackstone and Varis. They estimate that the shift alone could add $15 to $25 per barrel in terms of marginal costs by the 2030s relative to this. And we just saw, as you said, Stu, in the Dallas Fed Energy Survey that I think the industry is echoing this. So you’re right. It’s a cyclical business. Prices will begin to shift back upwards. I think the question is how low do we get on the production? How much does production drop? And you mentioned that great interview you had with Petro Nerds ICO. I think it’s dreamily interesting to think about and it’s going to be very interesting to sort of see where these wires cross. [00:13:26][143.6]

Stuart Turley: [00:13:27] Oh, yeah, I’ll tell you what, it’s kind of entertaining out there. So it is cyclical and my oil bowl that I’m about ready to go feed in the backyard, he’s getting kind of hungry. I’m still an oil bowl because I think the prices are going to come back as long as we don’t see World War Three. And as long we can keep Lindsey Graham’s mouth shut, we may be able to survive it. So. [00:13:48][21.4]

Michael Tanner: [00:13:48] I’m just getting a phone call here. Oh, Michael Tanner, Goldman Sachs, you’re hiring Stu is their new global oil price analyst. He’s bullish, so we’re good. All right, we’ll send the paperwork. Thanks. Looks like you got yourself a new job, Stu. Oil bowl. We love it. All right. But I never gave a date. Save yourself, save yourself. OPEC Plus poised to slip further below oil output target. This is from our good friends over there at Reuters. Opec Plus has delivered about three quarters of the extra oil output it targeted since the group started the original production heights back in April. And that level may fall closer to half later in the year as producers hit capacity limits, according to sources and analysts close with the international oil companies and the data that they’ve been releasing. So Stu, you’ve been preaching about this for years now, and now you’re a little bit vindicated because this is, you know, all of this increases that they’re doing, they’re able to do some of it, but that spare capacity isn’t just there. It’s pretty unbelievable. And there are some being, there are some curbs taking place because of oil production, but these next output hikes may only deliver half of what was promised, which is partly what drove oil prices up so heavily on Friday. I mean, what are your insights to this, Stu? Cause you’ve been on this for a while now. [00:15:02][73.6]

Stuart Turley: [00:15:02] The spare capacity, especially when you take a look at spare capacity in Iraq, Iraq is barely hanging on and they’ve got so much natural gas, they have to now start importing LNG. Iran is barely hanging on. And then you have Russia that has just been bombed their refinery capacity. So you look at Opec Plus does not, there’s one of the countries does have a decent amount of spare capacity. But when you look at Saudi Arabia, they are, they’ve got some spare capacity, the math thing, ain’t math thing up. And so it, it’s just as long as demand is going to be there in a, in, in India and in China, we are going to see $70 oil. I mean, I’m sorry, I hate to ruin everybody’s day, but we will get back there. [00:15:53][50.5]

Michael Tanner: [00:15:53] I mean, no, we will. It’s a, it’s a cyclical, it, it it’s cyclical business. Opec Plus plans another oil output hike in November, according to sources. So the, you know, you got two sides of the coin. You got, you got the angel and the devil on the shoulder, both given opposite stories about what’s going to happen. I mean it’s unbelievable on Friday, it leaks that, Hey, guess what? We don’t actually have any spare capacity. And now they’re trying to throw the narrative back the other way. We’re saying, well, wait a claiming here is that OPEC plus is going to approve another oil production increase of about 137,000 barrels per day at its meeting next Sunday. So a week from today, as they’ve seen these rising oil prices encourage them to quote unquote, steal back market share again, I don’t think it has anything to do with market share. I think it has more to do. With they, they, they took all these cuts and now they’re trying to say, we want those barrels back on the market, but now they realize they don’t have the barrels. And so how do they the narrative against two, as you mentioned in our Dallas fed survey segment, you know, they don’t quite have an OPEC doesn’t quite have the power they once did. And, and, and I think it’s more about power than I think it is market share. [00:17:00][67.4]

Stuart Turley: [00:17:01] I agree. In fact, there, there is a real question whether or not they’re even a cartel anymore or have the capacity to be a cartel. [00:17:07][6.6]

Michael Tanner: [00:17:08] I mean, they, they could attempt to corral people, but again, at the end of the people only do what’s in their best interest. So I think it’s really interesting. So Friday, no more spare capacity. It’s over. They can’t even hit their current targets Sunday. Oh no, wait a second. We’re going to add more barrels to the market. So the answer is always somewhere in the middle. When we have this,. [00:17:27][18.8]

[00:17:27] As always guys, the news and analysis you just heard. Is brought to you by world’s greatest website, www.energynewsbeat.com. Stu and the team do a tremendous job making sure that website stays up to speed. Everything you need to know to be the tip of the spear when it comes to the energy and the oil and gas business. Go ahead and hit the links in the description below for all links to the timestamps, links to articles, and specifically subscribe to the show on YouTube, subscribe to this show on Apple iTunes. Give us a follow there. Subscribe to our show on Spotify. Please leave comments there and subscribe to our sub stack, www.energynewsbeat.substack.com. That’s probably the best place to support the show. Stu does a great job of releasing two to three articles a week that really encompass the big themes that are going on. We also drop all of our podcasts there, which give a little bit of a breakdown. We just had a great, great podcast. So I highly, highly recommend everybody subscribe to the energy newsbeat.sub stack.com We’d also like to thank friends of the show Reese Energy Consulting for supporting the show guys. Reese Energy Consulting is the foremost midstream expert. Guys, if you had at all. Are dealing with issues in the midstream space, whether you’re an upstream company and need help with your first purchaser’s contract or renegotiating your gas contracts or figuring out where you’re gonna tie in your next pad because you’ve got multiple different options and you’re trying to break it all down. Reese Energy Consulting can help. If you’re in the mainstream space, I need an extra pair of hands, need some permitting or regulation help, or need some red team analysis on a final investment decision, guys. They have the team that can help you check out ReeseEnergyConsulting.com They have clients everywhere and all throughout the country from two people in a garage all the way up to the largest publicly traded companies in the world. So if you’re wondering, are you a good fit for them? The answer is yes. ReeseEnergyConsulting.com And finally guys, investinoil.energynewsbeat.com We are coming up on the end of the year. And I promise you guys, you do not wanna be paying money to Uncle Sam. You wanna keep as much money in your pocket. You wanna diversify your portfolio a little bit and you want to get some dividends. You can do that by investing in oil and gas. Check out investinoil.energynewsbeat.com Fill out our portfolio survey and our tax calculator. And guess what, you guys, you guys are gonna get and get a nice ebook that tells you here’s what you should look for when you invest in oil and gas. And also figure out what your tax burden is and figure out how much you might save relative to your tax burn if you did invest in Oil and Gas, guys. We practice what we preach here, guys, we do this stuff ourselves. Investin oil.energy newsbeat .com Don’t give your money to Uncle Sam. Figure out and find out if oil and gas investing is for you. Depending on if you qualify, we will, again, send you all that information and we may or may not point you in the right direction. Again, investin oil.energynewsbeat.com.  [00:20:09][161.7]

Stuart Turley: [00:20:11] US government shutdown leaves energy markets on edge. What investors should know. This is very important. Let’s have a moment of silence for the shutdown. Okay, thank you very much. The US federal government has entered a shutdown on October 1st after Congress failed to pass a stopgap funding bill with amid partisan divisions between Republicans and Democrats and the crowd went wild. I voted for this kind of fun thing. I’ll tell you what, you can’t buy this kind of entertainment. It has sidelined several key energy related agencies, but the EIA has already come out and said Michael that they will go ahead and be updating for the year term. So the over and under on how long this is going to last, the energy department is still open for business. [00:20:56][45.5]

Michael Tanner: [00:20:57] Well, of course, it’s only a partial shutdown. The whole government isn’t shut down. The military still getting paid certain things like that. The markets don’t even really care. I mean, the markets are actually up today, which is kind of hilarious goes to show you what people think about the markets or how the government impacts the markets. Maybe they’re more of a non factor than they are a big factor. I think the interesting thing to point out Stu is what does this mean for investors and the energy market? I don’t know how much. I do think that you put in here Bank of America analysts kind of are projecting that each week of the shutdown could save somewhere between 6,000 to 12,000 barrels per day. Is that going to do anything to margins? No, prices are already down today. While market confidence might be down, I don t necessarily think much happens with energy, but you’re right. I guess this is what we voted for. [00:21:50][53.1]

Stuart Turley: [00:21:51] Especially here’s where it gets dicey and that’s because you look at that one. Let me read this cost savings opportunities, doge led cuts in focus because all of a sudden the Democrats left the door open for the bull in the China room with the hair. We got to get a meme of that of a bull with a Trump hairstyle cut running through a China shop because now Trump can take all of the doge cuts that were sitting out there that they couldn’t do anything with. They can lay people off. They can fire people they can go through and he’s already turned them loose. So the longer the Dems play stupid, the more cuts President Trump is going to be able to do. This is actually a very good thing. [00:22:36][45.4]

Michael Tanner: [00:22:37] Yeah, well, let’s hope. [00:22:38][1.2]

Stuart Turley: [00:22:39] Gold revaluation eminent US Treasury hoards top $1 trillion for the first time. But what do investors think? I think it’s a great thing in a milestone that’s sending ripples through the financial market. The US Treasury gold reserves had surpassed $1 Trillion in market for the 1st time ever. This is pretty crazy when you consider it’s now $3,800 per ounce since October 2025. That’s today. When you look at the Fed’s role in the monetary problems, they’ve caused a lot of this problem and I couldn’t agree more that we need a new way to deal with the Fed. We can corral the Fed and get them to do what they’re supposed to do. This would really make a difference, but the Treasury getting a hold of this and then you take a look at two charts market value. There’s a chart there I got from zero edge hats off to them, but you take a look at the other chart from Bloomberg that’s in here. Take a look at the tons of gold in there. That makes me feel a lot better for hope for the US dollar is remaining the currency because when the world currency was the British Stirling Pound, you know, they lost it because of bad policies and it’s the bad policies that we’re at now that could cause us to be lost as the world’s currency. [00:24:03][84.9]

Michael Tanner: [00:24:04] Absolutely, I think that’s why gold stocks have crushed it. Our good friends Carl and Wasif over at Samaria Partners, their ETF is crushing it. Trust me, I have a little bit of that in my portfolio. Doing really well guys. Have you recommend checking them out, but I think you know you mentioned why gold is becoming important. Well, I think you know anytime inflation goes up, anytime you know the market becomes frothy, gold is seen much like Bitcoin is sort of that safe haven asset. So I think what you’re seeing around the country is people are around really the globe is people saying, well we need to add more gold to our balance sheet and it’s pretty unbelievable considering what the reserve is trying to do. I love this you bring up the gold to oil ratio which is a measure of how many barrels of oil to one ounce of gold buys has fluctuated from 2015 to 2025. It averaged about 19 to 20, dipped to about 10 during the oil price spikes of 2022 when they were above 100 dollars a barrel during the Ukraine conflict and have climbed to periods above. 30 in oil oversupply or weak demand. And as of August 2024, that ratio stood at about 31. [00:25:12][67.6]

Stuart Turley: [00:25:13] Now, let’s throw this ugly baby on the doorstep. When you throw the ugly baby on the doorsstep, China, China has been buying gold hand over fist and oil. So when you take a look at China’s got some serious problems and everything else, they are also attributing. So we’ve got a huge chunk in there and take a look at that. China has got 2.3 thousand tons of gold, but they have been buying more as a than any of the others. Russia has a better mine than anybody else and they’ve got a better, they’re lucky enough to have actually decent gold mines. So pretty cool stuff. [00:25:50][37.1]

Michael Tanner: [00:25:51] We’ve got a few of our listeners I know that have the gold bug themselves. Again, I do think we’re going to continue to see the gold markets and things associated with the gold market and mining stock continue to increase, be a great place to stash some cash. [00:26:01][10.3]

Stuart Turley: [00:26:02] Big oil is getting leaner and meaner and leaner, and AI is having an impact. I’m going to say leaner in meaner because I think we’re going to come out of this. And here’s a little bit in here. In a rapidly environment involving an energy landscape, oil major companies are shedding weight to stay competitive and fluctuating crude prices, mergers. ExxonMobil are leading the charge with significant workforce reductions. Exson alone is 2000, about 3% of its staff building on a 19% head-cop drop since 2014. I’ve got a chart in here with the top ones that are laying off people. Chevron’s 2 to 3000, ConocoPhillips is up to 25%, global workforce around 3,250, TotalEnergies, no new layoffs, but you got to love that. But I really got tickled at Total. Let me go on a Total rant here for a sec. They said, oh, by the way, we’re getting rid of all of our solar in the United States, and they turned around and bought all these natural gas assets. You got to love that. So anyway, when you take a look at, I had a real question on this. A key question is, where are these cuts landing? Corporate offices or rugged oilfield offices? Data from the announcements point to heavier toll on white collar roles. For instance, BP cuts target corporate white collar jobs, restructuring office-based functions in Canada and Europe. Conoco and Chevron plan to lean toward administrative support roles. Michael, this is about how AI is really coming of age and you’re able to take a, let’s say you’re in the field and you’ve got well logs you got to look at. Well log analyzation is important, but you got have a knowledgeable set of eyeballs on there or you’re going to have rig guys, you’re going to, pumps don’t need to work, electricians. The military needs 600 welders today. You can go get a job in the military right now with a welder. So there’s going to be jobs, but I think AI is having a significant impact. Now, is it going to impact the economy? No, I think that these are kind of jobs that if you got to be able to either retire early or you’re going to have to go learn how to do AI and find something else to do. [00:28:18][135.6]

Michael Tanner: [00:28:18] Yeah, I I’m going to, I’m not going to push back on the, I think it’s a death by a thousand cuts here. I think corporate big oil has probably gotten a little too, you know, grizzle around the edges. You know how you kind of trim the fat around the edge is when you get a steak. I think there’s a little bit of that that’s happened over the years with these corporate jobs. I mean, you’ve got three people all doing the exact same thing. You know, one person’s checking the other person is, I think it’s a little of that. I think people are also realizing one, what after you cut oil field service jobs, where the only place you can cut is the office. So if you’re trying to save hardcore GNA, do I think AI has a little bit to do with it? It might have a small role. I’m gonna, I’m going to not necessarily agree and say AI is the reason they’re targeting these corporate jobs. I think the, what they’re realizing is that the bloat that they’ve accumulated doesn’t quite match the price environment that they’re in. And at the end of the day, these executives have a fiduciary responsibility to the shareholders in order to make sure things run lean and mean. So I think it’s, I do, I think, AI is helping these oil and gas companies perform. Absolutely. I think it’s one of the big reasons why these oil and gas companies will continue to stay profitable. Now, the question is, is that the reason why they’re laying off folks? I don’t think so. It may be on the list, but it’s not the top list. [00:29:29][71.5]

Stuart Turley: [00:29:30] I think that for the people that are remaining, you had better know how to use AI because they’re going to ask you to do three people’s jobs. So you’d better have a way to get things done. So the answer is if you’re not being laid off because of AI, you better know AI because you’re going to have to do 3 people’s job. [00:29:30][0.0]

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