Daily Energy Standup Episode #85 Coal returns to Pakastan – China still keeps the number one pollution emitter despite claims of the energy transition statements.

Daily Standup Top Stories

More than 3,000 acres of New Mexico public land being sold for oil and gas amid protests

A sale of New Mexico’s public land to the oil and gas industry was expected in May with lands going to auction throughout the Permian Basin in the southeast corner of the state. The auction scheduled […]

U.S. raises the offshore rig count ante

Baker Hughes’ weekly rig count report shows that the number of offshore rigs in the United States was on the upswing last week with three units added to the mix. The total number of rigs […]

U.S. drillers add the most gas rigs in a week since December 2018

​The oil and gas rig count, an early indicator of future output, rose eight to 754 in the week to March 17. , , Baker Hughes said that puts the total rig count up 91 […]

Coal returns to the China-Pakistan Economic Corridor

News that the Pakistan government plans to secure financing and start construction on a long-stalled 300 megawatt coal-fired power plant in the port city of Gwadar has triggered a debate on the direction of the country’s energy […]

Despite liberal media wishful thinking, China just keeps pumping out more carbon dioxide

If you want to see unshakable hope in the face of all evidence, check out the Americans and Brits who consistently promise that China is going green. One of the most predictable patterns of the past 20 […]

Monday’s Energy Absurdity: You Won’t Believe Who’s Getting Blamed For Blowing Up Nord Stream Now


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

Michael Tanner: [00:00:14] What is going on everybody. Welcome to another edition of the Daily Energy News Beat. Stand up here on this gorgeous Tuesday, March 21st, 2023. As always, I’m your humble correspondent, Michael Taylor, coming to you from an undisclosed location here in Dallas, Texas, joined by the executive branch of the show, the purveyor of the show and the director and publisher of the world’s greatest website, EnergyNewsBeat.com Stuart Turley, my man. How are we doing today? [00:00:38][23.6]

Stuart Turley: [00:00:39] It’s a beautiful day in neighborhood and I’m glad to be back at work. [00:00:41][2.5]

Michael Tanner: [00:00:42] Yes, you are. It’s been a little bit cold here in the in the DFW Midwest area. So I hope everybody who’s tuning in from this is staying warm. And, you know, around around the country, if you’re listening to this, it probably means the bank run didn’t happen. So when we know we profit, we were talking about that yesterday. [00:01:00][17.5]

Michael Tanner: [00:01:00] So we all survived thank goodness we’ve got a busy week coming up with a lot of a lot of crazy stuff. Specifically for today. Stu has a great, great show for us lined up. It’s a pretty banger. Articles are picked out. First one, despite liberal media’s wishful thinking, China just keeps pumping out more and more carbon dioxide. I mean, it’s pretty obvious China is the number one leader in emissions, but still will cover really exactly what’s going on there. [00:01:24][23.6]

Michael Tanner: [00:01:24] Next, we dive over to David Blackmon’s substack for Monday’s energy absurdity. You won’t believe who’s getting blamed for blowing up the Nord Stream pipeline. Now, as you can hear Stew laughing, there’s just some hilarious stuff in here. So we will we will go over and listen to a random guy from Substack. [00:01:41][17.1]

Michael Tanner: [00:01:42] Next, coal returns to the China-pakistan economic corridor. Really talking about make coal great again. I mean, this is a huge deal that Stu will talk about in the next two articles have to do with rig counts. We added the most gas rigs last week since December 2026. And then also we raised the offshore rig count from 14 to 17, which is, you know, offshore rigs a little bit more pricey than an onshore rig. So it’ll be moving at ten. [00:02:09][26.3]

Michael Tanner: [00:02:09] Finally, more than 3000 acres of New Mexico public land is being sold for oil and gas amid protests. This is in specifically Lee and Eddy County, which are some extremely profitable counties for oil and gas production. So I bet there will be a sale. He will kick it over to me. I will quickly cover what’s going on in the oil and gas markets. [00:02:29][20.2]

Michael Tanner: [00:02:30] Overall, markets actually up today despite some big uncertainty. Crude oil currently trading 6773. Nat gas not having as good of a time, down to $2.22. Lowest since we’ve seen it since, I think, February 2021. So I will cover all of that and a bag of chips, guys. [00:02:45][14.8]

Michael Tanner: [00:02:45] But first check us out world’s greatest website www.EnergyNewsBeat.com check us out Dashboard.EnergyNewsBeat.com That’s our data and news combo app. We are hard at working V2 to all of the stories we are about to cover are courtesy via the link below or the description below. [00:02:59][14.2]

Michael Tanner: [00:03:00] So take a look. There should be timestamps there we are working on making them actually clickable. So if you want to just go ahead and click forward and not hear our rambling, you can hear that again. That’s www.energynewsbeat.com. Stu, I’m out of breath. Where do you want to begin? [00:03:14][14.3]

Stuart Turley: [00:03:14] All right. We’re going to distribute. Despite liberal media wishful thinking, China just keeps pumping out more carbon dioxide. Michael This article is absolutely a hoot, as we say, and it is a timeline of liberal thinking about the United States spending more and more money to get rid of greenhouse gases. And then all of a sudden China is saying they’re going green, but they ain’t. But let me give you some some headlines here. [00:03:49][34.0]

Stuart Turley: [00:03:49] Here’s a brief history of China going green. In the late 1990s, U.S. stabilized its carbon dioxide at a bit below 6 billion tons a year, and China began a massive increase in its emissions. In 2004, China surpassed the U.S. and kept climbing. By 2010, they’d reached 10 billion tons annually, where the U.S. was down to 5.5. Retro. [00:04:21][31.7]

Michael Tanner: [00:04:22] Michael Yeah, I mean, it’s it’s been fairly clear to anybody with a brain that China leading the world in emissions since the early 2000s, it’s been clear to anybody that if you’re going to curtail world emissions, you have to do with China and right making emissions here at home that just put poor folks and raises their energy prices is not the solution. So this is just in fact, I mean, this is in fact, exactly what’s been happening. People are just now waking up to it. [00:04:52][29.9]

Stuart Turley: [00:04:52] Well, it’s even worse than that. It goes on further in the article and it says and I saw this last week a fairly well-known Democrat, and I don’t want to you miss speak, but that Democrat said, oh, we need to catch up to China in the green energy is. [00:05:11][18.9]

Stuart Turley: [00:05:11] This is almost the same quote that was done in Obama’s time period. Germany and China are beating the U.S. energy efficiency. The liberal website Mashable declared in its climate change in 2016, Who has energy crisis is going on really, really bad right now. Germany and China. China has put in more coal than anybody else on the planet. So anyway, I just thought that. [00:05:40][28.4]

Michael Tanner: [00:05:40] We’re about to work. We will cover China coal here very quickly, but I think we need to check out Monday’s energy absurdity of the day. [00:05:46][5.9]

Stuart Turley: [00:05:46] We’re off and running on this one. Michael David Blackmon got to give a shout out for David Blackmon. He is a Forbes contributing author. He’s one of our podcasters in the Sandstone Media group and does in his energy questions, got an all star line up all the time. [00:06:02][15.8]

Stuart Turley: [00:06:02] So and he’s also on the energy transition this one, Michael, is Monday’s energy absurdity of the day. You won’t believe who’s getting blamed for blowing up Nord Stream. Now, you and I had so much fun talking about some random guy on Substack getting that, you know, it’s either Russia or the U.S. blowing it up. And that one guy that said, oh, they had to stop in Norway and get re thing if it was the US. [00:06:31][28.7]

Stuart Turley: [00:06:32] This guy is saying that let me get in here. The honor over the weekend went to the Wall Street Journal Michael they published the piece saying that Nord Stream one and two were desert six people who tourists who rented a yacht to tour the Black Sea. And they never got within 22 miles of where the bombs went off. [00:07:00][27.8]

Michael Tanner: [00:07:00] Now, the title from the Wall Street Journal, guys, if you’re if you’re if your listeners, six mysterious passengers went on a two week cruise, then disappeared not long after the Nord Stream pipeline exploded, were they behind the plot? [00:07:12][11.7]

Michael Tanner: [00:07:13] That’s the actual headline on The Wall Street Journal. That’s like saying Stu left his house 3 hours later, a boat drove across the lake. Somebody died, was due to blame. It’s like I beat like literally it’s it’s it’s it’s unbelievable the connection. You could you could you could write this article about anything. [00:07:32][18.6]

Stuart Turley: [00:07:32] Oh, absolutely. And so instead of going for a three hour cruise, all they had to do is put Gilligan and Skipper on that bed dogs. They went out for a three week cruise. I mean, I can almost hear that. And then a response to David Blackmon’s Substack article was fabulous. [00:07:48][15.8]

Stuart Turley: [00:07:49] A very well-to-do diver who’s very knowledgeable responded, and he said if even divers went halfway, they would need so much oxygen in order to come back up, they wouldn’t have the air tanks. [00:08:06][17.3]

Stuart Turley: [00:08:07] And he said only people with Navy SEAL at the end of their job title would be able to do this. So Russia would have people, United States, with their people. But six people going on a three hour cruise with Gilligan and Skipper would never be able to even pull it off. And they never got within 26 miles. [00:08:31][23.6]

Michael Tanner: [00:08:31] And that I mean, yeah, a little fun fact. I’m a certified scuba diver and I use and I have a nitric or they call it night nitrous, but they call it nitroux . I have that certification and have used it twice. Holy smokes. It’s nice. Holy smokes. It’s not like a drug because it’s like enriched oxygen. And you’re just like, Oh. [00:08:52][20.7]

Stuart Turley: [00:08:53] I’d better get ahold. [00:08:54][0.7]

Michael Tanner: [00:08:54] Of those laughing guns. [00:08:56][1.1]

Stuart Turley: [00:08:56] Right? But you better, like, come up slowly. You said you only got an X number minutes at the bottom, and then you have that slow ascent coming out 100%. All right. Let’s go to the next one here. But it was really tickled. The subscribe to our substack, The Energy News Beat Substack, but also David Blackmon’s substack the Energy Observer of the day. Anyway, shout out to David for making my day. [00:09:21][25.2]

Stuart Turley: [00:09:22] All right, let’s go to the next one. Coal returns to China-pakistan Economic Corridor. This is amazing because now China has been saying over the last several years that they’re not going to build any more coal plants outside of the China. [00:09:42][20.0]

Stuart Turley: [00:09:43] However, they are contracted now with Pakistan because Pakistan has some really serious natural gas problems. You and I talked about those natural gas where the kids were carrying balloons over their head in order to bring natural gas home. [00:10:02][19.2]

Stuart Turley: [00:10:02] I talked to Osama Renier and his podcast is coming out probably tomorrow or the next day. Pakistan’s got seven. Percent inflation and they missed an energy tanker that came in. And so they have zero natural gas. So lots of stuff in there. [00:10:21][18.8]

Stuart Turley: [00:10:21] So now you got China, who is now dropping in its 62 billion bilateral infrastructure and connectivity project between China and Pakistan in the goods power free zone, which is a a free zone between the China and Pakistan for economic development and those kind of things. So China is pretty much going to pay for the power plant, and then they’re going to charge the snot out of it for the Pakistan folks. [00:10:54][32.3]

Michael Tanner: [00:10:55] Yeah. And it was. [00:10:56][1.0]

Stuart Turley: [00:10:56] Approved in 2017. [00:10:56][0.7]

Michael Tanner: [00:10:58] Yeah. I mean, China truly is make coal great again but I mean, as we’re seeing with with with grouping who’s now in currently meeting with Vladimir Putin, talking about a strong relationship. You know you’ve mentioned a bunch of the geopolitical things going around. They truly are trying to establish themselves as the world’s number one leader. [00:11:17][18.4]

Michael Tanner: [00:11:17] And I think they’re trying to do that through energy. It’s clear they’re trying to do that through controlling the world’s energy. They’ve done that by acquiring all the mines there. Now, do you know, for the renewables and lithium and all that jazz, they’re doing that with shoring up their coal routes. They’re the biggest buyer of crude oil right now they know what they’re doing. [00:11:34][16.7]

Stuart Turley: [00:11:35] They do. And then Secretary Blinken said today that China wants to negotiate a Russia Ukraine settlement. And he went nuts on Sunday’s TV. He basically said anything China negotiates won’t be good and we won’t and we won’t adhere to like China, negotiate peace and we’re not going to align with it. What are you going to do, attack Russia? I mean, it didn’t make any sense. [00:12:08][33.3]

Stuart Turley: [00:12:09] So, okay, here we go. Let’s go to the next one here. U.S. drillers add the most rig count rose 8 to 754 in the week of March 17th. You remember in COVID, Michael, we were down to, I think, 350 on the rig count. So it is nice that it’s back up to 754. Yes, but energy traders said the what, we were down to 62 and some change. I think today is a good. [00:12:38][29.1]

Michael Tanner: [00:12:38] Well, I think it’s a difference. I think it’s an interesting fact that you see gas rigs up to their highest point in 2018. And we’re currently looking at $2 and 24 cent natural gas price. So the real question is how many of those gas workers are going to end up getting completed? [00:12:49][11.3]

Michael Tanner: [00:12:50] Well, I think what you’re going to see is a huge account increase, if specifically you’re seeing an increase in gas rigs or have been those gas rigs are not getting completed, trust me. [00:12:58][8.3]

Stuart Turley: [00:12:59] But it’s it’s not necessarily a bad thing because we stripped out almost all of the ducks. We had like 8000 ducks and then we went, I’m serious. [00:13:08][9.2]

Michael Tanner: [00:13:08] What good does a duck do? [00:13:09][1.0]

Stuart Turley: [00:13:10] Quack? [00:13:10][0.0]

Michael Tanner: [00:13:11] That’s I mean, ducks are not that they’re net negatives, but I mean they’re. [00:13:16][4.5]

Stuart Turley: [00:13:17] But they’re, they’re worthless. [00:13:17][0.7]

Michael Tanner: [00:13:18] Not worthless. That’s a wrong thing. Trust me. I’ve been, I’ve been dual with ducks way too much in my in my day job for the past couple of weeks. So spare me a little bit. We could go on for this. [00:13:29][10.4]

Stuart Turley: [00:13:29] But we can use a few ducks in the warehouse, so. [00:13:32][3.1]

Michael Tanner: [00:13:32] Well, I get. [00:13:33][0.3]

Stuart Turley: [00:13:33] It, but. All right, let’s go to the next one here. U.S. raises offshore rig count. Now, offshore is something that’s a hair different. Those are just animals to go out there and the there was a a sperm sigh pan a brand new jackup rig is going over to China that’s a completely separate article. [00:13:55][22.2]

Stuart Turley: [00:13:56] But China’s dropping one out right now on in it just bought it from Saipan. However, the number of active rigs in Canada went down by 16 to 207. I thought that was pretty interesting as well too. So Becker, he’s always done a great job on the rig count. [00:14:14][18.0]

Michael Tanner: [00:14:15] Yeah, no, they really have. It’s it’s good to see offshore rigs crank a little bit. Those cycles are different, though. You know, you those are six to 8 to 12 month projects know I mean it’s you know those are those get those get designed plan differently so but it’s good to see those good to see them get cranked out. [00:14:34][19.4]

Stuart Turley: [00:14:35] Oh, you bet. Now, let’s go to the next one and the last one for me here. And I’m in the Permian. That’s a whole different animal out there that’s where you get more than 3000 acres of New Mexico public land being sold for oil and gas amid protests and people protest? [00:14:55][20.4]

Stuart Turley: [00:14:56] It’s actually, you know, in Cheyenne County was offered the sale on 24 parcels. Records show the BLM reported not the Bureau of Land Management. We must. Read that out report on March 17th that it found oil and gas extraction on the nominated parcels of land and would not significantly impact the environment. [00:15:21][24.8]

Michael Tanner: [00:15:23] Now, I saw this. They’re going to look they’re looking to drill 19 horizontal wells, 3.2 million barrel and 18 billion cubic feet of total recoverable oil and gas. That works out works out to be about 160,000 barrels of. [00:15:35][12.8]

Stuart Turley: [00:15:36] Oil per. [00:15:36][0.2]

Michael Tanner: [00:15:37] Horizontal well. So that probably pays, assuming they’re wide. Hopefully they’re one mile laterals. Be interesting to see if those are the two mile laterals. That’s not great, but. [00:15:44][7.1]

Stuart Turley: [00:15:45] I wonder what the takeaway is in that county? I’ll have to. [00:15:47][2.8]

Michael Tanner: [00:15:48] Bet you there’s I bet you there’s I’d be very interested to know if they’re able to sell all that 8 billion cubic feet. I bet you only a quarter of that you’ll be able to get into sales. So but hey, I mean, Eddie Lee County, the some of the most profitable counties in New Mexico. So of course they did that. Of course, this study found that it wouldn’t impact the environment because they were like, yeah, we could use the cash. They’re trying to drill 19 wells. [00:16:09][21.5]

Stuart Turley: [00:16:10] Oh, yeah. Well, the state’s got to pay for the governor’s fight in legal battle to keep her governorship. [00:16:17][7.0]

Michael Tanner: [00:16:19] Absolutely. Absolutely. [00:16:20][0.8]

Stuart Turley: [00:16:21] All right, I’m done. That was it. That was a whirlwind round there. I only had a few more comments, but I’m going to keep us from not being banned on the Internet. [00:16:29][8.2]

Michael Tanner: [00:16:30] Go ahead. Yes, we need to we need to stay safe that everything. I’m looking at how the finance markets did today. S&P 500 on the US side was up about a 10th of a percentage point. NASDAQ trades up 3/10 of a percentage point, really sort of on the fallout from UBS buying Credit Suisse for a little over $3.25 billion. [00:16:49][18.9]

Michael Tanner: [00:16:50] I don’t need the fallout in the United States necessarily is is as I don’t think we’ve seen the worst of it yet here in the United States. I think we have this Fed meeting that’s upcoming on Wednesday in which we will discover, you know, if they do go another 50 basis points, you know, we could run into another issue like SVB did, considering the fact that they were long Treasury bonds. [00:17:11][20.8]

Michael Tanner: [00:17:11] So it’s again, it’s going to be interesting to see how that decision plays out, how that’s impacting crude oil. You know, again, we will see as the oil as the dollar rises in value, oil prices will fall. They remember we have an inverse relationship between the two. [00:17:25][13.9]

Michael Tanner: [00:17:26] So remember that as we as as you track the dollar and as we hear Fed Chair Jerome Powell, his comments on Wednesday, trust me on our show that you will hear really on Thursday, we will cover all of the fallout from that. Speaking about crude oil, we’re trading about 6775 as we record this, about 624 actually here on the 20th. [00:17:44][18.6]

Michael Tanner: [00:17:45] We’re up about one one and about 1% today. You know, we actually down a little bit early in the trading session, some of the early weakness in the stock market, if only because, you know, I add, you know, we we saw reversal of the dollar. [00:17:58][12.4]

Michael Tanner: [00:17:58] And again, I think people are there’s this contrast between do we check out the fundamentals and yes there is look like there’s going to be more demand than we saw as we covered yesterday. Goldman Sachs came out, revised $100 oil segment. We’re so sorry for QE2 that he does not see cure a full time job. They decided to go in another direction with that job. [00:18:16][17.9]

Michael Tanner: [00:18:17] Speaking of natural gas, though, $2.24 for natural gas, Again, the story on nat gas intel, Stu, is it’s just weather related. We got warmer weather around the corner. Stocks are only supposed to have a 67 Bcf draw this Thursday, which is a 50% below yearly averages for this time. So not good just in terms of the amount of supply demand. So that’s one market where the supply and demand is reigning supreme right now. [00:18:40][23.4]

Michael Tanner: [00:18:40] Obviously Freeport’s done nothing to continue to get all this LNG outward. So you know, as much of the crisis is happening over in Europe, we are seeing still some plentiful stuff abroad and that’s really caused I think, you know, M&A has really slowed down in the marketplace right now. [00:18:54][13.7]

Michael Tanner: [00:18:54] You’re not probably going to see as many deals happen, especially in this pricing environment, if only because people feel like they missed their opportunity. You could have sold last year for 120 and six and now you’re sitting here and you know, you’re at 67 to 20 is time flies when you’re having fun, I guess. [00:19:08][13.4]

Stuart Turley: [00:19:09] You bet. I would not have seen these prices. [00:19:10][1.9]

Michael Tanner: [00:19:11] Now, so I don’t think anybody would have said I did. So I can’t say I’m to blame. But you got anything else Stu? [00:19:17][5.6]

Stuart Turley: [00:19:18] We’re going to have a wild week, a buckle up, as we say. [00:19:21][3.6]

Michael Tanner: [00:19:22] Buckle up for Wednesday, Thursday, those Wednesday, Thursday, Friday. We may have to report. I know we’ve been doing a weekly recap. On Fridays, we may have to report a special show if we see some sort of bank run going on so we will keep you informed. [00:19:34][12.0]

Michael Tanner: [00:19:35] But with that, guys, we’re going to let you get out of here, get back to work, Finish up. Dave, We appreciate you taking us out. World’s greatest energy podcast. Check us out www.EnergyNewsBeat.com For Stuart Turley Im Michael Dan. See you tomorrow, folks. [00:19:35][0.0]

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