The guys talk about how the EU would actually be ahead of the U.S. if they did not print money to keep up with the United States’ renewable programs. And Russian sanctions again? This time on nuclear, they look worse for the global communities than the oil and gas sanctions.
Highlights of the Podcast
00:00 – Intro
03:16 – News bites Billionaire John Paulson. Central banks are replacing dollars with gold
06:04 – Sanctions on Russian nuclear sector could backfire
08:10 – UK at risk of lagging behind the EU and US in clean energy investment race
10:06 – Will Shell and BP use their mammoth profits for green energy?
11:34 – India invokes maximum energy output law from coal plants
15:23 – Outro
Video Transcription edited for grammar. We disavow any errors unless they make us look better or smarter.
ENB Podcast Daily Stand-up Episode 65
Michael Tanner [00:00:15] What is going on? Everybody. Welcome to another edition of the Daily Energy News Beat. Stand up here on this gorgeous Tuesday, February 21st, 2023. As always, I’m your humble correspondent, Michael Tanner, coming to you from an undisclosed location here in Dallas, Texas, joined by the executive producer of the show, the purveyor of the show, and the director and publisher of the world’s most excellent website, EnergyNewsBeat.com. Stuart Turley, my man, how are we doing today.
Stuart Turley [00:00:40] It’s a beautiful day in the neighborhood and I am glad there are no train tracks around here.
Michael Tanner [00:00:45] I feel horrible for laughing, but that is good. So I mean it’s it’s insane how many crashes. I am not getting on a train for the next two years. You’ll net, you know. Public transportation is about to take in people using it.
Stuart Turley [00:01:03] Absolutely. And there’s there and when just real quickly, when Vonage was out there saying, well, we’ve already had 100 of them crash this year, that’s not an answer for somebody that’s got their house destroyed. Wade train. Good.
Michael Tanner [00:01:20] Go. Well, there are 100 other people at their houses. It’s we could spend the entire show talking about that because there really isn’t that much news today. We’re we’re actually recording this Monday on the 20th, and it was presidents day to day and markets were closed outside of crude oil. So we didn’t see much any movement in the stock market. Crude oil and natural gas did move a little bit. I’ll covered that at the end. But I mean, quickly, we’ve just got a couple stories that we will cover with you. First, news bits billionaire John Paulson. Central banks are replacing dollars with gold. Quote, You are better off investing in precious metal than USD. It can be very spicy. What happens with the U.S. dollar going forward? To cover this article? Next article we have how sanctions on broken Russia’s nuclear sector could backfire. As you guys might be aware, the EU is debating sanctions on Russia’s nuclear sector and with the EU set to vote on specific nuclear policy, it will be interesting to see what that means going forward for the global energy markets. Next article We will cover UK at risk of lagging behind EU and U.S. in clean energy investment race to cover what that means for the clean energy sector. And finally, will Shell and BP use their mammoth profits for green energy? I’m going to go out on a limb and say no, but I’ll be interesting to hear what this article says. I lied. There’s a fifth article that I didn’t see. India invokes maximum energy output from the law or for energy output law from coal plants. So India is buying cheap Russian oil. They’re buying cheap Russian gas and they’re buying and they’re pollution cheap coal. You actually got to love it. It’ll be very interesting to see what’s going on in China. And then we’ll let you guys get out of here. So be a quick show before I kick it over to Stu. Guys, just check us out online. www.EnergyNewsBeat.com The best place for all your energy news you will you will get smarter the more often you go to it bookmark it do whatever you need to do. We appreciate everybody who visits Snoop. Where do you like to begin?
Stuart Turley [00:03:14] Hey, let’s get rolling around here. News bites Billionaire John Paulson. Central banks are replacing dollars with gold. Michael, you and I have talked about this for quite a while, that Nixon got rid of gold standard and we’re now seeing the oil moving off of that now. The dollar is still very dominant regarding reserves and trade, but the US post-World War II economy is not the powerhouse it was. Paulson said other countries do not want to rely on the dollar as much as they have in the past. And with the huge deficit, I added the huge. But you know, everybody knows it’s a huge deficit. The dollar is looking at depreciation versus other currencies. You can’t have this much debt and have it like stand there and everybody is going to go, well, it’s going to always be this way.
Michael Tanner [00:04:09] Yeah, no, I’m absolutely, absolutely with you. I don’t know how much I would pivot. I mean, I’m not all the way. I think I’m partially with you. I think that equities and in this case, the US dollar is a bad place to put your money. The question is, where do you put where does it go? Do I think hard assets is a great move? Do I think specifically precious metals? Maybe. I actually think I’m actually slightly contrarian and I think if a recession hits, I honestly think physical assets, ironically, I think home values won’t necessarily crash as much as the overall market because there’s something tangible there. I think there’s physical assets in my view. So obviously, I think precious metals are a part of that. But like land, commercial real estate, you know, I’m not maybe not single-family homes. That’s sort of a different category. But physical asset investments, in my opinion, if this recession, if the stock market really does tank and go down, the bubble is not in real estate or physical assets like it was in 2008, it’s in the dollar. It’s in it’s being held up and propped up by quantitative easing. So I’m mostly there with.
Stuart Turley [00:05:12] Now, I think the author also brings out something the prominent investor said There’s no intrinsic value and the projected crypto market could lose its remaining value in the 48 next 48 months. I, I don’t know anything about crypto investing, so I thought it was pretty interesting. Okay, let’s go to the next one here.
Michael Tanner [00:05:30] We are releasing bitcoin now. So did you know that it’s on the development timeline, it’s an NFT and it’s a calendar of you in Speedos, different pose each month and you buy them as an NFT and they’re going for good money.
Stuart Turley [00:05:45] So yeah, they’re going to be going broke with my now I was, I was a Speedo stud in high school, but you know, good grief, dude. Okay, the next one and coming around the corner, I just grossed out both our fans. Okay. Thank you.
Michael Tanner [00:06:02] We appreciate you sticking through. Yeah.
Stuart Turley [00:06:04] Sanctions on Russian nuclear sector could backfire. All the friends of the show and. And thousands. I mean, we’re talking thousands now. When you’re sitting there and you’re thinking about this, sanctions don’t work. I’m talking to Irina from Bulgaria again on Wednesday. And she is a pistol. I mean, she is just a hoot. Bulgaria, sanctions don’t work. This article is really kind of leading up to a in order for us to get through to carbon net zero, we have to have nuclear. 50% of the enriched uranium in the world is produced where Michael right now Russia. Ooh.
Michael Tanner [00:06:53] Even worse.
Stuart Turley [00:06:55] So the EU is debating sanctions on Russia’s nuclear sector. Nuclear energy produces one fifth of the electric electricity in the US in the EU. There was also a big scandal with the Bidens and Russia and everything else. I haven’t checked the Twitter files yet to see if they are really real since it was a big scandal. We’ll have to go back and look. Just kidding. But this is a significant issue coming around the corner, Michael. A global uranium deficit will amplify any disruption. So not only are nuclear reactors tough to build because regulations you throw the squirrel like this one into the hamster wheel, it’s a real problem.
Michael Tanner [00:07:45] Yeah. No, I’m I it it is. And I think again, if you sanctions don’t work we’ve talked about this in specifically to the Russian oil cap and considering they have some of the largest stockpiles of uranium, I mean, what do these sanctions even going to do? So I don’t we don’t need to bang this one over the head. You know, it’s like.
Stuart Turley [00:08:09] Oh, it is. All right. UK at risk of lagging behind the EU and US in clean energy investment race. Oh, okay. You can’t buy this kind of entertainment. Michael Ahead of the Chancellor’s spring budget next month, Energy UK and Renewable UK have published two separate reports calling on the government to implement measures and change rules that would enable the UK to extract vital private investments in renewables. Okay, the UK. This is a quote. The UK is increasing danger of undermining its own ambitions and failing to deliver on its commitments. Emma Pinchbeck, Innogy, UK CEO. In many ways the UK has led the transition to clean energy, witness our world leading offshore wind industry. But we risk squandering this position and driving the investment that we need elsewhere.
Michael Tanner [00:09:19] Over there is admitting it to its okay ups.
Stuart Turley [00:09:23] Well, they’re going to take a playbook from the preschoolers, but I think it’s Fisher Price Biden one on one power to print money and then go bankrupt. And I think Fisher-Price wrote this. Now they’re trying to emulate the Fisher-Price playbook. Biden’s financial planning for success. I don’t know how in the world they’re going to think that that’s a good thing. Let’s go ahead and follow and print all this money and let’s hit it credibly. High inflation, I don’t know. I think they’re idiots. Yeah.
Michael Tanner [00:09:58] Well, they’re not smart. They’re not smart. I’ll tell you how much. I don’t know what that makes them. All right. What’s next?
Stuart Turley [00:10:03] All right, we’re going to roll through this one. Okay. Let’s go. Will Shell and BP use their mammoth profits for green energy? What did we just hear from BP last week, Michael? They said they’re going to be cutting back investments from their renewables because they can’t make money at it. Right. Mm hmm. Okay. BP and Shell announced record annual profits of £23 billion and £32 billion respectively. They’ve also pledged to spend £18,000,000,025 billion over the current decade of low and zero carbon projects. Here’s the catch in this article. What’s low carbon?
Michael Tanner [00:10:50] Oh, it’s natural gas. You’re absolutely right. It’ll eventually be natural gas. First off, I need you saying I need any time you just get somebody talking in British pounds. You just sound smarter. £23 billion. Just sound and sounds better.
Stuart Turley [00:11:05] Oh, it does. I need all the help I can get. You know, I think that’s.
Michael Tanner [00:11:08] The most sophisticated you sounded month. But you’re absolutely right. Low carbon energy projects that in my. My red flag. Natural gas. Natural gas. Natural gas.
Stuart Turley [00:11:20] It’s in there later in the article. But I’m sitting here, reading is gone. All right. You may have to take. Never mind. Okay. That was a lot of fun. I couldn’t yet get that past you. Let’s go to the last one here. India invokes maximum energy output law from coal plants. This one’s kind of cool. All right. If you’re going to buy oil from Russia, buy it below $60. If you’re gonna buy coal from Russia, make sure you use all of it.
Michael Tanner [00:11:57] It is pretty funny. I mean, you have to remember, India is expecting record power consumption this summer. They estimate peak demand will be in April and need about 229 gigawatts. Give you guys an idea. Indian still relies on coal for some 70% of its electricity generation. So of course they’re going to be buying coal at a rapid rate. They 70% coal. Peak demand. I mean, it’s not like if this isn’t like an RV, this isn’t like a who is this from Great analysis from this article. This is like this is just probably what’s going to happen when you look at the data.
Stuart Turley [00:12:31] All right. But I thought it was pretty funny, especially when we had our our wonderful producer last night put that video in. I just had to give her a shout out.
Michael Tanner [00:12:40] A great job, Andy. Make coal great again. Why not?
Stuart Turley [00:12:44] Yeah. All right. Well, that’s all I got, man.
Michael Tanner [00:12:46] Yeah, I mean, it’s really quick for me, guys. Oil’s up about one percentage points. If you go to read the company that Stu calls routers, they would tell you that it had to do with some China demand increases. I don’t know what to think about today’s prices. It’s Presidents Day. Overall markets were closed, so I think most people trading oil stated fairly flat. I think tomorrow or Tuesday is when we go to record Wednesday’s dish. I think we have a much clearer picture about which way oil prices go. I do think there’s more on the bull side than there is the the bear side. I think looking over natural gas though, guys, $2.22. I mean, it’s meager. I mean, it was up a little bit today, but it’s meager, man. You know, the outlook is is bleak. It’s it’s warm. Store draws aren’t coming Freeport doesn’t mean anything I mean I I that’s yeah I that is what I make of the natural gas markets right now so take that that is investment advice.
Stuart Turley [00:13:44] So I want to ask you saying yeah I went on record you’re saying what one fifties the strike price.
Michael Tanner [00:13:50] I don’t know you going on record say I mean you’re going to record now.
Stuart Turley [00:13:53] I already.
Michael Tanner [00:13:54] Did 150. Yeah.
Stuart Turley [00:13:56] As I said, if it gets to 150 I’m buying with everything I got and we don’t do trading here.
Michael Tanner [00:14:01] Phil, we’re going to start we’re going to buy our own LNG tanker. Those price.
Stuart Turley [00:14:04] I got plenty of.
Michael Tanner [00:14:06] We got to start that now guys. We’ve got a crowd find a tank. Energy news is buying an LNG tanker and when prices hit dollar 50, we’re building it up.
Stuart Turley [00:14:15] Filling it up. We had so much fun, Michael, When we were doing the tanker on the tanker storages. You remember that.
Michael Tanner [00:14:22] At the old regime? Yeah.
Stuart Turley [00:14:24] Hey, I got one for you, though. The dark tanker fleet is now causing a real problem. All of the countries are selling off. And it is. I’m. I’m reading a bunch of stuff on this. The whole oil market is up for a change in the next year just as a teaser.
Michael Tanner [00:14:42] He’s that conspiracy to gather and get back.
Stuart Turley [00:14:44] No, it’s not. I’m telling you, the number of tankers are being sold to the dark side is hilarious.
Michael Tanner [00:14:53] The dark side of the moon. That’s all my Moulin fans out there.
Stuart Turley [00:14:59] Oh, I didn’t know what you were doing. Just.
Michael Tanner [00:15:02] Well, I think we’re good, Stu. Do we let these people get out of here?
Stuart Turley [00:15:05] Absolutely.
Michael Tanner [00:15:06] Oh, we appreciate you guys checking us out. If you did get to take Monday off, I’m good for you. If you did not entered, if you did. And today’s your Monday. We appreciate your hard work, but we’re going to let you get out of here and start your day. For Stuart Turley, I’m Michael Tanner. We’ll see you tomorrow, folks. Maybe. Who knows?