Renewable Revolution

Energy => Fossil Fuel Folly => Topic started by: AGelbert on October 16, 2013, 12:36:24 am

Title: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on October 16, 2013, 12:36:24 am
European Utility Shareholders Lost Half A Trillion Euro In Five Years (                (

Says this article (without byline) at the Economist. I found it because if this Retweet by Danny Kennedy.

As the article explains, the 20 biggest power companies in Europe had a collective value of $1 trillion at their peak in 2008, and they are worth “only” $500 billion now. And Germany’s biggest utility E-On has managed to beat that trend by declining a full three quarters in value. (

The article blames this development partly on renewable energy.
They are right, of course.  (

With much more renewable energy in the mix, the days of guaranteed profit from fossil fuel and nuclear are gone.

E-On could have saved themselves a lot of this trouble if they had invested aggressively in renewable energy in Germany themselves. That investment came (and still comes) with a guaranteed profit for twenty years. That would have accelerated their problems with their existing fossil fuel and nuclear capacity. But the transition to renewable will happen anyway. Delaying it will always be a negative strategy helping only for a short-time period (which is a couple of decades, when discussing energy).

The most interesting part of this article was:

Some utilities have got into the renewables business themselves. Drax, which used to be Britain’s largest coal-fired power station, is being converted to run on wood pellets. Other utilities are big investors in offshore wind power.

That’s interesting because it shows the way ahead with existing fossil fuel plants. There is nothing wrong with running a coal plant, if you run it either on wood pellets (the first time I heard someone doing that), or on synthetic coal made from modern biomass, as Suncoal wants to do. There’s nothing wrong with running a gas plant if you fire hydrogen that has been produced from excessive solar or wind energy.

Under the present German Law on the Priority for Renewable Energy, it is not possible to run most of the coal power plants because under Article 27 of the law, feed-in tariffs are paid only for very small capacity plants. That should change. These existing coal plants need to move to biomass eventually anyway. Why not have it happen faster?

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on October 21, 2013, 03:28:49 pm
A $250 million Green Bond has been issued to institutional investors by the European Bank for Reconstruction and Development.
( News

Targeted at socially responsible investors that support environmentally sustainable projects, 14 investors bought shares: 51% from the US, 31% from Europe and 18% from Asia. The majority are pension funds (64%). (

Title: Fossil Fuels Face the Prospect of $30T in Losses
Post by: AGelbert on May 11, 2014, 01:31:04 am
Fossil Fuels Face the Prospect of $30T in Losses (

Assessing the combined impact of climate policy, pollution controls and the declining cost of renewables   (

RenewEconomy, Giles Parkinson
April 29, 2014
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 29, 2014, 11:23:11 pm
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 01, 2014, 02:18:11 am
Unitarians Go Fossil Fuel Free With Divestment Resolution  (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 04, 2014, 08:40:31 pm
Keith Rowley   
July 4, 2014 

Don't be deceived, the utility companies know they are on a "death spiral" and that DG and Photovoltaics is a "disruptive technology". They just want to own all the money themselves, hence, Monopoly.

An alternate to the Lithium batteries, Ultra-Capacitors using Graphine or some other technology have over 1 Million charge-discharge cycles, extremely rapid charge cycle, significantly cheaper and less toxic than almost everything out there. They are a good choice and have great promise.
An efficient house can be built. My house is Net-Zero and I am doing all I can for the environment, national security, local grid stability, and helping the local economy.

Let us all keep going to promote this infant technology that helps in so many ways. Remember, you will never hear of a national environmental disaster because we used too much solar power!. Keith Rowley
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 14, 2014, 06:27:52 pm
Fossil Fuel Divestment Sweeps Through Religious Community News

With the World Council of Churches decision to divest from fossil fuels, a huge percentage of humanity is closing the door on the past.

 The organization - a fellowship of 300 churches - represents some 590 million people in 150 countries, and is calling on its members and other religious institutions to join them. In the past, they took a stance against nuclear energy.

 "The general ethical guidelines for investment already include concern for a sustainable environment, for future generations and CO2 footprint. Adding fossil fuels to the list of sectors where we do not invest serves to strengthen the governing body's commitment on climate change as expressed in various sessions of the Central Committee," says Guillermo Kerber, who coordinates their work on care for creation and climate justice.

Divest World Council of Churches

Divestment is catching on among religious leaders across the world. Other recent divestment decisions are: Unitarian Universalist General Assembly (US), United Church of Christ (US), University of Dayton (Ohio) -  the first Catholic institution to divest - Union Theological Seminary (New York City), the Church of Sweden and Quakers (UK). Regional Lutheran, Quaker, and Episcopal denominations have joined the effort in the US, and the Anglican Church is leading the way in New Zealand and Australia, with many local dioceses and the entire Anglican Church of Aotearoa, New Zealand and Polynesia committing to divestment.

The Vatican held a 5-day summit, Sustainable Humanity, Sustainable Nature: Our Responsibility. 

"The World Council of Churches may be the most important commitment we've received yet," says Tim Ratcliffe,'s European Divestment Coordinator. "It opens the doors for churchgoers around the world to encourage their institutions to live up to their values and divest from companies that are destroying the planet and our future."

In September, the World Council will join religious and spiritual leaders from around the world at the Religions for the Earth conference in New York City:


( ( ( ( (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on October 24, 2014, 09:46:36 pm
The Next Revolution: Discarding Dangerous Fossil Fuel Accounting Practices

 Alex Nicolson, Contributor 
 October 23, 2014 

The green revolution and, in particular, renewable energy products such as solar power, wind turbines, geothermal and algae-based fuels are not waiting for viable technology — it already exists in many forms.  (  What they are waiting for is a massive sea change in our antiquated financial accounting systems.   (

We keep hearing that green technology has too long a payback or too low an internal rate of return and just can’t compete with non-renewable coal, oil and natural gas, etc.  (

Now to be fair, renewables have two drawbacks that have to be considered in their use and integration into the power grid. The first is their low capacity factors. For example, wind farm turbines sit idle when the wind stops blowing, and solar power output drops sharply when the sun is not shining. On the other hand, non-renewable energy systems can operate 24 hours a day without interruption, so they will be used for some time to come as more dependable baseload power sources.

The second factor is evident when we compare installation and operating costs. Renewable installations spend 80 percent of their budget in the first year and 20 percent over their 20- or 30-year operating life. Non-renewables are the opposite; only 20 percent is spent on the initial installation and 80 percent on the next 20 or 30 years of operation. And so our antiquated and myopic accounting practices analyse these facts and then say that coal, oil and gas plants obviously have a better return on investment.  (

Of course as we run out of non-renewables, their power production will slowly dwindle. We should be prepared for that inevitable event by building up renewable energy options and developing technologies now. The book “Last hours of Ancient Sunlight” by Thom Hartman covers that inevitability very well. (

The Costs of Oil   >:(

We complain about $4+ per gallon gasoline, but people do not realize that we would likely pay over $10 a gallon if we add on the currently ignored direct social and economic costs of oil.

Economists recognize the existence of these costs and call them “externalities.” Other than this recognition, externalities are still not assigned to their correct sources. (

As just one example, consider the enormous U.S. military budget, (currently a staggering  $700 billion). A large portion of this cost is spent on the 800+ military stations maintained around the world that protect critical sea lanes for oil tankers and oil pipelines  >:( and act on a moment’s notice to attack any politically motivated disruptions to foreign oil field production or oil storage sites. A significant portion of that budget is a direct cost of oil.

And to that cost figure, we have to add the social costs of young soldiers being trained, deployed and killed, severely injured or handicapped for the rest of their lives. Then we must also consider the enormous stress this imposes on these soldier’s families and friends, both economically and emotionally. That is another direct cost of oil.

And on another front, consider the enormous costs of the oil spill in the Gulf and its effect on the ocean, wildlife and beach environments. Consider the effect on people’s health and livelihood and the stress they were under during hurricane seasons that threatened a resurgence of oil and toxic dispersant sludge to be thrown up on their shores. That is another cost of oil.

Consider poor mountain people in Afghanistan that are killed and injured due to drone attacks against Al Qaeda. Their injuries and deaths are simply written off as collateral damage, when the truth is that the U.S. is in that poor mountain region mainly due to the huge oil and gas fields located in southern Russia. These sources will eventually need a pipeline to transport the crude oil to a warm-water all-season coastal port where tankers can pick up and transport the oil to markets in the West.

The coal industry has similar externalized costs. Apart from carbon dioxide emissions, mercury and other heavy metals, coal-burning power plants emit over 100 times the radioactivity of nuclear plants producing the same amount of energy. These emissions cause inevitable negative health effects as it is exhausted into the atmosphere and carried to those people living downwind. In fact, annual deaths due to coal plant emissions are estimated at about 60,000 people in the U.S. alone, according to various concerned citizen groups.

Also the huge amounts of foreign aid paid to protect dictatorial regimes against the wishes of the people under their control are all direct costs of oil. Incidentally we see these regimes are starting to fail in the Middle East, due to their younger generation’s frustrations with a static society that has been kept backward and out of step with the modern world just to suit the oil interests.

And closer to home, a typical oil company’s income statement reveals enormous tax breaks, such as depletion allowances from taxes for using up a non-renewable resource, which make no economic or social sense.

And in more recent times, oil companies can drill in federal waters without paying any royalties. To date taxpayers currently subsidize the oil industry by as much as $4.8 billion a year — an industry that shows record profits for owners and shareholders.

And in the U.S., many states that are under the oil companies’ economic/political lobbying control do not charge them for exploitation of these non-renewable resources. These resources are state-owned assets, and the oil companies acquire them at a very low cost.

Renewables Make Sense

Solar, wind, tidal and geothermal energy do not need these massive hidden support costs. They cannot be stolen by any super-power and are unlikely to be the source of dragged out wars and intrigue between nations under the sham of spreading democracy, which happens now over oil.

The sun is boundless, and in most mid- and southern-latitude countries, a surprisingly small surface area of solar plants can deliver most of the electricity a country needs. This is particularly true here in the U.S.

Accounting Reform

So taking all these factors into account, accounting practices must enter the 21st century, adapt to a global economy and account for ALL of the real costs of each energy resource as they are incurred worldwide. These numbers will reveal the most viable energy resource technologies.

This will require a sea change in accounting. Accounting principles and practice are still stuck in the industrial revolution where we witnessed horrendous costs to the environment and to workers. All these enormous social costs were externalized and thrown onto the back of the society. Companies were measured on profitability within incredibly narrow accounting standards. Often the most polluting, child-exploiting companies were deemed the most efficient and profitable and given the most support.

Admittedly there has been many improvements over the past 150 years as we can see with child labor laws enforced and many companies in the US and other developed countries are being asked to clean up their dangerous emissions and remove toxins from their workplaces and are starting to do so.

However we need to further expand our accounting horizons to a world-view and take that same approach to a global scale, especially when comparing renewable energy technologies and demand that the comparison be based on their real costs.

If we can achieve that vision, then the correct decisions for support of green renewable energy will become abundantly clear — and the world will be a safer and cleaner place for us all.  (

Agelbert Comment:
What Brian Donovan said!

I have sometimes wondered at the term energy RESOURCE used by the media (and everybody else) to describe fossil fuels. It seems to me that they should be referred to as a SOURCE of energy, not a RE-source; you use fossil fuels once, period. They can't be re-used. All renewable energy is, on the other hand, a genuine energy REsource.

I believe our vocabulary is corrupted. Fossil fuels should be called energy sources, not energy resources. But then the cat would be really out of the bag for the fossil fuel polluters, wouldn't it?   ;D

When the math actually gets done to include costs to society and the biosphere. renewable energy is the obvious choice. In fact, when all is said and done , the issue is what works indefinitely. Just like running an internal combustion engine in your garage "works" if you don't care about living, burning fossil fuels on a planetary scale "works" if you don't care about life.

This is not hard. Either we have an equitable, do ALL the math. society that respects, not just fellow humans, but the biosphere we and hundreds of thousands of other species of earthlings require for life, or we perish.

See one minute clip on Natural Capitalism:

Fossil fuel Government 2 minute Video Clip from "The Age of Stupid" Video:

FDR two minute clip on Trickle Down "Economics"
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on November 13, 2014, 06:18:07 pm
Except for Hallitosis Corporation, the following activity for today is MUSIC to my ears.  (

Halliburton Company  HAL  53.79  +0.56 (1.05%)  46.82B  
Schlumberger Limited.  SLB  94.85  -2.58 (-2.65%)  124.86B 
Exxon Mobil Corporation  XOM  94.66  -0.72 (-0.75%)  403.34B 
Kinder Morgan Inc  KMI  38.38  -0.15 (-0.39%)  39.44B 
Chevron Corporation  CVX  116.45  -1.20 (-1.02%)  220.89B  

 (  (   ( ANYTHING that gives the fossil fuelers in general, AND MKING in particular  ;D, a headache makes my day. (

Schlumberger N.V. (SLB): The BIG OIL Planet Polluter you never heard of... (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on November 17, 2014, 02:34:44 pm
DOE Loan Guarantee Program Vilified by Republicans Turns a Profit (  ;D

 Justin Doom, Bloomberg 
 November 13, 2014  |  7 Comments 

NEW YORK -- The U.S. expects to earn $5 billion to $6 billion from a federal loan program, bolstering President Barack Obama’s decision to back low-carbon technologies.

It’s the first time the Energy Department has released an estimate of the potential gains for the loan guarantee program, designed to back clean-energy projects when venture capital or financing from banks and other investors is unavailable. The department expects a loss rate of about 2 percent on $32.4 billion set aside for loans to spur energy innovation, according to a report today.

The loan program, which opened in 2009, was targeted by Congressional Republicans who charged taxpayer money was wasted on startups including Solyndra, the solar manufacturer that closed its doors in 2011 after receiving $528 million. Jonathan Silver resigned as director in 2011 after repeated congressional inquires.

“People make a big deal about Solyndra and everything, but there’s a lot of VC capital that got torched right alongside the DOE capital,” Michael Morosi, an analyst at Brentwood, Tennessee-based Jetstream Capital LLC, which invests in renewable energy, said in an interview. “A positive return over 20 years in cleantech? That’s not a bad outcome.”

The program’s biggest success story has been Tesla Motors Inc. The Elon Musk-backed electric carmaker paid back its $465 million federal loan nine years early. Abengoa SA, which received a $132.4 million guarantee, opened in October a biofuels plant in Kansas.

The successes didn’t stop Republican representatives John Shimkus of Illinois, California’s Darrell Issa, and Fred Upton of Michigan who focused on the program’s failures in a series of hearings on Capitol Hill.   ( (

Taxpayer Risk

“I’m obviously glad to hear that DOE doesn’t expect to lose money on its post-Solyndra loans,” Shimkus said today in an e-mailed statement. “That said, we can’t forget that no matter how positive today’s projections may be, billions of taxpayer dollars are still at risk.”  ::)

A spokesman for Issa didn’t immediately respond to phone and e-mail messages seeking comment.  ;)

Congresswoman Marsha Blackburn, a Tennessee Republican, said that while the loan program may be well intended, “what we have seen is incredible mismanagement, and it’s become the poster child for crony capitalism.”(  (AGELBERT NOTE: See Orwell for translation.  ;D)

Blackburn said she’d prefer a tax-credit-based incentive system to loans or grants.

Last Resort

The $5 billion to $6 billion figure was calculated based on the average rates and expected returns of funds dispersed so far, paid back over 20 to 25 years. Applicants view the Energy Department as a lender of last resort, according to Peter Davidson, the program’s director.

“When these project developers took their projects to conventional financing sources, those lenders said, ‘Sorry, there’s too much risk here,’” Davidson said in a phone interview. “That’s the gap that we’ve filled.”

The department didn’t disclose terms for investments in specific companies and declined to estimate how much the rest of its portfolio may earn.

“There’s no picking winners and losers — we’re just open for business and people apply,” Davidson said.

Four Failures

The failure of four companies has cost about $780 million. Solyndra burned through $528 million of a $535 million loan guarantee before filing a bankruptcy plan approved in October 2012. The California-based solar manufacturer went bust pursuing an alternate photovoltaic technology that became too expensive as panel prices plunged worldwide.

The electric carmaker Fisker Automotive Inc. filed for bankruptcy in November 2013. Abound Solar Inc. and Vehicle Production Group LLC failed in 2012.

Considering the whole portfolio of projects, a $5 billion return to taxpayers exceeds profits from many venture capital and private equity investments in clean energy, Morosi said.

The department is weighing applications for nuclear  :P , energy efficiency and advanced fuels projects.

The program was the only source of funding for some developers after financial markets crashed in 2008, said Joe Aldy, who worked in the White House as a special assistant to the president for energy and environment from 2009 to 2010.

“The people in the VC world who made a lot of money with IT and Internet companies — they made their money on the EBays and the Googles and the Facebooks,” Aldy said. “They lost money on a lot of other things.”

Copyright 2014 Bloomberg

Agelbert NOTE: Of course, the "INVESTMENT" (i.e. dirty energy welfare queen  annual give away) these SAME Republicans support is NEVER mentioned...


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on December 03, 2014, 02:29:47 pm
OPEC Oil Price Squeeze To Leave Renewable Energy Unscathed   (

 Reed Landberg, Bloomberg 
 December 03, 2014  |  1 Comments 

Lima, Peru — While OPEC is helping drive down global prices for crude, it’s having less success squeezing the $250 billion clean power industry.

Green energy will receive almost 60 percent of the $5 trillion expected to be invested in new power plants over the next decade, according to the International Energy Agency. That’s because the U.S., China, Japan and the European Union are all pushing for global limits on greenhouse gases and promoting alternatives to fossil fuels.

The effort has resulted in local and national incentive policies for renewable power around the world, effectively insulating the industry from market fluctuations such as the almost 40 percent plunge in crude oil since June. So while drillers clamp down on spending, developers are on track to invest more than $250 billion this year on wind, solar, geothermal and other types of renewable power, the first gains in two years, according to data compiled by Bloomberg.

“Renewables are supported by policies, and that is not something that will be amended quickly just because oil prices fall  ;D,” Takashi Hongo, a senior fellow at Mitsui Global Strategic Studies Institute, which advises the Japanese government on energy policy, said in an interview in Tokyo. “There will be hardly any impact.”

‘Massive’ Impact

Of course, the longer oil remains at its current level, the more likely that the subsidies will be called into question. In China, for example, government support has made the country the biggest market for wind and solar power.

“If oil stays at current prices or weakens through the first half of next year, the impact on new energy would be massive,” said Lin Boqiang, director of the Energy Economics Research Center at Xiamen University, speaking of the situation in China. “Weakening oil prices would hamper the competitiveness of new energy. The government has to subsidize the new energy industry to support its development.”

Oil prices reached a five-year low yesterday, after OPEC, the Organization of Petroleum Exporting Countries, opted last week not to lower production targets.

As envoys from more than 190 nations meet in Peru for a round of United Nations-organized negotiations to step up the fight against global warming, there was no sign of waning political support for curbing emissions.

‘Low-Carbon Future’

“We’re all old enough to know that oil prices go up and down,” said Christiana Figueres, executive secretary of the United Nations Framework Convention on Climate Change, which organizes the talks. “The fact that oil is so unpredictable  (  ( is one of the reasons why we must move to renewable energy, which has a completely predictable cost of zero for fuel.”

In Washington, the State Department official who speaks for President Barack Obama on climate, said a “low-carbon future” is essential for the U.S. and that the policy won’t be revised due to oil prices.

So far, declining oil prices haven’t affected what countries say they are willing to do, said Todd Stern, the U.S. envoy who will join the talks in Peru next week.

“The need from the point of view of climate, health and energy security all point toward the imperative for transforming our economies from high to low carbon,” Stern said in an interview in Washington. “That transformation is the solution side of climate change.”

In Brussels, the IEA, which was formed to advise industrial nations on energy policy after the first oil shock in 1973, said governments must remain focused on cutting carbon dioxide emissions blamed for damaging the climate.

Global Power

“What is important is not to be lulled into a false sense of security,” Maria van der Hoeven, the executive director of the IEA, said at a briefing in Brussels. “Fossil fuels will be a very important part of our energy supply. It’s important not to be too obsessed with lower oil prices.”  ;)

Renewables remain a tiny fraction of the world’s power supply, accounting for about 5 percent of the electricity generated, according to the most recent data from the IEA. That’s up from 1 percent in 1990. Current policies put it on track to reach 12 percent by 2040.

Investment in clean energy is growing rapidly. The industry took in $175 billion in the first nine months of this year, according to Bloomberg New Energy Finance. About $2.95 trillion may be invested by 2040 compared with $1.49 trillion for fossil- fuel power plants, the IEA estimates.

Japan Investments

In Japan, where the government introduced an incentive program in 2012 following the Fukushima nuclear disaster, investment in solar energy more than tripled to $29.6 billion in 2013 from 2010 levels, data from London-based BNEF show.

“Japan doesn’t use a lot of oil in its power generation, so it doesn’t make a lot of difference,” said Andrew DeWit, a professor in the School of Policy Studies at Rikkyo University in Tokyo. “The short answer is that it’s probably not going to have a huge hit on Japan’s renewables.”

Japan, though the world’s largest importer of liquefied natural gas, relies on oil for 19 percent of its electricity generation, according to BNEF data. The nation could be on course this year to surpass China as the world’s largest solar market as measured by annual capacity installations.

“The oil price doesn’t affect electricity generation that much,” Lyndon Rive, chief executive officer of SolarCity Corp., said in an interview with Bloomberg Television. “Even with all- time-low natural gas prices, the cost of energy has gone up. You have transmission and distribution and infrastructure you have to pay for. It’s aging and getting old and requires constant upgrades.”

Market Forces (

Beyond political support, renewables are isolated from market forces by the structure of the electricity industry.

Most governments support clean energy either by offering feed-in tariffs -- fixed prices for power fed into the grid -- or by holding auctions to buy a certain amount of generating capacity. Once set, those contracts can’t be revised, meaning renewable power plants in operation now will probably continue to do so for years to come.

Jurisdictions buy renewables both to reduce pollution and as a hedge against rising costs for other fuels. Since wind and solar don’t require fuel, their costs can be charted for decades, offering stability that oil, gas and coal can’t provide.

“There is absolutely no guarantee that oil prices will continue at this level,” said Taro Saito, director of economic research at the NLI Research Institute in Tokyo. “So of course from the point of view of those who are pushing renewable energy, there is no reason to suddenly give up.”

Cheaper oil doesn’t have a straightforward impact on the political debate, said Alden Meyer, who follows climate policy for Washington-based Union of Concerned Scientists, said in an interview in Lima.

“It lessens the argument that there are going to be huge costs in the transition to cleaner energy,” Meyer said. “We’re actually starting into that transition, and it has reduced costs.”
   ( http://Copyright 2014 Bloomberg



A. G. Gelbert   
 December 3, 2014 

Yep. This skullduggery worked in the 1980's. It's NOT going to strangle Renewable Energy NOW for the sake of Profit Over Planet, war profiteering and price shock control of our energy spigot through the purchase of politicians this time.

We-the-people of planet earth understand 'how it works' for the dirty energy industries now. The more the fossil fuelers dissemble to us, threaten and/or bribe politicians to continue the unsustainable and polluting status quo, the more determined we-the-people will be to destroy the demand for dirty energy and hasten the demise of those biosphere killing fossil and nuclear fuels.

Watch this one minute clip to learn why Natural Capitalism is the only REAL Capitalism. Modern so-called "Capitalism" (i.e. Crapitalism!) actually SHRINKS, DEGRADES and DESTROYS Capital!

Go ahead, dirty energy producing criminals, make our day. (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on December 11, 2014, 02:19:01 am
In its latest report released Wednesday, OPEC also reduced its global demand forecast to 28.9 million barrels per day, the lowest since 2002.
Increased US production and decreased demand   ( have been cited as the culprits for crude's rapid decline over the last several months.  (


I LOVE the smell of DEMAND DESTRUCTION for fossil fuels!  ;D

Read more:

Renewable energy= (                                ( Fuelers
Title: The Schlumberger Walking DEAD
Post by: AGelbert on December 17, 2014, 09:47:30 pm
The Schlumberger Walking DEAD: They've already lost 10 billion from their 110 billion market cap in less than a year.  Watch as this 100 billion dollar polluting beast (stock symbol SLB) turns into NADA in the next THREE YEARS. Enjoy the ride, worshipers of fracking.



Schlumberger N.V. (Schlumberger), incorporated on November 6, 1956, is the supplier of technology, integrated project management and information solutions to the international oil and gas exploration and production industry. The Company’s segments include Reservoir Characterization Group, which consists of the principal technologies involved in finding and defining hydrocarbon deposits; Drilling Group, which consists of the principal technologies involved in the drilling and positioning of oil and gas wells, and Production Group consists of the principal technologies involved in the lifetime production of oil and gas reservoirs and includes Well Services, Completions, Artificial Lift, Well Intervention, Subsea, Water Services, Carbon Services and the Schlumberger Production Management field production projects. (

Reservoir Characterization Group

Reservoir Characterization Group consists of the principal Technologies involved in finding and defining hydrocarbon resources. These include WesternGeco, Wireline, Testing Services, Schlumberger Information Solutions and PetroTechnical Services. WesternGeco is the geophysical services company, providing worldwide reservoir imaging, monitoring and development services. WesternGeco offers the industry’s multiclient data library. Wireline provides the information necessary to evaluate subsurface formation rocks and fluids to plan and monitor well construction, and to monitor and evaluate well production. Wireline offers both openhole and cased-hole services, including wireline perforating. (

Testing Services provides exploration and production pressure and flow-rate measurement services both at the surface and downhole. The Technology also provides tubing-conveyed perforating services. Schlumberger Information Solutions provides software, consulting, information management and information technology (IT) infrastructure services that support core oil and gas industry operational processes. Schlumberger Information Solutions provides software, consulting, information management and IT infrastructure services that support core oil and gas industry operational processes. PetroTechnical Services supplies interpretation and integration of all exploration and production data types, as well as expert consulting services for reservoir characterization, field development planning production enhancement and multi-disciplinary reservoir and production solutions.( PetroTechnical Services also provides industry petrotechnical training solutions.

Drilling Group

Drilling Group consists of the principal Technologies involved in the drilling and positioning of oil and gas wells and consists of Bits & Advanced Technologies, M-I SWACO, Geoservices, Drilling & Measurements, PathFinder, Drilling Tools & Remedial Services, Dynamic Pressure Management and Integrated Project Management well construction projects. ( & Advanced Technologies designs, manufactures and markets roller cone and fixed cutter drill bits for all environments. The drill bits include designs for market segments where faster penetration rates. The technologies leverage modeling and simulation software for the design of application-specific bits and cutting structures.

M-I SWACO is the supplier of drilling fluid systems engineered to improve drilling performance by anticipating fluids-related problems, fluid systems and specialty equipment designed to optimize wellbore productivity and production technology solutions formulated to maximize production rates.  (  The Technology also includes environmental solutions   ( safely manage waste volumes generated in both drilling and production operations. Geoservices supplies mud logging services for geological and drilling surveillance. Drilling & Measurements and PathFinder provide directional-drilling, measurement-while-drilling and logging-while-drilling services for all well profiles, as well as engineering support. Drilling Tools & Remedial provides a range of bottom hole assembly drilling tools, borehole enlargement technologies and impact tools, as well as a collection of tubulars and tubular services for oil and gas drilling operations. Dynamic Pressure Management consolidates managed pressure drilling and underbalanced drilling into a single provider of engineered solutions for pressure drilling services.

Production Group

Production Group consists of the principal Technologies involved in the lifetime production of oil and gas reservoirs and includes Well Services, Completions, Artificial Lift, Well Intervention, Subsea, Water Services, Carbon Services and Schlumberger Production Management field production projects. Well Services provides services used during oil and gas well drilling and completion as well as those used to maintain optimal production throughout the life of a well. The services include pressure pumping, well cementing and stimulation operations as well as intervention activities.   (
Completions supplies well completion services and equipment that include packers, safety valves, sand control technology as well as a range of intelligent   ;)well completions technology and equipment. Artificial Lift provides production equipment and optimization services using electrical submersible pumps and gas lift equipment, as well as surface horizontal pumping systems.

Well Intervention develops coiled tubing equipment and services and provides slickline services for downhole mechanical well intervention, reservoir monitoring and downhole data acquisition. Subsea offers solutions that are designed to improve reservoir recovery optimize production and maximize production uptime of subsea assets. Water Services specializes in the development, management and environmental protection of water resources. ( Carbon Services provides geological storage solutions, including storage site characterization for carbon dioxide

My advice to anybody that owns stock in this Polluting PIG is to SELL or you will lose your arse.  ;D

El Que No Oye Consejo, No Llega a Viejo.

The translation is this: He who does not listen to advice does not make it to old age. (it rhymes in Spanish!)   ;D
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 06, 2015, 03:33:38 pm

6 Reasons 2015 Will Be a Tough Year for Big Oil

Hannah McKinnon, Oil Change International

Things don’t seem to be getting any easier for Big Oil and I am going to venture a guess that 2015 is going to be their toughest year yet.

Here are a few of the hurdles that are only going to grow for the industry over the coming year:


You can ignore the science, resist the science or support politics that doesn’t believe in science, but you can’t change the science. 2014 captured the title of hottest year on record, marking the 38th consecutive year that global temperatures have been above average. California is still grappling with the impacts of the biggest drought in memory, and “once in a century” storms, floods, fires and droughts have become a joke as they hit with increasing frequency.

Big Oil can’t change the fact that their product is driving dangerous climate change, nor the fact that if the world is going to avoid the worst of it, the majority of fossil fuels that we know exist are going to have to stay underground. The science is definitive and decision makers are running out of ways to avoid taking it seriously.


People get it. More than 400,000 of them came to the biggest climate march in history in New York in September with tens of thousands more joining marches in hundreds of cities around the world. Across North America, people are stopping tar sands pipelines. There is not a single major tar sands pipeline that is not threatened by public opposition on the continent, and these delays are making a dent in pollution and are a material risk to fossil fuel expansion.

Driving and inspiring much of this opposition is resistance from people on the front lines of climate change and fossil fuel extraction: First Nations in Alberta standing up to the tar sands, landowners in Nebraska saying no to the inevitable risks of Keystone XL, and vulnerable and impacted communities globally refusing to let climate impacts go unnoticed. This movement is growing by the minute.


Even before the precipitous fall of oil prices in late 2014, fossil fuel projects were being cancelled in places like the tar sands and the Arctic Ocean. It is quite simply not great economics to bet the farm on high cost, high risk, and high carbon projects. Even with oil prices more than $100 per barrel in early 2014, three major tar sands projects were mothballed due to uncertain economics (driven in large part by public concern and transportation constraints).

Now, with oil prices a shadow of what they were kicking off 2014, analysts say at least $59 billion dollars of capital is on the brink of deferral in the tar sands over the coming 3 years, with the potential of knocking off 650,000 barrels of oil per day. Bad news for big oil, great news for the climate. Countries and regions that made the high risk bet to balance their budgets based on high oil prices are scrambling, and everyone is absorbing the harsh reminder that oil prices are unstable, unpredictable, and uncertain.

The concepts of stranded assets and unburnable carbon gained even more traction over the past year, with the Governor of the Bank of England saying in no uncertain terms that the majority of fossil fuel reserves are unburnable. This echoed messages from the likes of the International Energy Agency and the World Bank—not exactly environmental activists. The mainstream economic chatter is changing.

On top of this are the people-powered movements calling for divestment from fossil fuels. These campaigns are moving billions; not enough to topple the industry, but enough to command attention and prove that this conversation has the moral magnitude of other historic successful divestment campaigns.


Admittedly, this is the slow moving beast. The perpetual challenge is getting politics and politicians to look beyond terms and think about the well being of anything more than 4 or 8 years down the road. Especially when this means turning their backs on the fossil fuel lobby, which has been pouring money into keeping friendly politicians in power for decades.

That said—all hope is not lost. President Obama has made some inspiring and ambitious remarks on climate, and with a final Keystone XL decision sitting on his desk, recent statements suggest he is poised to make the right call, change the status quo, and reject the pipeline. The climate deal between China and the U.S. is also promising and shifted the global political discussions in a meaningful way. Across the continent, politicians are feeling the heat on their inaction on climate change. In Canada, heading into an election year, poll-leading opposition leaders are starting to backtrack on previous support for major tar sands infrastructure.

The message is starting to penetrate: A failure to act on climate change will have political costs.


Renewables are putting a squeeze on fossil fuels. Solar energy had some spectacular breakthroughs in 2014 and the growth in solar capacity in the first three quarters of last year represented 36 percent of new electricity capacity in the U.S. (compared to 9.6 percent in 2012). In Germany, solar generated half of the country’s electricity on one day in June, setting both records and precedent for what we can expect from the rapidly improving and increasingly affordable technology.

Other leaps have been made in the sector, with wind and electrification of transport. Low oil prices are an obvious risk to renewables, especially in a world where fossil fuels continue to receive unnecessary subsidies and renewables are forced to play on an uneven playing field (it is high time to Stop Funding Fossils by the way). However, Bloomberg has done some number crunching that suggests that we should not assume that demand for oil would soar with the price drop and analysts are saying that energy markets today are markedly evolved and renewables will hold their own.


In late 2015, Paris will host the climate talks, the meeting where global leaders are supposed to hammer out the next big deal. While we are not holding our breath for leaders to rise to the occasion in any spectacular way, one thing we are certain about is that they are going to feel the heat.

Let’s make 2015 the year that puts an end once and for all to the myth that fossil fuels are an inevitable centerpiece of our future. The real inevitability is an era where Big Oil is no longer the status quo, and where we build our communities, economies and lives around energy that that is safe, reliable and clean.

 ( (  (  ( (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 07, 2015, 03:49:14 pm
Schlumberger Limited. (NYSE:SLB) was downgraded by equities researchers at Societe Generale from a “buy” rating to a “hold” rating in a research report issued on Tuesday, reports.

July 3, 2014
closing stock price $117.50  (2014 PEAK SLB closely matches oil price high for 2014).

SLB  has a Mkt cap of 126.44B  and operates in 80 countries. SLB has EXTENSIVE gas drilling operations in the USA (

January 7, 2015 81.36 Real-time: 3:32PM EST Mkt cap    104.21B   (   (

SLB market cap drops a billion here and a billion there. Pretty soon we are talking about real MONEY (i.e FRACKER PAIN).

Calling all frackers (i.e. all those fine folks that are making ALTRUISTIC SACRIFICES FOR ALL OF US PIGGIES DEMANDING FOSSIL FUELS): SLB is a HUGE BUYING OPPORTUNITY! It's time for you to PROVE your loyalty to this SAFE, PRUDENT, LOGICAL, BRIDGE FUEL, AMERICAN ENERGY INDEPENDENCE PROVIDING technology! Dollar cost average! Mortgage your Volt! Sell your MOTHER! BUY!, BUY! BUY!


And by all means, ignore that Agelbert whacko's posts about Renewable Energy eating fossil fuel profits alive and his defamatory and thoroughly inaccurate predictions about SLB stock tanking. He doesn't understand the REAL WORLD and he DOESN'T DO THE MATH. Just ignore his rants and BUY, BUY, BUY!   (

Watch as this 100 billion dollar polluting beast (stock symbol SLB) turns into NADA in the next THREE YEARS (!/msg2398/#msg2398)

El que no coje consejo, no llega a Viejo.  8)
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 07, 2015, 07:39:08 pm
A sampling of several (36 at last count) comments on this article ( that pretty well sum up what is going out there in the REAL "real world".  8)

Terry Hallinan
January 4, 2015
"Due to the beliefs of those in power, and the stalemate that they have caused over climate change policy, it is time for people to look elsewhere"

To the "moneyed interests" the founding fathers so feared but hoped pitchforks would be an antidote, you think?

To the handmaidens of the fossil fuel purveyors, the dunces pushing undependable sometime renewable power, primarily wind and solar, that guarantees a major place for the fossil fuel misanthropes that threaten human and other life on the planet?

Aside from looking to building pitchfork factories, how about looking to cheap, abundant, baseload power?

Not enough money in that you think?

I beg your pardon. It is not enough monopoly, too much inertia and way too little intelligent thinking. Countries outside North America are doing very, very well with baseload renewable power like geothermal and biomass that are greener than the mythical St. Patrick was supposed to be. America mostly prefers fantasy to fact and that is very costly.

Best, Terry

sean o
January 4, 2015
Instead of pitchforks, or waiting for some corporation to provide stable baseload, solar does nicely to cut your bills and sends a nice lil message to utilities. "hey we can do this too".

I think it was like 5% of rural amaerican homes with like 20kw of solar panels could produce enough energy to supply the us like 1/4 of an acre. You don't need the pitchforks just a few solar panels, and bonus points for having an EV.

Mele Coronato
January 6, 2015
If we want to win the race against time we really cannot afford to wait for CEO's and their corporations any more. Indeed it appears even the most fatal and stupid thing to do. Here is a crystal clear explanation, perfectly worded by someone who dedicated his life to the uncomfortable yet highly rewarding (sic) workload resulting from that insight:

PJ van Staden
January 6, 2015
All in all, if there is one thing, one most important thing for the renewable industry to do, I fully agree with Hermann Scheer that we should get the public educated and behind us.

Why should our world be held hostage by a small group of psychopathic control freaks who think they can keep us dependent on their monopolistic and undemocratic energy supplies? Why is control so important to them? Its because they cannot make a decent living on their own in a democratic regime!   (

As the public voice rise against their polluting and killing CO2 empires, they immediately look and grasp for another control instrument, named "nuclear", upon which they can set forth their creation of a centralized dependence upon them for energy? As if they believe all the world is still blind to their inferior, corrupting and criminal mentality?
But then again, we have another alternative to the alternative: The knowledge they don't possess and are not aware of. So, let them, together with their lame puppets in politics, keep throwing their investments after their gluttonous desires.

For they shall faint. Instead of breeding more, these investments shall consume everything thrown at them. And these lame puppets, they shall walk out naked after their time in the office, stripped of all dignity. (

Energy is soon going fully distributed! Centralized energy is dead! You believe it!  (

William Fitch III
January 7, 2015
Hi: Coming late to the party, however, I did read a few of the posts, particularly the first post of Jared B. Fairly well put with a pretty good analogy via the medical area.

Regarding the article, CEO's to save us!! Are you kidding? If the article is just another form of a resume posting aimed at getting hired by FF industries, then a job well done.  ;D

Changes in internal management by extractive industries are aimed at cost cutting and PR value. Their very business is toxic. By definition they cannot solve the problem.

The carbon (GHG's) must be left in the ground. Naomi Klein in her book, "This Changes Everything", lays it out fairly well. Our very model of running this planet, capitalism of one form or another is the problem. You criticize politicians however they are just mouthing the desires of the extractive industries that OWN them. In short, just part of the puppet show.

Do you really think, author of this article, that the fossil fuel corporations are going to voluntarily strangle trillions of dollars in current "in ground" assets? The human animal, let alone the system, is not wired that way.

People smoke cigarettes even though it will give them cancer and a host of other diseases and painfully kill them. But they do it. Why? Because the death is too far away. It is not a gun pointed at their head at this moment. The same holds for the demise of our entire species. Pulling all that carbon from the ground will complete the sixth great mass extinction, including us.

Will we do it? Of course, because the death is too far off. This is a base human problem without even going to the problem of Capitalism(s).

Regarding Grace's comment where she repeats her idea of "buying off" the FF's corps., again, you cannot buy them off anymore than you can pay a blackmailer to stop blackmailing you. It is a false hope and ill-founded idea... Her other ideas are pretty much on track.

Most of what you see in our current world, 50 year window, is a result of income inequality. The disparity in wealth is so great it is almost unbelievable. The tolerance the masses have shown regarding this development is almost as equally unbelievable. The main reason for the tolerance shown, in my opinion, is that the masses want too badly to have a piece of the problem, and think they can, by the numbers get it, within the system. So it would seem, you can fool all the people all of the time....
Enough said....


Bill is definitely a Doomer! ;D Bill is a good guy and he and I are generally in agreement on most issues.

However, unlike him, I believe there is still some hope. The fact that an article like this DID NOT generate ANY mockery and hard truths a year ago shows people ARE waking up.

Here's a nice comment with some "touchy feely" stuff the fossil fuelers hate.  ;D But this fellow is a real 'do the math' inventor that understands energy thermodynamics quite well. His first language is not English so please ignore his grammar. He makes his point(s) quite eloquently, in my opinion. ( 

Fartadi Marian   
 January 4, 2015 

You should be looking for better technologies than the ones that aren´t convincing everybody.
"--------------------------" for helping the inventors of the new and better renewable tech, instead of helping the non efficient old tech.
":--------------------------" for money and economical benefits rather than only for spiritual meanings.

¿Did you know that having a 5 MW/year Captor of sun and wind ( CSW ) on your roof the equivalent production of energy that you will get out of your own property is between 25000 liters and 75000 liters of pure gasoline for a period of 25 t0 50 year?

And an average roof can handle more than 5 to 10 units of CSW that will make your house/property even more valuable than any oil whole, and will pay you back the equivalent of about 250000$ and 750000$ during your life time and you will leave to your children the most valuable heritage, because a renewable roof is forever, instead of selling your house to buy the oil that you will run out of it anyway!

Give the chance to every citizen by offering them better and affordable renewable products and then expect things to get better, because you won't make the spring with few flowers but with many yes you will (

Not CEOs or politicians running this world, are the MEDIA PEOPLE who makes CEOs and politicians, and makes you buy the products that consumes fossils or renewable.

With the social networks/bidirectional media ( dark social networks about 75% and FB TW G+ the rest of it ) you can shape the way people get aware of their own problems and how they can transform the problems in something that can give them material and spiritual benefits.

Fight for your freedom  ( and the freedom of the those like you, and break down the chains of the slavery that the fuels tied you with and watching you dying and suffering, and choose freedom and renewable. and you will win for ever for you for your people and for all the generations that will come, without violence.

Be smart, be clever, get yourself rich and powerful, go ONLY ELECTRIC and forget about fuels that are the past, ELECTRIC IS THE FUTURE.

The fuel century, the worst one in the human history is over with all the crimes and damage that were are and still doing to you and to your people.

Chose only ELECTRIC and CLEAN EFFICIENT AND RENEWABLE, and help this world to be a spring with your flower too.

I love you, we love you, we want you free healthy and rich, this is why we work even the sundays, but you have to UNDERSTAND and to CHOSE the right for you and for the others, be a good CEO or politician, and don´t you be afraid of anybody because the hugest army in the world: the HUMANITY will always be with you.. 


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 11, 2015, 05:09:53 pm
01/09/2015 04:58 PM     

Republican Pushes Solar Forward in Florida ( ( News

In Florida, where regulators recently eliminated solar rebates, there's a new group pushing for "energy freedom" in the state and it's led by a Republican.

Tory Perfetti   (
heads Conservatives for Energy Freedom, which is already gathering signatures for a referendum in the 2016 elections. If it passes, it would be a milestone for clean energy because it would allow people who generate solar to sell the electricity to others, avoiding utilities altogether.   (

"Floridians have a right to choose where their energy comes from,"
Perfetti told Tampa Bay Times. Giving people a choice is a core conservative principle, and it brought the Tea Party and environmental community together to get solar going in Georgia under the Green Tea Coalition.

The measure would allow business or property owners to produce up to 2 megawatts of solar and sell the power to people at the same or contiguous property. Building owners, for example, could sell electricity to tenants and homeowners could sell to neighbors.

Florida Referendum 2016

Florida law says only utilities ( can sell electricity - one of five states( that bars solar leasing companies like SolarCity from selling electricity  - they can only make money (not much) through monthly lease payments for the systems they install. Utilities in Wisconsin and Iowa recently tested the waters on banning solar leasing altogether and failed. 

 The political action committee, Floridians for Solar Choice, has been formed to drive the referendum forward and it's getting support from other local Republican groups, Democrats, the local solar industry and environmental groups.

"I think the people understand that ... the power companies have been running the show in Florida for too long,"
Rep. Dwight Dudley (D-St. Petersburg), told the Times.
"I'm very excited and happy they're doing it."

They need 683,149 signatures to get it on the ballot and then 60% of voters have to say Yes for it to pass as an amendment to the state's constitution.

 Clearly, there will be lots of pushback from utilities and the usual suspects (
- ALEC, Koch Brothers-backed Americans for Prosperity and many other conservative groups who say ::)  they are for individual freedom, except when it comes to policies they don't like. (

Debbie Dooley, who was behind the Green Tea Coalition in Georgia, is helping out in Florida and is also looking at Virginia and Wisconsin, with a goal of a national push that challenges utilities' monopoly on electricity sales.  (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 05, 2015, 03:21:18 pm

Here's some excellent information about fossil fuel demand rejection:  (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 05, 2015, 03:44:22 pm

Ahem. My dear fellow,what you are observing is a head fake gone awry. (

You see, Big Oil figured WRONGLY that if they gamed the price lower on the partially true premise that tanking economies destroy demand, thereby increasing supply and causing lower prices  (see Zero Hedge, TBP and Mking economics world view  ;D), we-the-dumb-fucks would all go out and buy SUVs, among other "usual" activities the fossil fuelers have gamed us into doing for about a century.


But their "too clever by  a half" ruse did not figure DEMAND REJECTION (from renewable energy) into their profit over people and planet calculus; an error of judgement that will help ensure their bankruptcy. Boo hoo.

Renewable energy= (                                ( Fuelers


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 09, 2015, 02:47:25 am

First Country in the World Dumps Fossil Fuels As Divestment Movement Heats Up  (

Cole Mellino


February brought even more excitement for the global divestment campaign. Norway’s Government Pension Fund Global reported yesterday that a total of 114 companies had been dumped because of their risk to the climate, according to The Guardian. While the wealth fund moved billions of dollars in assets out of shares in fossil fuel companies, it still has billions invested in other fossil fuel companies.

Still, as the world’s largest sovereign wealth fund, its move to divest has a large impact. Here’s a tweet by Bill McKibben yesterday sharing the news:

Norway made all its $ on oil, but now dumping fossil fuel stocks. The Rockefeller of countries ( … (

Renewable energy= (                                ( Fuelers
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 09, 2015, 02:17:35 pm
Stockholm Power Goes Green as Biomass Ousts Coal (

 Jesper Starn, Bloomberg 
 February 09, 2015

Stockholm, Sweden -- For a lesson in global energy history, look no further than Stockholm’s oldest power plant. Since 1903, Fortum Oyj’s Vaerta harbor site has generated power using coal, oil, natural gas and even considered nuclear. Now it’s phasing out the last coal furnace and replacing it with the world’s largest combined heat and power generator that will burn just wood chips and timber scraps by next year.

“It’s like looking at the growth rings of Swedish energy policy,” Ulf Wikstroem, an environmental manager at Fortum, said by phone Jan. 13 from Stockholm. “We plan to have the whole plant running on biomass by 2030 at the latest.”

Fortum’s $530 million project is part of the region’s push toward green energy. Biomass, which can include everything from waste and residue from wood to leftover food and cow dung, is poised to supplant fossil fuels as early as 2018, according to Markedskraft ASA, an energy adviser in Arendal, Norway.

Denmark’s Dong Energy A/S is switching half of its coal generators to biomass by 2020. Sweden’s Vattenfall AB is also increasing biomass use, while limiting output at fossil-fuel units, the main source of global carbon-dioxide emissions.

While not the cleanest form of energy, burning wood has little impact on the climate because it has already soaked up from the atmosphere during its lifetime as much carbon dioxide as it releases as a fuel.

Sweden, the Nordic region’s biggest economy, surpassed its 2020 European Union target of 49 percent renewable energy in 2012. The share will reach 57 percent by 2030 with current policies, according to the Swedish Energy Agency.

Global Push   (

The EU’s target is 20 percent renewable energy by 2020, from 14 percent in 2012. In the U.S., President Barack Obama has ordered the federal government to get 10 percent of its energy from renewables this year. China, the world’s biggest energy user, plans to generate 15 percent of its needs from non-fossil sources by 2020.

Envoys from 190 nations will meet at United Nations- sponsored talks in Paris in December to draw up carbon-dioxide emission limits. The current goal calls for policy makers to keep global warming increases to 2 degrees Celsius (3.6 degrees Fahrenheit) by the end of the century.

Across Sweden, facilities burning biomass to generate electricity increased 26 percent since 2009 to 201, according to a report in September by Svebio, a Stockholm-based group lobbying for biomass. Output was 10.4 terawatt-hours in 2013, according to Entso-E, a regional grid lobby group. That compares with 9.2 terawatt-hours of electricity from Oskarshamn-3, the nation’s biggest reactor, last year.

As much as 6 percent of the Nordic region’s power was generated by burning biomass in 2013, compared with 3 percent in Europe, Entso-E data show.

Dong, based in Copenhagen, plans to boost biofuel use at 10 power plants to 50 percent in the next five years, from 18 percent now, said Jens Price Wolf, the director of asset management for the utility’s thermal units.

Vattenfall has sold two of its three Danish coal-fired plants “and is looking to divest the last one,” Chief Executive Officer Magnus Hall told reporters and analysts on Thursday. The company also has plans to convert the 610-megawatt coal- and oil-fired plant to run on biomass, according to its website.

When Finland’s 1,600-megawatt Olkiluoto-3 nuclear reactor starts in about four years, most of the Nordic fossil-fuel generators will be too expensive, according to Olav Botnen, an analyst at Markedskraft. This means power output from burning biomass will surpass coal for the first time, he said.

Rainy Morning

Amid the smell of wood chips on a rainy December morning, the rounded exterior of Fortum’s new boiler sits under towers of scaffolding. It stands in contrast to the 28-acre (11.5-hectare) site’s older, high-ceilinged brick structures, with tiled walls and ornamental cast-iron railings.

“The new plant has a more ambitious form, with a proper outside and not just a concrete box,” Anders Johnson, an industrial economist and author of Norra Djurgaardsstaden, a history of the area, said in a Jan. 27 interview. It’s a step back to the designs of public buildings a century ago, he said.

The 330-megawatt Austrian-made boiler adds to Vaerta’s production capacity that includes oil and biofuel-fed burners, as well as one of Sweden’s last coal-fired generators, modified in 2010 to run partly on olive pits. ( 

The complex will generate enough heat to warm 30 percent of Stockholm’s 900,000 homes as well as meet as much as 8 percent of the city’s electricity consumption, according to data from Fortum and Statistics Sweden.

The city, which controls 49.5 percent of the site, wants Vaerta’s coal plant shut before the end of the decade and replaced with the new boiler, according to Katarina Luhr, the vice mayor overseeing environmental issues. Burning biomass will help the Nordic area’s biggest metropolis meet its goal to be fossil-fuel free by 2040, she said.

“It’s unacceptable having a coal plant in the city of Stockholm,” Luhr said in a Jan. 23 interview. “It’s important for our brand to show other cities we can do this. We have been able to do it, you can also do it.”  (

Copyright 2015 Bloomberg (

A. G. Gelbert   
 February 9, 2015 

Excellent! Any nail in the fossil fuel coffin is a step towards recovering civilizational sanity.

Move over, fossil fuels, BIOMASS is going to industrially EAT YOUR LUNCH (and profits too!  ;D).
Understanding selected biomass sources:  BioPAD

Pyrolisis oil refining adjustments affect properties of the final product.  (

January 16, 2014/in Refining Wood /by BioPad01

Pyrolysis Oil    

Pyrolysis or dry distillation is process where wood, or other biomass that includes carbon, is heated to a high temperature without oxygen in order to make the biomass decompose into different fractions. Typically the final product conducts carbon, different tars, fenols and acids. The common name for liquid fuel produced by pyrolysis process is pyrolysis oil. Pyrolysis oil is flammable liquid with a complex chemical composition. Pyrolysis oil can be used for replacing fossil fuels and as a raw material in different chemical processes. The pyrolysis process can be modified and adjusted by changing the reaction pressure, temperature and time. All these adjustments affect properties of the final product.

Rapeseed Oil Production
Pre-treatment, Dehulling, Oil Extraction

A prepress processing steps include:
 1. Seed cleaning
2. Preconditioning
3. Flaking
4. Cooking
5. Screw pressing
6. Solvent extraction
7. Desolventizing
8. Distillation
9. Degumming

Oil Purification
1. Degumming
2. Neutralization
3. Drying
4. Bleaching (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 03, 2015, 07:36:19 pm
Demand Destruction PLUS Demand Rejection equals future BANKRUPTCY for the Fossil Fuel Planet Polluting Criminals!   ( 

Please bear in mind that the FORMULA used to determine the AMOUNT of oil we NEED per day is flawed BECAUSE that amount is shrinking DAILY by tiny amounts due to Renewable Energy input.   (

When they finally get around to plugging in the new numbers, that 460 day max scale on the chart will have to be DOUBLED!  8)
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 04, 2015, 11:16:04 pm

From the keyboard of Thomas Lewis Like us on Facebook Follow us on Twitter @Doomstead666

A coal train once supplied the city of Holland, Michigan with fuel for its electric generating plant. They converted the plant to natural gas. Their costs are down, their emissions are down, and coal is down for the count. (Photo by wsilver/Flickr)

First published at The Daily Impact March 27, 2015

After bestriding the mountains of Appalachia, among many other places, like the proverbial Colossus for a century and more, the U.S. coal industry has been taken to hospice, a pathetic wasted shadow of its former self, its physical condition terminal, its thought processes derailed by dementia. It’s not a pretty sight (except perhaps to the survivors of the ruin, destruction and death it has brought to thousands upon thousands of helpless people) and there are those who say its fate foreshadows that of the oil fracking industry, which is now in the ICU, and the legacy oil bidness, which has started to have dizzy spells and occasional sudden hemorrhaging.

A report out this week from the think tank Carbon Tracker, titled “The U.S. Coal Crash,” itemizes the problems listed on the patient’s chart:

  • 26 coal companies bankrupt in the last three years;
  • Peabody Energy Corp., the world’s largest private coal company, has lost 80% of its share value, and that is representative of the industry as a whole (or as a hole);
  • 264 mines were closed in just two years — 2011-2013.
  • The last best hope for coal, China, which burns more than the rest of the world combined, has rendered much of its territory including its capital virtually uninhabitable because of the resulting air pollution, and is cutting back. A little. Down 3% last year.

Oh, and the dementia part? Peabody Energy issued a “forecast” this year “foreseeing” increased coal demand of 10-30 million tons, and global demand increasing by 500 million tons. Not only that, but the industry professes to believe in “clean” coal, and that its woes are caused entirely by President Obama’s “war on coal.” It’s sad, really, next we’ll find them wandering in the WalMart parking lot, unable to remember where they put their car.

What the industry calls the “war on coal” — the U.S. government’s limp-wristed efforts to reduce air pollution before it a) boils the planet and b) makes all the monuments in Washington invisible, like the skyline of Beijing — is not the primary cause of the industry’s demise. That mortal wound was delivered by the natural gas frackers, who in 2008 began to flood the market with cheap, fracked gas and inspired every electric generating plant that could do it to convert to burning gas instead of coal.

There went coal’s last reliable market, and that is why the doctors expect to see a flat line on the monitor any day now. Incidentally, the gas frackers did so well at driving down the price of their product that many of them went under, too, and the rest are hanging on with teeth and fingernails. You can’t get poetic justice to rhyme any better than that.

You’ve heard of those people who get diagnosed as terminal, check into hospice, and five years later get kicked out because they refuse to die? Coal will probably be like that for the remainder of the Industrial Age. It will remain the cheapest option for some, and cheap trumps everything else in our values-deprived world. Same with oil. It will endure long past its prime, in palliative care.

Yes, the mighty are falling, and it’s hard not to gloat, until we remember their ultimate justification: they were only giving us what we wanted.

Thomas Lewis is a nationally recognized and reviewed author of six books, a broadcaster, public speaker and advocate of sustainable living. He also is Editor of The Daily Impact website, and former artist-in-residence at Frostburg State University. He has written several books about collapse issues, including Brace for Impact and Tribulation. Learn more about them here.

Yes, the mighty are falling (, and it’s hard not to gloat (, until we remember their ultimate justification: they were only giving us what we wanted.  (

It's ABOUT TIME the coal pollution stopped! And they gave us anything but respiratory diseases and cancer for "cheap" energy that cost us our health. That is NOT what we wanted.  They LIED. They were giving us what THEY WANTED FROM US, not what we wanted.

I just went through that in another article on Electrical monopolies. The coal corporations, like ALL fossil fuel industries, NEVER were about giving us ANYTHING but just enough addiction to be able to jack up the price with "resource" wars and "international instability" BALONEY.

I commented the following after this article:

Electricity’s Un-Natural Monopoly

 John Farrell 
 April 02, 2015

Excellent summary of the situation and proper analysis of the most reasonable way forward. I agree with you 100%.

But you left out the profit over planet agenda that has existed in this country for over a century. This agenda was based on the centralized power (both of energy AND political) "business model" based on fossil fuels.

Yes, the hydropower option was a function of the logical natural monopoly a utility should provide. In fact, by the early 1940's the electrical power percentage provided by hydropower was nearly 40%. That figure (yes, I know the grid has grown enormously - that was not a valid excuse for adding more dirty energy instead of renewable energy) has never been surpassed.

The bottom line is that the fossil fuel industry (coal, oil and gas) and the nuclear power industry obtained both visible and invisible "subsidies" that, when actually figured into the cost of providing electrical power to we-the-people, never were cost effective or natural monopolies.

If that had been the case, the massive subsidies, without even beginning to figure in the externalized GDP costs for health care (days absent from work, respiratory diseases, etc.) and deleterious biosphere impact, would not have been necessary when those technologies matured (after the 1930s for fossil fuels and after the 1970s for nuclear power).

But the taxpayer massive giveaways to these dirty energy welfare queens continue to this day. From Cleveland's electrical wind turbines put up in the late NINETEENTH century being taken down to the sabotage and burning of the Chemurgy refinery (plant carbohydrates to hydrocarbons for fuels, plastics, pharmaceuticals and textiles were a threat to the fossil fuel oligarchs) in the 1930s to the 1950s refusal to fund PV research and development until they needed electrical energy in space (and then only in limited fashion DESPITE recommendations AT THAT TIME by a Congressional committee to develop solar energy) to NASA's 1970s foiled attempts to power electrical utility unserved Native American settlements with solar power because the utilities didn't like the idea (worried it would force them to lower their rates) of solar power (despite claiming it wasn't "cost effective" to send power cables that way), it has been corruption and skullduggery in government circles to the detriment of the American public.

Then came Ronal Reagan with his single handed destruction of Wind and solar power subsidies along with a war over 25 years ago that cost the U.S. public over $400 a barrel of oil in subsides.

For those who think that s hyperbole, read the following:

The following quote from a peer reviewed book is of extreme importance to all Americans:

Dilworth (2010-03-12). Too Smart for our Own Good (pp. 399-400). Cambridge University Press. Kindle Edition.

"As suggested earlier, war, for example, which represents a cost for society, is a source of profit to capitalists. In this way we can partly understand e.g. the American military expenditures in the Persian Gulf area. Already before the first Gulf War, i.e. in 1985, the United States spent $47 billion projecting power into the region. If seen as being spent to obtain Gulf oil, It AMOUNTED TO $468 PER BARREL, or 18 TIMES the $27 or so that at that time was paid for the oil itself.

In fact, if Americans had spent as much to make buildings heat-tight as they spent in ONE YEAR at the end of the 1980s on the military forces meant to protect the Middle Eastern oil fields, THEY COULD HAVE ELIMINATED THE NEED TO IMPORT OIL from the Middle East.

So why have they not done so? Because, while the $468 per barrel may be seen as being a cost the American taxpayers had to bear, and a negative social effect those living in the Gulf area had to bear, it meant only profits for American capitalists. "

Note: I added the bold caps emphasis on the barrel of oil price, money spent in one year and the need to import oil from the Middle East.

This totally unjustified profit, never mind the needless lose of lives, then increases the power of the fossil fuel corporations to perpetuate a biosphere harming dirty fuel status quo. How? By "funding" politicians with rather large "donations" to keep renewable energy from competing with dirty energy.

There's more. It continues to this day.

Fossil fuels and nuclear power, when all the costs are computed, were never cost effective. They were never natural monopolies either. What they were, and continue to be, is a source of centralized political power and profit.

John, they are not going to give up that undemocratic power that they have stolen from the American public with their "subsidies" and 24/7 attempt to block distributed renewable energy at every turn.

In other words, despite the clear logic of everything you said, those people that profit from the dirty energy industries are not interested in cost effectiveness. They are interested in political power. They used (and still use) that power to turn a level energy playing field into an alpine slope. They sit at the top rolling bribed political boulders at Renewable energy.

That corruption is what has held Distributed, Democratic Renewable Energy back for over half a century (at least!) in this country.

But now, despite all the corruption of the dirty energy industries, Renewable Energy is so inexpensive for the average user that centralized power is going the way of the Dodo bird. Let us hope that centralized dirty energy political power goes the same way.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 09, 2015, 03:04:02 pm
The Oil Industry's $26 Billion Life Raft

Snippet 1

The swift decline in U.S. oil prices -- $107.26 on June 20, $46.39 seven months later -- caught market participants by surprise.

Agelbert NOTE:
KARMA for MKing's hero, Harold Hamm (the father of the Fracking monstrocity in the USA).  ( ( 

Harold Hamm, the billionaire founder of Continental Resources Inc., cashed out his company’s protection in October, betting on a rebound. Instead, crude kept falling.

Agelbert NOTE: See 1980's style GAMING DOWN of crude oil prices (to sucker the people back into buying "cheap" oil) BACKFIRING due to MASSIVE demand rejection by a people SICK of the wars, externalized pollution costs, lies AND Renewable Energy disruptive (to fossil fuelers but constructive to the biosphere ( technologies.  (

Snippet 2
Counterparty Names (

Other companies purchased insurance. The fair value of hedges held by 57 U.S. companies in the Bloomberg Intelligence North America Independent Explorers and Producers index rose to $26 billion as of Dec. 31, a fivefold increase from the end of September, according to data compiled by Bloomberg.

Though it’s difficult to determine who will ultimately lose money on the trades and how much, a handful of drillers do reveal the names of their counterparties, offering a glimpse of how the risk of falling oil prices moved through the financial system. More than a dozen energy companies say they buy hedges from their lenders, including JPMorgan, Wells Fargo, Citigroup and Bank of America.

Agelbert NOTE: No wonder politicians are trying to cook up a war, the banks need ANOTHER excuse to fleece we-the-people in the service of the fossil fuel welfare queen/polluters.  (

Snippet 3

Energy Trading

These aren’t, of course, the kind of figures that would trigger any sort of systemic-risk concerns.  ( Commodities are generally smaller parts of banks’ businesses compared with lending and underwriting, and banks hedge their oil-price risk.

New York-based JPMorgan had $2.57 trillion in assets at the end of last year compared with net liabilities for commodity derivatives of $2.3 billion, not including cash from settled trades and physical commodity assets, according to regulatory filings. San Francisco-based Wells Fargo had $1.69 trillion in total assets compared with net commodity liabilities of $241 million.

Agelbert NOTE: The above statement is a large serving of BALONEY because it says NADA about the TRILLIONS of dollars in derivatives at risk HELD BY the five big bastard corporations we know as "banks" that are TOAST without Federal Reserve Counterfeiting.

It's ALL a part of our Fascist Fossil Fuel Government's mens rea MO. When they are making money off of us, they scold us about "fiscal responsibility" and "investing wisely" to the point (see MKing's prudent, measured, balanced, predatory capitalist advice.  ::) ) of ACCEPTING the consequences of YOUR LOSSES from "not investing wisely" (i.e. making stupid decisions)  (  When they are losing money, they steal what they want from us so they can claim they are "profitable".  ( (

Snippet 4

Still, $26 billion is $26 billion. 

U.S. oil companies already netted at least $2.4 billion in the fourth quarter of 2014 on their hedges, according to data compiled on 57 U.S. companies in the Bloomberg Intelligence index.

Oil companies would rather be losing money on the trades and making money selling crude at higher prices, Kilduff said.

“It’s like homeowners’ insurance,” he said. “You don’t buy it hoping the house burns down.”   (

Offset Risk

The $26 billion of protection won’t last forever. Most hedging contracts expire this year, according to company reports. Buying new insurance today means locking in prices below $60 a barrel. The alternative is following Hamm’s example and having no cushion if crude keeps falling.

Financial institutions act as a go-between, selling oil derivatives to one company and buying from another while pocketing fees and profiting on the spread, said Charles Peabody, an analyst at Portales Partners LLC in New York. The question is whether the banks were able to adequately offset their risk when the market took a nosedive, he said. (

Agelbert NOTE: No it isn't!

“The banks always tell us that they try to lay off the risk,” Peabody said. “I know from history and practice that it’s great in concept, but it’s hard to do in reality.”

Agelbert NOTE: The banks ALWAYS LIE. They are part and parcel of the fossil fuel industry welfare queen, profit over planet, fascsist network that BS's us 24/7 while rigging absolutely everything for their benefit and out detriment.

THAT is why they are scheming to get another war going. The price drop in crude is driving them up a wall because they cannot control it like they always have done. We have been here before, people.  (

ALL this happened in the decade from 1980 to 1990. The difference NOW is that Renewable Energy has not had its TEETH knocked out by the fossil fuel government(s), despite intense propaganda and regulatory hurdle skullduggery.

So, YEAH, expect a war.  That is their standard backup when all their other low life tricks do not work. Prison is too good for these fossil fuel/banking/Federal Reserve hypocritical elite criminals that claim to operate on a level business playing field.
Remember folks, the only way the planet wins   ( is if the fossil fuel/banking/Federal Reserve hypocritical elite criminals LOSE! (

If the fossil fuel government is not dismantled and neutered, the biosphere will be destroyed by profit over planet insanity. Please pass this on. People need to know the truth.  (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 15, 2015, 06:12:03 pm
Fossil Fuels Just Lost the Race Against Renewables    (

This is the beginning of the end. 

Tom Randall, Bloomberg
April 15, 2015 | 2 Comments

The race for renewable energy has passed a turning point. The world is now adding more capacity for renewable power each year than coal, natural gas, and oil combined. And there's no going back.

The shift occurred in 2013, when the world added 143 gigawatts of renewable electricity capacity, compared with 141 gigawatts in new plants that burn fossil fuels, according to an analysis presented Tuesday at the Bloomberg New Energy Finance annual summit in New York. The shift will continue to accelerate, and by 2030 more than four times as much renewable capacity will be added.

"The electricity system is shifting to clean,'' Michael Liebreich, founder of BNEF, said in his keynote address. "Despite the change in oil and gas prices there is going to be a substantial buildout of renewable energy that is likely to be an order of magnitude larger than the buildout of coal and gas."

The Beginning of the End
Power generation capacity additions (GW). Credit: Bloomberg New Energy Finance.

The price of wind and solar power continues to plummet, and is now on par or cheaper than grid electricity in many areas of the world. Solar, the newest major source of energy in the mix, makes up less than 1 percent of the electricity market today but will be the world’s biggest single source by 2050, according to the International Energy Agency.

The question is no longer if the world will transition to cleaner energy, but how long it will take. In the chart below, BNEF forecasts the billions of dollars that need to be invested each year in order to avoid the most severe consequences of climate change, represented by a benchmark increase of more than 2 degrees Celsius.

The blue lines are what's needed, in billions; the red lines show what's actually being spent. Since the financial crisis, funding has fallen well short of the target, according to BNEF.

Investment Needed to Minimize Climate Change

Credit: Bloomberg New Energy Finance.

Copyright 2015 Bloomberg (

Brian Donovan

April 15, 2015
Solar is doubling every 2 years. It's far cheaper than fossils or nuclear even when it's life is incorrectly stated as 20 years instead of the 30+ years expected. Even the warranties are 25 years or more. at 1% of our electrical now, and doubling every 2 years, it will be over 100% of electrical demand in 14 years. That's 2029, not 2050.

Offshore wind can also double every 2 years is we stop propping up fossils and nuclear and put that into wind, solar, wastefuels and ecars instead.

A fossils tax/fine is a logical, fossils pollute.

But just stopping the gov breaks would do. (

William Freimuth

April 15, 2015
Checkout James Hansen's 'Golden Opportunity' and compare it with Charles Krauthammer's "Tax gas - a lot". This is the best way to put a Price on Carbon (pollution). It would transform the world's fossil fuel addiction and create millions of jobs leading to the well-being of people and the Planet. ( (  (

We can still avoid cataclysmic climate change, keeping global warming much less than 2°C.  However, we need a nation or state that will showcase an across-the-board rising carbon fee.  The public, including conservatives, will accept a simple, honest carbon fee if all of the money is distributed to the public, not one dime to make the government bigger and more intrusive.

Golden Opportunity.

Current low oil and gas prices present a golden opportunity to solve the climate problem.

Today we could jump-start a carbon fee at a large rate, say $100 per ton of CO2, collected from fossil fuel companies on the first sale at domestic mines and ports-of-entry.  This initial fee generates more than $600B per year in the U.S., which should be 100% distributed electronically (to bank accounts or debit cards) to all legal residents.  (    With half a share for children up to two per family, a family of four or more would receive about $6000/year.  Subsequent increase of the carbon fee would be slow, e.g., $10/ton per year, to allow people and entrepreneurs time to make changes and investments, as we move toward carbon-free energies and energy efficiency.

$100/ton would increase the price of gasoline at the pump about $1/gallon.  However, such a price rise will occur in the near future anyhow.  It is only a matter of whose pocket the added money will go into: the fossil fuel industry’s pocket or the public’s pocket.

The ultimate price at the pump will be similar in carbon-fee and no-carbon-fee cases.  In the carbon-fee case, fuel demand falls over time as fuel use declines, in the U.S. by more than 30% in 10 years and 50% in 20 years.  Thus conventional fossil fuels will suffice to carry us beyond fossil fuels. Expensive unconventional fossil fuels such as tar sands and deep Arctic oil would mostly be left in the ground, regardless of pipelines.

Technology development is crucial to move us to a clean energy future, but it will be rapid only if there is a carbon fee that entrepreneurs and business people can count on to continue to rise. Government R&D was once a prime driver of technology progress, but not today. >:(

I speak from experience and understanding of how government bureaucracy has grown and now slows technical progress in even the most “can do” of agencies.  Yes, it is worth reforming present agencies, but primarily so they can facilitate progress in private enterprise, rather than impede it. (

Agelbert NOTE: I KNOW where a LOT OF MONEY is, that is being misspent on fossil fuel exploration, that could be used for Renewable Energy instead  ;D.

This affront to common decency and the scientific evidence of the deleterious effects of burning fossil fuels must stop. That money spent is actually deducted from corporate taxes, adding insult to biosphere injury.

ADD that exploration money to the fund Hansen's Golden Opportunity fund wants for distribution directly to we-the-people and we solve this problem of conscience free polluters even quicker! And make it illegal to deduct what they have spent on exploration as well as disallow any tax deduction for previous exploration too!


( Fossil Fuels IS SUICIDE%5E_%5E.gif)
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 18, 2015, 01:23:52 am
Gail Tverberg Article from China (,4617.msg73132.html#msg73132)
Gail Tverberg said,
Prof. Lianyong Feng of Petroleum University of China, Beijing, hired me to put together a short course (eight sessions, each lasting about 1.5 hours) on the nature of our current problems for students majoring in “Energy Economics and Management."

Well, thank you Gail, for giving readers an excellent of idea of where your PRIORITIES have ALWAYS been.  ;D

Why do I get the feeling that "OUR" in the "our current problems" part of your quote MEANS the PETROLEUM INDUSTRY?  ;)

Get this, Gail. The COST of those externalities you have never wanted to add into your computations is PRECISELY what is making fossil fuels AND nuclear power "inefficient" (i.e. more expensive to extract form your point of view). All the other costs you mention are a function of globalizing predatory capitalist practices that are certainly NOT limited to the energy industry. They are part of that "race to the bottom" shafting people all over the world in every business predatory capitalism has corrupted (most of them) that you have never showed too much concern for.

So, in reality, financing costs, employment costs, plant and equipment costs and so on are IRRELEVANT to the LACK of cost effectiveness of producing dirty energy fuels when you compare those costs with the environmental push back going on right now.

But I am not surprised that you are silent as a mouse on that subject.  ;) I am also not surprised that you are incapable of discussing the visible and invisible welfare queen handouts (subsidies, "depletion" LOL! allowances, etc.) the fossil fuel industry and nuclear power polluters CONTINUE to rob from  the people while Renewable Energy gets a PITTANCE in comparison.

Gail, what you DON'T say tells more about your bias than what you DO say.

Dirty energy fuels were NEVER cheap or inexpensive. But the planetary polluted SEWERS took a century or so to back up while the profit over planet gravy train lasted.

I realize you will not stop your love affair with "cheap" fossil fuels until they are below 50% of the energy picture. But it's coming, dear; MUCH sooner than your actuarial math expects. Make sure you take a peek at what is happening to battery prices if you can handle the shock of peer reviewed paper projections of price drops for 2030 ALREADY HERE in 2016.

And don't forget to add the lawsuits against the fossil fuel industry and remedy awards for harming the health and stability of THOUSANDS of species, not just humans, to the COSTS lowering the "efficiency" of producing dirty energy fuels.

There is NO statute of limitations on the CRIMES your fossil fuel pals have committed over the last century.

I suggest you start figuring THOSE COSTS to dirty energy production. Yep, that DOES make them even more "inefficient" to produce.  ;D

It's over for dirty energy. Live with it.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 03, 2015, 06:52:30 pm
Oil's losing streak at its worst for the year
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 05, 2015, 03:45:55 pm
In 2000, Sheikh Ahmed Zaki Yamani, former oil minister of Saudi Arabia, gave an interview in which he said:

“Thirty years from now there will be a huge amount of oil – and no buyers. Oil will be left in the ground. The Stone Age came to an end, not because we had a lack of stones, and the oil age will come to an end not because we have a lack of oil." (

It’s time to take the Clean Energy Would Kill the Economy show off the air once and for all. (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 06, 2015, 06:45:09 pm
Posted at a logic challenged site called the Doomstead Diner.  ;D

Most Doomstead Diners are locked into an ideological meme lense through which they view price action in regard to just about everything that has a price on it. In fact, the "carry capacity" worshipping segment of this crowd (you know who you are ;)) believe EVERYTHING has a carrying capacity/thermodynamics price on it. They don't DO ethics or CARING CAPACITY. They consider that a bit of benny fluff luxury afforded the predators that want to feel good about themselves, not a sine qua non requirement to avoid extinction (as I have repeatedly asserted).

Consequently, I mostly avoid banging my head against the Doomstead Diner Wall present in some threads here.

But today I am in a good mood so I will provide you worthies with some advice that you can print on your toilet paper to your peril.  ;D

Why are people so ready to accept groundless assertions? For example, the entire academic community in this country had essentially written off Irish persecution in the USA as a myth just because some professor with no real evidence said it didn't happen.

And it was so EASILY REFUTED!

Keep questioning authority and orthodoxy about 'fossil fuels as our savior', thermodynamics, carrying capacity, commodity prices, 'clean energy will kill the economy', 'Renewable Energy is not practical due to low energy density', EROI, and situational ethics. 

ALL the above are presented as scientific objective truths when they are either bold faced lies or cherry picked science leaving out the entire truth. Know bullshit when you see it.  There is no reason you have to remain loyal to ideology that masquerades as objective truth.

Yes, of course those that will respond to this will undoubtedly claim I am the one locked in an ideological straight jacket denying the "scientific" carrying capacity and energy "truth".

For your sakes, I hope you are right.   8)

Have a nice day.

"Facts do not cease to exist because they are ignored." -- Aldous Huxley

"Technical knowledge of Carrying Capacity will not save us; only a massive increase in Caring Capacity will." -- A. G. Gelbert

"We can’t have a healthy business on a sick planet."-- Ashley Orgain, manager of mission advocacy and outreach for Seventh Generation, Burlington, Vermont

"We do not need a 'new' business model for energy because we never had one. What we need, if we wish to avoid extinction, is to plug the environmental and equity costs of energy production and use into our planning and thinking. " -- A.G. Gelbert,4539.msg82338.html#msg82338
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 06, 2015, 11:01:33 pm
For how much longer will frackers be able to goose production to offset falling revenues?


There's a lot of blue sky between price and production in Merika, but not to worry...they say only the lord Fed knows the hour and the day...


...since the lord Fed don't need no stinking physics anymore, coz he's got money!

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 07, 2015, 07:57:42 pm
Amicable Discussion  ;D with a fossil fueler mocking Renewable Energy as a factor in fossil fuel demand destruction:

Renewable energy= (                                ( Fuelers

See my posting on what us renewable energy folks are now using for renewable powered personal transport!!

Not only can we have our renewable electrical generation, but we can have style, size and comfort as well!!

13%+ renewable electricity last I checked on the grid stats, and 20%+ from my own power generation!! Sitting at the 33% renewable mark as we speak!! Go renewables!!

See THIS post about what MKing wants to label "deflation" (LOL!).

The center of this commodity collapse is the energy market.

Chevron's earnings were down a dramatic 90% from last year. Exxon's were down 51% y-o-y, the worst quarter since early 2009.

The collapse in energy shares alone adds up to $1.3 Trillion and is expected to create a $4.4 Trillion hole in energy company earnings over the next three years.


The Commodity Market Wipeout

You should have sold SLB when I advised you too, Mr. day late and a dollar short.  ( Don't pretend I didn't do that over six months ago. I also called the first floor on the oil price. Here we are again!  ( Notice that the SAME floor I called then is where we are NOW.

There is a significant difference NOW, however. You will notice, if you bother to look, that tanker stocks aren't booming like the last time. This time, panic is taking hold from the REJECTION and DEFECTION part of demand destruction you (and some others here  ;)) refuse to recognize.

That said, the really big difference now from the first price floor is in the old reliable Baltic Dry Index. That was flashing super red in the summer of 2008. There it is again.  (

The Baltic Dry Index is Shouting "Danger, Will Robinson!" But Are Investors Listening?

In the Commodity Market Wipeout ( you will NOTE that in the summer of 2008, as is the case THIS summer, the writing was on the wall for the fun and games that arrived in the fall of 2008.

However, THIS time it is going to be a great deal more difficult for your pals at the Fed to pull the bankers and the fossil fuel industry asses out of the imminent bankruptcy from stock tanking 'toilet'.

I write this only in the hope that those not ideologically straight jacketed, like you, will see reason.

I know you won't listen and sell before you are wiped out. Too bad for you.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 07, 2015, 09:17:19 pm
Nope. No sign of a bottom here. In fact, sell every rally!

WTI Crude closes on its lows, falls another 1.77% to $43.75...Oil down for the sixth straight week (! :o  ;D :D


 ( ( (

To MKing who pretends he does not know what SLB means even though he DID NOT deny holding that stock when we discussed it in December of 2014.

Schlumberger Limited.

NYSE: SLB - Aug 7 7:50 PM EDT

82.26 Price decrease1.35 (1.61%)

After-hours: 82.22 Price decrease0.04 (0.05%)

For those of you, (unlike MKing.  ;)) who have not heard of the Schlumberbger planet trashers, read on.

Read what this giant polluter and OWNER of most of the fracking machinery says about how to 'handle' environmental legislation:

  Schlumberger N.V. (SLB): The BIG OIL Planet Polluter you never heard of (

Yes, the above post is somewhat dated. In that post from October 24, 2014, SLB had a market cap of about 130 billion dollars. They are now at  105.8B. Easy come, easy go, eh? (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 13, 2015, 03:12:29 pm
Oil Majors' $60 Billion Cuts Don't Go Far Enough as Crude Slides  ;D

Each $1 change in the price of Brent affects Shell’s pretax profit by about $330 million, while for BP the impact is $300 million, according to data from the companies. Chevron’s cash flow would be hit by as much as $350 million.  ;D   Of the three, BP pumps the most crude.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 13, 2015, 06:35:14 pm
Beyond Fossil Fuels:
The Investment Case  ( for Fossil Fuel Divestment  (

Executive Summary

Pressure is building on institutional investors to assess their exposure to companies that extract fossil fuels. As concerns rise about the likely effects on the climate from greenhouse gas emissions, grassroots campaigns calling for fossil fuel divestment are growing.

In parallel, financial analysts are increasingly warning investors of the risks that tighter regulations on carbon dioxide emissions and falling demand for fossil fuels could make fossil fuel reserves substantially less valuable, or even 'stranded' and ultimately rendered worthless.

While trustees may be sympathetic to these concerns, and investment officers skeptical of the outcome of looming greenhouse gas regulation, there are legitimate questions about the effects on portfolio risk and returns from the partial or complete divestment of fossil fuel stocks.

So the question becomes: how should a fiduciary compare the risks to portfolios presented by stricter carbon regulations to the risks associated with reducing exposure to fossil fuel stocks?

Analysis of historical data shows that over the past seven years eliminating the fossil fuel sector from a global benchmark index would have actually had a small positive return effect. Furthermore, much of the economic effect of excluding fossil fuel stocks could have been replicated with 'fossil free' energy portfolios consisting of energy efficiency and renewable energy stocks, with limited additional tracking error and improved returns.

Impax believes that investors should consider reorienting their portfolios towards low carbon energy by replacing fossil fuel stocks with energy efficiency and renewable energy investments, thereby retaining exposure to the energy sector while reducing the risks posed by the fossil fuel sector.

IMPAX Asset Management full report: (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 16, 2015, 09:00:31 pm
Why an Oil Glut May Lead to a New World of Energy

Posted on Aug 14, 2015 By Michael T. Klare, TomDispatch (

Agelbert Comment:

The causes attributed the drop in crude in this article lack one very important cause. The Rocky Mountain Institute has written about it. It's called DEMAND DEFECTION from new Renewable Energy coming on line.

Already, utilities are using less fossil fuels to generate energy because of DEMAND DEFECTION.

The Economics of Grid Defection - Distributed electricity generation, especially solar PV, is rapidly spreading and getting much cheaper. Distributed electricity storage is doing the same, thanks largely to mass production of batteries for electric vehicles. Solar power is already starting to erode some utilities’ sales and revenues. (")

It’s time to take the Clean Energy Would Kill the Economy show off the air once and for all. (")

And it is HIGH TIME we stopped calling oil an asset.

Renewable is the cheaper energy option without fossil fuel and hidden nuclear subsides. (")

Fossil Fuels are a LIABILITY. Using LESS of them DOES NOT "kill" the economy; it STRENGTHENS IT!

WHY? Because, while Renewable Energy increasingly takes up the energy slack, we reduce having to EAT the "externalized" costs to the environment and human health from using dirty energy.

The more I thought about climate change, the more I realized I had to do something other than publish my studies in scientific journals. (")

These results will not be welcome news as there are many with short-term vested interests that will want to ignore them. The Reason Brain Diseases Have Quadrupled in 21 Years. (")

Asset Mangers agree. Fossil fuels are a BAD INVESTMENT!

"Analysis of historical data shows that over the past seven years eliminating the fossil fuel sector from a global benchmark index would have actually had a small positive return effect. Furthermore, much of the economic effect of excluding fossil fuel stocks could have been replicated with 'fossil free' energy portfolios consisting of energy efficiency and renewable energy stocks, with limited additional tracking error and improved returns."

IMPAX Asset Management Report on the Case for Fossil Fuel divestment. (!/msg3607/#msg3607")
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 17, 2015, 07:50:12 pm
Down to $41.64.    (

Wait till we cross the $40 handle! That should be fun.  :o


Fun isn't a proper description of something that will bring join and discretionary income to so many. But for those of us who use these liquid fuels to explore the world, see new sights, expand our horizons, well….a picture describes our feelings best.

(  (


Even a cursory look at the operating costs of exploring for and extracting fossil fuels shoes BLATENTLY that the cost of the fuel for the machines does not even reach 10%. Sure, it would be a LOT HIGHER IF you fine fellows did not "EXTERNALIZE" the pollution from burning that fuel on your machines. But you do. And the gooberment you bought helps with your welfare queen creative accounting. Crookedly offloading real costs is not the same as not having them, pal!

The oil companies that are not being hurt as badly by low crude prices are the DOWNSTREAM (gougers 'R' US ( oil predators. They DO NOT explore for, or extract, fossil fuels. Downstream companies will not tend to be hit as hard, since they profit by purchasing crude and selling the refined products at a premium. These profit margins should remain fairly stable even with fluctuating oil prices.

The GOOD part, for people like me  ;D, is that today, most of the big oil companies have both large upstream and downstream operations and are referred to as integrated oil companies. So most of them are getting HAMMERED! ( (

Your claim that an UPSTREAM (i.e. fossil fuel exploration and extraction corporation) operation is happy about low crude prices is B U L L S H I T. Upstream oil producers are hardest hit as their costs to produce oil exceed the market price and they end up operating at a loss. Integrated oil companies, while negatively impacted from their upstream operations, find the blow dampened a bit by their downstream component.

Mking, you get more math challenged every day. Good!  (  (

"Analysis of historical data shows that over the past seven years eliminating the fossil fuel sector from a global benchmark index would have actually had a small positive return effect. Furthermore, much of the economic effect of excluding fossil fuel stocks could have been replicated with 'fossil free' energy portfolios consisting of energy efficiency and renewable energy stocks, with limited additional tracking error and improved returns."

IMPAX Asset Management Report on the Case for Fossil Fuel divestment. (!/msg3607/#msg3607)

The Fossil Fuel Industry has given us Degraded Democracy and Profit over Planet Pollution (

Fossil Fuels are going the way of the Dodo Bird. Live with it!

( (

One more thing, Mking: DON'T MAKE ME PULL OUT SOME GRAPHS, PIE CHARTS AND/OR cost/benefit data  SHOWING THE FUEL PERCENTAGE OF various fossil fuel EXPLORATION AND EXTRACTION OPERATING COSTS. I understand managerial accounting reports quite well. I am familiar with the two accounting approaches your pals use: "successful efforts" (SE) method and the "full cost" (FC) method. ;D  With EITHER one, the cost of fuel is PEANUTS among ALL COSTS involved (i.e. Acquisition Costs, Exploration Costs, Development Costs and Production Costs).

You have already embarrassed yourself quite enough for today.

Title: Fossil Fuel happy talk versus the real world
Post by: AGelbert on August 19, 2015, 07:13:32 pm
Fossil Fuel happy talk versus the Real World

FIRST, the happy talk (that excludes any mention whatsoever of the negative impact of Renewable Energy on oil corporation profits while it includes a plethora of half truths.  ;)) that fossil fueler fools  ( eat up and believe:

Oil Stocks That Are Worth Your Attention: Key Energy Services, Inc. (NYSE:KEG), McDermott International (NYSE:MDR), Linn Energy LLC (NASDAQ:LINE)

By Rickie Moberg ( - August 13, 2015

The International Energy Agency says demand for oil has rebounded to the highest levels in five years, as consumers respond to lower prices and the global economy strengthens.

However, the bad news for the big oil producers like OPEC, is that global supply remains strong and the lower prices are unlikely to significantly dent production until next year.

The IEA’s August Oil Market Report found, “the supply overhang – the difference between global supply and demand – has persisted and reached a staggering 3 million barrels per day in the second half of 2105, the widest gap in 17 years, as ever-higher flows of oil hit world markets.”
 However, the IEA revised up its growth forecast for oil demand by 14 per cent – or 200,000 barrels a day – to 1.6 million barrels a day this year.
Oil supply fell by 600,000 barrels a day in July, mainly due to production declines in non-OPEC nations.

OPEC production remained steady at three-year highs.

The IEA report argued, as lower prices and spending cuts take a toll, non-OPEC supply growth is expected to slow sharply from a 2014 record of 2.4 million barrels a day to 1.1 million barrels a day this year.

“Our latest forecast shows stronger-than-anticipated demand and non-OPEC supply growth swinging into contraction next year,” the IEA said.

“On the other side of the equation, global supply continues to grow at a breakneck pace – currently running 2.7 million barrels a day above a year earlier – despite a collapse in oil prices.

“While a rebalancing has clearly begun, the process is likely to be prolonged as a supply overhang is expected to persist through 2016 – suggesting global inventories will pile up further.”

However, the IEA outlook does not include potentially higher Iranian output in the case of sanctions being lifted.

The independent energy and resources newsletter Platts reported that OPEC production jumped by 120,000 barrels a day last month to 31.4 million barrels a day.

OPEC’s dominant player Saudi Arabia accounted for more than 80 per cent of the increase.

Key Energy Services, Inc. (NYSE:KEG)
share price decreased in the last trading session with a previous 52-week high of $6.68. The stock was trading on above-average volume. The stock traded at a volume of 3.057 million shares at a price loss of -7.87%. The share price is now down -69.17% for the past three months. Latest closing price was -46.80% below its 50-day moving average and -57.15% below its 200-day moving average.

While trading at volume higher than average, McDermott International (NYSE:MDR) climbed +8.12% at the end of recent close. Its previous 52-week high was $7.62 and moved down -37.03% over the same period, trading at a volume of 4.961 million. Shares have risen +79.23% over the trailing 6 months. The stock is currently trading -8.31% below its SMA 50 and +16.34% above its SMA 200.

Linn Energy LLC (NASDAQ:LINE) closed at $3.41, up +0.20 points or +6.23% from previous close and at a distance of -30.44% from 20-day simple moving average. Over the last 12 months, a return on equity of -20.20 percent was realized due to the financial situation and earnings per share reached a value of -$2.64. Last fiscal year, $1.25 has been paid in form of dividends to investors. Earnings are projected to move up 69.76 percent for the coming five years.

NOW for the REAL WORLD:   (

Key Energy Services, Inc. (NYSE:KEG)

KEG 0.715 -0.044 (-5.76%

Range  0.66 - 0.79 
52 week  0.66 - 6.38 
Open  0.76 
Vol / Avg.  3.92M/3.22M 
Mkt cap  119.56M 
P/E      - 
Div/yield      - 
EPS -1.55 

McDermott International NYSE: MDR
- Aug 19 4:03 PM EDT

4.14 Price decrease 0.15 (3.50%)

Stock Trend Analysis Report

Prepared for you on Wednesday, August 19, 2015.


Smart Scan Chart Analysis confirms that a strong downtrend is in place and that the market remains negative longer term. Strong Downtrend with money management stops. A triangle indicates the presence of a very strong trend that is being driven by strong forces and insiders.

NASDAQ_LINE  Change 2.83 2.88 2.52 2.57 -0.31 gnal 
MarketClub’s Trade Triangles for LINE

long term down The long term trend has been DOWN since Oct 1st, 2014 at 29.5701

intermediate term down The intermediate term trend has been DOWN since May 11th, 2015 at 12.9031

short term down The short term trend has been DOWN since Jul 30th, 2015 at 5.4400
Smart Scan Analysis for LINE

Based on a pre-defined weighted trend formula for chart analysis, LINE scored -100 on a scale from -100 (strong downtrend) to +100 (strong uptrend).

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 20, 2015, 08:17:00 pm

What has the Wellcome Trust gained from its investments in coal, oil and gas?

The answer is that they have nose-dived in the past year due to falling share prices. By remaining wedded to the fossil fuel industry, the Wellcome Trust has lost £175m. BHP Billiton's share price slid by 45%, Shell's by 30%, Rio Tinto's by 29% and BP by 21%.

Wellcome Trust loses millions as its fossil fuel investments plunge in value

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 24, 2015, 02:26:47 pm
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 24, 2015, 03:56:29 pm
Waiting for a rally as an opportunity to get short in WTI and Dow mini-futures... ;D (

Not here. Bailed out last week of most market funds, and am waiting for the full Monte, the DJIA at 9000 perhaps? Then I go long on market funds in general. But it isn't even close to collapse yet, this penny ante stuff hasn't even scared out the institutional folks.

You "bailed out" last week.... And we all, of course, BELIEVE you, since you have been so forthright in telling us your NAME and your PORTFOLIO holdings before this "correction".  ;D
Boy tells chimp MKing claims he isn't losing his ass in the fossil fuel stock carnage.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 24, 2015, 10:30:19 pm
I don't even have a vehicle that can properly take advantage of this consumer windfall anymore. I am so prepped for expensive fuels that if they went to $50/gallon it wouldn't bother my basic transport needs at all. Pathetic. I need a monster truck to properly appreciate this winter's prices.


Agelbert NOTE: When MKing gets his new wheels/vehicle, he will decorate it to ensure we-the-people get all the "benefits" from all that "cheap" fuel he is burning willy nilly.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 25, 2015, 04:15:36 pm
PANIC selling at the CLOSE!  :o           (



( (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 25, 2015, 06:54:57 pm
Yup. DJIA and S&P down a point and change. (


Imagine how bad it would be if fundamentals had anything to do with it.

I hear ya. Expect the fed to try to engineer the following:

We can always hope that the reality based folks prevail.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 27, 2015, 02:59:39 pm
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 29, 2015, 05:02:42 pm
Excuse my crude attempt at Thom Hartmann style humor. And I don't care what that agelbert Renewable Energy Crazy says  about you, anybody that drives a Volt has a lot going for them!  :icon_sunny:

I don't drive a Volt anymore Anthony. Wrote up an entire review of the new EV in the technological section. You feeling alright?

Sorry, I don't read much of your stuff unless you are addressing me. I missed it.

You make up so much and then just assign it to me I just figured you were doing the usual deliberate misrepresentation.

But if you are listening because I am addressing you, I recommend you give up your gas guzzling ways and join those of us fighting the good fight!


Quote from: agelbert
And I haven't felt alright since 2007.  8)

For me it was 1981. January 20. That was the day I learned about American power, and the perception of it based on nothing more than who wields it, and why that matters and why those without steel in their spines are always the wrong people.

I prefer to keep listening to Obi Wan, thank you very much.

Agelbert prepares his photon torpedo gift for delivery to the fossil fuel government death star. NOTE: My X-Wing is powered by rocket fuel made from Supercritical (pressurized) CO2 split by a secret process to surround magnesium atoms (as a solvent) - no gas guzzling involved  ;D - Along with some oxygen the process produces, it Makes Great Rocket fuel as long as you have plenty of CO2 available to harvest!  I make it on Mars, just like NASA plans to do.   (

And as to your claim that I misrepresent you, uh, I think said claim is rather consistent with my observation that you are a student of Karl Rove strategy...

 Karl Rove strategy #3: Accuse your opponent of your weakness   (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on September 04, 2015, 07:43:23 pm
This image from mocks Industry Minister Ian Macfarlane’s comments about the news. Photo credit:

3 Huge Signs the Divest From Fossil Fuels Campaign Is Winning

Cole Mellino | September 4, 2015 11:39 am

The campaign around the world to divest from fossil fuels has really heated up this year. Students at Swarthmore, Yale, Harvard and University of Washington among many others demanded their institutions put their money where their mouth is and stop investing “in an industry that is actively destabilizing the future that our education is meant to prepare us for,” as one student at Swarthmore put it.

Not all of the campaigns so far this year have been successful, but to date, 397 institutions have at least partially divested—including foundations, faith groups, pension funds, governmental organizations, universities, nonprofits and for-profits. One notable case came from the Norwegian Parliament, which took the unprecedented step of mandating that its sovereign wealth fund (the richest in the world) divest from coal burning and coal producing companies. And, in the past few weeks, there have been some more major divestment victories:

1. California Assembly votes to divest pension funds from coal California lawmakers passed a bill on Wednesday that requires the state’s two largest pension plans—California Public Employees’ Retirement System (CalPERS) and California State Teachers’ Retirement System (CalSTRS)—to divest their holdings from thermal coal.

“Coal is the fuel of the past and it’s no longer a wise investment for our pensioners,” said assemblyman Rob Bonta, who presented the bill before the assembly. “I’m pleased that my colleagues agree: it’s time to move on from this dirty energy source.”

The measure to divest CalPERS and CalSTRS—the largest public pension funds in the U.S.—is part of a legislative push in California to address climate change. “What a signal of hope amid California’s relentless drought and the planet’s hottest summer,” said Bill McKibben, co-founder of “That California—Earth’s eighth biggest economy—will begin to pull its money out of fossil fuel stocks is a sign about what technologies are the future, and which are the dirty past.”

2. Environmental leaders launch “Divest for Paris” At the Paris Divestment Conference on Tuesday, environmental leaders launched Divest for Paris, which challenges “institutions, individuals and governments to show climate leadership and align their investments with their values by divesting from fossil fuels ahead of the COP21 Climate Summit in Paris.”

The event was co-hosted by and the European Green Party. “If you say you want action in Paris, then you have a responsibility to divest from fossil fuels,”said Executive Director May Boeve. “By shifting resources from the dirty energy of the past to the 100 percent renewable energy of the future, institutions can model the type of action we need from countries at COP21. With our climate in crisis, divestment is a moral necessity.”

Emphasizing the power of divestment as not just a moral necessity, but a democratic one, Nicolas Haeringer, divestment organizer in France said: “French institutions, such as the Caisse des Dépôts—France’s most important public investor—should set the example and listen to local authorities.

Divesting from fossil fuel helps address the climate crisis, but is also a democratic necessity: if investments have an impact on our future, then investors should listen to the demands of citizens and their representatives.”

3. The world’s largest coal port voted to divest from all fossil fuels. The city of Newcastle, Australia, which has the most coal going through its port every day, voted last week to divest its $270 million investment portfolio from fossil fuels, including coal. “The importance of this decision cannot be glossed over,” says “It is outstanding leadership for a city that is neck-deep in fossil fuels to make the call that it’s time to get out of them. Obviously this divestment decision won’t stop the coal port from continuing on at this point, but it sets the direction for the city going forward.” Prime Minister Tony Abbott came out against the decision as have other Australian politicians.

Newcastle city councillor Declan Clausen explained the city’s aspirations moving forward:
There are an increasing group of start-ups in Newcastle that are looking at a clean-tech future, we are embracing those opportunities. The coal downturn has particularly affected the Hunter Valley. Clean techs are going to be a significant employer moving forward. Council is being on the front foot about that.

In response to the Newcastle vote, McKibben said, “We’re suddenly and decisively, in a one-way transition to a renewable future and the only question—perhaps the most important question humans have ever faced—is whether we can make that transition fast enough to save the planet.” (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on September 18, 2015, 07:48:29 pm
Fossil Fuel Industry Bankruptcy is the writing on the energy wall    (

The way these corporate fossil fuelers in the integrated (upstream PLUS downstream) big oil price gouging predatory fu cks operate is to do absolutely everything they can to make sure the downstream prices are "inelastic" (code speech for: make up every excuse in the book for not lowering them) on the way down, while ensuring they have a hair trigger on the way up.  ;)  (

That said, they only have so much storage available (tanks, tankers sitting at ports, etc.). So they do try to not produce too much above what they can store to gouge consumers for tomorrow. THAT is what fossil fuelers perceive INCORRECTLY as the proper "supply and demand" calculus.

The fact is that demand destruction is going on because Renewable Energy technology, increased efficiency and more well insulated and carbon neutral building retrofits are TAKING A BIGGER AND BIGGER BITE OF THE downstream profit enchilada.

This dynamic may not save the biosphere (because it is too slow) but, because the fossil fuel industry business model operates mostly on volume sales (Profit margins are tiny on volume sales - without the artificial subsidy government babying and with the increased Renewable energy competition, bankruptcy is a high possibility.  ( to make a profit, a steadily decreasing amount of market share can, and will, drive them out of business. Fossil fuelers will never accept that as an economic fact of life.

Tough luck, fossil fuelers.  (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on September 29, 2015, 06:42:21 pm
09/28/2015 03:39 PM     

Fossil Fuel Divestment Reaches $2.6 Trillion  ;D News

Who thought the movement to divest from fossil fuels could have any real impact?

But it is - $2.6 trillion has been pledged to be pulled from portfolios since the movement began just three years ago!

436 institutions and 2040 individuals from 43 countries have pledged to divest, according to Arabella Advisors' analysis. Pledges come from pension funds, health, education, philanthropy, faith, entertainment, climate justice and municipalities.

Once viewed as a strong, stable investment, the tides are  turning. Not only are fossil fuel investments viewed as fueling climate change, but the stocks are starting to be seen for what they are - long-term losers. There's a long way to go of course, with a total of $74 trillion invested worldwide.

On the other hand, fossil-fuel-free portfolios are doing just fine, and much of the money pulled is being invested in clean energy.  Green mutual funds, for example, outperformed conventional funds by over 14% from 2012-2014, according to researchers at University of Edinburgh Business School.

"Our research shows these environmentally-friendly investments - which were once the preserve of ethical stockholders - are now delivering better returns than their peers, and attracting interest from a much wider community of investors," says research lead Gbenga Ibikunle.

Read our article, Fossil-Free Portfolios Outperform Those With Coal, Gas, Oil. (

Proof that DIVESTMENT from Fossil Fuel Industry Stocks is a sound financial decision  ( started the divestment campaign:Divestment Campaign

California Legislation Forces Divestment

 This summer, California passed legislation that requires the state's two biggest pension funds to divest from coal.   

SB 185 - "Investing with Values and Responsibility" - mandates divestment be completed within 18 months for the California Public Employees' Retirement System (CalPERS) and California State Teachers' Retirement System (CalSTRS). 

"Coal is the fuel of the past and it's no longer a wise investment for our pensioners," says Assemblyman Rob Bonta, who introduced the bill. 
"California's utilities are phasing out coal, and it's time our pension funds did the same,"
says Kevin de León, Senate President.

Where California goes, other states follow, and New York and Massachusetts are among six states that have similar bills in motion. 

Indeed, the Massachusetts Pension Reserves Investment Trust fund lost $500 million - 28% of its value - during the past year because of fossil fuel investments, according to Trillium Group. 

 Other notable commitments to divest include University of California system, Stanford University, University of Oxford, Norway's Pension Fund, British and Canadian Medical Associations, World Council of Churches, US Episcopal Church and Rockefeller Brothers Fund. Some are divesting from all fossil fuel companies, others are starting with coal and/or tar sands companies.

In fact, for the first time financial analysts concur that fossil fuel investments have become a significant risk to portfolios: HSBC, Citigroup, Mercer, Bank of England and the International Energy Agency have all come out with reports to this effect.

Finally, Green Investing Taking Hold?  (

It's been about 20 years since green mutual funds, ETFs and portfolio advisors sprang up in an attempt to move peoples' portfolios to support the green economy.

Some of the largest companies started green investment units, but that's always been a tiny fraction of their operations. Over the summer, however, Goldman Sachs appointed a partner and managing director as its global head of environmental, social and governance (ESG) investing, and acquired Imprint Capital, a specialist firm in the field. Morgan Stanley and Bank of America/Merrill Lynch are following suit.

Morningstar recently announced it would begin displaying ESG scores for mutual funds and exchange-traded funds. 

Check out  Fossil Free Funds (, where you can see fossil fuel holdings in the 1500 most widely-held mutual funds. A ranking system identifies funds without fossil fuels.

Read Arabella Advisors' report, Measuring the Growth of the Global Fossil Fuel Divestment and Clean Energy Investment Movement. (

Learn more about divesting and the movement:


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on October 07, 2015, 08:45:13 pm
Bloomberg Analysis: It Has Never Made Less Sense to Build Fossil Fuel Power Plants

Deirdre Fulton, Common Dreams | October 7, 2015 10:06 am

Wind and solar power are “much more competitive” against dirty energy sources than they were even just a few years ago, according to a detailed global analysis published this week.

In fact, according to the findings from the research company Bloomberg New Energy Finance (BNEF), wind power is now the cheapest electricity to produce in both Germany and the UK, even without government subsidies.  ;D Though Denmark passed the same milestone last year, this is the first time that threshold has been crossed by a G7 economy.

The analysis took into account not just the cost of generating a megawatt hour (MWh) of electricity, but also the upfront capital and development expenses, the cost of equity and debt finance and operating and maintenance fees.

In the U.S., coal and gas are still cheaper, at $65 per MWh, compared to onshore wind at $80 and solar at $107. (

Still, given documented trends, “it’s impossible to brush aside renewables in the U.S. in the same way it might have been just a few years ago,” writes Bloomberg‘s Tom Randall.

“Renewables are really becoming cost-competitive and they’re competing more directly with fossil fuels,” BNEF analyst Luke Mills told Bloomberg. “We’re seeing the utilization rate of fossil fuels wear away.”

Indeed, while the future for renewables looks bright, the outlook for coal and other dirty energy sources is decidedly more dismal—and bound to become even more so.  ;D

“It’s a self-reinforcing cycle,” writes Randall. “As more renewables are installed, coal and natural gas plants are used less. As coal and gas are used less, the cost of using them to generate electricity goes up. As the cost of coal and gas power rises, more renewables will be installed.”

Already there is evidence of this shift taking place. Citigroup on Monday announced a new policy to cut its lending to the global coal mining industry—a development hailed by environmental groups as an acknowledgement that “the scale of the challenge posed by climate change calls for the financial sector to transition away from financing high-carbon energy sources in addition to scaling up financing for low-carbon energy.”

“With Bank of America, Crédit Agricole and now Citigroup withdrawing support for coal mining, this announcement shows major momentum away from financing coal by the banking sector,” said Lindsey Allen, executive director of the Rainforest Action Network, which campaigns for banks to cut ties with the coal industry. “But reducing credit exposure is only a partial step forward. We urge Citigroup and Wall Street laggards such as Morgan Stanley to cut all financing ties to both coal mining and coal-fired power.”

To that end, Rainforest Action Network and allied groups are planning a day of action this Friday targeting Morgan Stanley, which conducted half a billion dollars worth of coal deals in 2014, financed $1.2 billion for the largest coal fired power plant operators in the world last year and continues to finance mountaintop removal coal mining.

Dropping dirty fuels is just good business, said Michael Brune, executive director of the Sierra Club, in a statement to the Washington Post on Tuesday.

“Clean energy solutions like wind and solar are getting more affordable and more accessible by the day, meaning they are increasingly the smartest long-term financial investments for utilities and other electricity producers across America,” he said, responding to the BNEF report. “The transition to a clean energy economy is going full speed ahead and pushing dangerous, dirty fossil fuels to the back of the line.”
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on October 20, 2015, 06:18:49 pm
Oslo Becomes First Capital City in the World to Divest From Fossil Fuels  ;D

Tierney Smith, TckTckTck | October 19, 2015 3:39 pm

The City of Oslo has, today, become the first capital city in the world to ban investments in fossil fuels, as it announced it will divest its $9 billion pension fund from coal, oil and gas companies.

Today’s announcement follows a previous pledge in March to ban investment in coal.

Lan Marie Nguyen Berg, of the Green Party in Oslo said:

We are very happy to announce that Oslo will take responsibility for the climate, both through our own policies and our investments. The time for climate action is now, and the new city government will address climate change both locally and globally. The reduction in pollution will make the city even better to live in, and ensure that we take our global responsibility.

In June this year, the Norwegian Parliament also announced the country’s Sovereign Wealth Fund—worth $900 billion—would sell off over $8 billion in coal investments.

Oslo’s “brave decision” just weeks away from the UN climate talks in Paris has been welcomed by but national and international environmental groups.

Arild Hermstad of Norwegian environmental NGO Future in Our Hands said:

There’s a strong symbolism when the capital city of our oil producing nation says ‘no’ to investing in fossil fuels. It shows that fossil fuels are history, and that shifting away from them, and to renewables, is the future. We expect and we encourage other oil producing countries to follow suit. Europe Team Leader Nicolò Wojewoda said:

Oslo sets an example for cities around the world and shows investors like the Norwegian pension fund that if you have committed to divest from coal, it’s time to take the jump to divest from all fossil fuels now. If you want to see climate action, you can’t continue investing in the coal, oil and gas companies that are ruining our climate.

Oslo joins a growing movement of 45 cities around the world that have committed to ban investments in coal, oil and gas companies.

Last month, a study showed that to date more than 400 institutions and 2,000 individuals from across 43 countries, and managing more than $2.6 trillion have pledged to ditch their holdings in fossil fuels.   (

As it becomes clear that large swathes of known fossil fuels must be left in the ground if the world is going to limit global temperature rise below the internationally agreed danger threshold of 2C, more and more institutions are pulling their funds out of these risky, dirty energy companies, and shifting their investments into fueling a renewable energy future.

What began as half a dozen college campuses in 2011, has grown to a global movement that is reaching right to the heart of the financial sector.

And the pressure is now on other to follow Oslo’s suit as the fossil fuel divestment movement challenges more investors to commit to divest from fossil fuels in the lead-up to the climate negotiations in Paris.

Wojewoda said:

Through this win and strong campaigns in London, Berlin, Amsterdam, Stockholm and many more cities, divestment is moving on to an even bigger stage—we hope that national governments in capital cities around the world will take notice, and start breaking their own links with the fossil fuel industry.   (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on October 23, 2015, 04:18:47 pm
Why Bill Gates’ Position on Divesting From Fossil Fuels Is Wrong
Alex Lenferna  (
October 23, 2015 1:17 pm


It is one thing to say that divestment is not the solution to climate change, but it’s another to make Gates’ claim that divestment is a “false solution” that “won’t emit less carbon” and that there is no “direct path between divesting and solving climate change.”

Contrary to Gates, there is a chorus of influential and credible voices who have illustrated how divestment is an important part of aligning the financial sector with a clean energy future, and who have illustrated that the societal power it builds is an important and powerful tool in unlocking the clean energy revolution and legislation needed to help solve climate change.

We can start by asking the fossil fuel industry itself, who, despite their feeble attempts to discredit the fossil fuel divestment movement (,    fund bogus divestment reports ( and claim divestment is an ineffective strategy (, have reluctantly admitted to the power of divestment.

For instance, in contradiction to their PR poker face, Peabody, the largest private-sector coal company in the world, submitted a filing to the Securities and Exchange Commission, where they admitted that by shifting perceptions around fossil fuels, spurring on restrictive legislation and driving unfavorable lending policies, divestment efforts “could significantly affect demand for [their] products and securities.”  (

For more divestment advice, we could also ask the researchers at Oxford University’s Stranded Assets Program, whose influential report on divestment  ( points out that “in almost every divestment campaign [they] reviewed from adult services to Darfur, from tobacco to South Africa, divestment campaigns were successful in lobbying for restrictive legislation.” Their report illustrated that the political and social power that divestment builds through stigmatizing the fossil fuel industry could also “indirectly influence all investors … to go underweight on fossil fuel stocks and debt in their portfolios.”

Alternatively, we could ask those “radical” environmentalists  ;)  ;D over at HSBC bank who recently issued a  research report  ( warning investors that the fossil fuel industry is at serious and growing risk of  stranded assets from climate policies and unfavorable economics, including reduced demand for fossil fuels and the rapid development of   renewable energy ( and efficiency measures. Contrary to Gates’ claim that divestment “won’t emit less carbon,”( HSBC encouraged their investors to divest from fossil fuels and argued that divestment could lead to less fossil fuel production and less emissions. (

According to HSBC, divestment could help “extend the carbon budget” and would create “less demand for shares and bonds [which] ultimately increases the cost of capital to companies and limits the ability to finance expensive projects, which is particularly damaging in a sector where projects are inherently long term.”

Perhaps another good place to ask for divestment advice is the financial analysts over at the 2° Investing Initiative, who pointed out that “divesting from fossil fuels is an integral piece to aligning the financial sector with a 2 degree C climate scenario.”

This claim is substantiated by the International Energy Agency (IEA), which estimates that reductions in fossil fuel investments of $4.9 trillion and additional divestment away from fossil-fueled power-transmission and distribution of $1.2 trillion will be needed by 2035 if we are to achieve the internationally agreed upon 2 degree C target—beyond which (and even before which ( climate change becomes truly devastating.


Agelbert NOTE: Bill Gates  ( (see the  crocodile tears about the welfare of humanity is the albi of tyrants) DOING what he DOES:


As part of Gates’ rejection of divestment, he provided a misleading (Exxon endorsed) assessment of the economics of the clean energy transition (seemingly out of the pages of a fossil fuel industry misinformation handbook or his favored climate contrarian adviser Bjorn Lomborg). Gates claimed that the only way current technology could reduce global emissions is at “beyond astronomical cost,” (
Not only would transitioning in line with the 2°C target save us from high fuel costs, it would also create millions of jobs, grow the economy, prevent major negative impacts on global health and development, protect clean air and water, and avert the truly astronomical costs of climate change—estimated to be as high as $3,290 trillion by 2200.

Agelbert COMMENT:
Excellent article. Bill Gates does not get the fact that the crime of ecocide is being been committed. And he does not get that because, up until now, Bill Gates has profited from the commission of that crime against humanity and the biosphere.

Bill Gates is irresponsible and criminally negligent. He and Melinda are a danger to their own offspring as well as the rest of the biosphere.


Representatives Ted Lieu and Mark DeSaulnier from California urged Attorney General Loretta Lynch on Friday to launch an investigation into Exxon.

It's definitely time for this to happen - and the investigation shouldn't stop with Exxon - we need a full investigation into every part of Big Oil's decades-long disinformation campaign, particularly the role Koch Industries may be playing in it all.

When the DoJ took down Big Tobacco - it wasn't just Philip Morris and RJ Reynolds - they went after the lobbying groups and the research shills too.

Exxon's Climate Coverup (

Corruption of Government and Environment by Fossil Fuel Companies (

Bill Gates will come around to divest from fossil fuels AND his beloved Nuclear Power Crap as his profits turn into massive losses.  ( THAT, he CAN understand. Greed is what drives him and his dirty energy and GMO environment harming products fund. (

Renewable is the cheaper energy option without fossil fuel and hidden nuclear subsides. (

But in the meantime he will be supporting stupid, corrupt politicians that do not want Monsanto investigated or fossil fuel subsidies eliminated. Remember that.

Dr. Richard A. Houghton, acting president of the WOODS HOLE RESEARCH CENTER says TINA to a Low Carbon Economy (

Robert F. Kennedy Jr: In the next decade there will be an epic battle for survival for humanity against the forces of ignorance and greed. It’s going to be Armageddon, represented by the oil industry on one side, versus the renewable industry on the other. And people are going to have to choose sides – including politically.

They will have to choose sides because oil and coal, they will not be able to survive – they are not going to be able to burn their proven reserves. If they do, then we are all dead. And they are quite willing to burn it. We’re all going to be part of that battle. We are going to watch governments being buffeted by the whims of money and greed on one side, and idealism and hope on the other.

Bill and Melinda Gates need to be held responsible for endangering future generations.    (

Our Responsibility to Future Generations ([te-change/future-earth/msg3885/#msg3885)

I also wish to make one observation. It is in the category of correct accounting procedures. Perhaps it is such a shock to the corporate world that they had to invent a new accounting term (i.e. Stranded Assets.).

"Stranded Assets", the new term for fossil fuels and the accompanying infrastructure plant and equipment, in real world accounting, means "LIABILITIES".

When that realization FINALLY hits the balance sheet preparers in the corporate world, the red ink will produce a TORRENT of fossil fuel industry bankruptcies. GOOD!  ;D
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on October 23, 2015, 07:08:34 pm
His money gets him an audience and because he is rich some people worship the ground he walks on.  The fact is he is known to be an ass hole; he exploits people.  He is an I've got mine you get yours kind of guy who extends his philanthropy exclusively to third word issues like a 'Christian' who adopts third world children while neglecting their own. 

Techno-narcissism usually goes with the personality of such types and he is no exception.  Rather than change the system and advocate lifestyle change he imagines silver bullet solutions where new technology rides in on a white horse and patches the system he has be benefitted from. 

I've worked at his company where contract labor is exploited and where 'blue badge' full time employees act and live like gods.  No benfits and less pay for contract labor which is replaced at six to ten month intervals depending on their performance.

I can't imagine Bill ever being critical of technology in a wold where the technology his company markets has been responsible for eliminating far more jobs than it has created.  Yet Bill is considered a hero by most and that he had a penchant for publically humiliating his employees in meetings while he ran his company will continue to be for the most part, unknown.

The Upton Sinclair quote of a man not being able to find fault with the source of his paycheck is apropos regarding Bill. 

I'm feeling the need to stop now because ranting on about the negative aspects of anyone's personality is not something I relish.  Fingers point back whenever a finger is pointed but what I have written is necessary.  Promoting Techno-narcissism and business as usual is dangerous.  When it is done to promote a 'legacy' there can be no excuse.

Well said.  (

I wish to make one observation. Gates and his ilk in the fossil fuel industry are going to lose a lot of money.

Here's why. It is in the category of correct accounting procedures. Perhaps it is such a shock to the corporate world that they had to invent a new accounting term (i.e. Stranded Assets.).

"Stranded Assets", the new term for fossil fuels and the accompanying infrastructure plant and equipment, in real world accounting, means "LIABILITIES".

When that realization FINALLY hits the balance sheet preparers in the corporate world, the red ink will produce a TORRENT of fossil fuel industry bankruptcies. GOOD!  ;D


And let's not forget all those refineries, pipelines, drilling rigs and, last but not least, ocean going oil tankers that will find it rather difficult to carry olive oil or biofuels instead of crude oil....    (  (

Looky here, a floating white elephant!
Hellespont Alhambra (now TI Asia), a ULCC TI class supertanker, which are the largest ocean-going oil tankers in the world
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on November 02, 2015, 11:03:48 pm

Bill McKibben - 
10:21 PM 
To: A G. Gelbert   
Dear friends,

Well, somewhat astonishing news tonight. Transcanada—the company that was so sure it would be building the Keystone Pipeline that it mowed the 1700 mile route and stockpiled the necessary pipe across the Midwest—tonight said it wanted to suspend its application.  :o   (    (

This is—make no mistake—a massive victory for people power. You emailed, you phoned, you marched, and in record numbers you went to jail. That’s what it took to persuade the arrogant oil industry they simply couldn’t prevail in their plan to pump the world’s filthiest oil across the heart of the continent.

They’re clearly pursuing a gambit—knowing they’ve lost, they’re trying to ask for some extra innings from the umpire, on the theory that they’ll re-submit a new route for the pipeline after the next election.  :evil4:  President Obama shouldn’t give it to them. He should finally break his silence on Keystone and say the most important thing: it fails the climate test that he laid out. It will help cook the planet. It’s a bad idea no matter what route it takes, because it’s a fuse to one of the planet’s nastiest carbon bombs.

If President Obama rejects this pipeline once and for all, he’ll go to Paris with boosted credibility—the world leader who was willing to shut down a big project on climate grounds. Truthfully, though, we know it was a movement that shut it down: First Nations and Indigenous Peoples, climate scientists, farmers and ranchers, ministers and rabbis, young people and old people.

Tell President Obama not to let TransCanada play for time. It’s time to reject this pipeline once and for all.

They told us it was a done deal. We are an inch away from undoing it completely. And in the process, we’ve helped build a movement ready to take down hundreds of other fossil fuel projects and keep fossil fuels where they belong—underground.  (

Thank you all for your relentlessness. Let's not stop now.


Bill, Sara, Jason, Rae, Jamie, Deirdre and the rest of's KXL team
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 13, 2016, 02:51:21 pm
A graphic from SEPTEMBER of 2015 by Agelbert:


TODAY, January 13, 2016, SLB stock price:

Schlumberger Limited.

NYSE: SLB - Jan 13 2:47 PM EST 63.92

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 13, 2016, 10:26:23 pm
The oil and gas industry is usually divided into three major sectors: upstream, midstream and downstream. The upstream oil sector :P is also commonly known as the exploration and production    ( sector.[1][2]

BP cutting 4,000 global upstream jobs (  ;D

Staff Writers  January 13, 2016   
BP said Tuesday it’s preparing to slash 4,000 upstream jobs as part of a broader restructuring plan.

According to Reuters, the company plans to cut its global upstream headcount by about 4,000 positions, equivalent to about 5 percent of its global workforce.

The cuts, part of a $3.5 billion restructuring program, will slim BP’s global upstream headcount down to 20,000.

A BP spokesperson told Retuers that the company will cut about 600 positions in the North Sea during the next two years, with most of those reductions occurring in 2016.

Further details about the cuts have not been disclosed yet.

The company had a headcount of about 80,000 at the end of 2015, Reuters added.

BP managed to beat analysts expectations in the third quarter despite low oil prices.

BP posted a $46 million profit for the third quarter, an improvement over the $5.82 billion loss seen last quarter, on revenues of $55.87 billion, down from $94.76 billion a year ago.

Third quarter earnings hit $0.60 per share, well above analyst targets of $0.33 per share, according to Zacks.

BP said in its third quarter results that its current divestment program was nearly complete, with total agreed divestments expected to reach $10 billion by the end of 2015.

The company expects to agree a further $3 to 5 billion in divestments this year before returning to a rate of around $2 to 3 billion in 2017.

BP agreed to sell its Alabama petrochemical complex to Indorama Ventures Public Company Limited on Wednesday for an undisclosed sum.

The Decatur complex makes chemicals that are essential for the production of thousands of items, from plastic water bottles to flat-screen televisions.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 13, 2016, 11:05:58 pm

Vermont Gov. Peter Shumlin announced last week his intention to push for divestment of coal and ExxonMobil stocks from the state’s retirement account, and lawmakers are preparing legislation to accomplish that. (

State Treasurer Beth Pearce (fossil fuel toady   ( is not a happy camper.  (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 14, 2016, 11:22:31 pm
U.S. rig count drops by 34 to new five year low  ;D

Staff Writers  January 13, 2016


Texas lost 13 rigs last week, the largest drop of all the major states.   (      (

( In other NEWS:  Fossil Fuel government rushes to prepare a happy talk propergander series  ( about "salt of earth, red blooded patriotic American" (and so on  ::)) fossil fuelers!

The American Movie Channel (AMC) said last week that it will produce a television show based on Phillip Meyer’s novel “The Son,” a multi-generational drama set in the Texas oil industry.  :P

According to Variety, AMC gave a straight-to-series order for the show that will follow six generations of the McCullough family as its members become major players in the oil and cattle industries.

DA oil Bidness is good for America! We have to DEFEND it. It is SAFE, SAFE, SAFE, I tell ya!    (


Oklahoma shale site blaze destroys at least 20 vehicles

Three injured in Marathon Petroleum Galveston Bay refinery fire
January 12, 2016

Oklahoma regulators curb disposal well volumes after earthquakes
Nicolas Torres  January 8, 2016

Texas man dies after blast at services facility
Staff Writers  January 7, 2016


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 18, 2016, 04:09:17 pm

Half of U.S. Fracking Industry Could Go Bankrupt as Oil Prices Continue to Fall  (

Andy Rowell, Oil Change International | January 18, 2016 9:29 am

So the slide continues with no end in sight. As expected this morning, the oil price has fallen below $28 a barrel on the back of the historic news over the weekend of sanctions being lifted on Iran.

This is the lowest level for oil since 2003.

The American shale industry needs oil at about the sixty to seventy dollar a barrel level in order to survive. Photo credit: Los Angeles Times

The American shale industry needs oil at about the 60 to 70 dollar a barrel level in order to survive. Photo credit: Los Angeles Times

The markets are spooked that the lifting of sanctions means the imminent introduction of half a million or so more barrels of oil per day from Iran into an already oversupplied market. The country has the world’s fourth largest reserves of oil.

Speaking earlier today at the Asia Financial Forum in Hong Kong, Stuart Gulliver, CEO of HSBC said “Major producers are currently delivering 2-2.5 million barrels per day more than demand, so the question is how long they can continue to overproduce for at that level.”

Already struggling with oversupply from various countries, the market now has Iran to contend with too.

After years of isolation due to sanctions, Iran reportedly has a significant amount of oil to place on the international market immediately. Analysts from Barclays said simply: “Iranian exports come at a very bad time.”

That can only mean one thing: a market awash with oil, which will only add a downwards pressure on the already low oil price.

The numbers are becoming brutal reading for the industry: The oil price has collapsed more than 70 percent since mid-2014.

And there is no respite in store. In his speech, HSBC chief executive, Stuart Gulliver, said he predicted the price of oil to be somewhere between $25 and $40 in a year’s time.

The American shale industry needs oil at about the 60 to 70 dollar a barrel level in order to survive.

Having limped along last year hoping for a rebound in prices this year, the industry is heading for deep trouble. ( (

Last week, one analyst predicted that half of U.S. shale oil producers could go bankrupt before the oil price rebalances itself.    (

Fadel Gheit, a senior oil and gas analyst at Oppenheimer & Co believes it could be two years before oil stabilizes near $60, which is still below the break-even point for many shale producers.

“Half of the current producers have no legitimate right to be in a business where the price forecast even in a recovery is going to be between, say, $50, $60. They need $70 oil to survive,” he told CNBC. (

Even the big boys are taking a hit. (

Last week, BHP Billiton was forced to writedown the value of its U.S. oil and gas assets by $US7.2 billion (Aus$10.4bn), admitting it needed $US60 a barrel oil to be “cashflow positive.”

But the reality is that under $30 dollar a barrel, it is only a matter of time before we see a range of bankruptcies in the shale industry.

“At this price range, nothing is safe,”   (  says Jesse Thompson, an economist at the Federal Reserve Bank of Dallas. And he could well be proved right.

Agelbert NOTE:
A picture is worth a thousand words Imminent Bankruptcies.   (


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 24, 2016, 09:34:49 pm
Schlumberger cuts 10,000 jobs, reports 39 percent decline in revenue  ( 

Staff Writers  January 22, 2016   

Services giant Schlumberger said Thursday that it will cut another 10,000 jobs after reporting a 39 percent year-on-year revenue decline.

Schlumberger chairman and CEO Paal Kibsgaard said the company will reduce its headcount by 10,000 positions as it braces for “extended activity weakness” in the first half of 2016.

Further details about the cuts have not been disclosed yet.

“The worsening market conditions added further pressure to a deepening financial crisis in the E&P industry, and prompted customers to make further cuts to already significantly lower E&P investment levels. Customer budgets were also exhausted early in the quarter, leading to unscheduled and abrupt activity cancellations,” Kibsgaard said.

The latest round of redundancies brings Schlumberger’s job cut total to 34,000 since November 2014, the Financial Times said.

The company took a fourth quarter $530 million in pretax restructuring charges tied to expanding its incentivized leave of absence program and reducing its workforce.

Schlumberger also took a largely non-cash $1.6 billion pretax impairment charge for fixed assets, inventory write-downs, facility closures, contract terminations and other asset impairments.

Four quarter revenues fell 39 percent year-over-year to $7.74 billion while the company’s pre-tax operating income dipped 54 percent year-over-year to $1.28 billion.

Income from continuing operations, excluding charges and credits, dropped to $819 million in the fourth quarter from $1,941 billion during the same period in 2014.

North American revenue fell 55 percent year-over-year to $1.95 billion on a pre-tax operating income of $139 million, down from $849 million in the fourth quarter of 2014.

The company’s international revenue slid down to $5.71 billion, a 30 percent year-on-year decline, on a pre-tax operating income of $1.26 billion.

Schlumberger’s drilling group booked $2.95 billion in fourth quarter revenues on a pre-tax operating income of $494 million, a 48 percent drop from the same period in 2014.

The company’s production group earned $2.67 billion in fourth quarter revenues, a 45 percent year-over-year decline, and booked a pre-tax operating income $303 million, down from $898 million in the fourth quarter of 2014.

Full year revenues declined to $35.47 billion from $48.58 billion in 2014 and full year pretax operating income fell 38 percent to $6.51 billion.

The company’s full year North America revenue fell to $9.81 billion, down from $16.15 billion in 2014, while North American pre-tax operating income dropped to $999 million compared to $3.057 billion in 2014.

Full year international revenue slid down to $25.196 billion, a 21 percent year-over-year decline, and international pretax operating income declined 22 percent year-over-year to $5.95 billion.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 26, 2016, 04:09:01 pm

Shell: Yearly earnings could plunge by $9 billion  
( (   

Staff Writers  January 26, 2016   

Royal Dutch Shell warned on Wednesday that full year earnings for 2015 may drop by nearly $9 billion from the previous year.

Shell expects full year 2015 earnings on a current cost of supplies (CCS) basis, excluding identified items, to be in the range of $10.4 billion to $10.7 billion, a sharp slide from $19 billion in full year earnings in 2014.

Shell had initially expected full year earnings to come in at about $10.8 billion, the BBC said.

The company expects its fourth quarter 2015 earnings on a CCS basis, excluding identified items, to be in the range of between $1.6 billion to $1.9 billion, down from $4.2 billion in the fourth quarter of 2014.

Upstream earnings are expected to account for $400 million to $500 million of fourth quarter earnings, while Integrated Gas is expected to account for about $1.6 billion to $1.9 billion.

The company’s downstream business will account for an estimated $1.4 billion to $1.6 billion of fourth quarter earnings, with earnings from oil products expected to be between $1.3 to $1.4 billion and earnings from chemicals coming in at an estimated $100 to $200 million.

Shell said identified items for the fourth quarter of 2015 are expected to be in the range of a net charge of $200 million to “an immaterial gain, mainly reflecting gains on sale of assets and impairments.”

Identified items for the full year of 2015 are expected to be a net charge of about $6.8 to $7.0 billion.

Income attributable to Royal Dutch Shell shareholders is expected to be between of $0.6 billion to $1.0 billion for the fourth quarter 2015 and between $1.6 to $2.0 billion for the full year 2015.

Cash flow from operating activities for the fourth quarter 2015 is expected to be between $4.8 to $6.0 billion and between $29.2 billion to $30.4 billion for the full year.

“I’m pleased with Shell’s operating performance in 2015, and the momentum in the company to reduce costs and to improve competitiveness,” Shell CEO Ben van Beurden said.

Production for the fourth quarter 2015 was 3 million barrels of oil equivalent per day and 2.9 boepd for the full year 2015.

Shell said it cut operating costs by about $4 billion, or about 10 percent, in 2015 and expects a further $3 billion reduction in operating costs in 2016.

Those operating cost cuts do not include synergies tied to Shell’s pending acquisition of BG Group.

Shell confirmed that it will reduce its headcount by about 10,000 staff and direct contractor positions in 2015 and 2016 across both companies, as “streamlining and integration of the two companies continue.”

Shell’s capital investment in 2015 is expected to be $29 billion, a 20 percent reduction from 2014 levels.

Capital investment in 2016 for Shell and BG combined is currently expected to be $33 billion, around a 45 percent reduction from combined spending that peaked in 2013.

“Flexibility for further reductions is available and will be utilised should conditions warrant that,” Shell added.

The company said asset sales for 2014 and 2015 now exceed $20 billion, well above its initial estimate of $15 billion set out in early 2014.

Shell added that “preparations are well advanced for $30 billion of asset sales in 2016-18, assuming the successful completion of the combination.”

Shell agreed in April to acquire UK-based BG Group for about $70 billion in cash and shares, when Brent crude prices were hovering around $62 per barrel.

Chinese antitrust regulators approved the combination in December, marking the end of the pre-conditional approval process.

Shell shareholders are scheduled to vote on the BG Group combination on January 27.

“The completion of the BG transaction, which we are expecting in a matter of weeks, will mark the start of a new chapter in Shell, to rejuvenate the company, and improve shareholder returns,” van Beurden added.

Shell’s fourth quarter and full year 2015 results and fourth quarter 2015 dividend are scheduled to be announced on February 4. 2016.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 26, 2016, 07:49:17 pm

Half of U.S. Fracking Industry Could Go Bankrupt as Oil Prices Continue to Fall  (

Andy Rowell, Oil Change International | January 18, 2016 9:29 am

So the slide continues with no end in sight. As expected this morning, the oil price has fallen below $28 a barrel on the back of the historic news over the weekend of sanctions being lifted on Iran.

This is the lowest level for oil since 2003.

The American shale industry needs oil at about the sixty to seventy dollar a barrel level in order to survive. Photo credit: Los Angeles Times

The American shale industry needs oil at about the 60 to 70 dollar a barrel level in order to survive. Photo credit: Los Angeles Times

The markets are spooked that the lifting of sanctions means the imminent introduction of half a million or so more barrels of oil per day from Iran into an already oversupplied market. The country has the world’s fourth largest reserves of oil.

Speaking earlier today at the Asia Financial Forum in Hong Kong, Stuart Gulliver, CEO of HSBC said “Major producers are currently delivering 2-2.5 million barrels per day more than demand, so the question is how long they can continue to overproduce for at that level.”

Already struggling with oversupply from various countries, the market now has Iran to contend with too.

After years of isolation due to sanctions, Iran reportedly has a significant amount of oil to place on the international market immediately. Analysts from Barclays said simply: “Iranian exports come at a very bad time.”

That can only mean one thing: a market awash with oil, which will only add a downwards pressure on the already low oil price.

The numbers are becoming brutal reading for the industry: The oil price has collapsed more than 70 percent since mid-2014.

And there is no respite in store. In his speech, HSBC chief executive, Stuart Gulliver, said he predicted the price of oil to be somewhere between $25 and $40 in a year’s time.

The American shale industry needs oil at about the 60 to 70 dollar a barrel level in order to survive.

Having limped along last year hoping for a rebound in prices this year, the industry is heading for deep trouble. ( (

Last week, one analyst predicted that half of U.S. shale oil producers could go bankrupt before the oil price rebalances itself.    (

Fadel Gheit, a senior oil and gas analyst at Oppenheimer & Co believes it could be two years before oil stabilizes near $60, which is still below the break-even point for many shale producers.

“Half of the current producers have no legitimate right to be in a business where the price forecast even in a recovery is going to be between, say, $50, $60. They need $70 oil to survive,” he told CNBC. (

Even the big boys are taking a hit. (

Last week, BHP Billiton was forced to writedown the value of its U.S. oil and gas assets by $US7.2 billion (Aus$10.4bn), admitting it needed $US60 a barrel oil to be “cashflow positive.”

But the reality is that under $30 dollar a barrel, it is only a matter of time before we see a range of bankruptcies in the shale industry.

“At this price range, nothing is safe,”   (  says Jesse Thompson, an economist at the Federal Reserve Bank of Dallas. And he could well be proved right.

Agelbert NOTE:
A picture is worth a thousand words Imminent Bankruptcies.   (


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 27, 2016, 08:18:08 pm
The Houston economy is DOOMED by profit over planet greed and stupidity.   (

Houston, we have a (greed based profit over planet) problem: It's called HOUSTON. (

Houston-Area Energy Employment as of December ’14
Sector Employment Share of Total Employment (%)
Oil and gas extraction, oilfield services 107,400 3.7%
Chemical manufacturing 37,000 1.3%
Petroleum products manufacturing 9,500 0.3%
Pipeline transportation 10,400 0.4%
Oilfield equipment manufacturing 43,500 1.5%
Misc. parts and components manufacturing 41,500 1.4%
Engineering (energy-related) 39,000 1.3%
TOTAL 288,300 9.9%

(It's a bit less in 2016.  ;D).

Snippet 1

The Texas Workforce Commission reports that the Houston metro area added 4,800 jobs in November, which was the third weakest November in the past 25 years. The region typically adds 10,000 to 12,000 jobs in the month.

Snippet 2
An Inauspicious Start — ’15 proved to be difficult for the oil and gas industry. Over the course of the year, drilling permits fell 41.6 percent, the North American rig count fell 61.4 percent, and the price of crude fell 29.6 percent. That’s on top of the declines the industry already suffered in ’14.

Snippet 3


’16 will be even tougher for the industry.  ;D (

 Oil crash job losses in Texas may be steeper than previously thought - November 12, 2015  (  (

They could have switched to Renewable Energy LONG ago. But their GREED prevented them from doing it.  (


So, I am GLAD that they face an economic depression ( for their profit over planet piggery.   (

For those who want to cry for the lost jobs in Houston, pretend we are ducks and the biosphere is our pond. (

THIS is a metaphorical picture of what EVERYBODY employed in the fossil fuel industry in Houston SUPPORTS 24/7 so they can MAKE MONEY.  (   (   (



And I am NOT interested in hearing what Eddie, the Texas champion of Capitalism, has to say to rationalize this MURDEROUS insanity.    (


The Fossil Fuelers   DID THE Climate Trashing, human health depleteing CRIME,   but since they have ALWAYS BEEN liars and conscience free crooks, they are trying to AVOID   DOING THE TIME or     PAYING THE FINE!     Don't let them get away with it! Pass it on! (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 27, 2016, 10:00:02 pm
NYC’s Biggest Pension Fund Lost $135 Million From Oil and Gas Holdings ( | January 26, 2016 9:26 am

A new report from Advisor Partners revealed that in one year alone, New York City’s largest pension fund lost around $135 million from their holdings in the top 100 oil and gas companies. The Teacher’s Retirement System of the City of New York, representing more than 200,000 teachers, educators and workers, incurred a 25 percent reduction in returns of their $60 billion fund from investments in oil and gas.

Protestors call on the State of New York to divest from fossil fuels. Photo credit: Adam Welz for / Flickr

“If it’s wrong to wreck the climate, it’s wrong to profit from that wreckage—but our city’s pension funds are incurring nothing but losses by investing in fossil fuels,” Mimi Bluestone, a member of the United Federation of Teachers and a campaigner with 350NYC, said. “The money lost from oil and gas investments just in the last year is equivalent to putting about 7,000 students through school for a year. It’s time for New York City to get out of the business of climate destruction.”

The findings of this report add significant momentum to activists calling for fossil fuel divestment. Organizers with 350NYC have been campaigning for the city council to divest the city’s five pension funds from all fossil fuels for over three years. During the Paris climate talks, it was announced that more than 500 institutions representing over $3.4 trillion in assets under management have committed to some level of fossil fuel divestment.

ExxonMobil and Chevron were the largest contributors to the fund’s declining performance, causing losses surpassing $39 million. In November, New York Attorney General Eric Schneiderman launched an investigation into Exxon’s climate lies after groundbreaking reports revealed that the corporation knew about climate change for decades, yet poured resources into discrediting their research and sowing doubt among the public. California Attorney General Kamala Harris has also launched an investigation.

“Oil & gas companies are volatile investments. The fact that these companies underperformed both the U.S. and broader global index by more than 25 percent confirms the riskiness of these companies,” Rahul Agrawal, CIO of Equities for Advisor Partners, said. “Portfolio managers should carefully reassess their exposure to these securities before investing in them.”

New York City Comptroller Scott Stringer and Mayor Bill De Blasio have already issued urgent calls for the city’s pension funds to divest from coal. Coal is on its way out, oil prices are plummeting and major fossil fuel companies are filing for bankruptcy, slashing jobs and cancelling projects.

On Wednesday, prominent financial and political figures, including Scott Stringer, will gather at the United Nations for the Investor Summit on Climate Risk hosted by Ceres.

“The prudence of divesting from coal is so legible it is quickly becoming the norm. Oil and gas are on a more asperous decline, making it harder for investors to see the mounting risk associated with the industry. New York City’s pension funds need to divest now, as cautious, long-term investors,” Brett Fleishman, senior analyst with, said.

“With this summit happening right in their backyard, NYC’s comptroller and pension fund managers must communicate exactly what they’re doing to incorporate ever-increasing climate risk mitigation and to protect the future of New York City’s workers.”

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 28, 2016, 03:51:30 pm

Hess slashes 2016 E&P budget by 20 percent   (

Staff Writers  January 28, 2016   

Hess slashed its 2016 exploration and production capital and exploratory budget by 20 percent on Tuesday, citing low oil prices.

The New York-based company now plans to spend $2.4 billion on exploration and production activities this year, a 40 percent reduction   (  ;D from 2015 levels and about 20 percent below the company’s preliminary 2016 guidance.

Twenty percent of the budget, or $470 million, has been allocated for unconventional shale, $610 million, or 25 percent of the budget, has been allocated for production and $820 million, or 34 percent of the spend, has been allocated to developments. 

Hess also earmarked $500 million, or 21 percent of its 2016 budget, for exploration and appraisal activities.

As part of the company’s unconventional spend, Hess has earmarked $425 million to operate two rigs and bring 80 new wells online in the Bakken shale play in North Dakota.

The company will also spend $45 million to drill five wells and bring 14 new wells online in the Utica shale play in Ohio during the first quarter of 2016.

Hess added that the rig will be released after the Utica wells are complete.  ;D

Just over half of the production budget will go towards production activities in the deepwater Gulf of Mexico, including the drilling and completion of a production well and completion of a water injection well at the Tubular Bells field, a production well at the Conger Field and a water injection well at the Shenzi field.

Hess holds a 57.1 percent operating stake in Tubular Bells, a 37.5 percent operating stake at the Conger field and a 28 percent stake at Shenzi.

The company has allocated $140 million of its production budget to complete the current stage of the Phase 3 drilling campaign at its operated South Arne Field in Denmark by the end of the first quarter and for operations at the BP operated Valhall Field in Norway.

As part of its exploration and appraisal budget, Hess plans to spend $250 million to drill up to four wells on the Stabroek Block in offshore Guyana that include evaluating the Liza discovery, a drill stem test and additional exploration activities.

The company also plans to spend $175 million for drilling in the deepwater Gulf of Mexico including an appraisal well to delineate the Chevron operated Sicily discovery, an exploration well at the ConocoPhillips operated Melmar prospect, a large Paleogene four way structure in the Perdido Fold Belt, and other exploration activities

The majority of the overall budget has been allocated to activities in the United States    ( ( , with that region receiving $1.4 billion.

The company plans to spend $140 million in Europe, $40 million in Africa and $820 million in Asia and other regions.

Hess’s net production is forecast to average between 330,000 and 350,000 barrels of oil equivalent per day this year, unchanged from the company’s preliminary guidance issued in October. (

The company’s Bakken net production is forecast to average between 95,000 and 105,000 barrels of oil equivalent per day in 2016.

“We take a long term view   ( to managing our business and we will continue to invest in our growth projects and prospects, including exploration and appraisal activities. (

However, in response to the current low oil price environment, we have significantly decreased our 2016 capital and exploratory expenditures and we plan to reduce activity at all of our producing assets,” Hess president and COO Greg Hill said.

Hill added that the company will “continue to pursue further cost reductions and efficiency gains across our portfolio.”
(  (


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on January 29, 2016, 08:17:50 pm

And now a summary of the latest news from the fossil fuel polluting Welfare Queens worldwide.  (

Halliburton posts $28 million Q4 loss

Petrobras cutting management staff by 30 percent

Hess slashes 2016 E&P budget by 20 percent

Keppel: Sete Brasil hasn’t paid us for over a year

Dong Energy writing down E&P arm by $2.3 billion (  (


Denmark-based Dong Energy warned on Tuesday that it will write down the value of its upstream arm by just over $2 billion, citing low oil prices and reduced reserves.

Agelbert NOTE: ANY reduction in UPSTREAM pollution piggery is good news for the biosphere.

Upstream_(petroleum_industry): The oil and gas industry is usually divided into three major sectors: upstream, midstream and downstream. The upstream oil sector is also commonly known as the exploration and production (E&P) sector.[1][2] (

Meanwhile, TEXANS keep LITERALLY dying on behalf of the fossil fuel industry "business model". Perhaps the fossil fuelers like MKing should stop referring to the oil industry workers as the "salt of the earth". SUCKERS for Big OIL is more like it.   (  (

Texas man killed in pipeline construction accident


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 02, 2016, 06:19:21 pm

Chevron slides to $558 million Q4 loss

Staff Writers  February 1, 2016   
Chevron reported a $588 million fourth quarter loss on Friday as low oil prices weighed on upstream earnings.

The company reported a loss of $588 million, or $0.31 per diluted share, for the fourth quarter of 2015, down significantly from earnings of $3.5 billion in the fourth quarter of 2014.

Full year 2015 earnings fell to $4.6 billion, or $2.45 per diluted share, down from $19.2 billion, or $10.14 per diluted share, in 2014.

Sales and other operating revenues in the fourth quarter of 2015 were $28 billion, compared to $42 billion in the year-ago period.

The company’s upstream segment slid to a $1.36 billion loss in the fourth quarter, down from earnings of $2.67 billion in the prior year quarter.

The upstream segment posted a loss of $1.96 billion for the full year of 2015, a significant drop from $16.89 billion in earnings reported in 2014.

Low oil prices and higher exploration costs dragged the company’s U.S. upstream operations to a $1.95 billion loss in fourth quarter 2015, down from earnings of $432 million a year earlier.

Weak crude prices also weighed on Chevron’s international upstream operations with the area posting $593 million in fourth quarter earnings compared with $2.24 billion in the fourth quarter of 2014.

The company’s average sales price per barrel of crude oil and natural gas liquids was $35 in fourth quarter 2015, down from $66 a year ago.

Chevron’s downstream segment fared better with full year earnings of $7.6 billion, up from $4.33 billion in 2014, and fourth quarter earnings of $1.01 billion, down from $1.51 billion in the fourth quarter of 2014.

International downstream operations earned $515 million in fourth quarter of 2015, down from $629 million during the same period in 2014.

U.S. downstream earnings fell to $496 million in fourth quarter 2015 from $889 million a year earlier, primarily due to “to the absence of 2014 gains on asset sales,” Chevron said.

Fourth quarter earnings tied to all other activities came it at a $238 million loss, up from a $720 million loss in the prior year quarter, and a full year loss of $1.05 billion compared to a loss of $1.98 billion in 2014.

Chevron earned $6 billion in proceeds from asset sales in 2015 and has said it has planned further sales for 2016 to 2017.

Net charges in fourth quarter 2015 were $238 million, compared with $720 million in the year-ago period.

Chairman and CEO John Watson said he expects cuts to operating expenses and capital spending on par with the $9 billion the company slashed from its 2015 spend compared to the  previous year.

Watson said that the company added about 1.02 billion barrels of net oil equivalent proved reserves in 2015.

The additions, still subject to final reviews, equate to about 107 percent of the company’s net oil-equivalent production for the year.

The largest additions were from production entitlement effects in several locations and drilling results for the Permian Basin in the United States and the Wheatstone Project in Australia.

At year-end, balances of cash, cash equivalents, time deposits and marketable securities totaled $11.3 billion, a decrease of $1.9 billion from the end of 2014.

Total debt as of December 31, 2015 stood at $38.6 billion, an increase of $10.8 billion from a year earlier.

Chevron’s worldwide net oil-equivalent production was 2.67 million barrels per day in fourth quarter 2015, up from 2.58 million barrels per day in the 2014 fourth quarter.

Capital and exploratory expenditures in 2015 were $34 billion, down from $40.3 billion in 2014.

Expenditures for upstream represented 92 percent of the companywide total in 2015, Chevron said.

“Our 2015 earnings were down significantly from the previous year, reflecting a nearly 50 percent year-on-year decline in crude oil prices.

We’re taking significant action to improve earnings and cash flow in this low price environment,”  Watson said.  ( (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 04, 2016, 04:08:22 pm
( Feb 1, 2016 Authors Amory B. Lovins   ( Chief Scientist

As Oil Prices Gyrate  (, Underlying Trends Are Shifting To Oil's Disadvantage  (


Why should equity markets tank when oil prices do? Beats me  ;D. Among many sources of jitters, this shouldn’t be a big one (though The Economist demurs). When oil prices fall 70+ percent, oil companies and their lenders and investors suffer, so do oil-dependent communities, but oil users (far more numerous) rejoice and respend. The net macroeconomic effect sounds as positive as the middle-class tax cut that it effectively is — the OPEC-monopoly-rent tax that Congress has long seemed determined to pay to the Saudis rather than to the Treasury, finally if accidentally being respent at home.

Surely investors understand — don’t they? — that oil is a commodity. As I explained elsewhere, oil prices go down because they went up before, and they go up because they went down before.

Get used to it.  ( Commodities do that; it’s their job. If you don’t like it, don’t buy them. Buy constant-price, and usually cheaper, efficiency and renewables instead, as the national and global market is doing. Then you can avoid loop-the-loop roller-coaster rides and get your energy services cheaper, cleaner, and more reliably.


( who claimed low oil prices would crash renewables (other than biofuels) were wrong. (

Those who claimed low oil prices would crash renewables (other than biofuels) were wrong. The reason is simple. Wind and solar power make electricity. Oil makes less than four percent of world and under one percent of U.S. electricity, so oil has almost nothing to do with electricity. Thus in 2015, as oil prices kept skidding, global additions of renewable power set a new record, adding about 121 GW of wind and solar power alone. Renewables’ $329 billion investment was up 4% from 2014, says Bloomberg New Energy Finance (which tracks each transaction), but it added 30 percent more capacity because renewables got much cheaper. Solar power is booming even in the Persian Gulf, where it beats $20 oil.

Natural gas does compete with solar and windpower, and its price tends to move with oil’s, but cheaper gas doesn’t much affect renewable power either. That’s because new wind and solar power often beat even the operating costs of the most efficient gas-fired power plants anyway, even without counting the market value of gas’s price volatility. (

Yet as oil prices gyrate, it’s important to understand that underlying trends are shifting too, to oil’s disadvantage.  ( It’s happened before. In the 1850s, whalers—America’s fifth-largest industry—were astounded to run out of customers before they ran out of whales. Over five-sixths of their dominant market (lighting) vanished to competitors—oil and gas both synthesized from coal—in the nine years before Drake struck “rock oil” (petroleum) in Pennsylvania in 1859. Two decades later, Edison’s electric lamp beat whale oil, coal oil, town gas, and John D. Rockefeller’s lighting kerosene. Today in turn, most  traditional lighting is being displaced by white LEDs, which each decade get 30x more efficient, 20x brighter, and 10x cheaper. By 2020 they should own about two-thirds of the world’s general lighting market.

Agelbert NOTE: Not mentioned by Lovins, and adding to his argument  ;D, is the fact that the tax on ethanol, either for drinking or use as fuel for lighting, post Civil War made kerosene "cheaper" by Law, NOT because it was cheaper to produce. THAT was a huge factor in getting Rockefeller the fortune he used to corrupt our government on behalf of fossil fuels.

LEDs inside-out are PVs—photovoltaics, turning light into electricity. PVs often, and very soon generally, beat just the fossil-fuel cost of running traditional power plants. PVs are now less capital-intensive than Arctic oil, not counting the ability to use electrons more effectively than molecules. Costly frontier hydrocarbons like Arctic oil can’t sell for a high enough price to repay their costs. Their revenue model has been upside-down for years. Had Shell persevered instead of abandoning its $7-billion Arctic investment, and had it found oil, it wouldn’t have won durable profits.

Oil companies since 1860 and electric utilities since 1892 have sold energy commodities—molecules or electrons—rather than the services customers want, such as illumination, mobility, hot showers, and cold beer. This business model means that when customers use the energy commodity more efficiently to produce the service they want, the provider loses revenue, not cost. That’s bad for both electric utilities and hydrocarbon companies, because most (and for oil, ultimately all) of the commodity they sell can be displaced by far cheaper energy productivity.

That displacement is already well underway. ( Renewable electricity merits and gets lots of headlines, but in 2014 it raised U.S. energy supplies only a third as much as the energy saved in the same year by greater efficiency.

Over the past 40 years, Americans have saved 31 times as much energy as renewables added. Those cumulative savings are equivalent to 21 years’ current energy use. They’re simply invisible: you can’t see the energy you don’t use. But globally, it’s a bigger “supply” than oil, and inexorably, it’s going to get much, much bigger.

Oil companies worry about climate regulation, but they’re even more at risk from market competition. The oil that’ll be unburnable for climate reasons is probably less than the oil that’ll be unsellable because efficiency and renewables can do the same job cheaper. An oil business that sputters when oil’s at $90 a barrel, swoons at $50, and dies at $30 will not do well against the $25 cost of getting U.S. mobility—or anyone else’s, since the technologies are fungible—completely off oil by 2050. That cost, like the $18 per saved barrel to make U.S. automobiles uncompromised, attractive, cost-effective, and oil-free, is a 2010–11 analytic result; today’s costs are even lower and continue to fall.

In short, like whale oil in the 1850s, oil is becoming uncompetitive even at low prices ( before it became unavailable even at high prices.  (

Today’s oil glut, we hear, is caused by fracking, a bit by Canadian tar sands, and most of all by the Saudis’ awkward (though impeccably logical  ;D) unwillingness to give up their market share to higher-cost competitors. But less noticed, and equally important, is that demand has not lived up to irrationally exuberant forecasts.

Gasoline demand has trended down in the U.S. for the past eight years and in Europe for the past ten, for fundamental and durable reasons of technology, urban form, shifting values, and superior ways to get mobility and access. Suppliers have invested to supply more oil than customers want to buy. Had crimped budgets not curtailed investment budgets, oil companies would still be building pre-stranded production assets as fast as they could.

As frontier oil becomes costlier while accelerating demand-side innovations spread from rich to developing countries, led by China, oil companies face discouraging fundamentals. They’re stuck with the least attractive 6% of global reserves while parastatals keep the rest, and even that last 6% can be confiscated or taxed away at any time. Oil companies are price takers in a volatile market. They’re extraordinarily capital-intensive. They have decadal lead times. They have high technical, geological, and political risks. They’re politically fraught and interfered with; some firms have also suffered self-inflicted reputational damage that sullies the rest. Oil companies’ shrinking reserves and geographies force them into riskier and costlier projects while investors demand lower risk and higher return. Their service companies have turned into formidable competitors. Their permanent subsidies are coming under scrutiny and pressure (  Most of the reserves underpinning their balance sheets are unburnable or unsellable or both—far costlier than demand-side competitors, even at today’s oil prices, and increasingly challenged even on the supply side—so financial regulators are sniffing around mark-to-market.

What a recipe for headaches! Why be in a business like that? ( With mature provinces in decline and fiercely contested, prices volatile, ingenuity strained, exploration pushed to the ends of the earth at spiraling cost and risk, and unforeseen competitors inexorably taking away demand, should hydrocarbon companies ignore, deny, resist, diversify, hedge, finance, transform, or decline? That strategic choice is stark, tough, and increasingly urgent.

And that’s before we add oil’s volatile geopolitics—focused chiefly on the world’s most unstable and dangerous region where a Rubik’s Cube of ancient feuds ensures that, as one expert famously taught, “However bad things are in the Middle East, they can always get worse.”

One troubling scenario concerns the brittleness of Saudi Arabia’s vital 10 million barrels of oil per day—5–10 times the world oil market’s surplus. Most Saudi oil flows through terminals at Ras Tanura and Ju‘aymah and through the Abqaiq processing plant (which al Qa‘eda tried to attack a decade ago and then planned to fly hijacked planes into). These highly concentrated facilities have also been attacked, so far ineffectually. It could take decades to fix damaged key components.

Who might want to do that? Da‘ish or al Qa‘eda would win a twofer: damaging Western economies and toppling the Saudi monarchy (whose export of intolerant Wahhabist ideology, ironically, inspired jihadism in the first place). Oil exporters severely damaged by low oil prices, such as bystanders Nigeria and Venezuela, lack capability to limit Saudi output. But two very interested neighbors might not.

Iran is right across the Gulf, with two big airbases a quarter-hour’s flight from the Saudi oil chokepoints. Iran is a bitter rival, the opposite pole of the tense Shi‘a-Sunni axis, and influential with the disaffected Shi‘a population that predominates in the eastern Saudi region around the main oilfields. Iran is currently in a tiff with the Saudi leadership. Its versatile and creative military and paramilitary forces and proxies don’t not always seem under full political control. Reentering the oil market with the lifting of nuclear sanctions, Iran would like to earn more money per barrel.

Also now active in the neighborhood is militarily formidable Russia—the world leader in secret, disguised, and proxy warfare *. President Putin’s impressive ability to retain power by seeming to protect the Russian people from crises he manufactures cannot work without a viable domestic economy. At today’s oil price, Russia is likely to deplete its stability funds this year and its foreign reserves by about next year, so Mr. Putin may see a much higher oil price (plus lifted Ukraine sanctions) as an existential necessity.

*Agelbert NOTE: I disagree with Lovins that Russia is the "world leader in secret, disguised, and proxy warfare". Russia is WAY BEHIND "our" (see U.S. oligarchs) M.I.C. in that regard.

Ras Tanura and Saudi Aramco have weathered cyberattacks. (Both Iran and Russia have lately cyberattacked their neighbors—Turkey and Ukraine respectively.) There are also many options for physical attack, some hard to forestall. So far, Saudi forces have defeated both cyber- and physical attacks on key oil facilities. But attackers need succeed only once, and they could be highly motivated.

A successful attack, strangling Saudi oil output for years (and then repeatable), could make oil prices soar more than they’ve plunged. Massive global inventories could help cushion the blow, efficiency and renewables could be surged, behaviors would change, but most of 10 million at-risk barrels per day lack ready replacements. Now, that could justify a skittish Dow.

All the more reason to buy efficiency and renewables instead of oil. We’ll profit more and sleep better. (

This article originally appeared on

Photo courtesy of IrenicRhonda via Flickr, Creative Commons license (CC BY-NC-ND 2.0).
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 05, 2016, 08:42:49 pm

Anadarko Petroleum posts $1.25 billion Q4 loss

Staff Writers  February 5, 2016   

Texas-based Anadarko Petroleum
said Tuesday that it may cut its 2016 budget by 50 percent after reporting a $1.25 billion fourth quarter net loss.

The company reported a fourth quarter net loss attributable to common stockholders of $1.250 billion, or $2.45 per diluted share,  including certain items typically excluded by the investment community in published estimates.

Anadarko said these items increased the net loss by $954 million on an after-tax basis.

The company reported a net loss attributable to common stockholders of $6.69 billion for the full year of 2015, or $13.18 per diluted share.

Cash flow from operating activities in the fourth quarter of 2015 was $257 million and discretionary cash flow totaled $810 million.

Full-year 2015 net cash used in operating activities was $1.877 billion and discretionary cash flow for the year totaled $4.657 billion.

Anadarko chairman, president and CEO Al Walker said the company anticipates recommending an initial 2016 budget of $2.8 billion to its board, nearly 50 percent lower than its actual 2015 capital investments and almost 70 percent lower than its 2014 spend.

“As we consider capital allocation for 2016, greater market dislocation appears likely, and the need to again materially lower our capital spending, while continuing to pursue value creation and  preservation, is our best course of action,” Walker said.

Walker added that the company reduced its spending in 2015 by more than $3 billion year-over-year, down nearly 40 percent from 2014.

Anadarko’s full-year sales volumes of crude oil, natural gas and natural gas liquids totaled 305 million barrels of oil equivalent (boe), or an average of 836,000 boe per day.

Fourth quarter 2015 sales volumes of crude oil, natural gas and NGLs averaged  779,000 boe per day.

Anadarko said it organically added 407 million boe of proved reserves in 2015 before the effects of price revisions and incurred oil and natural gas exploration and development costs of $5.8 billion.

The company estimates its proved reserves as of the end of 2015 totaled  2.06 billion boe, with nearly 80 percent of its reserves categorized as proved developed.

At year-end 2015, Anadarko’s proved reserves were comprised of 52 percent liquids and 48 percent natural gas.

Anadarko said it ended 2015 with $939 million of cash on hand, an amount that reflects remittance of the $5.2 billion final payment resolving the Tronox Adversary Proceeding.

“As discussed last year at this time, we did not expect oil prices to recover in 2015 and believed it could take well into 2016 before markets would stabilize on a sustained basis, costs would become more aligned with the new operating environment and investments in short-cycle assets would be more attractive. Therefore, value enhancement drove our capital-allocation philosophy,” Walker said.

(    (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 05, 2016, 09:58:32 pm
A Renewables Revolution Is Toppling the Dominance of Fossil Fuels in U.S. Power  (

February 4, 2016 — 12:01 AM EST Updated on February 4, 2016 — 4:59 PM EST

Renewable energy  ( was the biggest source of new power added to U.S. electricity grids last year as falling prices and government incentives made wind and solar increasingly viable alternatives to fossil fuels.

Developers installed 16 gigawatts of clean energy in 2015,
or 68 percent of all new capacity, Bloomberg New Energy Finance said in its Sustainable Energy in America Factbook released Thursday with the Business Council for Sustainable Energy. That was the second straight year that clean power eclipsed fossil fuels.

The biggest growth came from wind farms, with 8.5 gigawatts of new turbines installed as developers sought to take advantage of a federal tax credit that was due to expire at the end of 2016; Congress extended it in December.

This is a long-term trend,” said Colleen Regan, a BNEF analyst who follows North American power markets. “System costs have really come down for renewables, which makes the case for installing them a lot stronger.”

Demand for energy, meanwhile, flatlined in the U.S. last year, holding steady even as the gross domestic product grew 2.4 percent, BNEF said. Since 2007, U.S. energy consumption has dropped 2.4 percent while GDP has grown by 10 percent.

U.S. clean-energy investments rose to $56 billion last year, up 7.5 percent from 2014. The majority, $30.2 billion, went to solar. Investors pumped $11.6 billion into wind energy and $11.1 billion into technology to improve grids, boost efficiency, develop storage systems and other ways to better manage power usage.

Power from natural gas-fired plants accounted for 25 percent of capacity added to grids last year.  >:( Nearly one third of all electricity in the U.S. is now generated by gas, putting it nearly on par with coal.

A record number of coal plants were shuttered in 2015, with 11 gigawatts of capacity coming off line by the end of October, and plants with another 3 gigawatts of capacity expected to close in November and December. Natural gas, meanwhile, continues to surge.

“It looks good for gas to be a larger share of electricity generation than coal in 2016,” Regan said.

Agelbert NOTE: While getting rid of coal is important, the gas that should supplant it is NOT fracked gas, which is almost as polluting as coal, when all the flaring damage and ground water pollution damage is figured in. Fracked Natural gas is an OBSCENITY! (  (

COW POWER is the ONLY kind of TRULY NATURAL GAS that should be used for whatever in our society:


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 10, 2016, 08:30:39 pm
What may doom human society to climate change death by profit over planet is, uh, see video below...( and Spring activties/sterb038.gif~c100)

Thanks for sharing


You are welcome.   (

Check this out. It seems the DEMAND DESTRUCTION for oil continues despite the low prices.   (     (

EIA: U.S. crude inventories above 500 million barrels for first time ever  :o  ;D
Staff Writers  February 10, 2016   
U.S. crude inventories rose above 500 million barrels for the first time ever last week after a larger than expected gain.

According to the U.S. Energy Information Administration, total U.S. commercial crude oil inventories were 502.7 million barrels as of January 29 after adding 7.8 million barrels.

U.S. crude inventories now stand at 132 million barrels above the five-year average.

The crude stock jump also marks the first time that U.S. inventories have exceeded 500 million barrels, the EIA said.

Crude inventories at Cushing, Oklahoma, the delivery point for the West Texas Intermediate futures contract traded on the New York Mercantile Exchange, stood at 64.17 million barrels last week, or 58 percent above the five-year average.

Total U.S. distillate inventories, including heating oil and diesel fuel, are now 22 million barrels above the five-year average at 159.69 million barrels.

U.S. motor gasoline inventories also passed historical highs last week after growing by 5.9 million barrels to 254.4 million barrels and now sit “well above the upper limit of the average range,” the EIA said.

Net crude oil imports climbed to about 7.51 million barrels as of January 29, up from 6.93 million during the same period last year.

The EIA added that, despite the supply gut, there “is still traditional, on-land storage space available  ;)” and there has been no information  ;) to indicate that “widespread amounts of crude oil are being purchased for floating storage.”    ( (



West Texas Intermediate was trading at $33.13 per barrel near noon on Thursday as a weakening U.S. dollar helped offset concerns about growing inventories.  ( (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 11, 2016, 02:42:10 pm
Coalition airstrike destroys Islamic State oil and gas plant in Syria (with video)

The Combined Joint Task Force released two videos on Wednesday showing a coalition airstrike destroying an oil and gas plant in Syria controlled by Islamic State.

The black-and-white videos shows aerial footage of a Combined Joint Task Force airstrikes destroying the Daesh gas and oil plant near Dayr Az Zawr, Syria on February 2.

The strike was intended to “disrupt and destroy” illicit oil production at the plant, according to the video.

The attack was just one of four airstrikes conducted against ISIL by coalition forces in Syria on February 2, according to the Combined Joint Task Force.

The strikes were conducted as part of Operation Inherent Resolve, the coalition’s operation to eliminate the ISIL in Iraq, Syria and the wider international community.

The Combined Joint Task Force has estimated that Islamic State earns about two-thirds of its revenues through oil production, Business Insider said.

Although it’s difficult to determine exactly how much oil IS produces, the group was believed to control at least 60 percent of Syria’s production capacity in late 2015, according to CNBC.

Syrian oil production has “essentially ceased”  ;) since ISIS and its affiliates began taking over the country’s oilfields in 2014, according to the U.S. Energy Information Administration.

Agelbert NOTE:
I guess the worldwide oil glut (EIA: U.S. crude inventories above 500 million barrels for first time ever.) threatening the profits of the "coalition" has nothing to do with destroying facilities that were known to the "coalition" OVER A YEAR AGO when they just could not find, for some reason, these facilities until the Russians began "taking care of business".


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 11, 2016, 03:42:36 pm
Newz Flash.  This isn't the early 90s, its a quarter century later.

Correct. The 90's in the oil business was after a worse crash, dating back to 1986. (

In a few years, when the boomers are shaken out, debt recycled through the bankruptcy courts, when the dead weight workers have moved on to window and car sales, and the existing production taken over by those who know how to do the business when it is work, hard, day in and day out, work, THEN it will be like the 90's. (

We haven't even hit the big shake out/bankruptcy/mergers phase yet.


Hey MKing, in the 1980's, low oil prices crashed renewables. YOU have been predicting REPEATEDLY here that the SAME "supply and demand" mechanism will work for your oil pig pals again today. You are wrong. Amory Lovins is right.

( who claimed low oil prices would crash renewables (other than biofuels) were wrong. (

Oil companies since 1860 and electric utilities since 1892 have sold energy commodities—molecules or electrons—rather than the services customers want, such as illumination, mobility, hot showers, and cold beer. This business model means that when customers use the energy commodity more efficiently to produce the service they want, the provider loses revenue, not cost. That’s bad for both electric utilities and hydrocarbon companies, because most (and for oil, ultimately all) of the commodity they sell can be displaced by far cheaper energy productivity.

Over the past 40 years, Americans have saved 31 times as much energy as renewables added. Those cumulative savings are equivalent to 21 years’ current energy use. They’re simply invisible: you can’t see the energy you don’t use. But globally, it’s a bigger “supply” than oil, and inexorably, it’s going to get much, much bigger.

Oil companies worry about climate regulation, but they’re even more at risk from market competition. The oil that’ll be unburnable for climate reasons is probably less than the oil that’ll be unsellable because efficiency and renewables can do the same job cheaper. An oil business that sputters when oil’s at $90 a barrel, swoons at $50, and dies at $30 will not do well against the $25 cost of getting U.S. mobility—or anyone else’s, since the technologies are fungible—completely off oil by 2050. That cost, like the $18 per saved barrel to make U.S. automobiles uncompromised, attractive, cost-effective, and oil-free, is a 2010–11 analytic result; today’s costs are even lower and continue to fall.

In short, like whale oil in the 1850s, oil is becoming uncompetitive even at low prices ( before it became unavailable even at high prices.    ;D (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 12, 2016, 08:13:16 pm
Maersk Drilling Sees Rig Overcapacity Lasting for ‘Foreseeable Future’  ;D

February 11, 2016 by Reuters
OSLO, Feb 11 (Reuters) – As much as one third of the global offshore fleet of oil drilling rigs could be idled in 2016 as energy firms scale back investments on the back of weak crude prices, the head of Danish conglomerate A.P. Moller-Maersk’s rig unit said on Thursday.

“I would probably estimate that we have in 2016 between 25 percent to one third of the fleet suffering from idle times,” Maersk Drilling Chief Executive Claus Hemmingsen told Reuters.

“The current outlook for the oil companies bringing new projects to the market is very uncertain and not very optimistic … there will be oversupply in the foreseeable future,” he added.

Shares of some independent rig owners such as Norway’s Seadrill have dropped by more than 90 percent in the last two years as the price of crude plunged by around three quarters.

(Reporting by Ole Petter Skonnord, writing by Terje Solsvik, editing by Gwladys Fouche)
(c) Copyright Thomson Reuters 2016.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 12, 2016, 08:23:38 pm
IEA: Crude supply, demand gap widening in 2016     (    (


The International Energy Agency said Tuesday that it expects the gap between global crude supply and demand to widen further this year as OPEC continues to ramp up production.

The IEA said in its February Oil Market Report that it expects global oil demand growth to “ease back considerably” this year to 1.2 million barrels per day, down from a five-year high of 1.6 million bpd in 2015.

The decline is primarily driven by slowing demand in Europe, China and the United States.

Agelbert Note: Yes Virginia there is a MAD SCAMBLE  ( going on among oil pigs  ( to contract floating storage, no matter what you may have heard to the contrary.  ;)
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 12, 2016, 10:21:28 pm

U.S rig count plummets by 48 in big fall

Staff Writers  February 11, 2016   
The U.S. rig count plummeted by 48 rigs last week, one of the largest weekly declines since the rig count began falling in late 2014.

According to Baker Hughes, the number of oil and gas rigs fell to 571 rigs as of February 5 after shedding 48 rigs, a significant drop from the 1,456 rigs operating during the same week last year.

The majority of the decline was tied to a 37 rig drop in the oil rig count that pushed the number of U.S. oil rigs down to 467 from 1,140 rigs a year ago.

The U.S. gas rig count fell to 104 after losing 17 rigs while the horizontal rig count sank by 29 to 458 rigs compared to 1,088 rigs last year.

The directional drill count dropped by five rigs to 53 and the vertical rig count slid down by 14 to 60 rigs.

Texas once again posted the largest rig count drop of any major state after losing 19 rigs last week, with four of those rigs drops coming from the Eagle Ford basin and two rigs being dropped in the Permian Basin.

Oklahoma posted an eight rig loss and Louisiana lost five rigs last week.

Drillers in Pennsylvania shed three rigs while North Dakota, Utah and Wyoming each lost two rigs.

Ohio booked a one rig loss last week.

Rig counts in Alaska, Arkansas, California, Colorado, Kansas, New Mexico and West Virginia held steady from the previous week.

The Williston Basin, home of the Bakken shale play, saw its rig count fall to 42 after a two rig drop, a significant decline from the 137 rigs operating in the basin last year.

The Marcellus Basin lost three rigs last week and the Utica Basin shed one rig.

The Gulf of Mexico saw its rig count slide down to 26 rigs after a two rig loss.

Canada’s rig count jumped to 242 rigs after adding six gas rigs and five oil rigs but was still shy of the 381 rigs drilling in the same week of last year.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 15, 2016, 02:48:51 pm
Warning to Fossil Fuel Investors: Coal and LNG Markets Shrinking Due to Competition From Renewables (

Paul Brown, Climate News Network | February 15, 2016 10:39 am

Investors in fossil fuels are being warned that they may risk losing their money, because the markets for coal and liquefied natural gas are disappearing.

In both cases it is competition from renewables, principally wind and solar power, that is being blamed for the threat. The cost of electricity from renewables continues to fall in Europe and Asia as the numbers of wind and solar installations grow in both continents, cutting demand for imported gas and coal.

Two separate reports on coal and gas were published at the same time as a round of annual financial reports from oil companies showed that this third fossil fuel could be in serious trouble too.

Despite massive cutbacks on exploration and development, companies like Shell and BP still need a price of US$60 a barrel by the end of this year if they are to break even on many of their current projects—almost double the current market price.   

Long Lead-Time

Overproduction of coal, gas and oil spells trouble for investors in mines, pipelines, ports and the other infrastructure needed to transport fossil fuels round the globe. The cost of development requires a long lifetime for the equipment and a high long-term guaranteed price for the fuels if investors are to get their money back.

The first report, Stranded Assets and Thermal Coal, found that Australian and U.S. coal assets were the most vulnerable. Australian mines were particularly at risk because of their heavy reliance on exporting coal to markets that were rapidly shrinking.

Australia exports three times as much coal as it consumes locally, but two of the world’s largest markets for coal, India and China, are cutting imports. India’s imports fell by 34 percent last year and China’s by 31 percent. Australia’s mines were also seen as high-risk because of environmental regulations and the widespread opposition to their development.

U.S. coal assets were risky because of competition from cheap gas for the same markets. This meant exporting coal and competing in a world market where there is already a significant surplus.

In the Dark (   (

The report said company statements made it clear that investors were not being given the full picture of the risks from environmental regulation and policy.

Many countries pledged in the Paris agreement reached last December to cut their coal use. If these pledges were kept, the report said, then much of the coal currently shown as an asset would have to be left in the ground.

A separate report, on liquefied petroleum gas (LPG), also raises the possibility that investors may lose their money.
The trade is based on the fact that gas is cheap in the U.S. and expensive in Europe, so the expense of liquefying it and transporting it to Europe is offset. Large investments are being made in the pipelines, ships and ports required to transport it.

There are two problems outlined in the report, LNG and Renewable Power. The first is that the price of gas, which is tied to that of oil, has dropped in Europe, squeezing the margins of the companies that are spending large sums setting up the supply line.

No Recovery  (   (

The second is that the market for gas is itself shrinking as the output of the solar panels and wind farms increases. Unless gas investors can see a long-term return from a stable market they will not make a profit and LPG becomes high-risk.

Predictions on the future of fossil fuel investments all hinge on the price of oil. With big oil companies—and many countries—needing the current price to double to more than $60 a barrel to break even on their current investments. Everybody in the business believes it is only a matter of time before prices double again.

Paul Spedding, former global co-head of oil and gas research at HSBC, an adviser to Carbon Tracker, said he believes the price of oil may never recover ( ( Structural changes in the energy markets, more efficient electric cars, batteries and hybrid solutions no longer favor oil. The European Union for example is already reducing its demand by 1.5 percent a year.

Similar drops can be expected elsewhere as governments strive to meet their targets under the Paris agreement. If that happens, an oil surplus will become the new normal and investors in major oil companies will face a difficult future.  ;D

Agelbert Comment: Of course. It is refreshing to see that more and more people can add and subtract properly. Fossil fuel industries are Welfare Queens that have been propped up by subsidies. Renewable energy technologies would have eaten them alive long ago if the subsidies weren't keeping them from going bankrupt while they continue to pollute the biosphere. We need fossil fuels like a metastatic cancer.

Renewable is the cheaper energy option without fossil fuel and hidden nuclear subsidies. (

The Smart Money Is Going Green (

For you investors in fossil fuels that are losing your arse, all is not lost. Oil Rigs and infrastructure provide GREAT SCRAP IRON PROFIT opportunities.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 17, 2016, 08:51:37 pm
Shake up at the top: Mexico president fires Pemex CEO, appoints cost cutter

Staff Writers  February 17, 2016   

Mexican president Enrique Pena Nieto fired Pemex CEO Emilio Lozoya on Monday as part of an effort to overhaul the state-owned oil company.

According to Reuters, Lozoya will be replaced by Jose Antonio Gonzalez, who has served as the director of Mexico’s Social Security Institute since 2012.

Gonzalez is planning to trim costs at the company as part of a broader effort to cut government spending that is being spearheaded by finance secretary Luis Videgaray, the Agencia EFE said.

Gonzalez said that he plans to meet with union representatives to discuss possible cost cuts and added that a cost cutting plan may “not necessarily” have to include job cuts.

According to Forbes, Pemex has seen its oil production dip 12 percent from 2012 to 2015 while its net debt skyrocketed from $6.1 billion to $15 billion during the same period.

Pemex booked a $20.75 billion net loss for the first nine months of 2015, a 138 percent jump over the same period in 2014, EFE said.

The company has also dealt with a string of deadly accidents at its production and refinery facilities over the last year.

Earlier this week, three workers were killed and at least seven others were injured after a blaze broke out on the Abkatun A Permanente processing platform in the Bay of Campeche, less than a year after seven people died during a fire at the same platform.

Two workers died when a platform leg collapsed during maintenance work at the company’s shallow water Abkatun-Pol-Chuc oil field in the Bay of Campeche last May, just about six months after a fire at the Pemex operated Lazaro Cardenas refinery in Minatitlan killed five workers.

Pemex is also contending with new private and international competition after Mexico’s government agreed in August to open up the country’s energy sector to private investment, ending the company’s 75 year monopoly.

However, the country’s first ever oil and gas block auction for private and foreign investors was met with little enthusiasm in July, with only two of the 14 blocks on offer being picked up.   (

The government is hoping that tweaks to its tender contracts help attract more interest in its blocks.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 17, 2016, 09:06:18 pm
Saudi Arabia, Russia agree to production freeze  (  (

Staff Writers  February 16, 2016   
Saudi Arabia and Russia reached a preliminary agreement on Tuesday to hold production at current levels as major oil producers consider ways to alleviate a global oil glut.

According to Reuters, representatives from Saudi Arabia, Russia, Venezuela and Qatar reached the deal after meeting in Doha to discuss possible solutions to low oil prices.

All four countries have agreed to hold output at January levels as part of the preliminary deal.

However, the deal hinges on other producers signing on, a condition that may be complicated by Iran’s push to boost crude exports.

Venezuelan Oil Minister Eulogio Del Pino told reports that he expects further talks to be hosted with Iraqi and Iranian officials later this week.

Saudi Oil Minister Ali al-Naimi said he believes the production freeze would be an adequate measure to support prices and bring supply in line with demand, Reuters said.

“The reason we agreed to a potential freeze of production is simple: it is the beginning of a process which we will assess in the next few months and decide if we need other steps to stabilize and improve the market,” Naimi told reporters.

No timeline for implementing the production freeze has been disclosed yet.   (  (

Iranian representatives were not present
    ( for the Doha discussions and have not indicated that they will cooperate with any production freezes.

Iran is hoping to boost production after striking a deal with Western powers that rolled back crude sanctions that had limited exports to about 1 million barrels per day since 2012.

According to data provided by OPEC, Iran currently produces about 3.11 million barrels of crude per day.  (

Saudi Arabia saw production tick down by 50,000 bpd to 10.1 million bpd in December, marking the ninth consecutive month the oil rich kingdom has pumped over 10 million bpd, according to Platts.

Overall OPEC oil production fell by 130,000 bpd to 32.28 million bpd in December from 32.41 million bpd in November on lower production levels from Iraq, Nigeria and Saudi Arabia.

Production figures for January have not been released yet.

The International Energy Agency said earlier this month that even if OPEC production remains flat it still expects an implied stock build of 2 million bpd in the first quarter of 2016 and a 1.5 million barrel per day build in the second quarter of 2016. (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 18, 2016, 07:55:10 pm
Agelbert NOTE: Centrica is a Fossil Fuel Pig. The sooner they go bankrupt, the better.

UK cuts: Centrica slashing another 3,000 jobs

Nicolas Torres  February 18, 2016   

UK-based Centrica said Wednesday that it will cut another 3,000 jobs as part of a broader cost cutting program.

The company said it will reduce its direct headcount by about 3,000 roles in 2016.

Details about the layoffs have not been disclosed yet.

Those cuts are in addition to the 2,000 role reductions Centrica previously announced.

The layoffs are part of a $1.07 billion cost efficiency program that is on track to be completed by 2020.

Centrica said it expects the program to deliver savings of about $287 million , or £200 million, in 2016 and said it also on track to deliver about $718 million in yearly savings by the end of 2018.

The company reported $1.23 billion in full year adjusted earnings for 2015 on $40.23 billion revenues compared to $1.29 billion in full year adjusted earnings on $42.24 in full year revenues in 2014.

Centrica booked $2.09 billion in full year adjusted operating profit, a 12 percent year over year drop, and an adjusted operating cash flow of $3.23 billion, up 2 percent over the previous year.

Chief executive Iain Conn said the company’s current projections indicate it can “more than balance sources and uses of cash flow out to 2018” at flat real commodity prices of $35 per barrel of Brent oil,  35p/therm UK NBP gas and £35/MWh UK power.

“2015 provided a very challenging environment for Centrica. Commodity prices continued to fall during the year, creating major challenges for our E&P and nuclear power businesses… In addition, the actions we have taken since the start of 2015 on the dividend, capital expenditure and costs mean the Group is robust in this much lower oil and gas price environment,” Conn said.

Conn added that, if low prices persists beyond 2016  (, Centrica has the “flexibility”  ;)  to trim its E&P capital expenditure further to the bottom end of its $574 to $861 million range. (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 18, 2016, 08:45:50 pm
Polluting NONbiodegradable Petroleum Based Plastics REPLACED by Fungi!

This is just one more step in the elimination of fossil fuels from human civilization. ;D
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 18, 2016, 09:12:49 pm
Ocean Rig Has Two More Drilling Rig Contracts Cancelled  (

February 17, 2016 by gCaptain

Deepwater drilling contractor Ocean Rig UDW has announced two drilling contracts held with two separate clients have been terminated, with CEO George Economou calling the early terminations ‘regrettable’ and describing industry prospects as ‘bleak’. (    (

The contracts included one by TOTAL E&P Congo, which on February 11th gave the notice of termination of the long-term contract for the 7th generation ultra-deepwater drillship Ocean Rig Apollo for convenience. Ocean Rig says that, as per the contract, it is entitled to a termination fee that varies from 50% to 90% of the operating daily rate payable over the balance of the contract. The company added that the Ocean Rig Apollo will be demobilized from Congo and is available for rehire.

The second was a contract with Premier Oil, which on February 12th terminated the contract for the ultra-deepwater semisubmersible drilling rig the Eirik Raude operating in the Falkland Islands. Ocean Rig says that it has accepted Premier Oil Plc.’s termination for convenience and is therefor it is entitled to a termination fee of up to $62.9 million or face arbitration. The termination follows Ocean Rig’s announcement dated February 1 that it had receive a notice of breach of material obligations from Premier Oil under the drilling contract for the rig. Ocean Rig said that at the time it was evaluating the contents of the notice and its options under the contract.

The Eirik Raude will demobilize from the Falkland Islands in due course and is available for alternative employment.

George Economou, Chairman and CEO commented:

“It is really regrettable that two of our clients have decided to terminate drilling contracts for convenience. This is a reminder of the extremely challenging times facing the offshore drilling industry and oil companies taking unprecedented action to reduce their capital expenditures. The prospects for the industry remain bleak and we currently see limited prospects of a recovery before 2018 at the earliest.”

Ocean Rig now owns and operates 13 offshore ultra deepwater drilling units, comprising of 2 ultra deepwater semisubmersible drilling rigs and 11 ultra deepwater drillships, including one scheduled to be delivered in 2017, one to be delivered during 2018 and one to be delivered during 2019.

Last month, the Italian oil and gas company ENI terminated its contract for Ocean Rig’s Ocean Rig Olympia after a reassessment of its drilling activities due “dramatic fall of the crude oil price and the volatile market context”.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 23, 2016, 10:27:01 pm

Deloitte: A third of E&P firms at risk of bankruptcy

Staff Writers  February 19, 2016
As many as 175 E&P firms may be vulnerable to bankruptcy as 18 months of low oil prices continues to take a toll on the energy sector, according to a new report by Deloitte.

The report found that nearly 35 percent of pure-play E&Ps listed worldwide, or about 175 companies, are at a “high risk” for insolvency.

Deloitte said that 50 of the firms studied are in a “precarious” financial position due to negative equity or a leverage ratio of above 100, with shares in some of those firms now trading below the $5 mark.

“The probability of these companies slipping into bankruptcy is high in 2016, unless oil prices recover sharply or a large part of their debt is converted into equity or big investors infuse liquidity into these companies,” Deloitte said.

The report added that the “situation is almost equally alarming for about 160 E&P companies, which are less leveraged but cash-flow constrained.”

Thirty-five U.S. E&P firms with a cumulative debt of under $18 billion filed for bankruptcy protection from July 2014 to December 2015.

Although that number is small compared to the 62 firms that filed during the 2008 to 2009 downturn, Deloitte said an increase in filings during the second half of 2015 and lower oil prices could signal a coming wave of bankruptcies.

“Greater access to finance/capital, protection due to hedges at favorable prices, focus on costs after natural gas prices slumped in 2012, and lower capex commitment per shale well have helped E&P companies withstand today’s weak environment, at least until now,” the report said.

As oil prices continue to hover near multi-year lows, those firms that have already sought bankruptcy protection may also find it more difficult to exit restructuring.

While more than 80 percent of U.S. E&P firms that have filed for bankruptcy since July 2014 are still operating under Chapter 11 protection, Deloitte said the majority of those restructuring plans were approved when oil prices were around $55 to $60 per barrel.

With oil prices holding near $30 per barrel and favorably priced hedges expiring, those companies may find it difficult to “meet lenders’ earlier stipulations,” the report said.

Deloitte expects that low prices coupled with expiring hedges will increase “the probability of US E&P company bankruptcies surpassing the Great Recession levels in 2016.”

Tightening credit lines are also expected to put a strain on at-risk firms and has pushed the debt to EBITDA ratio of a “large section of US oil and gas companies” past the typical threshold of six, the report said.

Deloitte said that with a price recovery now expected no earlier than late 2016 and a “looming capital crunch and heightened cash flow volatility” this year is shaping up to be a “period of tough, new financial choices for the industry.”

“Even after 18 months of falling oil prices, pessimism has not bottomed out in the oil and gas industry,”
(  the report said.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 24, 2016, 04:07:10 pm
Canada job cuts: Encana ( slashing half of workforce

Staff Writers  February 24, 2016   
Calgary-based Encana said Wednesday that it will cut 20 percent of its workforce as part of a cost cutting plan.

The company plans to cut 20 percent of its workforce, bringing its total workforce reduction since 2013 to over 50 percent.

Encana has not disclosed how many jobs will be impacted by the cuts or a timeline for the layoffs.

The company expects its cost structure in 2016 to be about $550 million lower than in 2015, with between $200 million and $250 million being new and incremental savings from the company’s previous 2016 guidance.

Encana reported a fourth quarter 2015 cash flow of $383 million, or $0.45 per share, compared to fourth quarter 2014 cash flow of $377 million or $0.51 per share.

Fourth quarter operating earnings increased to $111 million, up from $35 million in the fourth quarter of 2014.

Encana reported a 2015 annual cash flow of $1.4 billion and a 2015 operating loss of $61 million on a full year net loss of $5.2 billion.

The company said (  its full year net loss was largely tied to after-tax non-cash ceiling test impairments of $4.1 billion and a non-operating foreign exchange loss of about $700 million.   

Encana produced 406,800 barrels of oil equivalent per day in the fourth quarter with its four core assets accounting for about 67 percent of total production.

Total liquids production in the fourth quarter jumped 36 percent year-over-year to 145,000 barrels per day.

Full-year 2015 production  averaged 405,900 boe per day with liquids averaging 133,400 bpd, a 54 percent increase from 2014.

Encana’s full-year  natural gas production was 1.635 billion cubic feet per day.

Agelbert NOTE:
Some "minor" costs that are contributing to the future bankruptcy of the biosphere math challenged fossil fuel industry greed worshippers.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 24, 2016, 07:40:13 pm
Goldman Sachs: Nearly half of our oil and gas loans are junk  (

Staff Writers  February 23, 2016   
Nearly half of Goldman Sach’s oil and gas loans are now tied to junk-rated firms, the company said in its annual 10-k filing.

According to Bloomberg, non-investment-grade firms now account for 40 percent of the bank’s loans and lending commitments to oil and gas companies.

Goldman’s loans and lending commitments to junk-rated oil and gas firms are currently worth $4.2 billion, with loans to energy firms rated below investment grade coming in at $1.5 billion along with $2.7 billion related to lending commitments.

The bank’s total credit exposure to oil and gas companies tied to loans and lending commitments was $10.6 billion as of December 2015.

“Significant declines in the price of oil have led to market concerns regarding the creditworthiness of certain companies in the oil and gas industry,” Goldman said in the filing.

Goldman’s credit exposure related to derivatives and receivables with oil and gas companies stood at $1.9 billion as of December, with the bulk of that exposure tied to investment grade firms, according to the filing.

The bank’s total market exposure to oil and gas firms fell to negative $677 million in 2015, down from $805 million a year ago.

Investment-grade issuers or underliers account for the majority of Goldman’s market exposure related to oil and gas companies, the company said.

The extended oil price rout and swelling crude inventories have stoked concerns that the oil and gas sector may be hit by a wave of bankruptcies.

According to a recent report from Deloitte, nearly 35 percent of pure-play E&Ps listed worldwide, or about 175 companies, are at a “high risk” for insolvency.

“The probability of these companies slipping into bankruptcy is high in 2016, unless oil prices recover sharply or a large part of their debt is converted into equity or big investors infuse liquidity into these companies,” Deloitte said.

Low crude prices may also make it more difficult for those firms that have already sought bankruptcy protection to exit restructuring.

Although more than 80 percent of U.S. E&P firms that have filed for bankruptcy since July 2014 are still operating under Chapter 11 protection, Deloitte found that the majority of those restructuring plans were approved ( ( when oil prices were around $55 to $60 per barrel.


Renewable energy= (                                ( Fuelers

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 25, 2016, 06:00:00 pm
Halliburton to slash 5,000 more jobs amid oil slump  (  (

(Reuters) - Oilfield services provider Halliburton Co (HAL.N), pressured by a prolonged slump in crude oil prices, will further slash its workforce by about 8 percent, or by 5,000 jobs, company spokeswoman Emily Mir told Reuters on Thursday.

The more than 70 percent fall in global crude prices since mid-2014 has led to a series of job cuts and additional cost-cutting efforts from several companies including the world's largest oilfield services provider, Schlumberger Ltd (SLB.N).     (  (

Halliburton has already reduced its global headcount by 25 percent, or almost 22,000 employees, since 2014.

The company had about 65,000 employees worldwide at the end of 2015, compared with more than 80,000 at Dec. 31, 2014, according to a regulatory filing.

Halliburton is awaiting regulatory approval for its acquisition of Baker Hughes Inc (BHI.N), and the company said last month it was yet to reach an agreement with U.S. and European regulators about the "adequacy" of proposed divestitures.

Rival Schlumberger laid off 10,000 employees in the last quarter of 2015, taking its total job cuts to 34,000, or 26 percent of its workforce, since November 2014.

Schlumberger Chief Executive Paal Kibsgaard said in January he was "optimistic" the company would not have to cut more jobs in the current oil downturn.

(Reporting by Anet Josline Pinto in Bengaluru; Editing by Maju Samuel)

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 25, 2016, 06:09:56 pm

Chesapeake Energy posts $14.8 billion full year loss, cuts capex by half

Staff Writers  February 25, 2016
Chesapeake Energy said Wednesday that it has cut its 2016 capital expenditure budget in half after reporting a $14.8 billion full year loss.

The company reported a full net loss available to common stockholders of $14.85 billion, or $22.43 per fully diluted share, on revenue $12.76 billion of revenues, down from $23.12 billion.

Items typically excluded by securities analysts in their earnings estimates reduced net income available to common stockholders for the 2015 full year by $14.52 billion, the Oklahoma-based company added.

Chesapeake took an $18.23 billion impairment charge tied to its oil and natural gas properties for the full year.

Full year adjusted net loss available to common stockholders was $329 million, or $0.20 per fully diluted share, a steep fall from an adjusted net income of $957 million for 2014.

Adjusted EBITDA was $2.38 billion for the 2015 full year, compared to $4.94 billion for the 2014, while full year operating cash flow fell to $2.26 billion from $5.14 billion for the 2014 full year.

The company swung to an $18.91 billion full year loss from operations, down significantly from $3.4 billion in full year income from operations in 2014.

Chesapeake realized hedging gains on its oil and gas production that resulted in $1.3 billion of additional pre-tax revenue for the full year, compared to realized hedging losses of $375 million for the 2014 full year.

The company reported a fourth quarter 2015 net loss available to common stockholders of $2.22 billion, or $3.36 per fully diluted share, on $2.64 billion of revenues.

Fourth quarter adjusted net income slid down to a $168 million loss available to common stockholders, or $0.16 per fully diluted share, from an adjusted net income of $34 million in the prior year quarter.

Adjusted EBITDA for the fourth quarter was $298 million, compared to $916 million in the fourth quarter of 2014.

Chesapeake has set its 2016 capital expenditures budget ,including capitalized interest, at between $1.3 to $1.8 billion, about a 57 perncet decline from its 2015 spend.

The company said its 2016 spend will be focused on “shorter cash cycle projects that generate positive rates of return in today’s commodity price environment and in mitigation of the company’s commitment obligations.”

Chesapeake added that its 2016 capital program will be dedicated “to more completions and less drilling,” with total completion spending accounting for about 70 percent of its total drilling and completion program.

The company expects to place 330 to 370 wells on production, resulting in total production that declines between 0 to 5 percent compared to 2015, after adjusting for asset sales.

Chesapeake added that it has hedged more than 590 billion cubic feet of its projected 2016 natural gas production at about $2.84 per mcf and more than 19 million barrels of its projected 2016 oil production at about $47.79 per barrel

Chesapeake’s daily production for the full year of 2015 averaged 679,200 barrels of oil equivalent, a year-over-year increase of 8 percent, adjusted for asset sales.

Average daily production consisted of about 114,000 barrels of oil, 2.9 billion cubic feet of natural gas and 76,700 barrels of NGL.

“In light of the challenging  ;D commodity price environment, our focus for 2016 is to improve our liquidity, further reduce our cost structure and address our near-term debt maturities to strengthen our balance sheet,” CEO Doug Lawler said.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 25, 2016, 06:16:44 pm

U.S rig count loses 27 rigs

Staff Writers  February 25, 2016   
The U.S. rig count booked another week of double digit loses after drillers shed 27 rigs.

According to Baker Hughes, the number of rigs drilling for oil and gas in the United States fell to 514 rigs as of Feburary 19, down from 1,310 rigs during the same week last year.

Oil drillers accounted for the bulk of the drops as the oil rig count slid down by 26  to 413 rigs, a steep fall from the 1,019 oil rigs operating a year ago.

The gas rig count ticked down by only one rig and ended the week at 101 rigs compared to 289 rigs a year ago.

The directional rig count dropped to 48 rigs last week after also losing one rig.

Horizontal drillers lost 17 rigs, pulling the horizontal rig count down to 416 rigs, while the vertical rig count dipped to 50 rigs after losing nine rigs.

Texas once again lost the most rigs of any major producing state as drillers shed 12 rigs last week, with seven of those drops coming from the Permian Basin and four of those drops coming from the Eagle Ford Basin.

Oklahoma and North Dakota lost three rigs each and Louisiana lost two rigs.

Colorado, Kansas, New Mexico and Wyoming shed one rig a piece.

Rig counts in Alaska, Arkansas, California, Ohio, Pennsylvania, Utah and the Gulf of Mexico held steady from last week.

The Williston Basin, home of the Bakken shale play, lost three rigs last week and the Granite Wash Basin gained two rigs.

The Canadian drill count fell to 206 rigs after losing nine oil rigs and seven gas rigs.


( (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 27, 2016, 08:46:17 pm
Ensco Scraps 12 Drilling Rigs As Losses Continue

Published at 11:48AM - 25/02/16

Ensco scraps 12 drilling rigs as losses continue, forcing the offshore drilling company’s hand to take drastic measures.

In the company’s end of year results for 2015 Ensco, gave details of further losses running into billions and, stated that it had scrapped a total of 12 offshore drilling rigs including one drillship.

Ensco CEO and President, Carl Trowell, said: “By scrapping rigs, we eliminate costs and contribute to reducing global rig supply.”

Ensco Losses Continue

Ensco posted heavily reduced revenues for the fourth quarter of 2015 over the same period in 2014, in total a 29% reduction, bringing income to US$828.3 million down from US$1.16 billion.

Looking over the wider 12 months, the company’s revenues were still down by 11% at US$4.06 billion in 2015 from US$4.56 billion in 2014.

Ensco continues to struggle with costs related to running its offshore drilling business in an industry which continues on the downward spiral.

On top of attempts to bring down operating costs, Ensco has also incurred heavy costs due to the disputed cancellation of its DS-5 drillship by Petrobras.

On the issue Ensco said: “As disclosed in 6 January 2016 SEC Form 8-K, Petrobras has asserted that the ENSCO DS-5 drilling services contract is void.”

“We disagree with Petrobras’ position and we intend to assert our legal rights under the contract.”

Overall the results continue to keep Ensco in a precarious position, posting a loss of US$1.24 billion for 2015, although this was reduced from US$2.4 billion in 2014.

Ensco Scraps 12 Drilling Rigs

As part of Ensco’s move to reduce its losses, the board has decided to take the unprecedented move of scrapping a total of 12 offshore drilling rigs, including one drillship.

The rigs have been confirmed as six that are currently classed as operational and a further six that are currently classed as held for sale.

Clarifying the move, Trowell stated, “We are also taking additional steps to restructure our fleet and intend to scrap or permanently retire five more jackups and one more floater not currently held for sale.”

“These six rigs in continuing operations — ENSCO 56, ENSCO 81, ENSCO 82, ENSCO 86, ENSCO 99 and ENSCO DS-1 — are no longer part of Ensco’s go-forward fleet.”

“Three floaters and three jackups previously classified as held for sale will also be scrapped. All 12 of these rigs have been cold stacked to significantly reduce expenses.”

Trowell concluded: “By scrapping rigs, we eliminate costs and contribute to reducing global rig supply.”

The move looks to be drastic from almost every angle but, with all other operators within the offshore drilling industry in the same boat, the days of selling on assets looks to be gone for now; which poses the question of, not if, but when will other operators follow suit.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on February 29, 2016, 08:38:49 pm
Agelbert NOTE: Here's MORE proof that the GLUT keeping the oil price low and ENSURING the bankruptcy of many, many oil and gas majors, is NOT going away, no matter what the reality challenged analaysts from the oil business may delude themselves, and some fossil fuel corporation stock holding suckers  ;D, into believing.

Saudi oil minister (  : Talking about production cuts is ‘waste of time’

Staff Writers  February 29, 2016   

Saudi Arabia’s oil minister said on Tuesday that a cooperative production cut plan is unlikely to materialize as OPEC members and non-OPEC producers continue to discuss possible output freezes.

During his address at the IHS CERAweek conference, Saudi oil minister Ali bin Ibrahim al-Naimi said there is no point in seeking production cuts because they “will not happen,” according to the New York Times.

“There is no sense wasting our time seeking production cuts. That will not happen,” al-Naimi said at the conference.

The oil minister’s comments comes just one week after Saudi Arabia, Russia, Qatar and Venezuela agreed to freeze production at January levels.

While news of the deal helped prop up crude prices a freeze is expected to have little impact on swelling global crude inventories.

Saudi Arabia has been consistently pumping over 10 million barrels per day since last year while Russian production, also at a record high, is already expected to stall as the country’s fields mature.

Although a number of new projects are being developed in Russia, those projects are only expected to offset declining production from maturing fields and not result in any significant near term output growth, according to the U.S. Energy Information Administration.

Any production deal will also be complicated  ;) by Iran’s plans to boost its crude production by as many as 500,000 barrels per day in the near term.

Iranian Oil Minister Bijan Zanganeh told the ISNA news agency on Tuesday that he considers the deal a “joke.” (

“Some neighboring countries have increased their production over the years to 10 million barrels per day and export this amount, then say let’s all freeze our oil production,”  (  ( Bijan Zanganeh told the ISNA.

According to data provided by OPEC, Iran currently produces about 3.11 million barrels of crude per day.

The International Energy Agency said earlier this month that even if OPEC production remains flat it still expects an implied stock build of 2 million bpd in the first quarter of 2016 and a 1.5 million barrel per day build in the second quarter of 2016. (

Oil and gas is a SELL
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 01, 2016, 03:48:12 pm
02/29/2016 02:15 PM     

UK's Biggest Fossil Lobby Promotes Renewable Energy   ( ( News

Why does the biggest fossil fuel lobbying group in the UK suddenly support renewable energy? It's just one more sign that we are making progress and the times - they are a'changin.  ;D

Energy UK's chief exective says the shift is urgent because they don't want to be left behind!, reports The Guardian.

"No one wants to be running the next Nokia (referring to the mobile phone company that was squashed by forward-looking rivals), CEO Lawrence Slade told The Guardian. Clearly, the direction is toward distributed energy and away from centralized power stations.

Incredibly, Energy UK now officially supports the government's decision to phase out coal while criticizing its drastic cuts to incentives for renewable energy (

He wants efficiency measures returned and regulatory support for energy storage to support solar and wind. He wants a long term plan for renewables so that investor confidence can return, but he also favors natural gas.  :P
Since conservatives won last year's election they have dismantled just about every green program and subsidy for renewable energy, while bolstering them for nuclear and offshore oil.  ( (

And after emissions from power plants dropped 13.6% last year because of declining coal use, government officials have been calling to bring it back - to keep the lights on.

 After shedding thousands of renewable energy jobs since the incentive cuts - and investors pulling out in droves - the government slimmed the cuts for rooftop solar by 65% instead of 87%. Why the cuts at all? Like in the US, conservatives  ( claim subsidies for solar and wind should be temporary (except for fossil fuels and nuclear  ;)) and claim it leads to higher utility bills.   (

"In just one month, one nuclear plant at Hinkley would swallow up four years' worth of subsidies for the whole solar sector  >:( .

Why are ministers signing a blank cheque for expensive, outdated nuclear power while pinching pennies for an energy source on the cusp of a massive investment boom?  ( This makes no economic sense and will only put up [utility] bills in the long run," says Greenpeace.

Fracking Becomes The Plan     ( >:(

Fracking is the centerpiece of Prime Minister Cameron's energy plan. A leaked letter from three Cabinet ministers even suggests that permits should be removed from local control because the majority of citizens are squarely against it. The latest polls show 78% support for solar and wind, and 26% support for fracking. Parliament voted to allow fracking everywhere - in national parks and near drinking water supplies. In December, 159 permits were handed out, opening huge swaths of the countryside to fracking. Protests have been widespread.

Scotland banned fracking. (


"Ministers happily take credit for being climate champions on an international stage [referring to the Paris Climate Agreement] while flagrantly undermining the renewable industry here at home," Caroline Lucas, a Green Party member of the Parliament, told Reuters.

Meanwhile, the formerly booming renewable energy industry is about to fall off a cliff. Last year, wind supplied 11% of electricity, generating power for 30% of households, about 8.25 million homes. And most of Britain's major cities have pledged to run on 100% renewables before 2050. 


And this winter has the been the warmest in recorded history in England, up 7°C so far.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 03, 2016, 01:06:16 am
The Party is OVER

Agelbert NOTE: Whereas I agree with Richard that the fossil fuel based energy "party" is definitely over, I believe his proposed method for transitioning to clean energy lacks teeth. He totally ignores the political power of entrenched dirty energy interests. They will NOT be convinced nicely on a "make profits from clean energy" argument, no matter how proven and admittedly valid it is, BECAUSE clean energy is mostly distributed energy which is difficult to game through price shocks and fabricated scarcity though convenient wars and war scares.   (

THAT is "real world" that the propagandists for the fossil fuel industry ALWAYS remind us of when we show, point by point, that renewable energy is actually cheaper than dirty energy above and beyond environmental considerations.

What the fossil fuelers WILL NOT SAY until you carefully destroy their "we are your loyal energy supplying servants doing it all for your own human civilization good and you owe us for it"    ( is that the fossil fuel industry's POWER in the market place is POLITICAL POWER, not competitive energy source power from "supply and demand".

This edifice of degraded democracy requires centralized political corruption, as well as gamed energy pricing (i. e. control of the energy spigot). Without this control, their "business model" collapses in a tsunami of bankruptcies and the abandonment of all their "help" by their friends in government who they can no longer buy. The "real world" also involves BOPPING, not just buying. But the fossil fuel industry relies on purchased friends in government to do that when gamed laws and regulations don't suffice.

That "real world" was always a clever, but ruthless, scam to market an uncompetitive dirty energy resource.

That is why I do not believe the transition to clean energy will be as painful as Richard Heinberg believes. However, he is right that fossil fuels, even with their "subsidy" swag, are no longer affordable simply because, besides the added expense of obtaining them, we can no longer "afford" (as if we ever could) to ignore the damage that burning them visits on our biosphere in general and Homo SAPS in particular. The "business model" of the fossil fuel industry, by definition, REQUIRES the rejection of any responsibility for the deleterious effect their product has on the perpetuation of the human species.

IOW, the "real world" of the fossil fuelers is a type of cherry picking insanity. They really do believe that they can industrially **** where everybody but them eats in a finite biosphere where EVERY pollutant reduces the viability of the biosphere that their "real world" REQUIRES in order for them to survive.

Basically, the fossil fuel industry is composed of thugs. Those thugs can continue to be murderous thugs as long as they can funnel a lot of money into their pockets and into the pockets of the governments they corrupt.

All we have to do is NOT "return to the caves", as the propagandist assholes will claim, but reduce our footprint to the bare necessities and continue to use more clean energy and less dirty energy. Then the money for the thugs will dry up as it is starting to do now. To clarify how that works, please understand that the fossil fuel industry relies on volume sales. Profits from volume sales operate on the margins. All you need is a 5% to 10% annual INCREASE (i.e. decrease in demand for fossil fuels) in demand destruction from renewable energy for a decade or so to destroy the fossil fuel empire.

Then the crooks they can no longer buy in government will "get the renewable energy religion".  ;)    ( That is why the fossil fuelers like the Koch Brothers are always trying to pre-empt the growth of (E.g. Electric vehicles and wind turbines) products that run on and/or generate Renewable Energy. The fossil fuel industry is far more fragile than the MKing's of this world will have you believe. They are fighting to keep their swag and protection racket going. It worked for the last 50 years.   (

But the annual DROP in volume sales is killing the fossil fuel industry    ( THAT is the REAL real world of clean energy thermodynamic efficiency overcoming the corrupt fabrication the fossil fuel industry has saddled us with for about a century. Let's hope it's not too late. (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 03, 2016, 02:51:20 am
Oil and gas companies have cut so much spending amid the biggest price crash in a generation that there are only 502 drilling rigs still active in the country, according to Baker Hughes Inc. In the next few weeks, that could fall below 488, the lowest level in records dating back to 1948, according to Paul Hornsell, head of commodities research for Standard Chartered Bank.

“While there is no consistent series for drilling activity before 1948, we think it likely that to find a lower level of activity would require going back to the 1860s, the early part of the Pennsylvania oil boom,” Hornsell said in a research note today.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 07, 2016, 04:03:21 pm
U.S. rig count falls by 12

Staff Writers March 2, 2016

The U.S. rig count lost a dozen rigs last week, marking two and half months of consecutive declines. The number of rigs drilling for oil and gas in the United States fell by 12 rigs to 502 as of February 26 compared to 1,267 rigs a year ago, according to Baker Hughes.The drops marked the tenth straight week of falling U.S. rig counts, Reuters said.

The U.S. gas rig count ticked up by one to 102 rigs but that gain was offset by a loss of 13 oil rigs that pushed the U.S oil rig count down to 400 from 986 rigs a year ago. The directional drill count fell to 47 rigs after a one rig loss while the horizontal rig count slid by 17 rigs to 397, down from 946 a year ago.

The vertical rig count jumped to 58 rigs thanks to an eight rig gain but was still down from 194 rigs operating during the same week last year.

Texas once again posted the most rig losses of any major producing state after losing five rigs last week.

Louisiana was the only major producing state to post a rig gain as its rig count ticked up by two.

New Mexico lost three rigs last week while Alaska and California gained two rigs each. Ohio, Pennsylvania, Utah and Wyoming each lost one rig last week.

 Rig counts in Arkansas, Colorado, Kansas, North Dakota and Oklahoma held steady from the previous week.

The Eagle Ford Basin, located in Texas, lost the most rigs of all the major producing basins last week after drillers dropped seven rigs.

The Permian Basin, also located in Texas, lost one rig.

The Arkoma Woodford Basin, the Granite Wash Basin, the Haynesville play and the Utica Basin also lost one rig a piece.

The Cana Woodford added three rigs last week, the only major basin to post a rig gain. Rig counts in the Williston Basin, home of the Bakken shale play, and the Marcellus Basin held steady from last week. Canada’s rig count fell by 31 to 175 rigs after drillers dropped 26 oil rigs and five gas rigs. The Gulf of Mexico saw its count tick up by two to 27 rigs last week.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 07, 2016, 06:54:31 pm

Repsol sinks to $1.3 billion full year loss

Staff Writers March 2, 2016

Spain’s Repsol reported a $1.35 billion full year net loss on Thursday after taking over $3 billion in impairments.

The company posted a net loss of 1.22 billion euro, or a loss of about $1.35 billion, down from a net income of $1.78 billion in 2014.

The company booked a full year 2015 adjusted net income of $2.05 billion, a 9 percent year-over-year increase.  ;)

“This result specifically measures the performance of the business units and demonstrates the company’s strength and resilience in the face of adverse situations such as the current low oil and gas prices,”  (  Repsol said. 

The company’s EBITDA at current cost of supplies for the full year was $5.53 billion, a 6 percent increase over 2014.

Repsol booked $3.25 billion in “extraordinary impairments” for the full year that it said “can be reversed over the next few years in the event of a change in price.”
Repsol’s upstream segment fell to an adjusted net loss of about $1 billion, or 909 million euros, compared to an income of $649 million in 2014 due to the “steep decline in international hydrocarbon prices.” 

The company’s full year 2015 production averaged 558,900 barrels of oil equivalent per day, a 57.6 percent increase over the previous year.

During the last quarter of the year production rose to 697,500 boepd, 88 percent higher than the same period in the previous year and hitting “the optimal level established by the company in its Strategic Plan,” Repsol said.

Talisman assets contributed 202,900 boepd to average annual production.
The group’s proved reserves jumped by 54 percent during the year to 2.373 billion barrels of oil equivalent.

Repsol’s downstream unit saw its net adjusted income climb 112.5 percent to $2.37 billion for 2015, up from $1.11 billion in 2014.  (

“The Downstream unit achieved excellent results in 2015, supported by the margins in refining and chemicals, and driven by investment in efficiency alongside operational improvements undertaken over the last few years,” Repsol said.


The company’s refining margin indicator was 8.5 dollars per barrel, twice its level in 2014. (

Gas Natural Fenosa’s adjusted net income ticked up 3 percent year-over-year to $499 million thanks to the “contributions of CGE Chile and better performance in Latin America, which have offset the lower contribution of the gas commercialization business.”

Repsol said it will increase synergies from its acquisition of Canada’s Talisman to $400 million, up from its initially-identified synergies of $220 million.

Repsol added that it has already generated over $200 million in synergies from the Talisman integration.

The company also plans to reduce its planned investments for 2016 to 2017 by an additional 20 percent to $1.98 billion. ( (

The group’s liquidity stood at $10.07 billion at the end of the 2015 fiscal year, more than twice the level of its short-term gross debt maturities.  ;)

Repsol added that its breakeven point for generating positive cash flow is currently at $40 dollars per barrel after interest and dividends.

Agelbert NOTE: The claim that they can generate "positive cash flow" at anything above $40 per barrel after interest and dividends is about $25 dollars BELOW the $65 per barrel they MUST get in order to make a profit.

Any CPA worth his accounting tricks will calmly explain to you that "positive cash flow" DOES NOT equal "profitable".  And that bit about "after interest and dividends" is a deliberate ploy to fool stock holders into thinking their dividend is "safe" so they don't have to sell a cratering stock. (   ;)

If you own any stock in Repsol, you like high risk investments. (

The Fossil Fuelers   DID THE Climate Trashing, human health depleteing CRIME,   but since they have ALWAYS BEEN liars and conscience free crooks, they are trying to AVOID   DOING THE TIME or     PAYING THE FINE!     Don't let them get away with it! Pass it on! (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 07, 2016, 07:47:13 pm

Petronas cutting up to 1,000 jobs

Staff Writers March 1, 2016

Malaysia’s Petronas said Tuesday that it will cut up to 1,000 jobs after reporting a 56 percent drop in full year after-tax profits.

The company expects to cut under 1,000 positions and said it is undertaking “exhaustive efforts” to “re-deploy affected employees.” Further details about the layoffs have not been disclosed.

Petronas added that it will “further embark on a separation exercise for these employees as needed, which is expected to be completed over the next six months.”

Petronas booked $59 billion (RM248 billion) in revenues for the full year of 2015, down 25 percent year-over-year.

Full year after-tax profit came in at $5.06 billion, down 56 percent from the prior year, while profit after-tax excluding identified items fell 42 percent year-over-year to $9.64 billion.

“The company anticipates its financial performance for 2016 to continue to be affected by the prolonged volatility in oil prices and is intensifying efforts to cushion the impact to remain competitive and sustainable,”  ( the company said.

The company’s upstream production grew 3 percent from 2014  (  levels thanks to enhanced production and new production streams from Malaysia and Indonesia along with additional production from Azerbaijan.

However, low oil prices dragged the company’s upstream after-tax profit down to $4.72 billion (RM19.6 billion) for 2015, a 64 percent decline from the previous year.  ;D

Non-cash impairments of $4.33 billion pulled upstream profits down by an additional $385 million for the full year.

The company’s downstream business saw its full year profit margin rise 50 percent from the prior year to $2.14 billion (RM8.9 billion).

Chairman and CEO Datuk Wan Zulkiflee said the company’s cash flow from operations “is unlikely to be able to cover the remaining CAPEX and its RM16 billion dividend commitments to the Government.”

Petronas will reduced its capital expenditure and operational expenditure budgets by about $12 billion over the next four years, beginning with reductions of between $3.62 billion to $4.82 billion in 2016.

“I am confident of our internal initiatives laid out to strategically respond to the external challenges. These will navigate PETRONAS securely through the current downturn, and position us in a more resilient and competitive stead for future growth,” Datuk Wan Zulkiflee said.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 07, 2016, 08:04:51 pm
Apache Corporation sinks to $23 billion full year net loss

Staff Writers March 1, 2016

Apache Corporation cuts its 2016 capital expenditure budget by 60 percent on Thursday after reporting a $23 billion full year net loss.

The company reported a full year net loss of $23.1 billion, or $61.20 per diluted common share.

On an adjusted basis, Apache’s 2015 loss totaled $130 million, or $0.34 per share.
Net cash provided by continuing operating activities was $2.8 billion and adjusted EBITDA was $3.9 billion in 2015.

Total capital expenditures were $4.7 billion for the full year, or $3.6 billion when excluding leasehold acquisitions, capitalized interest, its Egypt noncontrolling interest and spending on divested LNG and associated assets.

The Houston-based company’s full year capital expenditure guidance range was $3.6 billion to $3.8 billion.

Apache reported a fourth quarter 2015 net loss of $7.2 billion, or $19.07 per diluted common share, including non-cash after-tax ceiling test write downs and impairments of $5.9 billion tied to low commodity price levels.


When adjusted for impairments and other items that impact the comparability of results, Apache’s fourth quarter net loss totaled $24 million, or $0.06 per share.

Net cash provided by continuing operating activities in the fourth quarter was $262 million and adjusted EBITDA was $781 million.

Apache said cash flow from operations was reduced in the fourth quarter by a one-time income tax payment of $484 million, associated with the repatriation of foreign divestment proceeds.

During the fourth quarter, Apache operated an average of 39 rigs and drilled and completed 113 gross-operated wells worldwide.

Apache CEO and president John J. Christmann IV   ( (
said the company will trim its 2016 capital program to $1.4 billion to $1.8 billion, down more than 60 percent year-over-over and down more than 80 percent from 2014 levels.

“With current 2016 strip prices 30 to 35 percent below year-ago levels, we believe a conservative plan and a flexible capital spending program are paramount to protecting the financial position we have worked hard to establish over the last 18 months,” Christmann said.

Apache’s worldwide estimated proved reserves totaled 1.6 billion barrels of oil equivalent at the end of 2015, down from 2.4 billion boe at the end of 2014.

The company said the reserves decline was primarily driven by significant divestitures in Australia and Canada, falling commodities prices and 60 percent year-over-year reduction in capital spending.

Apache expects total pro forma production volumes, excluding its Egypt noncontrolling interest and tax barrels, to range from 433,000 to 453,000 per day in 2016, down 7 to 11 percent from pro forma 2015 levels.

Christmann added that Apache plans to be cash flow neutral in 2016 after dividends assuming flat West Texas Intermediate prices, Brent oil prices of $35 per barrel and “minimal non-core, non-producing asset sales.”
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 08, 2016, 03:24:56 pm
Whiting Petroleum suspends completions, slashes capital budget

Staff Writers March 1, 2016

Whiting Petroleum announced Wednesday that it will suspend completion activities as it slashed its capital budget by 80 percent.

The Colorado-based company said it will suspend completion operations in the second quarter of this year.

The company has not said when it expects to resume completion activities.
Whiting has set its 2016 capital budget at $500 million, a decrease of about 80 percent from its 2015 capital expenditures.

The company plans to spend the majority of its 2016 capital budget in the first half of the year as it completes projects initiated in 2015 and winds down completion operations.

Whiting’s projected spend rate is expected to decline to $80 million per quarter in the second half of the year.

The company expects to invest $440 million of its 2016 capital budget on development activity primarily in its core Bakken and Niobrara areas  :evil4:, representing 88 percent of the total budget.

The company’s 2016 capital budget reflects the suspension of completion operations.

Whiting projects that it will have an inventory of 73 drilled uncompleted wells in the Williston Basin Bakken/Three Forks play and 95 drilled uncompleted wells in the DJ Basin Niobrara play at the end of 2016.   (

“This inventory of drilled uncompleted wells  ( should afford Whiting a highly capital-efficient means to resume growth  ( upon a rebound in oil prices,”  the company said.

Whiting produced 14.3 million barrels of oil equivalent (MMBOE) in the fourth quarter 2015, with crude oil and natural gas liquids (NGLs) accounting for 88 percent of production.

The company said its better than forecast production results were thanks to enhanced completions in the Williston Basin and an increase in gas capture rates across its acreage.

Whiting saw its proved reserves jump to a record high of 820.6 MMBOE in 2015, a 5 percent year-over-year increase despite asset sales of 53.2 MMBOE and an SEC 2015 oil price deck 47 percent lower than 2014.

As of the end of 2015, proved developed reserves accounted for 49 percent of proved reserves and crude oil and NGLs accounted for 87 percent of proved reserves.

Whiting booked a fourth quarter 2015 net loss available to common shareholders of $98.68 million, compared to a loss of $353.68 million in the prior year quarter, on $423.51 million in revenues.

Full year net income available to common shareholders fell to a loss of $2.21 billion,  ;D compared to a full year 2014 net income of $64.8 million in 2014, on full year revenues of $2.05 billion.

“We are focused on returns and balance sheet strength. Our 2016 budget reflects these priorities as we plan to run two rigs in the Bakken and two rigs in the Niobrara for the balance of the year…We believe this conservative strategy should help us to maintain our liquidity position and leave us well positioned to capitalize on a rebound in oil prices,” Whiting’s chairman, president and CEO James J. Volker said.   ( (


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 08, 2016, 06:30:50 pm

Nexen Energy lays off 120 Canadian workers

Staff Writers March 3, 2016

Calgary-based Nexen Energy confirmed Tuesday that it cut 120 jobs as the company contends with low oil prices.

A company spokesman told the Canadian Press that Nexen “made the difficult decision to reduce its workforce because of the current economic situation.”
The company has not disclosed further details about the cuts.

The headcount reduction follows 340 North American staff cuts and 60 layoffs in the U.K. North Sea last March that CEO Fang Zhi said were in “response to the recent industry downturn.”

The Canadian Association of Petroleum Producers estimates that Canadian energy firms have cut about 40,000 direct jobs since 2015,the Canadian Press added.

China’s CNOOC, Nexen’s parent company, set its net production target for 2016 to between 470 to 485 million barrels of oil equivalent, down from its estimated 2015 net production of 495 million barrels of oil equivalent.

CNOOC expects its total 2016 capital expenditure budget to come in at about $9.18 billion (RMB60.0 billion), with exploration activities accounting for 19 percent of the spend, development costs accounting for 64 percent of the budget and production accounting for 13 percent of the spend.

CNOOC added that four new projects are expected to come onstream this year and nearly 20 more projects will be under construction. (  ( (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 09, 2016, 09:23:25 pm
Anadarko Petroleum slashes capital budget in half

Staff Writers March 7, 2016

Anadarko Petroleum said Tuesday that it will cut its 2016 capital budget in half this year as it slashes its U.S. rig count.

The Houston-based company has reduced its year-over-year capital investments by almost 50 percent to between $2.6 billion to $2.8 billion.

Anadarko’s U.S. onshore activities will see the biggest reduction this year with that area’s budget being cut by nearly $2.5 billion year-over year to $1.1 billion.

The company will reduce its U.S. onshore rig count by 80 percent to five operated rigs, down from an average of 25 in 2015, while focusing on base production and “retaining flexibility” to leverage its inventory of about 230 drilled but intentionally uncompleted wells.

Anadarko has earmarked $700 million for its activities in the Gulf of Mexico where the company intends to focus on its capital-efficient tieback oil opportunities and on advancing appraisal activities.

The company will allocate another $700 million for its international activities that will include efforts to advance its Paon oil discovery in offshore Côte d’Ivoire toward potential development with one appraisal well, a drillstem test and two exploration wells.

Anadarko said once its activities in Côte d’Ivoire are complete, its rig is scheduled to return to Colombia to conduct additional exploration drilling activities.
The company also expects to achieve first oil at the TEN complex in offshore Ghana in the third quarter of 2016.

Anadarko added that it “expects minimal funding in 2016” as it works “three parallel paths toward a Final Investment Decision” for its Mozambique LNG project.
The company also announced plans to monetize up to $3 billion of assets in 2016, with $1.3 billion in monetizations announced or closed year to date.

Adjusted for divestitures, Anadarko expects its total 2016 sales volumes to be between 282 to 286 million barrels of oil equivalent, down from 292 million barrels in 2015.

The company expects oil sales volumes to account for 308,000 313,000 barrels per day.

Last month, Anadarko cut its quarterly dividend on its common stocks to $0.05 per share, down $0.22 per share from prior levels.

The company expects the dividend reduction to provide $450 million of additional cash.

“In 2016, we will continue our disciplined and focused approach, preserving and building value by leveraging our best-in-class capital allocation, enhancing operational efficiencies and continuing an active monetization program,” Anadarko chairman, president and CEO Al Walker said.  ::)
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 12, 2016, 07:17:07 pm
ExxonMobil slashes 2016 capital spend by 25 percent  ;D

Staff Writers March 9, 2016

ExxonMobil said Wednesday that it will cut its 2016 capital spend by 25 percent from year ago levels.

The company now anticipates a $23 billion capital spending budget in 2016, down 25 percent from 2015.

ExxonMobil said it generated $33 billion of cash flow from operations and asset sales and $6.5 billion of free cash flow in 2015.

The company achieved a total net reduction of $12 billion in both capital and cash operating costs in 2015, with its upstream total unit costs falling 9 percent from 2014.

Exxon added that its refining unit cash costs are now 15 percent lower than the industry average.   (

“Exxon Mobil Corporation is achieving industry-leading financial performance throughout the commodity price cycle by maintaining a focus on the fundamentals, selectively investing in the business and paying a reliable and growing dividend,” Exxon chairman and CEO Rex W. Tillerson said.


The company said it is on track to start up 10 new upstream projects in 2016 and 2017 that will add 450,000 barrels of oil equivalent per day of working-interest production capacity.   (     (

Exxon added 1 billion oil-equivalent barrels of proved oil and gas reserves in 2015, replacing 67 percent of production, including a 219 percent replacement ratio for crude oil and other liquids.  (

The company beat analyst expectations last month after reporting $2.78 billion, or $0.67 per diluted share, in fourth quarter earnings.  ;)

Earlier this year, Exxon declared a first quarter cash dividend of 73 cents per share on its common stock, payable on March 10, 2016.

ExxonMobil said Wednesday it has increased its dividend for 33-consecutive years through 2015, with an annual increase of 10 percent per year over the past 10 years.

“On average, 48 cents of every dollar generated by the business during the last five years has been distributed to shareholders,” the company added.  (


Renewable energy= (                                ( Fuelers
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 13, 2016, 04:00:39 pm

U.S. rig count falls to lowest level since 1999  :o  ;D

Staff Writers March 9, 2016

U.S. drillers dropped just over a dozen rigs last week, marking the eleventh straight week of a U.S. rig count decline.

The number of oil and gas rigs operating in the United States fell by 13 to 489 rigs as of March 4, a significant drop from the 1,192 rigs operating during the same time last year  ;D, according to Baker Hughes.

According to data provided by Baker Hughes, the last time the U.S. rig count dipped below 490 was in April 1999.

Oil drillers dropped eight rigs last week, pulling the oil rig count down to 392 from 922 a year ago, while the gas rig count dipped by five to 97 rigs.

The directional drill count fell to 42 rigs after also losing five rigs and the vertical rig count held steady at 58 rigs.

The horizontal rig count slid by eight to 389 rigs compared to 895 rigs during the same period last year.  ;D

Texas posted a four rig loss last week and North Dakota and Oklahoma lost three rigs a piece.

Colorado booked a two rig drop while Louisiana, New Mexico and West Virginia each posted a one rig loss.

Rig counts in Arkansas, California, Kansas, Ohio, Pennsylvania and Wyoming were unchanged from last week.

The Permian Basin in Texas posted the largest rig loss of all the major U.S. basins after drillers in the play dropped six rigs.

The Williston Basin, home of the Bakken shale play, saw its rig count drop to 33 rigs last week after losing three rigs.

The DJ-Niobrara, Eagle Ford, Marcellus and Mississippian basins each lost one rig last week.

The Cana Woodford, the Granite Wash and Haynesville basins added one rig each last week.

Canada’s oil and gas rig count fell by 46 last week to 129 rigs after losing 33 oil rigs and 13 gas rigs.

The rig count in the U.S. Gulf of Mexico dropped to 24 after losing three rigs, down from 49 rigs a year ago.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 13, 2016, 04:41:07 pm
Cuts continue: Anadarko Petroleum slashing 1,000 jobs

Staff Writers March 11, 2016

Anadarko Petroleum said Thursday that it will cut 17 percent of its workforce in response to weak crude prices.

According the Denver Post, the company will lay off 1,000 employees across the company, or about 17 percent of its total workforce.

The Houston-based company has not disclosed how the cuts will be distributed.

“We’ve been very carefully evaluating  ( what our staffing levels should be, given the current downcycle  (

These are our co-workers and friends, so this has been a difficult day,” an Anadarko spokesperson told Bloomberg. (


Earlier this month, the company said it will cut its 2016 capital budget in half from year ago levels as it slashes its U.S. rig count.

The company will reduce its U.S. onshore rig count by 80 percent to five operated rigs, down from an average of 25 in 2015, while focusing on base production and “retaining flexibility” to leverage its inventory of about 230 drilled but intentionally uncompleted wells.

Last month, Anadarko cut its quarterly dividend on its common stocks to $0.05 per share, down $0.22 per share from prior levels.

The company expects the dividend reduction to provide $450 million of additional cash.  (  (

Anadarko reported a fourth quarter net loss attributable to common stockholders of $1.250 billion, or $2.45 per diluted share and a full year net loss attributable to common stockholders of $6.69 billion, or $13.18 per diluted share.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 13, 2016, 05:21:20 pm

Energy XXI ( may seek bankruptcy protection next week

Staff Writers March 10, 2016

Energy XXI Ltd. may be seeking bankruptcy protection after reporting a $1.31 billion net loss for the second quarter of 2016.

According to Reuters, the company may be looking to file for Chapter 11 protection as early as next week if it can’t refinance its debt.

“Absent a material improvement in oil and gas prices or a refinancing or some restructuring of our debt obligations or other improvement in liquidity, we may seek bankruptcy protection to continue our efforts to restructure our business and capital structure,” the Houston-based company said in the filing.

Energy XXI had about $4 billion in liabilities as of December 31, a figure that would make the company’s bankruptcy filing the second-largest energy firm bankruptcy since oil prices began falling in July 2014, Reuters said.

The company said in the filing that it’s evaluating various alternatives with respect to its revolving credit facility, but added “there is no certainty that we will be able to implement any alternatives or otherwise resolve our covenant issues.”

Energy XXI added in the filing that it may have to liquidate its assets and “may receive less than the value at which those assets are carried on our consolidated financial statements.”

The company missed an $8.8 million senior notes interest payment on February 16 and has been trying to secure a restructuring deal with its debt holders before a 30 day grace period ends on March 17, according to the filing.

Energy XXI suspended its quarterly dividend on February 26 citing the “current commodity price environment and the need to preserve liquidity.”

Just three days later, the company was notified by the Listing Qualifications Department of the Nasdaq Stock Market that its common stock did not meet the minimum bid price of $1.00 per share required by Nasdaq rules.

The notice has no immediate effect on the listing or trading of the company’s common stock   ( and it will continue to trade on the NASDAQ Global Select Market under the symbol “EXXI.”

Energy XXI has an automatic grace period that ends on August 22 to achieve compliance with the minimum bid price requirement.

The company reported an adjusted EBITDA of $50.1 million on revenue of $184.6 million its fiscal 2016 second quarter that ended on December 31, down from an adjusted EBITDA of $244.2 million on revenue of $503.0 million in the year-ago quarter.

Net loss attributable to common shareholders in the 2016 fiscal second quarter totaled $1.31 billion
, or $13.81 per diluted share, compared with a fiscal 2015 second quarter net loss attributable to common shareholders of $278.8 million, or $2.97 per diluted share.

Net loss attributable to common shareholders in the 2016 fiscal second quarter included a non-cash impairment charge on the company’s oil and gas assets of $1.43 billion, or $15.00 per diluted share, “primarily due to sustained lower commodity prices.” (

Agelbert NOTE: Chaper 11 is a VERY interesting type of "bankruptcy" protection. You do remember all the comments from predatory capitalists in general (and fossil fuelers in particular) about how, "If you can't compete, you should go out of business and be responsible about accepting your FAILURE", right?  ;)

Well, when a corporation, thanks to those "responsible" limited liability laws out there, files for Chapter 11 Bankruptcy, the court assigns a trustee to handle the priority of the distribution of payments to creditors. The corporations, once the Chapter 11 law came into being, immediately proceeded to game the court trustee selection process (for obvious reasons.  (

The "trustee" is usually about as objective as the corporation is about how much to pay the creditors. ( What that translates to, dear readers, is that certain creditors get nickel and dimed and certain creditors get less than that (i.e. next to nothing). Said creditors CANNOT sue for compensation while the Chapter 11 process is going on AND said creditors CAN BE SUED for breach of contract if they stop providing services and/or products contracted prior to the bankruptcy (the corporation in bankruptcy can keep this game going for a YEAR or more). IOW the Court is legally COERCING creditors to continue providing contracted services to a Corporate DEADBEAT! (

But here's the really fun part, if you are part of the management of the corporation that, through incompetence, stupidity or whatever is legally AVOIDING paying its debts (Chapter 11 is for CORPORATIONS, not for people.  ( The executives can continue getting FULL compensation ( throughout the process while employees are given pink slips, told their matching 401K funds legally might not be there, all the businesses that lent money and services to this corporation get a ridiculously small percentage of the debt payment due to them AND stock holder dividends disappear.   (

So, this fine fellow running Energy XXI into the ground is probably planning to get away with ZERO economic pain and a nice golden parachute, while all the people lower down on the Predators 'R' US pecking order get the SHAFT.

It's all quite legal. It's also irrational and destructive of the economy on behalf of a few greedballs ("job creators" my ASS!) who wheedle their way to top management. While Energy XXI is being babied for no good reason, every creditor is being pushed towards bankruptcy, also for absolutely no good reason. (

It is one more reason that the claim that "our version of Capitalism is basically just and rewards those who work hard while it punishes those who don't" is pure and unadulterated BALONEY.

So, when that hopefully happens soon, let's all cheer when Energy XXI goes into Chapter 7  ;D. The less "Acquire, Exploit and Deliver" polluting piggery out there, the better.   (

But, in the meantime, let's continue to BOO Chapter 11. It's corporate welfare queenery, PERIOD.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 15, 2016, 08:18:14 pm

The Great Plunge: U.S. rig count falls to lowest level since 1949

Staff Writers March 14, 2016

The U.S. rig count fell to the lowest level on record last week after losing nine rigs.


The number of oil and gas rigs drilling in the United States dropped to 480 as of March 11 compared to 1,125 rigs during the same week a year ago, according to Baker Hughes.

The decline marks the twelfth straight week of falling rig counts and the lowest level on record since data collection began in 1949, according to data provided by Baker Hughes.

The oil rig count slipped by six rigs down to 386 rigs, a significant drop from the 866 oil rigs operating a year ago.

U.S. gas drillers shed three rigs last week, pushing the gas rig count down to 94 from 257 rigs a year ago.

The directional drill count rose by eight rigs to 50 while the horizontal rig count declined to 375 rigs after shedding 14 rigs.

The vertical rig count fell by three to 55 rigs, down from 166 rigs a year ago.
Texas posted the largest rig count decline of any major producing state last week after a 12 rig loss pulled its count down to 215 rigs.

Oklahoma lost three rigs last week while New Mexico shed two rigs.
North Dakota and Ohio each lost one rig.

Louisiana and Pennsylvania each gained three rigs last week while Kansas gained two rigs .

California and Utah gained one rig a piece.

Rig counts in Alaska, Arkansas, Colorado, West Virginia and Wyoming held steady from last week.

Drillers in the Permian Basin, located in Texas, dropped six rigs and the Eagle Ford Basin, also located in Texas, lost three rigs.

The Granite Wash Basin lost two rigs last week while the Utica and Williston Basins lost one rig each last week.

The Marcellus Basin posted a three rig gain and the Mississippian Basin gained one rig.

The Gulf of Mexico saw its rig count tick up by two rigs to 26 rigs last week.

Canada’s rig count dropped to 98 rigs last week after losing 22 oil rigs and nine gas rigs.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 15, 2016, 08:53:02 pm

EIA lowers 2016 Brent price forecast  ;D

Staff Writers March 14, 2016

The U.S. Energy Information Administration lowered its Brent crude price forecast on Tuesday despite an estimated 80,000 barrel per day drop in U.S. crude production. (   (          In its latest short-term energy outlook, the agency said it now expects Brent crude prices to average $34 per barrel in 2016, down $3 per barrel from last month’s forecast.

The report forecast an average Brent crude price of $40 per barrel in 2017, down $10 per barrel from the agency’s previous estimate.

Forecast West Texas Intermediate crude prices are expected to average the same as Brent in 2016 and 2017.

However, the agency added that current values of futures and options contracts “suggest high uncertainty in the price outlook.”

Brent was trading at $40.01 per barrel around 12:30 p.m. on Thursday while WTI was trading at $37.49 per barrel.

U.S. crude oil production averaged an estimated 9.4 million barrels per day in 2015, and is forecast to average 8.7 million bpd in 2016 and 8.2 million bpd in 2017, the report said.

EIA estimates that crude oil production in February averaged 9.1 million bpd, down 80,000 bpd from January’s level.

Natural gas working inventories were 2.536 trillion cubic feet on February 26, 46 percent higher than the same week last year and 36 percent higher than the previous five-year average for the same week.

EIA forecasts that inventories will end the winter heating season at 2.288 tcf, a 54 percent year-over-year increase.

Henry Hub spot prices are forecast to average $2.25/million British thermal units in 2016 and $3.02/MMBtu in 2017, compared with an average of $2.63/MMBtu in 2015.

Renewable energy= (                                ( Fuelers


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 18, 2016, 10:08:08 pm
Platts: OPEC production fell by 90,000 bpd in Feburary

Staff Writers March 17, 2016

OPEC production fell by 90,000 barrels per day in February but still managed to stay well above 30 million barrels per day.(

According to Platts, OPEC production slipped to 32.34 million bpd last month despite higher volumes from Iran.

Saudi Arabia, OPEC’s largest producer, maintained output at 10.2 million barrels per day.

Although Saudi Arabia held talks with Russia in January to discuss a potential output freeze any deal would be dependent on other OPEC and non-OPEC producers agreeing on a plan.

Iran’s plan to ramp up production now that Western crude sanctions have been lifted is also expected to complicate any production freeze deal.

Iran boosted output by 210,000 bpd to 3.12 million bpd in February and several of Iran’s former customers, including France’s Total and Russia’s Lukoil, are expected to purchase crude from the oil rich country.

“Now, one of the biggest questions for OPEC – and Saudi Arabia – is how many additional barrels will be flowing onto the market at a time of continuing oversupply,” Platts senior correspondent Margaret McQuaile said.

The rise in Iranian output was offset by a sharp production drop in Iraq, OPEC’s second largest producer.

Iraq accounted for the biggest production decline in February with output falling 200,000 bpd sequentially to 4.13 million bpd last month.

Iraq’s steep production decline was primarily tied to the closure of a key pipeline in the middle of February after attacks on the Turkish section of the line.

Oil from operations in the northern province of Kirkuk had been flowing at about 610,000 bpd before the pipeline outage.

Two industry officials told Platts that flows through the line restarted last Friday but they did not confirm pumping rates.

Production also dipped in Nigeria, the United Arab Emirates and Libya, but inched up in Angola and Kuwait.

Nigerian production dipped 80,000 bpd month-over-month to 1.77 million bpd as attacks on oil installations in the Niger Delta region escalated.

UAE production in February dipped by 50,000 bpd from January to 2.85 million bpd due to field maintenance while production in Libya ticked down by 10,000 bpd to 360,000 bpd.

A United Nations -brokered deal between Libya’s two rival governments that created a national unity government in January has so far failed to “create any semblance of political stability in the country,” Platts said.

Angola boosted its output by 30,000 bpd in February thanks to an export program that increased loading of crude grades such as CLOV and Saturno.

Angola’s state-owned Sonangol warned earlier this year that it expects 2016 to be rocky but it hopes to boost production despite low prices.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 18, 2016, 10:23:07 pm
The oil rally won't last, and we could see panic selling to $32/barrel: Strategist    (  (

By Lawrence Lewitinn March 18, 2016

Crude (CLK16.NYM) prices are back above $40 per barrel to their highest level this year. But one strategist warns that oil is topping out.

The falling U.S. dollar has given a boost to crude, as have hopes that major producers will be able to come to a production agreement when they meet next month.

However, Bill Baruch, chief market strategist at iiTrader, is skeptical that the rally will persist. He expects U.S. shale oil producers to continue output even though $40 per barrel crude was thought to still be unprofitable for them.

“Forty dollars is the new $60,” said Baruch. “You're going to see more supply, and the glut will get worse here in the United States as well as worldwide.”

Baruch cautions longs that U.S. storage is reaching full capacity in some important locations. “You've got Cushing more than 90% full and Gulf Coast storage just under 90% full,” he said. “That's why I do not see prices maintaining $40 for an extended period of time.“

The technicals are also pointing to lower crude prices, according to Baruch. Despite high prices for 2016, oil has moved relatively sideways all month and broke below an uptrend line. He sees further resistance at its 200-day moving average, near $42.80 per barrel. If oil fails to break above that average and instead falls below the 100-day moving average, “you're going to start to see a lot of selling that comes from there,” Baruch predicted.

To add insult to injury, crude’s relative strength index (RSI), which measures a contract’s up days versus its down days, is near an elevated reading of 70.
“This is an overbought technical that says the market is going to have to retreat,” Baruch said.

“There's a good 15% to 20% move down from here once this exuberance from the weaker dollar gets moved aside,”
he added.
“If the market gets below some of these levels around $37 to $36 in the May contract, you're going to see panic selling that brings this thing back down to $32.
So that's what we're looking at, depending how it plays out over the next week or two.” (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 18, 2016, 10:32:30 pm

LINN Energy flags Chapter 11 risk as creditors come calling

Nicolas Torres March 17, 2016

LINN Energy warned on Tuesday that it may face the risk of bankruptcy if it fails to strike a deal with its lenders.

In a filing with the U.S. Securities and Exchange Commission, the Houston-based company said it is currently in default under its LINN credit facility and its second lien indenture.

The company also said it has “significant indebtedness” under its May 2019 senior notes, November 2019 senior notes, April 2020 senior notes, Berry November 2020 senior notes, December 2020 senior secured second lien notes, February 2021 senior notes, September 2021 senior notes and Berry September 2022 senior notes as well as its credit facilities.

As of February 29, the company had an aggregate amount of $9.3 billion outstanding under its notes and credit facilities, with an additional borrowing capacity of less than $1 million.

Total borrowings under its LINN credit facility, including outstanding letters of credit, were $3.6 billion with no remaining availability.

Total borrowings under the company’s Berry credit facility were about $899 million as of February 29 with less than $1 million available.

The company deferred interest payments totaling about $60 million that were due March 15, including $30 million on LINNs 7.75 percent senior notes due February 2021, $12 million on LINN’s 6.50 percent senior notes due September 2021 and $18 million on Berry’s senior notes due September 2022.

The missed payments will result in LINN being in default under those senior notes.
LINN said that, as a result of its debts, it is using a “significant portion” of its cash flow to make interest and principal payments, reducing cash available to finance its operations and limiting its flexibility to respond to industry changes.

“If we are unable to repay or refinance our existing and future debt as it becomes due, whether at maturity or as a result of acceleration, we may be unable to continue as a going concern,” LINN said.

Based on current estimates and expectations for commodity prices in 2016, LINN said it does not expect to remain in compliance with all of the restrictive covenants in its credit facilities throughout 2016 unless those requirements are waived or amended.

The company added that, because its credit facilities are effectively fully drawn, any reduction in its borrowing base would require mandatory payments that would make its existing indebtedness exceed the new borrowing base.

LINN will “attempt to take appropriate mitigating actions” to refinance its debts prior to maturity or to extend maturity dates but said there is “no assurance” that those actions “will be sufficient.”

The company has engaged financial and legal advisers to assist in analyzing various strategic alternatives to address its liquidity and capital structure, including strategic and refinancing alternatives through a private restructuring.
“However, a filing under Chapter 11 of the U.S. Bankruptcy Code may be unavoidable,”
LINN said.

LINN said it is currently in discussions ( with various stakeholders and is pursuing or considering a number of actions.

However, the company added that it can not assure that sufficient liquidity can be obtained from one or more of those actions or that those actions can be completed before certain obligations must be met.

LINN reported a fourth quarter 2015 net loss of $2.5 billion, or $7.05 per unit, on Tuesday and a full year 2015 net loss of $4.8 billion, or $13.87 per unit.
“We are continuing to work with our advisors to review a full range of strategic alternatives to reduce the company’s overall debt. In addition, we have been in discussions with certain lenders in an effort to reach a mutually agreeable resolution and remain focused on right sizing the balance sheet in order to position the company for long-term success,” LINN chairman, president and CEO Mark E. Ellis said.

Shares of LINN Energy were trading at $0.80 per share around noon on Wednesday.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 26, 2016, 04:25:31 pm
Coal stockpiles grow to highest level in at least 25 years  (

Posted on March 21, 2016 | By James Osborne


Peabody Energy  (  (, the largest private sector coal producer in the world, has seen its stock price drop to less than $3 a share – from more than $95 a year ago – and is now the subject of speculation whether it will file for bankruptcy.

The demand problem is evident in the government’s coal supply data. In December, a time when coal stockpiles typically decrease by 3 million tons, the U.S. saw coal reserves grow 8 million tons.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 26, 2016, 05:14:52 pm
Agelbert NOTE: Even with the used car salesman type creative accounting the oil industry corporate crooks and liars routinely engage in (see: Companies haven’t fudged their numbers this much since the financial crisis (, they leak a little of the truth out to those that can read between the lines (i.e. It's a LOT WORSE than they are admitting below).

Schlumberger   ( warns 1Q revenue may fall 15 percent

Nicolas Torres March 24, 2016

Schlumberger CEO Paal Kibsgaard warned on Monday that falling upstream spends may cut the company’s first quarter revenues by 15 percent.

During a presentation at the Scotia Howard Weil 2016 Energy Conference Kibsgaard said Schlumberger now expects first quarter 2016 revenues to drop more than 15 percent sequentially to about $6.5 billion.

Kibsgaard added that the current outlook suggests “a further weakening in the second quarter.”

“So far, we have successfully  ( managed the challenging commercial landscape of this downturn….However  ;D, the third phase of E&P spending reductions that we are currently experiencing will have a significant impact on our earnings per share in the current and coming quarters given the magnitude and erratic nature of the activity disruptions,” Kibsgaard said.

Crude prices have rallied back from near 13 year lows in recent weeks as OPEC production holds steady and non-OPEC production continues to fall.

The International Energy Agency recently suggested that oil prices may have bottomed out but added that the recent price bump “should not… be taken as a definitive sign that the worst is necessarily over.”  (

The IEA now expects global demand to grow by about 1.2 million bpd in 2016  ( while non-OPEC production is expected to fall by 750,000 bpd to 57 million bpd, up from the agency’s estimate of a 600,000 bpd decline in February.

Kibsgaard said that despite the bright spots  (, Schlumberger is maintaining its view “that there will be a noticeable lag between higher oil prices and higher E&P investments given the fragile financial state ( of our customer base.”

Kibsgaard added that the lag between changes in crude prices and upstream spends “means that there will be no meaningful improvement in our activity until 2017.”

“We firmly believe in a medium-for-longer oil price environment where there is an urgent need for the industry to move to a contracting model with significantly more collaboration and commercial alignment between operators and leading service companies,” Kibsgaard said.

Houston-based Schlumberger said in January that it will cut another 10,000 jobs after reporting a 39 percent year-on-year revenue decline in the fourth quarter.
The company’s fourth quarter revenues fell to $7.74 billion while pre-tax operating income declined 54 percent year-over-year to $1.28 billion.

Income from continuing operations, excluding charges and credits, sank to $819 million in the fourth quarter from $1.941 billion during the same period in 2014.  ;D

Renewable energy= (                                ( Fuelers
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 26, 2016, 05:34:21 pm

Petrobras says 4Q loss is $9.4 billion, scraps dividends and bonuses
Staff Writers March 25, 2016

Brazil’s Petrobras posted a $9.4 billion fourth quarter net loss on Tuesday after taking more than $10 billion in impairments.

The state-owned company booked a consolidated fourth quarter net loss attributable to shareholders of $9.42 billion, compared to a $9.72 billion net loss in the previous year quarter.

Analysts surveyed by Reuters had expected that the company’s fourth quarter loss would not exceed $2.71 billion.

The company’s full year consolidated net loss came in at $8.45 billion compared to a loss of $7.5 billion in 2014.

Fourth quarter adjusted EBITDA was $4.4 billion, down from $7.88 billion in the same quarter of 2014.

Adjusted EBITDA for 2015 dipped 9 percent year-over-year to $22.76 billion due to the appreciation of the U.S. dollar against the Real, Petrobras said.

The company took $11.88 billion in asset impairments for the fourth quarter and $12.84 billion in impairments for the full year tied to assets and investments.

The company’s fourth quarter operating loss was $10.51 billion, compared to $12.16 billion in the year ago quarter.

Operating loss for the full year of 2015 was $1.13 billion compared to a loss of $6.96 billion in 2014.

Fourth quarter gross profit fell to $6.98 billion from $8.64 billion a year ago while full year gross profits dipped 13 percent year-over-year to $29.82 billion.

The company’s exploration and production unit booked a full year net loss of $2.48 billion, down significantly from a full year net income of $14.15 billion in 2014.

Petrobras said the loss is was attributable to lower crude sale prices and the impairment of production fields in Brazil and aboard.

Refining, transportation and marketing net income jumped to $5.72 billion for the full year, up from a $15.76 billion loss in 2014.

The company’s gas and power unit booked a $237 million net income for 2015, up from a loss of $347 million the previous year, while the distribution unit fell to a $142 million net loss compared to a $565 million income in 2014.

Positive free cash flow rose to $4.41 billion in 2015, compared to negative free cash flow of $8.11 billion in 2014.
The company’s net debt fell 5 percent year-over-year to $ 100.37 billion as of December 31, 2015.

The average maturity of outstanding debt increased from 6.10 years as of December 31, 2014 to 7.14 years as of December 31, 2015.

Capital expenditures and investments for 2015 fell 38 percent year-over-year to of $23.05 billion.
Petrobras has decided to scrap its dividend for the second year in a row   ( and will also forgo employee bonuses, Reuters said.

Editor’s note: This report was prepared using USD denominated results provided by Petrobras. (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 02, 2016, 05:40:00 pm
BP laying off 500 Houston workers

Nicolas Torres March 30, 2016

BP confirmed on Tuesday that it will layoff hundreds of employees at its Houston office.

In a letter to the Texas Workforce Commission seen by Rigzone, the company said it will layoff 500 workers from its Houston office starting in June.

The layoffs are part of a broader plan to cut 4,000 jobs from the company’s upstream unit in 2016.

Further details about the cuts have not been disclosed yet.

BP said in February that it also expects to cut up to 3,000 staff and contractor positions from its downstream segment by the end of 2017.

“We’re making good progress   ( in managing and lowering our costs and capital spending, while maintaining safe and reliable operations and continuing disciplined investment into the future of our portfolio,” BP group chief executive Bob Dudley said in February.

BP booked a fourth quarter replacement cost loss of $2.23 billion compared to a loss of $969 million a year ago.

Last week, the U.S. Department of Justice asked the federal court in New Orleans to approve a proposed $20 billion settlement tied to the 2010 Deepwater Horizon accident.

The settlement will resolve  ;) the government’s civil claims under the Clean Water Act and natural resources damage claims under the Oil Pollution Act.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 02, 2016, 09:55:46 pm
Williams to cut 10 percent of North American workforce

Image coutesy of Williams

Nicolas Torres March 31, 2016

Oklahoma-based Williams will begin job cuts this week as part of a plan to layoff 10 percent of its North American workforce.

A company spokesman told KTUL that the company currently employees about 6,700 workers and will layoff about 670 employees.

The layoffs will begin this week and are expected to be completed early in the second quarter, Fox23 News said.

The company has not disclosed further details about the cuts.

A Williams representative told Fox23 that the workforce at the company’s Tulsa headquarters will be cut by about 10 percent, or about 100 positions, as part of the layoff plan.

Williams also has major offices in Houston, Pittsburgh, Oklahoma City, Salt Lake City and Calgary, Canada.

Williams agreed in September to merge with Texas-based Energy Transfer Equity   ( a transaction valued at about $37.7 billion, including the assumption of debt and other liabilities

Williams told Fox23 News that the layoffs ( are not related to the pending merger. (    (

Energy Transfer Equity had initially expected the merger to generate about $2 billion in commercial synergies  (  ;) by 2020.

In a Securities and Exchange filing seen by Reuters last Wednesday, Energy Transfer Equity revised its synergy estimate down to $170 million by 2020, citing low oil prices and higher capital costs.

The merger must still win shareholder and regulatory approval and is not expected to close before May 31, Barron’s said.

The companies have not disclosed a timeline for closing the deal yet.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 02, 2016, 10:31:26 pm

U.S. rig count hits new all time low

Staff Writers March 29, 2016

The U.S. rig count hit a new record low this week after shedding 12 rigs.
According to Baker Hughes, the number of oil and gas rigs operating in the United States fell to 464 as of March 24, a significant decline from the 1,048 rigs operating a year ago.

The drops pushed the rig count to its lowest level since Baker Hughes began tracking data in 1949 and marks the second time in three weeks that the rig count has sunk to a historic low.

The oil rig count dropped by 15 rigs to 372 to last week, down from 813 a year ago, while the gas rig count ticked up to 92 after gaining three rigs.

The number of vertical rigs dropped to 53 rigs after shedding five rigs and the horizontal rig count fell by 10 to 359 rigs.

The directional drill count climbed by three rigs to 52 rigs last week.
Texas once again posted the largest rig count drop of all the major producing states after losing eight rigs last week.

Oklahoma lost three rigs last week while Alaska shed two rigs.

Rig counts in Arkansas, California, Colorado, North Dakota, Ohio, Utah, West Virginia and Wyoming held steady from last week.

Louisiana gained two rigs and New Mexico added one rig.

The Permian Basin in Texas lost five rigs last week while the Eagle Ford Basin, also located in Texas, lost four rigs.

The Cana Woodford Basin lost three rigs and the Ardmore Woodford Basin and Marcellus Basin lost one rig each.

The Barnett Basin added two rigs last week.

The Gulf of Mexico climbed by one to 27 rigs.

The Canadian rig count fell to 55, down from 120 rigs a year ago, after losing 13 gas rigs and dropping one oil rig.

However, other Fossil Fuel Industry IDIOTS just cannot stop TRASHING THE PLANET. (   (

The next FIVE news items today serve as evidence of how INSANE the ocean oil rig business has become.  (  (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 06, 2016, 09:01:09 pm

Maersk Oil closing Houston office, cutting jobs

Nicolas Torres April 4, 2016

Denmark-based Maersk Oil said Thursday that it will close its Houston office and cut about 100 positions.

The company said that “challenging market conditions for deepwater developments” have prompted it to reduce its organizations in Angola and the United States.

The move will result in the closure of the company’s Houston office and a reduction of its Luanda, Angola team, impacting about 100 staff positions in total across the two sites.

Sixty employee and contractor positions will be impacted in Houston and 40 employee and contractor positions will be impacted in Luanda.

The changes will transfer some responsibilities for the Luanda project to Maersk Oil’s Copenhagen headquarters and leave an office of 18 people in Luanda to continue working on the Chissonga project’s maturation.

The offshore Chissonga project is located in Block 16, about 195 miles northwest of Luanda,

Maersk said its non-operated activities in the Gulf of Mexico, currently run from Houston, will be transferred to the company’s Copenhagen headquarters in “the coming months.”

The company said the decision was reached after “extensive and ongoing work” to reduce capital expenditure and improve returns of the un-sanctioned Chissonga project.

“Chissonga, like many deepwater projects in our industry, remains economically challenged in the current market environment.

Maersk Oil remains committed  ( to the Chissonga project and we have evaluated multiple options to commercialize these resources in the best interests of our partners and the Angolan authorities,”  ::)  Maersk Oil’s Chief Operating Officer Gretchen Watkins. (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 06, 2016, 09:28:32 pm

Murphy Oil: We’re cutting jobs at every location

Nicolas Torres April 4, 2016

Murphy Oil said Friday that it will cut jobs across its operations as part of a cost saving effort.

The Arkansas-based company told Bloomberg that it plans to cut an unspecified number of jobs at all of its locations as it seeks to trim costs.

“Head count has been lowered across all functions in every location to match our lower capital spend,” Murphy Oil spokesperson said Kelly Whitley told Bloomberg.

The company said in its 2015 annual report that it expects to reduce its capital spend by more than 70 percent worldwide in 2016.

Murphy Oil told the CBC on Friday that it was still in the process of reducing its headcount.

The company had 1,258 employees as of the end of December.

Murphy Oil has operations in the United States, Canada, Malaysia, Vietnam, Brunei, Namibia and Australia.

Last year, Murphy Oil withdrew from blocks in Indonesia, Cameroon and Suriname, according to the company’s annual report.

The company said in its 2016 proxy statement that it froze the 2015 base salary of its CEO Roger Jenkins at 2014 levels  (  , citing low oil prices and market conditions.

Jenkins is slated to earn a base salary of $1.3 million in 2016 and a total direction compensation of about $7.1 million, down from $12.1 million in 2015, the CBC said.   (

Murphy booked a 2015 net loss of $2.27 billion, or a loss of $13.03 per share, down from a net income of $905.6 million in 2014.

The company reported a $2.25 billion net loss from continuing operations compared to a net income of $1.025 billion in 2014.

Murphy said its 2015 net loss was primarily caused by impairments on properties in the Gulf of Mexico, Western Canada and Malaysia, lower energy prices and sales volumes and costs related to exiting deepwater rig contracts in the Gulf of Mexico.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 06, 2016, 09:32:32 pm

U.S. rig count drops to new historic low

Staff Writers April 5, 2016

The U.S. rig count hit another historic low last week after drillers shed just over a dozen rigs.

The number of rigs drilling for oil and gas in the United States fell by 14 rigs last week to 450, down significantly from 1,028 rigs a year ago.

Last week’s rig count marked the lowest level on record since Baker Hughes began tracking data in 1949 and marks the third time in less than a month that the rig count reached a new historic low.

The oil rig count fell to 362 rigs after losing 10 rigs, down from 802 rigs a year ago, while the gas rig count slipped by four rigs to 88 rigs.

The directional drill count fell by three rigs to 49 rigs and the horizontal rig count dropped to 346 rigs after losing 13 rigs.

The vertical rig count climbed to 55 after gaining two rigs.

Texas posted the largest rig count drop of all the major production states after losing five rigs last week.

Louisiana came in a close second with a four rig loss.

California, North Dakota and Oklahoma each lost two rigs and Alaska, Kansas and Pennsylvania lost one rig each.

New Mexico gained two rigs last week and Utah gained one rig.

Rig counts in Arkansas, Colorado, Ohio, West Virginia and Wyoming held steady from last week.

The Granite Wash Basin posted a four rig loss last week while the Permian Basin saw its rig count fall by two.

The Williston Basin and the Mississippian Basin lost two rigs each while the Cana Woodford and Marcellus basins lost one rig a piece.

Ardmore Woodford, Arkoma Woodford and Eagle Ford basins each gained one rig last week.

Canada’s rig count fell to 49 after losing six gas rigs last week.

The Gulf of Mexico’s rig count ticked down to 24 after losing three rigs, down from 29 rigs a year ago.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 07, 2016, 09:51:35 pm (

Shocking Photo: Nearly 30 Oil Tankers in Traffic Jam Off Iraqi Coast

By Charles Kennedy
Posted on Thu, 07 April 2016 16:48 | 1

Oil tankers are caught in a traffic jam near the Iraqi port of Basra, causing delays in loading. According to Reuters, around 30 very large crude carriers (VLCCs) are sitting in the Persian Gulf, and the backlog could cost ship owners more than $75,000 per day. Some could be waiting for weeks to reach the port.

Check out this shocking satellite photo of the tanker traffic jam just off the coast of Iraq.

(Click to enlarge)

The culprit is high oil production in Iraq. The port at Basra is struggling to load up all the oil tankers fast enough, forcing some to sit and wait. Iraq exported about 3.26 million barrels per day (mb/d) in March from its southern coast, which is up from just 2.5 mb/d in 2010.

Related: Advantage U.S. In The Global Petroleum Showdown?

And the line of tankers appears to be growing. The gridlock is forcing up the cost of renting an oil tanker. That, combined with the shrinking capacity of available storage in China is pushing up tanker rates in Asia as well. Shipping data shows that VLCC rates have doubled from $37,250 per day to $74,700 per day.
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As of now, Reuters calculates that there are 27 VLCCs sitting in the Gulf near Basra, holding about 43 million barrels of oil, double the typical backlog. Some have been waiting for weeks. The current waiting time is 18 to 19 days, which is two to three times the normal wait of 5 to 10 days.

Related: $120 Oil As Soon As 2018?

Reuters contacted a captain of one oil tanker, who said that he wasn’t sure when he would be able to load up at the port. "We've been given no details," he said, declining to be identified.

Meanwhile, onshore, Iraq is struggling with a bit of rising instability in the country’s south, which is far from the battlefields with ISIS and has been one of the few refuges of stability. However, militias have a growing presence there, raising concerns for the international oil companies operating in Basra.

By Charles Kennedy of


The price of oil in 2004 was a scam. It had everything to do with the end of regulation of the commodities exchange and the increase in speculation by banks. Supply and demand had NOTHING to do with it.

The wet dream of these fossil fuel fucks and their pals in Wall Street is to get floating storage packed to the gills at low prices and then jack up the oil price with speculation to over $100 a barrel.  ( (

Of course it will be sold, as the fine fellow in the article above attempts to do, as a "supply and demand" thing.  ;)

There are many problems with that theory.    (

But the MAIN problem with it is the assumption that the oil pigs will still have their subsidy swag in place in 2018. I don't think so.  ;D

Without "subsidies", they MUST raise prices to make money. But they CAN'T raise prices when a (clean) competing energy supply is growing exponentially.

So, unless they can come up with a nice big WAR, that floating storage will have to be fire sale sold.     (

There are other problems that are giving the refineries conniption fits right now. The cracking towers can be modified somewhat to change the product proportions, but the adjustments are relatively minor. You WILL get X percentage of VOCs, diesel, lubricants, heavy oils and greases from one barrel of crude.

The quality of the crude aside for a moment (it's getting worse, not better), the FACT that demand for  transportation fuels, heating oil and air conditioning costs are all being ATTACKED by EV use and more efficient HVAC (including beam chiller technology that does NOT require energy hogging compressors for cooling), disrupts the refinery product balance. THis is VERY BAD NEWS for the Fossil Fuel Industry.   (  (

This is a pain in the cracking tower for refineries. Old Rockefeller solved that "problem" by getting cars to run on the waste product called gasoline. The "problem" is returning with a vengeance.  (

The refineries cannot just repurpose the whole barrel of crude into methane, ethanol, fertilizers, plastics, pesticides and textiles because they can't sell the proper percentage of gasoline and diesel for the corresponding heavy oils and lubricant product. That means an ADDED cost to dispose of the VOCs and gasoline.  ;D 

The Predators 'R' US crowd ( at Wall Street do not get that   (  They think they can jack up the price of any commodity with speculation. It ain't gonna happen this time.  (

The LOSS of MOST of the gasoline and commercial home heating oil market, in addition to the LOSS of utility demand for  fossil fuels due to NEW Renewable Energy infrastructure, load balancing software and MUCH greater storage capacity from parked EVs and dedicated home and commercial battery systems hither and yon, spells DOOM for ANY $120 a barrel Wall Street wet dreams. (

Tesla, rivals, software may kill petrol car as soon as 2025  ;D

By Giles Parkinson on 5 April 2016

The response to our article on Monday “Tesla Motor’s Elon Musk just killed the petrol car” was as fascinating as it was overwhelming. It is on track to be the most read story on our web-site to date.  :o  ;D

The response was fascinating because it came from a mixture of those prepared to imagine the future, and read the signs of change, and those focused on short-term issues – be it meeting production schedules, reducing battery costs, or the immediate future of the Tesla share price.

Then there were those who simply didn’t want to know. The oil industry is one of them. It is making predictions, and seeking capital, as though the EV didn’t exist. The nuclear industry also wishes it wasn’t so. “This is bullish*t”, tweeted one of the most prominent nuclear advocates, still clinging to the old centralised energy model.

So we thought it would be useful to explain more about how it is that Musk  ( has killed the petrol car (

And for that we went back to Stanford University’s Tony Seba, the academic who predicts that fossil fuels, coal and oil in particular, will be redundant by 2030.


Seba tells RenewEconomy that the latest developments at Tesla, with the huge response to the sneak preview of its new Model 3, and the rollout over at General Motors of the Chevy Bolt, confirm his predictions. They may in fact accelerate them.

Seba’s message is not one that sits comfortably with incumbent industries, the auto and oil sectors in particular. He thinks that new internal combustion engine cars will not be on sale by 2025. Anywhere in the world. And there may not be many internal combustion engine buses, trucks, and tractors either.

This graph below is the key to the story. It comes from Seba’s Clean Disruption book released 18 months ago, and is a forecast of the declining cost of electric vehicles as battery storage costs plummet. The release of the Chevy Bolt and the Tesla Model 3, both at around $US35,000, put developments ahead of his curve.


It means that within a few years, high-performance EVs will cost less than the average car in the US. Within five years they will be competing with low-cost Buicks.

“For the past 100 years, the auto industry has told us that if you want high performance you have to pay big bucks,” Seba says. “So when you get a car with a better performance than a Porsche and a cheaper price than a Buick, that’s the end for both Porsche and Buick."   (

But that’s not the only point. Seba argues that electric vehicles will cost 10 times less than internal combustion engines to charge. Electrons are easier to move than petrol and diesel. Solar powered charging stations will deliver refills at zero marginal cost.

Maintenance will also be significantly cheaper. An international combustion engine has more than 2,000 moving parts. An electric vehicle has less than 20 moving parts. It will have negligible maintenance costs.  (

Seba explains more:
“The Internal Combustion Engine is 17-21 per cent efficient while the electric motor is 90-95 per cent efficient. The EV is 5 times more energy efficient than the ICE car.

“Combine that with the fact that it’s cheaper to transmit electrons (electricity) than atoms (gasoline or diesel) and you get that energy costs/mile are 10 times cheaper for EVs.

“This number of course changes according to local conditions (as you know electricity vs petrol costs vary widely depending on taxes, transmission costs, subsidies, industry protection, etc.), but I haven’t seen a market where energy cost per mile for EVs are less than 5 times cheaper than energy costs for ICE cars.”
Seba worked his predictions on a 200-mile range (320kms) EV costing $US30,000 by 2020, cheaper than the ICE alternative and with huge fuel and maintenance savings.

“Assuming both these cars (GM Bolt and Tesla Model 3) do in fact go to market 2017 and the industry catches up to them by 2018, it fits my forecast perfectly,” Seba says.  ;D

“This means that 2020 would be the tipping point for the disruption, the point at which it would make no financial sense to purchase an ICE vehicle for the average vehicle buyer. Follow the EV cost curve and by 2025 all new vehicles will be electric.

“Interestingly, the median new ICE car in the US is now $US33,000 (compared to his forecast of $US31,000) and the EV cost curve may be accelerating beyond the 16 per cent per year curve that I predicted.

“So, in fact, the end of the ICE vehicle era may happen faster than my 2025 prediction. By the way, this is not just the end of the ICE car era. My prediction is that by 2025 all new vehicles will be electric: cars, SUVs, trucks, buses, tractors, anything that moves on the ground with wheels.

“When digital cameras disrupted film cameras, it didn’t just happen with low-end cameras,” Seba says. “It happened with all cameras. It’s the same dynamics with vehicles.”

These predictions do two things: they validate targets, such as those by India’s roads minister for all cars to be electric by 2030; and they make policies such as the Dutch ban on internal combustion engines from 2025 appear a little redundant.  ;D

And here it is worth reinforcing a point we tried to make yesterday. These predictions do not lie in the success or otherwise of Tesla, or the ability of Musk to meet production targets. And they also do not assume that individual ownership of vehicles will be as paramount as it now is.

Musk, you see, is not alone, he is just blazing a trail. FoxConn, the makers of the Apple laptop, predicts it will be making EVs at a price of $US15,000. Ford, Seba notes, has announced plans to invest $US4.5 billion in electric vehicles, not necessarily to capture the lion’s share of the market in units sold, but to become a “mobility company”.

GM is also investing in the “mobility services” business, snapping up interests in companies investing in lifts and autonomous cars. Google and Apple are investing heavily in similar technologies.

Tesla also has a “master plan”, as we noted on Monday. This does not centre around selling units so much as miles or kilometres travelled. Morgan Stanley says Tesla’s future will rely not on EV deliveries, but the network of service and free charging that is “critical to delivering mobility service-based revenue in the future.”
Seba says a similar transition is happening in the electricity supply industry, where the plunging cost of solar and of battery storage is changing the rules of the game from a centralised to a distributed model, also based around a “zero marginal cost of production”, rather than the increasing marginal cost on which the fossil fuel industry relied.

There are three reasons for this change in focus in the auto industry, Seba says. Cars are moving from internal combustion engines to electric, they are being driven by computers rather than people, and they will be shared rather than owned.

“Change comes from the outside,” Seba says, referring to the photo, computer, media and telco industries. “ECs are computers on wheels. Companies offer free charging. We are moving to zero marginal cost.

“You can power hour house with your car. If every car in Norway is a full EV, they will be able to store one half of the daily electricity demand.”

And there is one other things that may change too. The use and need for car parks. If Seba is right, and car sharing dominates over individual ownership, then car fleets will be significantly smaller and car usage will switch from 10 per cent usage and 90 per cent parking, to 90 per cent usage and 10 per cent parking.
That’s a lot of car parks lying under-utilised. It may turns out that cheaper real estate is on the way too. (


Cooma Doug

There are many powerful influences that emerge in such developments that are hidden by our life just rolling on. of autonomous EVs will be much less. Almost all serious accidents will have human control route cause.

2......noise reduction will change many aspects of life as we know it.

3.......traffic density management via mass co ordination and satellite technologies will hugely affect infrastructure design and requirements for the better.

4.......pollution reduction will be the elephant in the room with huge benefits. interior design will change enabling different activities during travel that will benifit life in many ways.

6......The absurd level of danger and risk of death and injury on the road will soon begin to be seen for what it is today. Risk and safety management will be hugely empowered by the EV revolution and will rightly become a major influence in change.

We will look back at todays hazardous roads and be thinking did they ever allow such crazy things to persist.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 08, 2016, 06:27:51 pm
Why the price of crude oil is NOT going up ANY TIME SOON.  ;D

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 11, 2016, 10:52:57 pm

Chevron to cut 655 Houston jobs

Staff Writers April 8, 2016

Chevron said Thursday that it will cut just over 650 jobs as part of a previously announced layoff plan.
A Chevron spokesperson told Rigzone that the company will cut 665 positions in Houston as part of a broader plan to reduce its headcount by about 4,000 positions this year.

The spokesperson told Rigzone that affected employees will receive at least six weeks of transition pay along with severance benefits and career transition services.

Further details about the cuts have not been disclosed yet.

Chevron CEO John Watson first flagged the layoff plan in the company’s third quarter 2015 results.
Watson said in October that Chevron anticipated reducing its workforce by between 6,000 to 7,000 positions after further reducing its 2017 and 2018 spends.

In the company’s fourth quarter earnings call, Watson said Chevron expects to reduce its headcount by about 4,000 positions in 2016 and added that the company cut about 3,200 jobs last year.

Exports from Chevron’s Gorgon LNG project were halted earlier this week due to mechanical issues with the propane refrigerant circuit on Train 1 at the plant site.

Chevron said Wednesday that it now expects the project to be shut down for 30 to 60 days.

The Gorgon project is located in offshore Western Australia and has a total production capacity of about 2.6 billion cubic feet of natural gas and 20,000 barrels of condensate per day.

Chevron reported a loss of $588 million, or $0.31 per diluted share, for the fourth quarter of 2015, down significantly from earnings of $3.5 billion in the fourth quarter of 2014.

Full year 2015 earnings fell to $4.6 billion (  (  , or $2.45 per diluted share, down from $19.2 billion, or $10.14 per diluted share, in 2014.

Agelbert NOTE: It's GOOD to see that Chevron is becoming toxic to it's stockholders, considering how REALLY TOXIC the actions of this Giant Profit Over Planet Polluter ARE.  (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 11, 2016, 11:22:21 pm


National Oilwell Varco braces for mass layoffs

Nicolas Torres April 7, 2016

National Oilwell Varco said on Wednesday that it expects to undertake a round of mass layoffs as low oil prices continue to hamper demand for services.

A spokesperson for the company’s Norwegian unit told the Wall Street Journal that the firm has started negotiations with employees and will likely have details about the size of the cuts in a few weeks.

“We are signaling mass layoffs,”
the spokesperson said.

Details about the operations and locations that would be affected by the cuts have not been disclosed yet.
Slowing upstream activity in the North Sea prompted the company to lay off about 1,800 employees and about 600 contractors over the last year, the Wall Street Journal said.

NOV chief Clay Williams said during the company’s fourth quarter conference call that NOV’s global workforce, including contract labor, declined 21 percent in 2015.

“Restructuring will continue through the first half of 2016 and perhaps longer in view of the challenging market,” Williams said.

The Houston-based company has also closed 75 facilities since the middle of 2014.

Williams added that NOV is not planning for a recovery in 2016.”

The company reported a fourth quarter net income of $85 million, or $0.23 per fully-diluted share, excluding other items, down from $0.61 per fully diluted share in the third quarter of 2015 on a comparable basis.

Fourth quarter 2015 revenues fell 52 percent year-over-year to $2.7 billion on an operating profit of $141 million, or 5.2 percent of sales.

Full year 2015 revenues were $14.76 billion on a net loss of $769 million, or $1.99 per fully diluted share. (


Agelbert NOTE: Just between you and me and the fence post, when revenues fall 52 % in ONE YEAR (one quarter, my ASS!), a loss for a 14.76 billion revenue (remember that represents 52% LESS revenue!) is going to be a tad more than $769 million. I suspect the accurate figure is at least $2 billion. Just look at Chevron and otehr big oil pig losses to see why this $769 million "net loss" is happy talk accounting.


What they are DOING is called LYING through their accounting teeth to prevent more red ink on the stock value while they plan to shaft their workforce, true to the Predators 'R' US, empathy deficit disordered modus operandi of ALL Fossil Fuel Corporation Management PIGS.   (


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 11, 2016, 11:57:15 pm
Agelbert NOTE: Well, what do ya know?  ;) The DOJ, put to sleep since the Reagan 'look the other way while the seven sisters become Big Oil again' seems to have woken up after 40 years or so. THAT IS, if this is not a dog and pony show to pretend the DOJ is not bought and paid for by Big Oil. We shall keep you posted.  ;D

Breaking: DOJ files suit to block Halliburton, Baker Hughes merger

Nicolas Torres April 6, 2016

The U.S. Department of Justice filed a civil antitrust lawsuit on Tuesday to block the proposed $35 billion merger between Halliburton and Baker Hughes.

The DOJ said in a statement that the proposed transaction would eliminate “important head-to-head competition in markets for 23 products or services” used for onshore and offshore oil exploration and production in the United States.

The suit was filed in the U.S. District Court for the District of Delaware, where both companies are incorporated, and asks the court to issue a full-stop injunction.

Halliburton and Baker Hughes said Wednesday that they   ( “intend to vigorously contest the U.S. Department of Justice’s effort” to block the merger.   (

“The companies believe that the DOJ has reached the wrong conclusion in its assessment of the transaction and that its action is counterproductive, especially in the context of the challenges the U.S. and global energy industry are currently experiencing,” the companies said in a joint statement.   (

The DOJ said in its complaint that Halliburton’s proposed divestitures would not include full business units and would “be limited to certain assets, with the merged firm holding onto important facilities, employees, contracts, intellectual property, and research and development resources that would put the buyer of those assets at a competitive disadvantage.”

The DOJ also alleged that the proposed divestitures would mostly allow Halliburton to retain “the more valuable assets from either company while selling less significant assets to a third party.”

The complaint further alleges that the divestitures would “not replicate the substantial competition between the two rivals that exists today.”

During a press call, Assistant Attorney General Bill Baer said both companies earn over 90 percent of their revenues in areas where they are in direct competition with each other.

“In many of these markets, the merger would leave the industry with just two dominant suppliers – a virtual duopoly,  :evil4: :evil4:” Baer said.

Baer said that the lawsuit “should surprise no one, least of all these two companies.” 

“Halliburton  ( has been claiming publicly from day one that it can fix any and all competition concerns, here in the United States, in Europe and around the world….the more we looked, the more we became convinced that this deal is unfixable,” Baer said.

Image courtesy of the U.S. Department of Justice

Halliburton defended its proposed divestment package and said both companies “strongly believe that the proposed divestiture package, which was significantly enhanced, is more than sufficient to address the DOJ’s specific competitive concerns.”

Halliburton and Baker Hughes previously agreed to extend the time period to obtain regulatory approvals for the deal to no later than April 30, 2016, as permitted under the merger agreement.

If the judicial review extends beyond April 30, 2016, the companies may continue to seek relevant regulatory approvals or either of the parties may terminate the merger agreement.

“Halliburton and Baker Hughes look forward to a full, impartial judicial review of the pending transaction, including the sufficiency of the proposed divestitures,” the companies said.
( (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 16, 2016, 12:08:04 am
No end in sight for energy pain at Wells Fargo, Bank of America  ;D

By Sruthi Shankar and Richa Naidu


Troubles in the U.S. oil industry amplified profit pressures on Wells Fargo & Co (WFC.N) and Bank of America Corp (BAC.N) on Thursday as rising bad loans added to a tough climate for trading bonds and currencies, along with persistently low interest rates.

Wells Fargo and Bank of America, two of the biggest lenders to the U.S. oil and gas sector, each set aside hundreds of millions of dollars in additional provisions to cover souring loans to energy companies.

While the price of oil has risen off decade-lows hit in January, it is still trading around $40 a barrel, well below the $100 plus levels seen in 2014 and spelling trouble for many exploration and production firms.

Energy XXI Ltd (EXXI.O) filed for bankruptcy protection on Thursday, joining dozens of other energy companies that have done the same in recent months.

Many more are expected to follow. (  (

"Our oil and gas portfolio will continue to be impacted by the volatility and stress in the industry and it will take time to move through this part of the cycle," said Wells Fargo Chief Financial Officer John Shrewsberry.

JP Morgan Chase & Co (JPM.N) said on Wednesday it could boost its provisions to cover soured energy loans by another $500 million this year, on top of the $529 million taken in the first quarter.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 16, 2016, 08:29:34 pm
Fitch did WHAT!!?  (  (

Low oil prices prompt Fitch to downgrade Saudi Arabia credit rating  ;D

Nicolas Torres April 14, 2016

Fitch Ratings downgraded Saudi Arabia’s credit rating on Monday as the agency expects oil prices to stay well below the $50 per barrel mark over the next two years.

In a note, Fitch Ratings said it has downgraded Saudi Arabia’s long-term foreign and local currency Issuer Default Ratings (IDRs) to AA- from AA.
The agency’s outlook on the country’s long-term IDRs remains negative.

Saudi Arabia’s Country Ceiling was affirmed at AA+ and its short-term foreign-currency IDR was affirmed at F1+.

Fitch said the downgrade is partially tied to its downward revision of oil price assumptions for 2016 and 2017, a move that has “major negative implications for Saudi Arabia’s fiscal and external balances.”

Fitch is currently assuming an average Brent crude oil price of $35 per barrel in 2016 and $45 per barrel in 2017.

A widening central government deficit was also cited as a reason behind the downgrade.

The agency said that Saudi Arabia’s central government deficit widened to 14.8 percent of GDP in 2015, up substantially from a deficit level of 2.3 percent in 2014.

Fitch expects the country’s deficit-to-GDP ratio to “narrow only marginally” in 2016 and narrow “more substantially” in 2017 when oil prices are expected to post a moderate recovery.

Real GDP growth is expected to slow from 3.4 percent in 2015 to 1.5 percent in 2016 and 1.7 percent in 2017.

The kingdom’s non-oil GDP is expected to be negatively impacted by fiscal consolidation measures and “weaker confidence.”

Fitch said it considers geopolitical risks in Saudi Arabia to be “high” relative to other AA-rated peers.

“Tensions have risen between Saudi Arabia and its long-standing regional rival Iran, and are expected to persist, although a direct confrontation is highly unlikely,” Fitch said.

Structural indicators also appear to be “generally weaker than peers,” as GDP per capita and World Bank governance indicators remain “well below” peer medians.
Fitch’s outlook for Saudi Arabia’s remains negative and the agency said it “does not currently anticipate developments with a material likelihood of leading to an upgrade. ”

All 13 members of OPEC along with representatives from Russia, Oman and Bahrain will meet in Doha on Sunday to discuss a potential output freeze.

A representative from Mexico will also attend but will only observe the meeting.

Iran is expected to attend the meeting but has repeatedly said it will not support any production freezes or cuts.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 16, 2016, 08:40:47 pm

Dallas Fed: Over 20,000 oil and gas jobs lost in Q1
Nicolas Torres April 13, 2016

Tens of thousands of energy jobs were lost in the first quarter of the year, according to a new report from the Dallas Federal Reserve.

The report, published on Friday, found that oil and gas companies shed more than 20,000 jobs nationwide during the first quarter of 2016 as companies cut spends and reduced activity levels.

“Given current oil and gas prices, it is likely that many companies will continue to face difficulties in the quarter to come and beyond,” the report said.

Head of the International Energy Agency’s Oil Industry & Markets Division Neil Atkinson said this week that global capital expenditure dropped by 24 percent in 2015 and is expected to drop another 17 percent this year, marking the first back-to-back annual declines since 1986.

Those capital expenditure cuts have dragged the U.S. rig count down to 443 rigs as of April 8, the lowest level on record since Baker Hughes began tracking data in 1949.

Concerns about global economic growth and Chinese stock market volatility sent oil prices diving 25 percent in early January, according to the Dallas Fed.

While prices have recovered since the beginning of the year, Brent crude prices have yet to surge past the $45 per barrel mark.

The International Energy Agency said in its most recent monthly oil report that global oil supplies eased by 180,000 barrels per day in February to 96.5 million barrels per day on lower OPEC and non-OPEC output.

However, February production levels still stood at about 1.8 million bpd above year ago levels after a slight drop in non-OPEC production was “more than offset” by larger OPEC volumes.

Natural gas prices have also hovered near multi-decade lows as unseasonably warm weather reduced demand during the winter.

Natural gas spot prices averaged about $2 during the first quarter, one of the lowest prices seen since the 1970s after adjusting for inflation, the Dallas Fed said.

OPEC members as well as representatives from Russia, Oman and Bahrain will meet in Doha on Sunday to discuss a potential production freeze plan.

A representative from Mexico will also attend but only to observe the meeting.

However, Iranian officials have insisted their country will not participate in a production freeze agreement, a potential sticking-point with other major OPEC producers including Saudi Arabia.

“Whether an agreement is reached or not, it remains unclear if the freeze would change the supply outlook for 2016 without Iran’s participation. The other countries are unlikely to significantly boost supply in 2016 and, in several cases, appear to be currently producing at very high levels,” the Dallas Fed said.

Iranian production posted the largest gain of any OPEC country in March after growing by 110,000 bpd month-over-month to 3.23 million bpd as the country looks to regain market share now that Western sanctions have been lifted.

Overall, OPEC production rose to 32.38 million bpd last month after adding 40,000 bpd as production growth in Iran, Iraq and Angola offset dips in the United Arab Emirates, Libya, Nigeria and Venezuela.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 16, 2016, 09:33:40 pm
World Largest Wealth Fund Drops 52 Companies Linked to Coal      (

Climate Nexus | April 15, 2016 8:52 am 

Norway’s sovereign wealth fund sold shares worth $2.3 billion in 52 coal-dependent companies, the country’s central bank announced Thursday.


Greenpeace estimates that this was the single biggest divestment from coal yet and media called the move “a sign of the growing influence investors wield in the fight against climate change.”

The fund, worth $836 billion and currently the largest in the world, pledged in June to divest from companies that make 30 percent or more of their revenue from coal. This is the first of multiple divestment actions that the government has planned for this year.

For a deeper dive: Reuters, Bloomberg, Financial Times, AFP

For more climate change and clean energy news, you can follow Climate Nexus on Twitter and Facebook, and sign up for daily Hot News.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 16, 2016, 09:54:00 pm

40 Students Arrested Demanding Their Schools Divest From Fossil Fuels | April 16, 2016 9:25 am

As students across the country engage in nonviolent direct action calling on their administrators to divest from fossil fuels, calling out conflicts of interest embedded within their decision makers over the last two weeks.

Kicking off the month of action last Wednesday, students at Swarthmore College with Swarthmore Mountain Justice took action outside their board member’s off-campus office, calling out the personal financial ties that she and other board members have in the fossil fuel industry.

Students with Divest UMass at the University of Massachusetts-Amherst are in their sixth day of a sit-in that has already resulted in the arrests of 34 students and garnered endorsements from Sen. Benjamin Downing, legislators Sen. Jamie Eldridge and Rep. Marjorie Decker, numerous academic departments and faculty members and presidential candidate Jill Stein.

“Four years after first launching our campaign, over 100 UMass students, faculty, alumni and community members are sitting in to call on our university to divest from all fossil fuels,” Mica Reel, a student at the University of Massachusetts-Amherst, said.

Following the announcement that Chairman Woolridge and President Meehan would publicly endorse the students’ demands, the campaign announced that it would continue taking action until administrators took action in the form of a proposal moving forward divestment.

More than 500 students, faculty, alumni and community members having participated in their action over the past several days.

Exactly one year to the day that four students were arrested in protesting for fossil fuel divestment, the University of Mary Washington committed to divesting 98 percent of its endowment from the top 200 fossil fuel companies, making it the first public university in the South to divest.

After five years of public pressure to divest their $25.6 billion endowment from fossil fuels, Yale University became the first Ivy League to move towards divestment, taking initial steps of divesting $10 million from coal and tar sands.   ( ;D

Just one year ago, Yale administrators’ refusal to consider divestment culminated in the arrest of 19 students.

“It’s important to recognize this as a victory, and it is important that we keep fighting for what we believe in and don’t rest until we start to see concrete change at Yale,” Arabelle Schoenberg of Fossil Free Yale said. “We are going to keep fighting until we divest the rest. Universities and people in power are starting to hear us, they’re starting to see us, they’re starting to listen.”

Exactly one year since students participated in Harvard Heat Week, a week-long sit-in outside Massachusetts Hall, four students with Divest Harvard at Harvard University were arrested for sitting in at the Federal Reserve Bank building, home to the offices of the Harvard Management Company.

“A number of schools have already divested from fossil fuels. Meanwhile, Harvard hasn’t divested at all   (,” Jonathan Hiles, a student at Harvard University, said.


“Instead it’s making a large investment to support struggling fossil fuel companies   ( and get them back to business as usual disrupting the climate  ( Harvard Management Company  ( contributing to the climate crisis even as it threatens to submerge parts of Boston within our lifetimes.”

On Thursday, in the wake of arrests at UMass and Harvard and a victory on divestment at Yale, students launched a sit-in at Columbia University outside of the office of the president of the university, calling on President Bollinger to meet with them immediately and issue a statement in support of divestment.
This wave of on-campus escalation will continue over the next month with actions at Bowdoin College, the University of Montana and more. ( 

In just three weeks, the global fossil fuel resistance movement will participate in Break Free, an unprecedented global mobilization to demonstrate the global resolve to transition off fossil fuels and build the new kind of economy that we know is possible—one centered on a just transition to 100 percent renewable energy now.  (

( Fossil Fuels IS SUICIDE%5E_%5E.gif)
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 16, 2016, 10:35:08 pm
OPEC trims 2016 global demand forecast  ;D

Staff Writers April 15, 2016

Just days before OPEC members will meet to discuss a production freeze the group has trimmed its 2016 global demand forecast.

In OPEC’s latest monthly oil market report, global oil demand is now expected to grow by 1.54 million barrels per day, down by about 50,000 bpd   ( from the group’s previous forecast.

The downward revision is tied to “slower economic momentum in Latin America.”    ( (

Total global oil consumption is expected to hit 94.18 million bpd in 2016.

World oil demand grew by an estimated 1.54 million bpd in 2015, with total oil consumption reaching an average 92.98 million bpd, the report said.

The group’s non-OPEC supply growth estimate for 2015 has been revised up to 1.46 million bpd to an average 57.13 million bpd.

Non-OPEC oil supplies are expected to contract “slightly more” in 2016 than previously forecast, with output slated to decline by 730,000 bpd to an average of 56.39 million bpd.

OPEC natural gas liquids production is expected to grow by 170,000 bpd in 2016, up from 150,000 bpd in 2015.

Demand for OPEC crude in 2015 was estimated at 29.7 million bpd, unchanged from the previous month and 100,000 bpd than the previous year.

In 2016, demand for OPEC crude is projected to stand at 31.5 million bpd, broadly unchanged from the group’s previous report and 1.8 million bpd higher than 2015.

The value of the OPEC reference basket was up more than 20 percent in March and was hovering near $40 per barrel at the end of the month, the report said.

“Although fundamentally nothing has changed much , as oversupply persists, positive market sentiments ( continue to arise from the output freeze plan being considered by major crude exporters,” the report said. (

OPEC members along with representatives from Russia, Oman and Bahrain will meet in Doha on Sunday to discuss a potential production freeze plan.  (   (

A representative from Mexico will also attend but only to observe the meeting.

Agelbert NOTE: SEE BELOW the REAL outlook for OPEC (and all other fossil fueler) profit over planet hopes...
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 20, 2016, 02:05:51 pm

Global oil glut causing huge supertanker traffic jams  ;D

Staff Writers April 18, 2016

The global oil supply glut has already dragged prices to multi-year lows and is now causing huge traffic jams at some of the world’s largest ports.

According to Reuters, a sharp increase in the number of oil supertankers moving crude to the Middle East and Asia is creating huge traffic jams at major ports costing about $6.25 million per day.

The congestion has also caused delays as long as one month, throwing off delivery schedules and eating into profits.

Head of research at shipbroker Banchero Costa Ralph Leszczynski told Reuters the tanker traffic jams are being driven by “a perfect storm of red-hot demand from new entrant refineries in China and port infrastructure in the Middle East and Latin America that is unable to cope.”

The queued supertankers are holding an estimated 200 million barrels of crude worth about $7.5 billion at current prices, Reuters said.

If the ships waiting to offload their cargoes were lined up end-to-end the line would stretch out over 20 nautical miles, Reuters added.

According to the U.S. Energy Information Administration, OECD commercial crude oil and other liquid fuels inventories totaled 3.05 billion barrels at the end of 2015, equivalent to roughly 66 days of consumption.

OECD inventories are forecast to rise to 3.22 billion barrels at the end of 2016 and are expected to hit 3.25 billion barrels at the end of 2017.

Crude prices have fallen by about 6 percent since the middle of the week as investors wait to see if a production freeze deal materializes at an OPEC meeting to be held this weekend in Doha. *

Surging Iranian production helped push total OPEC production to over 32 million barrels per day in March.

Iran has been reluctant to endorse a production freeze deal as it looks to regain market share now that Western sanctions have been lifted.

“Neither Iran nor Iraq has made firm commitments to the Doha talks on April 17, but their collective stance could be a decisive element regarding any agreement over a production freeze,” Platts senior editor Eklavya Gupte said earlier this week.
U.S. crude production dipped by 90,000 bpd month-over-month to an average of 9 million bpd in March, according to the EIA.

A production decline in the Lower 48 is expected to push U.S. production down to an average 8.6 million bpd in 2016 and 8.0 million bpd in 2017, a drop of about 100,000 bpd from the EIA’s February forecast.

* Agelbert NOTE: No agreement was reached. Iran gave them the finger. I'm sure Iraq is NOT in any mood to lower production either. This is good.

WHY? Because there is NO MONEY  ( to buy governments, order new rigs, run the current ones and explore for more fossil fuels.  ;D

In the 1980's the low process spurred more sales.    ( But NOW the Renewable Energy revolution PLUS the rapid climate change effects is spurring people to SHUN fossil fuels, even at bargain basement prices. (


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 21, 2016, 03:17:18 pm
A view of a Keppel Corporation shipyard.

Keppel Profit Drops as Oil Slump Delays Offshore Projects  ;D

April 18, 2016 by Bloomberg
REUTERS/Edgar Su By Kyunghee Park

(Bloomberg) — Keppel Corp., the world’s largest builder of oil rigs, reported a 41 percent decline in first-quarter profit as weak oil prices led to delivery delays of offshore projects.

Net income dropped to S$211 million ($156 million) from S$360 million a year earlier, Keppel said in a statement Monday. Sales slumped 38 percent to S$1.7 billion from S$2.8 billion. The higher contribution from its property business at 47% helped to partially offset lower profits from offshore and marine sectors, the company said in the statement.

Oil companies and rig operators face rising debt and spending cuts, and have abandoned orders or asked shipyards to delay deliveries of offshore drilling rigs and production facilities.

That’s caused shipyards to post losses or smaller profits after writing off costs from projects under construction, and demand has fallen with crude prices still less than half of what they were three years ago.

“The sustained low oil price environment continues to take a toll on the global oil and gas industry, which is in the midst of one of the most severe downturns in recent years,” Chief Executive Officer Loh Chin Hua said in the statement.

Keppel fell 2 percent to close at S$6 Monday before the earnings announcement. The stock has fallen 7.8 percent this year.

Brazil Challenge

Keppel and its smaller rival Sembcorp Marine Ltd. also face risks from Brazil, where debt-ridden Sete Brasil Participacoes SA accounts for a combined $10.5 billion in orders for semi-submersibles and drill ships at the two companies. Sete Brasil fell into financial distress after it was unable to secure long-term financing and its only client state-run oil producer Petroleo Brasileiro SA, or Petrobras, faced allegations of kickbacks

Keppel wrote off S$230 million in the fourth quarter over delinquent projects.

Brazil, which has traditionally been one of the company’s key markets, “continues to be mired in economic and political challenges,” Loh said.

Keppel stopped construction work for Sete Brasil and won’t resume until payment commences, Loh said.

Oil prices have plunged more than 60 percent over the past two years amid a supply glut and slower growth in China. Brent crude fell 4.2 percent to $41.29 a barrel as of 4 p.m. in Singapore Monday. Members of the Organization of Petroleum Exporting Countries and other producers ended talks over the weekend without any agreement to limit output.

More than $400 billion of proposed energy projects ( have been delayed since mid-2014   (   (
and pushed into 2017 and beyond as oil prices dropped, according to consulting firm Wood Mackenzie Ltd.

© 2016 Bloomberg L.P
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 21, 2016, 03:27:02 pm
Oil prices plunge after Kuwait ends oil worker strike  ;D

Nicolas Torres April 20, 2016

Crude prices fell more than 2 percent overnight as the end of three-day long oil worker strike in Kuwait promises to ramp up global output.

According to the Kuwait News Agency (KUNA), the workers ended their strike on Tuesday and will return to work on Wednesday morning.

The workers had been protesting planned cuts to wages and benefits.

The strike cut Kuwait’s oil production by more than half earlier this week, helping offset investor pessimism after an OPEC production freeze failed to materialize.

OPEC members along with representatives from Russia failed to agree  ( ( on a production freeze deal after meeting in Doha last weekend.

Saudi Arabia, OPEC’s largest producer, said it would not agree to a freeze unless Iran also signed on to an agreement.

Iran has repeatedly said it will not participate in a production freeze as the country looks to regain market share now that Western sanctions have been lifted.

OPEC production continues to hover above the 30 million barrel per day mark, hitting 32.3 million bpd in March on surging Iranian output, according to Platts.

OPEC trimmed its 2016 global oil demand forecast by 50,000 bpd to 1.54 million bpd on expected weakness in Latin America.

Brent crude prices fell from $44.03 per barrel at the closing bell on Tuesday to a low $42.90 per barrel early Wednesday before climbing past the $43 per barrel mark before the opening bell.

Crude inventories posted a larger than expected increase of 3.1 million bpd last week
and stood at 539.5 million barrels, according to data from the American Petroleum Institute seen by Retuers.

Renewable energy= (                                ( Fuelers
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 21, 2016, 03:39:44 pm
Supreme Court rules against state power plant subsidies (

Greg Nash
By Timothy Cama - 04/19/16 11:52 AM EDT

The Supreme Court on Tuesday ruled that Maryland overstepped its authority when it implemented a program to subsidize construction of natural-gas-fired power plants.

The court unanimously ruled that by requiring companies building such subsidized plants to set rates for certain electricity sales, Maryland improperly interfered in markets that are the sole responsibility of the Federal Energy Regulatory Commission (FERC).

“We agree with the Fourth Circuit’s judgment that Maryland’s program sets an interstate wholesale rate, contravening the FPA’s division of authority between state and federal regulators,” Justice Ruth Bader Ginsburg wrote for the court.

“By adjusting an interstate wholesale rate, Maryland’s program invades FERC’s regulatory turf.”

The ruling could put a similar program at risk in New Jersey  ;D. New Jersey’s program was also overturned by the lower courts, but Ginsburg sought to specify that the Tuesday ruling is only for Maryland.

“Nothing in this opinion should be read to foreclose Maryland and other states from encouraging production of new or clean generation through measures untethered to a generator’s wholesale market participation,” she wrote.

It’s the second win this year for FERC defending the jurisdiction of its authority. In January, the Supreme Court upheld a regulation regarding programs that reduce electricity demand during certain times.

The Natural Resources Defense Council (NRDC), which closely watched the case because it wants states to be able to shape their electricity mixes, said the narrow ruling is good.

“The Supreme Court’s decision is good news for clean energy     ( because it rejected Maryland’s program on extremely narrow grounds,” Allison Clements, director of NRDC’s Sustainable FERC Project, said in a statement. “The decision leaves states free to encourage clean energy through a wide variety of means, including by requiring long-term power purchase agreements.”
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 21, 2016, 03:49:21 pm
Dutch court strikes down $50 billion Yukos award

Nicolas Torres April 20, 2016

A Dutch court ruled Tuesday that Russia’s government does not have to pay $50 billion in compensation to the shareholders ( of the now-defunct oil firm Yukos. 

According to BBC, the Hague District Court ruled on Tuesday that the Hague’s Permanent Court of Arbitration (PCA) had no jurisdiction when it awarded the compensation in 2014. (

The Hague District Court said Russia has not ratified the treaty that the PCA used to inform its decision.

A Kremlin spokesperson told the BBC that the Russian government was pleased with the outcome.  ;D

“The Russian Federation from the very beginning of this case insisted that the decision of the tribunal didn’t take into consideration the most important aspects of international law,” the spokesperson said.

Director of GML Tim Osborne told the BBC that Yukos shareholders will appeal the decision.  ::)

GML represents some of Yukos’ largest shareholders.

The PCA based its compensation award on the value of the company in 2003, the same year that the Russian government began taking steps to seize control of the company.

Yukos declared bankruptcy in 2006, about three years after CEO Mikhail Khodorkovsky and his business partner Platon Lebedev were arrested on charges of tax fraud and tax evasion.

Although Russian officials have maintained the charges were purely a tax matter many observers believe the move was politically motivated.

Khodorkovsky served ten years in prison before receiving a pardon from Russian president Vladimir Putin 2013.

Khodorkovsky currently resides in Switzerland.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 23, 2016, 04:48:52 pm

Sete Brasil  ( heads for bankruptcy

Staff Writers April 21, 2016

Sete Brasil shareholders voted on Wednesday to allow the firm to seek bankruptcy protection.

Petrobras told Reuters that Sete Brasil shareholders voted to allow a bankruptcy protection filing after the rig firm failed to secure a long-term contract with Petrobras.

Sete Brasil is a state-owned rig firm established in December 2010 to provide vessels to Petrobras.

A source familiar with the matter told Reuters that partners who hold more than 90 percent of Sete Brasil approved the plan.

Sete Brasil told Bloomberg that shareholders had approved the plan but did not disclose further details.
Industry estimates seen by Reuters show that the bankruptcy could trigger $11.3 billion in losses and could jeopardize as many as 800,000 local shipbuilding jobs.

If Sete Brasil decides to move forward with an in-court reorganization Petrobras could be forced to compensate the rig firm’s shareholders, creditors and suppliers for its refusal to sign the long-term contract, Reuters said.

Singapore-based Keppel Corporation said in January that it has halted construction work on six new rigs for Sete Brasil after the rig firm failed to pay Keppel for over a year.

Sete Brasil has also been dragged into the ongoing Petrobras corruption scandal.

Former Petrobras director Pedro Barusco alleged in a Brazilian court last June that several shipbuilding companies paid brides to win contracts with Sete Brasil.

Agelbert NOTE: Back in 1975, I was taking a Business Administration course on Marketing through FAACOP (FAAA college program). The issue on a certain day was a formal request that U.S. GAAP (generally Accepted Accounting Procedures) be modified in order to allow U.S. corporations doing business in South America to deduct bribery business expenses.

A certain U.S. corporation claimed that bribery costs were business as usual in South America and one could not market a product successfully there unless one incurred in "business as usual" bribery. IOW, the claim was that they could not compete unless they bribed officials.

I found this amusing considering the long standing U.S. business kickback 'tradition'.  :evil4: But I did agree that South Americans certainly did demand under the table 'consulting fees' as a matter of 'respect'.  ;)  ;D 

Many people do not understand that the entire Latin bribery 'habit' was born of onerous Spanish Empire government over taxation of income for businesses and individuals in Latin America for the last 500 years or so. People affected by this abuse just found a way to 'balance the books', so to speak. (

Of course this got way out of control in the 20th century, never mind the 21st century 'creative' accounting free-for-all (crooks).

But, be that as it may, said U.S. corporation lost the fight to amend GAAP. Appearance of GAAP integrity were preserved.  ;)

You KNOW corprorations continued to do what they did in other ways. So, in a sense, the U.S. followed the time 'honored' South American tradition of gaming the tax returns and balance sheets just enough to not look TOO profitable, but also get people (who could read between the balance sheet lines) to buy the stock.

It's sort of a contest of liars.  (  ( Wall street is no different from South America in this regard.

Sete Brasil is no exception. The issue is NOT bribery here, regardless of how it is presented to try to scapegoat some bribed officials. The issue is that they are not profitable at current crude oil prices. When externalized pollution costs are figured in, they were NEVER profitable, PERIOD.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 23, 2016, 08:26:52 pm
Schlumberger ( slashes 2,000 more jobs

Nicolas Torres  April 22, 2016

Schlumberger said Thursday that it cut another 2,000 jobs in the first quarter as pretax operating income dipped 55 percent year-over-year.

The Houston-based company earned $901 million in pretax operating income in the first quarter, down 55 percent from the year ago quarter, on revenues of $6.52 billion.

A company spokesperson told Bloomberg that Schlumberger cut another 2,000 jobs in the first quarter, dropping the company’s headcount down to 93,000 as of the end of the quarter.

Schlumberger has reduced its headcount by more than 25 percent, or about 36,000 positions, since oil prices began to fall in the summer of 2014, Bloomberg said.

Schlumberger’s net income, excluding charges and credits, dove 63 percent-year-over year to $501 million while diluted earnings per share fell to $0.40 from $1.06 in the first quarter of 2015.

North American pretax operating income fell to a loss of $10 million as revenues declined 55 percent year-over-year to $1.46 billion.

International pretax operating income dropped 36 percent year-over-year to $1.062 billion on $4.97 billion in revenue, a 28 percent decline from the year ago quarter.

“During the first quarter of 2016, the decline in global activity and the rate of activity disruption reached unprecedented levels as the industry displayed clear signs of operating in a full-scale cash crisis….This environment is expected to continue deteriorating over the coming quarter given the magnitude and erratic nature of the disruptions in activity,” Schlumberger CEO Paal Kibsgaard said.

Kibsgaard added that recent spending surveys for 2016 now indicate “sharper declines than previously forecasted,” with global spending reductions approaching 25 percent in 2016.

Schlumberger’s Reservoir Characterization Group revenue declined 20 percent sequentially $1.7 billion, primarily due to seasonal winter slowdowns and project cancellations that impacted Wireline activities.

The group’s pretax operating income fell 51 percent year-over-year to $331 million.

The company’s Drilling Group saw pretax operating income decline 52 percent from the year ago quarter to $371 million on revenues of $2.49 billion.

Production Group pretax operating income dropped 62 percent year-over-year $208 million as revenue fell to $2.3 billion, down 74 percent year-over-year.

During the quarter, Schlumberger repurchased 7.1 million shares of its common stock at an average price of $67.34 per share for a total purchase price of $475 million.

Agelbert NOTE: Please be cognizant of the FACT that, had these corporate crooks NOT gotten into the stock repurchase head fake game to DELIBERATELY make the company valuation look healthy, when the truth is they are drowning in a torrent of red ink, the present "value" of the stock would be a lot less. IOW, they are NOT worth what they are selling for.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 23, 2016, 10:53:40 pm
Sounds about right, considering the drop off in overall activity.

And they'll still be around when the next upswing arrives. Just like they were in 2009. And in 2000. And in 1991. And in 1977. And so on and so forth, back before my time.

I guess you are talking about the Schlumberger gamed stock price, not what Antonia Juhasz said about BP's "settlement".   ;)

Does that mean you are no longer "all in cash"? Tell us, what percentage of your retirement 401K is tied up in  fossil fuel industry stocks?

I was THERE in 1977, 1991, 2000 and 2009. I wish you would stop trying to pretend nobody was there but your highness. Your assumption of being the only one privy to fossil fuel industry stock valuations is tiresome.

You believe fossil fuels have a future and are profitable. You claim that is based on thermodynamics, ERoEI and the energy use history of human civilization over the last 150 years or so. I claim your BELIEF is based on cherry picking facts out of the whole fossil fuel energy enchilada from exploration to exploitation to distribution and use.  (

Furthermore, the fossil fuel energy based world you BELIEVE worked for "all of us" is actually a world that worked to degrade our biosphere while it diminished democracy. IOW, the truth is that it worked for a few of us to the detriment of most life forms on the planet, including those humans who endured the wars for oil, coal power plant burning diseases, flaring toxic gases from refineries, land and ocean based oil rigs, the methane leaks from EVERY whole punched in the ocean bottom looking for oil and of course the CO2 global warming.

You have this amazing capacity to ignore all that reality and all the costs associated with that reality as if, according to you, it would have been "a lot worse" if we had not gone the fossil fuel route in 1880 or so.

It's possible. But you cannot claim that is anything but a theory on your part. We DIDN'T go the Renewable Energy route in 1880. We DID go the fossil fuel route. ALL the polluting downsides from fossil fuels are justified by people like you because you escaped poverty and coal mines by working for big oil and becoming a fracker later on.

You did great. Good for you. In your shoes, I might have done the same. I was every bit as much a fossil fueler as you are until the 1980's when I went back to college and studied for a BS with a major in biology (pre-med).

Unlike me, you got subsidy babied by Reagan and Bush and Clinton and Shrub AND Obama! So all those time periods you mention, when things got a little slow but came back, were subsidy BAIL OUTS not based on truly competitive energy product economics or actual ERoEI (with environmental cause and effect math energy costs figured in) numbers whatsoever.

You made money so your belief system was bolstered while the environment got steadily more degraded.    (

The fact is that the polluting product you continue to defend never has done great, when all the ACTUAL costs are figured in.

But back to Schlumberger, 5 will get you ten that the repurchases done to pad the stock price were done on margin and with interest rate terms NOT available to you or I.  Considering how involved the banks are with the fossil fuel industry, they might even be negative interest giveaways.

You probably know about fun and games like that but think it's all part of the 'proper' price discovery mechanism.  (

I don't think so.

Meanwhile, when you consider the future of the fossil fuel industry profits in the light of their flaring HABIT, I suggest you look into the background noise going on with the flaring issue  ;D. Your beloved industry is going to get some very inconvenient rules strapped on them within a year that will force them to severely curtail flaring.

You KNOW how THAT is going to hurt their bottom line.  (  (

You may claim it will not and everything is going to be hunky dory.

I don't think so. Have a nice day.  (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 26, 2016, 06:39:55 pm
Halliburton slashes 6,000 more jobs

Nicolas Torres  April 25, 2016
Halliburton confirmed Friday that it cut another 6,000 jobs during the first quarter.

Halliburton chairman and CEO David Lesar said the company cut the jobs in response to low oil prices and falling rig counts.

“Responding to the reality of the market, we force-fit our employee headcount to available activity levels. This provides sustainable structural savings without compromising our ability to add personnel to serve the market when it recovers,” Lesar said.


Since oil prices began falling in late 2014 Halliburton ( has reduced its global headcount by about one-third. (

Houston-based Halliburton
has also closed, or is currently in the process of closing, over one hundred different service points worldwide.

“These closures ranged from elimination of underutilized stock points to the consolidation of individual service centers,” Lesar said.

Lesar added that Halliburton will also reduce infrastructure it had maintained in anticipation of its pending merger with Baker Hughes. (

“We are not making any decisions that would permanently impair our logistical infrastructure, or ability to flex back up, but we see no scenario in the current market where we need this additional infrastructure,” Lesar said.  ;)
Earlier this month, the U.S. Department of Justice filed a civil antitrust lawsuit to block the proposed $35 billion merger between Halliburton and Baker Hughes.   (

The DOJ said in a statement that the proposed transaction would eliminate “important head-to-head competition in markets for 23 products or services” used for onshore and offshore oil exploration and production in the United States.

Halliburton and Baker Hughes  ( said they “intend to vigorously contest the U.S. Department of Justice’s effort” to block the merger.

The companies previously agreed to extend the time period under the merger agreement to obtain regulatory approvals to no later than April 30, 2016.

After that time, the companies can continue to seek relevant regulatory approvals or either of the parties may terminate the merger agreement.

Halliburton’s total company revenue fell to $4.19 billion for the first quarter of 2016, down from $7.05 billion a year ago.

The company’s Completion and Production segment booked an operating income of $30 million, down from $462 million in the year ago quarter  :o  ;D, on $2.32 billion in revenues.

The Drilling and Evaluation segment saw its operating income fall to $241 million in the first quarter compared to $306 million a year ago as the segment’s revenues dipped to $1.87 billion from $2.80 billion in the year ago quarter.

North America operating income fell to a loss of $39 million on $1.79 billion in revenues.

Latin America operating income dropped to $48 million, down from $122 million a year ago, on $541 million in revenues.

Europe/Africa/CIS operating income fell to $57 million on revenues of $778 million, down from $1.09 billion in the first quarter of 2015.

Middle East/Asia operating income ticked down to $205 million on $1.08 billion in revenues.

Halliburton has pushed its first quarter conference call back from April 25 to May 3. (   ( (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 27, 2016, 07:55:51 pm
Could Chevron  ( be headed for a cash crunch?  (  ( 

Staff Writers  April 27, 2016


Chevron could be headed for a cash crunch after years of big spending when oil prices were high are now catching up with the firm.

According to Seeking Alpha, Chevron’s dividend currently costs about $8.1 billion per year but available cash has declined from about $20 billion in 2012 to just over $11 billion currently.

Chevron reported  a loss of $588 million fourth quarter loss, or $0.31 per diluted share, down significantly from earnings of $3.5 billion in the fourth quarter of 2014.

Full year 2015 earnings fell  to $4.6 billion, or $2.45 per diluted share, down from $19.2 billion, or $10.14 per diluted share, in 2014.

While low oil prices are partially to blame for Chevron’s cash woes mounting debt could also pose a problem.   ( 

The company added $10.7 billion to its debt load last year, three years after its debt level surpassed its cash level, Seeking Alpha said.

Dividend payments could also start to weigh on Chevron’s bottom line.  (

Chevron’s dividend payout ratio currently stands at 175 percent if the company doesn’t cut its dividend, Seeking Alpha said.

At that ratio, Chevron will have to pay out nearly double its 2015 earnings in dividends.

CEO John Watson acknowledged in Feburary that earnings were “down significantly from the previous year” and said the company is “taking significant action to improve earnings and cash flow in this low price environment.”  (  (

Chevron earned $6 billion in proceeds from asset sales in 2015 and has said it has planned further sales for 2016 to 2017.

The company confirmed in Feburary that it will speed up divestitures from its mature shallow water assets in the Gulf of Mexico as it looks to trim expenses and focus on deepwater assets.

The privately held fund founded by famed investor George Soros confirmed that same month that it sold all of its shares in Chesapeake Energy, Chevron and NRG Energy in the fourth quarter 2015.

News of the sell off came just two weeks after T. Boone Pickens revealed that he has exited all of his oil and gas holdings.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 27, 2016, 08:25:15 pm
BP sinks to $583 million Q1 loss  (

icolas Torres  April 27, 2016

BP reported a $583 million loss in the first quarter as low oil prices continued to squeeze upstream profits.

The company reported a $583 million loss in the first quarter compared to a $2.60 billion profit a year ago and a replacement cost (RC) loss of $485 million, down from a RC profit of $2.10 billion in the first quarter of 2015.

RC loss per ordinary share came in at $2.63, down from an $11.54 per share profit in the same quarter last year.

First quarter underlying replacement cost profit fell to $532 million from $2.57 billion in the first quarter of 2015.

Underlying replacement cost profit per ordinary share stood at $2.88, down from $14.14 per share in the year ago quarter.

Cumulative restructuring charges from the beginning of the fourth quarter of 2014 totaled $1.9 billion by the end of the first quarter of 2016, BP said.

All amounts, including finance costs, relating to the Deepwater Horizon were treated as non-operating items, with a net pre-tax charge of $917 million for the first quarter.

BP said it has agreed to simplified and accelerated procedures for processing business economic loss claims tied to the Deepwater spill that is reflected in the quarter’s charge.

“It is still not possible to reliably estimate the remaining liability for these claims and BP continues to review this each quarter,” the company said.

Net cash provided by operating activities for the first quarter held steady from year ago levels at $1.9 billion.

Excluding amounts related to the Deepwater spill, net cash provided by operating activities for the first quarter was $3 billion, up from $2.5 billion for the same period in 2015.

The company’s upstream unit fell to a $1.23 billion loss before interest and tax compared to a $390 million profit in the first quarter of 2015.

Downstream profits before interest and tax climbed to $1.78 billion in the first quarter, up from a $644 million loss in the fourth quarter of 2015 but still down compared to a $2.78 billion profit a year ago.

BP earned a $62 million profit before interest and tax from its stake in Russia’s Rosneft in the first quarter, down from $221 million in the same period last year.

Production for the quarter climbed 5.2 percent year-over-year to 2.428 million barrels of oil equivalent per day.

BP said it expects second quarter 2016 reported production to be lower than the first quarter, reflecting PSA entitlement impacts and seasonal turnaround and maintenance activity.

“Market fundamentals continue to suggest that the combination of robust demand and weak supply growth will move global oil markets closer into balance by the end of the year,” BP CEO Bob Dudley said. (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 27, 2016, 09:12:37 pm
Exxon’s Rating and Credibility Gets a Downgrade: Standard & Poor’s cut ExxonMobil’s AAA rating on Tuesday, a move that the oil giant had been fighting against since S&P's warning in February.

The downgrade follows a series of decisions under CEO Rex Tillerson  ( that set the company back, including a making major bet on natural gas before the market collapsed, a partnership with a Russian crude driller that left $1 billion stranded, and $54 billion spent on stock buybacks despite the company's growing debt load.

Yet these missteps were secondary to concern that Exxon isn’t finding new discoveries to replace its oil production.  ;D

“In our view, the company’s greatest business challenge is replacing its ongoing production,” said S&P.  (


Adding to Exxon’s bad day, DeSmogBlog also revealed that the Canadian affiliate of Exxon knew since the late 1970s that CO2 pollution was a global threat and yet Exxon continued to actively fuel climate change denial.

Documents published yesterday reveal the strongest warnings about the dangers of fossil fuels yet, saying, “there is no doubt that increases in fossil fuel usage…are aggravating the potential problems of increased CO2 in the atmosphere.” The memo was distributed internationally to managers across Exxon’s corporate offices. ( DeSmogBlog (, National Observer, Bloomberg, Wall Street Journal $, USA Today, Forbes, Reuters, CNBC)

As you saw with the Schlumberger stock repurchase SCAM to keep the stock price from cratering, Exxon is even deeper in this effort to fool the stock market. A glance at the year to date performance of Exxon compared with just about every oil pig out there is proof that they have been gaming the price. $54 billion can do a LOT of gaming!  (  (

The EXXON ( stock price has been ARTIFICIALLY PADDED    ( to keep it from dropping about 25%  (just look at the one year performance of all the other oil pigs to see what I mean).

In Other Words, EXXON is a (see below):


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 28, 2016, 03:56:01 pm
"A world in which “peak oil demand,” rather than “peak oil,” will shape the consciousness of major players" - Michael T. Klare

The Beginning of the End of the Old Oil Order   (

Michael Klare, TomDispatch | April 28, 2016 10:42 am

Michael T. Klare, a TomDispatch regular, is a professor of peace and world security studies at Hampshire College and the author, most recently, of The Race for What’s Left. A documentary movie version of his book Blood and Oil is available from the Media Education Foundation. Follow him on Twitter at @mklare1.

Sunday, April 17 was the designated moment. The world’s leading oil producers were expected to bring fresh discipline to the chaotic petroleum market and spark a return to high prices. Meeting in Doha, the glittering capital of petroleum-rich Qatar, the oil ministers of the Organization of the Petroleum Exporting Countries (OPEC), along with such key non-OPEC producers as Russia and Mexico, were scheduled to ratify a draft agreement obliging them to freeze their oil output at current levels. In anticipation of such a deal, oil prices had begun to creep inexorably upward, from $30 per barrel in mid-January to $43 on the eve of the gathering. But far from restoring the old oil order, the meeting ended in discord, driving prices down again and revealing deep cracks in the ranks of global energy producers. (    (

Whatever the fate of the Saudi royals, if predictions of a future peak in world oil demand prove accurate, the debacle in Doha will be seen as marking the beginning of the end of the old oil order.

It is hard to overstate the significance of the Doha debacle (

At the very least, it will perpetuate the low oil prices that have plagued the industry for the past two years, forcing smaller firms into bankruptcy and erasing hundreds of billions of dollars of investments in new production capacity. It may also have obliterated any future prospects for cooperation between OPEC and non-OPEC producers in regulating the market. Most of all, however, it demonstrated that the petroleum-fueled world we’ve known these last decades—with oil demand always thrusting ahead of supply, ensuring steady profits for all major producers—is no more. Replacing it is an anemic, possibly even declining, demand for oil that is likely to force suppliers to fight one another for ever-diminishing market shares

The Road to Doha

Before the Doha gathering, the leaders of the major producing countries expressed confidence that a production freeze would finally halt the devastating slump in oil prices that began in mid-2014. Most of them are heavily dependent on petroleum exports to finance their governments and keep restiveness among their populaces at bay. Both Russia and Venezuela, for instance, rely on energy exports for approximately 50 percent of government income, while for Nigeria it’s more like 75 percent. So the plunge in prices had already cut deep into government spending around the world, causing civil unrest and even in some cases political turmoil.

No one expected the April 17 meeting to result in an immediate, dramatic price upturn, but everyone hoped that it would lay the foundation for a steady rise in the coming months. The leaders of these countries were well aware of one thing: to achieve such progress, unity was crucial. Otherwise they were not likely to overcome the various factors that had caused the price collapsein the first place. Some of these were structural and embedded deep in the way the industry had been organized; some were the product of their own feckless responses to the crisis.

On the structural side, global demand for energy had, in recent years, ceased to rise quickly enough to soak up all the crude oil pouring onto the market, thanks in part to new supplies from Iraq and especially from the expanding shale fields of the United States. This oversupply triggered the initial 2014 price drop when Brent crude—the international benchmark blend — went from a high of $115 on June 19 to $77 on November 26, the day before a fateful OPEC meeting in Vienna. The next day, OPEC members, led by Saudi Arabia, failed to agree on either production cuts or a freeze, and the price of oil went into freefall.

The failure of that November meeting has been widely attributed to the Saudis’ desire to kill off new output elsewhere—especially shale production in the U.S.—and to restore their historic dominance of the global oil market. Many analysts were also convinced that Riyadh was seeking to punish regional rivals Iran and Russia for their support of the Assad regime in Syria (which the Saudis seek to topple).

The rejection, in other words, was meant to fulfill two tasks at the same time: blunt or wipe out the challenge posed by North American shale producers and undermine two economically shaky energy powers that opposed Saudi goals in the Middle East by depriving them of much needed oil revenues. Because Saudi Arabia could produce oil so much more cheaply than other countries—for as little as $3 per barrel—and because it could draw upon hundreds of billions of dollars in sovereign wealth funds to meet any budget shortfalls of its own, its leaders believed it more capable of weathering any price downturn than its rivals.

Today, however, that rosy prediction is looking grimmer  ;D as the Saudi royals begin to feel the pinch of low oil prices, and find themselves cutting back on the benefits they had been passing on to an ever-growing, potentially restive population while still financing a costly, inconclusive, and increasingly disastrous war in Yemen.

Many energy analysts ( became convinced that Doha would prove the decisive moment when Riyadh would finally be amenable to a production freeze. Just days before the conference, participants expressed growing confidence that such a plan would indeed be adopted. After all, preliminary negotiations between Russia, Venezuela, Qatar, and Saudi Arabia had produced a draft document that most participants assumed was essentially ready for signature. The only sticking point: the nature of Iran’s participation.

The Iranians were, in fact, agreeable to such a freeze, but only after they were allowed to raise their relatively modest daily output to levels achieved in 2012 before the West imposed sanctions in an effort to force Tehran to agree to dismantle its nuclear enrichment program. Now that those sanctions were, in fact, being lifted as a result of the recently concluded nuclear deal, Tehran was determined to restore the status quo ante. On this, the Saudis balked, having no wish to see their arch-rival obtain added oil revenues. Still, most observers assumed that, in the end, Riyadh would agree to a formula allowing Iran some increase before a freeze. “There are positive indications an agreement will be reached during this meeting… an initial agreement on freezing production,” said Nawal Al-Fuzaia, Kuwait’s OPEC representative, echoing the views of other Doha participants.

But then something happened.  ;D According to people familiar with the sequence of events, Saudi Arabia’s Deputy Crown Prince and key oil strategist, Mohammed bin Salman, called the Saudi delegation in Doha at 3:00 a.m. on April 17th and instructed them to spurn a deal that provided leeway of any sort for Iran. When the Iranians—who chose not to attend the meeting—signaled that they had no intention of freezing their output to satisfy their rivals, the Saudis rejected the draft agreement it had helped negotiate and the assembly ended in disarray. ( (    (

Geopolitics  ( to the Fore

Most analysts have since suggested that the Saudi royals simply considered punishing Iran more important than lowering oil prices. No matter the cost to them, in other words, they could not bring themselves to help Iran pursue its geopolitical objectives, including giving yet more support to Shiite forces in Iraq, Syria, Yemen, and Lebanon. Already feeling pressured by Tehran and ever less confident of Washington’s support, they were ready to use any means available to weaken the Iranians, whatever the danger to themselves.

“The failure to reach an agreement in Doha is a reminder that Saudi Arabia is in no mood to do Iran any favors right now and that their ongoing geopolitical conflict cannot be discounted as an element of the current Saudi oil policy,” said Jason Bordoff of the Center on Global Energy Policy at Columbia University.

Many analysts also pointed to the rising influence of Deputy Crown Prince Mohammed bin Salman, entrusted with near-total control of the economy and the military by his aging father, King Salman. As Minister of Defense, the prince has spearheaded the Saudi drive to counter the Iranians in a regional struggle for dominance. Most significantly, he is the main force behind Saudi Arabia’s ongoing intervention in Yemen, aimed at defeating the Houthi rebels, a largely Shia group with loose ties to Iran, and restoring deposed former president Abd Rabbuh Mansur Hadi. After a year of relentless U.S.-backed airstrikes (including the use of cluster bombs), the Saudi intervention has, in fact, failed to achieve its intended objectives, though it has produced thousands of civilian casualties, provoking fierce condemnation from U.N. officials, and created space for the rise of al-Qaeda in the Arabian Peninsula. Nevertheless, the prince seems determined to keep the conflict going and to counter Iranian influence across the region.

For Prince Mohammed, the oil market has evidently become just another arena for this ongoing struggle. “Under his guidance,” the Financial Times noted in April, “Saudi Arabia’s oil policy appears to be less driven by the price of crude than global politics, particularly Riyadh’s bitter rivalry with post-sanctions Tehran.” This seems to have been the backstory for Riyadh’s last-minute decision to scuttle the talks in Doha. On April 16, for instance, Prince Mohammed couldn’t have been blunter to Bloomberg, even if he didn’t mention the Iranians by name: “If all major producers don’t freeze production, we will not freeze production.”

With the proposed agreement in tatters, Saudi Arabia is now expected to boost its own output, ensuring that prices will remain bargain-basement low and so deprive Iran of any windfall from its expected increase in exports. The kingdom, Prince Mohammed told Bloomberg, was prepared to immediately raise production from its current 10.2 million barrels per day to 11.5 million barrels and could add another million barrels “if we wanted to” in the next six to nine months. With Iranian and Iraqi oil heading for market in larger quantities, that’s the definition of oversupply. It would certainly ensure Saudi Arabia’s continued dominance of the market, but it might also wound the kingdom in a major way, if not fatally.

A New Global Reality

No doubt geopolitics played a significant role in the Saudi decision, but that’s hardly the whole story. Overshadowing discussions about a possible production freeze was a new fact of life for the oil industry: the past would be no predictor of the future when it came to global oil demand. Whatever the Saudis think of the Iranians or vice versa, their industry is being fundamentally transformed, altering relationships among the major producers and eroding their inclination to cooperate.

Until very recently, it was assumed    (  ( that the demand for oil would continue to expand indefinitely, creating space for multiple producers to enter the market, and for ones already in it to increase their output. Even when supply outran demand and drove prices down, as has periodically occurred, producers could always take solace in the knowledge that, as in the past, demand would eventually rebound, jacking prices up again. Under such circumstances and at such a moment, it was just good sense for individual producers to cooperate in lowering output, knowing that everyone would benefit sooner or later from the inevitable price increase.

But what happens if confidence in the eventual resurgence of demand begins to wither?  Then the incentives to cooperate begin to evaporate, too, and it’s every producer for itself in a mad scramble to protect market share.  (  This new reality—a world in which “peak oil demand,” rather than “peak oil,” will shape the consciousness of major players—is what the Doha catastrophe foreshadowed.  ( (

At the beginning of this century, many energy analysts were convinced that we were at the edge of the arrival of “peak oil”; a peak, that is, in the output of petroleum in which planetary reserves would be exhausted long before the demand for oil disappeared, triggering a global economic crisis. As a result of advances in drilling technology, however, the supply of oil has continued to grow, while demand has unexpectedly begun to stall. This can be traced both to slowing economic growth globally and to an accelerating “green revolution” in which the planet will be transitioning to non-carbon fuel sources. With most nations now committed to measures aimed at reducing emissions of greenhouse gases under the just-signed Paris climate accord, the demand for oil is likely to experience significant declines in the years ahead.

In other words, global oil demand will peak long before supplies begin to run low, creating a monumental challenge for the oil-producing countries.


This is no theoretical construct. It’s reality itself.  ;D Net consumption of oil in the advanced industrialized nations has already dropped from 50 million barrels per day in 2005 to 45 million barrels in 2014. Further declines are in store as strict fuel efficiency standards for the production of new vehicles and other climate-related measures take effect, the price of solar and wind power continues to fall, and other alternative energy sources come on line. While the demand for oil does continue to rise in the developing world, even there it’s not climbing at rates previously taken for granted. With such countries also beginning to impose tougher constraints on carbon emissions, global consumption is expected to reach a peak and begin an inexorable decline.  ;D

According to experts Thijs Van de Graaf and Aviel Verbruggen, overall world peak demand could be reached as early as 2020.

In such a world, high-cost oil producers will be driven out of the market and the advantage—such as it is—will lie with the lowest-cost ones. Countries that depend on petroleum exports for a large share of their revenues will come under increasing pressure to move away from excessive reliance on oil.  (

This may have been another consideration in the Saudi decision at Doha. In the months leading up to the April meeting, senior Saudi officials dropped hints that they were beginning to plan for a post-petroleum era and that Deputy Crown Prince bin Salman would play a key role in overseeing the transition.

On April 1, the prince himself indicated that steps were underway to begin this process. As part of the effort, he announced, he was planning an initial public offering of shares in state-owned Saudi Aramco, the world’s number one oil producer, and would transfer the proceeds, an estimated $2 trillion, to its Public Investment Fund (PIF). “IPOing Aramco and transferring its shares to PIF will technically make investments the source of Saudi government revenue, not oil,” the prince pointed out. “What is left now is to diversify investments. So within 20 years, we will be an economy or state that doesn’t depend mainly on oil.”

For a country that more than any other has rested its claim to wealth and power on the production and sale of petroleum, this is a revolutionary statement. If Saudi Arabia says it is ready to begin a move away from reliance on petroleum, we are indeed entering a new world in which, among other things, the titans of oil production ( will no longer  hold sway over our lives as they have in the past.

This, in fact, appears to be the outlook adopted by Prince Mohammed in the wake of the Doha debacle. In announcing the kingdom’s new economic blueprint on April 25, he vowed to liberate the country from its “addiction” to oil.” This will not, of course, be easy to achieve, given the kingdom’s heavy reliance on oil revenues and lack of plausible alternatives. The 30-year-old prince could also face opposition from within the royal family to his audacious moves (as well as his blundering ones in Yemen and possibly elsewhere). Whatever the fate of the Saudi royals, however, if predictions of a future peak in world oil demand prove accurate, the debacle in Doha will be seen as marking the beginning of the end of the old oil order.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 29, 2016, 07:21:03 pm
Business  |  Fri Apr 29, 2016 2:04pm EDT

Refining's silver lining loses luster at Exxon (
and Chevron

  |  By Ernest Scheyder
Exxon Mobil Corp and Chevron Corp on Friday reported their most dismal quarterly results in more than a decade on low oil prices and an oversupplied fuel market that hurt what had been lucrative refining margins.

As crude prices slid 60 percent from mid-2014, large integrated energy companies have touted the virtues of a business model that both produces oil and refines it. Refiners typically see profitability increase when the price of their main feedstock - oil - falls.

But growing fuel inventories
and weak demand  ( now hammering the refining industry, turning a typical advantage for integrated oil companies on its head.  ;D

First-quarter pain in the downstream units, which came after major U.S. refiners slashed the amount of cheap crude they were processing in February, is a sign the road ahead for oil majors may turn even rockier. Their upstream exploration and production units have been reeling for months from the crude price crash.

Both Exxon and Chevron sought in Friday conference calls with investors and analysts to downplay the weakness in their refining units.

Chevron Chief Financial Officer Pat Yarrington acknowledged lower worldwide refining margins on the call.

Jeff Woodbury, Exxon's vice president of investor relations, blamed the weak results on lower demand and high inventories of refined gasoline and other products after a relatively warm North American winter.
Lower profits from Exxon and Chevron's refining divisions contributed to weaker overall results for both companies.

Exxon's net income fell 63 percent to $1.81 billion, its lowest since 1999, although analysts had expected a bigger drop.

Chevron, the second-largest U.S. oil company behind Exxon, reported a net loss of $725 million, compared with a year-earlier net profit of $2.57 billion. The loss was the biggest since 2001, and earnings before special items missed Wall Street estimates.

Exxon shares were up 0.2 percent at $88.20 in afternoon trading, while Chevron fell 0.8 percent to $101.59.
For the past six years, U.S. refiners from Texas to Philadelphia have bought every barrel of crude they could lay their hands on to cash in on a golden era of healthy margins.

But those are fast disappearing. Among refiners, Marathon Petroleum Corp barely eked out a profit in the first quarter, and Phillip 66's consolidated earnings fell by more than half a billion dollars to $385 million.

Profits were down by nearly half at $906 million at Exxon's refining unit and at $735 million at Chevron's.
In February, at least five U.S. refiners have voluntarily reduced output of fuels in the most widespread cuts since the global financial crisis.

Independent refiners including Valero Energy Corp, PBF Energy Inc, Philadelphia Energy Solutions and Monroe Energy, a unit of Delta Air Lines Inc, have curbed output, capitulating to record stockpiles and sluggish demand.

Exxon has also cut the amount of crude it processes at one Texas refinery.

While so-called run cuts are common for maintenance, they are rare for purely economic reasons.

If the closures gather pace and refineries curb their purchases of crude further, this will heap further pressure on oil prices exploration and production companies can command.

(Reporting by Ernest Scheyder; Editing by Terry Wade and Lisa Von Ahn)
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 29, 2016, 08:13:02 pm
Maritime NewsgCaptain

Samsung Heavy Industries Loses $4.6 Billion  ( Order

April 28, 2016 by Bloomberg

By Kyunghee Park

(Bloomberg) — Samsung Heavy Industries Co., the world’s third-largest shipbuilder, said an order to build three floating liquefied natural gas production facilities was canceled after the energy development project was scrapped amid a plunge in oil prices.

The contract, valued at 5.27 trillion won ($4.6 billion), from Royal Dutch Shell Plc (  was voided because of the current difficult  ( market conditions, the Sungnam, South Korea-based company said in a regulatory filing Thursday. The shipbuilder won the deal in June on the condition that the project will start only after the client is ready to proceed.

Oil prices that have more than halved in the last two years have forced energy companies and rig owners to cancel offshore projects and delay deliveries. As a result, shipyards in Asia such as Samsung Heavy and Singapore’s Sembcorp Marine Ltd. reported losses or smaller profits last year.

Woodside Petroleum Ltd. scrapped plans in March to develop the Browse LNG project in Australia with partners, including Shell and BP Plc, saying it won’t go ahead with the floating LNG development after completing detailed engineering and design work. The Browse partners will prepare a new plan and budget for developing the gas resources, it said.

Samsung Heavy is currently building two other floating LNG facilities for Shell and Petroliam Nasional Bhd. of Malaysia. The first project is expected to complete work at the shipyard in the second half of this year, the company said.

© 2016 Bloomberg L.P

Agelbert NOTE: Message to anyone (e. g. wishful thinkers) who labors under the belief the fossil Fuel Fascists are not a MASSIVE Credit Risk and will "recover" their "profitability" and "pay their debts": Hang on to your wallet.

Fossil Fuel Industry accountant
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 29, 2016, 08:48:34 pm
Freeport-McMoRan cutting 25 percent of oil, gas workforce

Nicolas Torres  April 29, 2016

Mining giant Freeport-McMoRan (FCX) said Tuesday that it will cut a quarter of its oil and gas workforce after posting a $4.2 billion first quarter net loss.

The company said the decision follows a formal process conducted during the first quarter “involving multiple third-party oil and gas industry and financial participants to evaluate alternatives” for its oil and gas business.

“Further weakening in oil and gas prices and negative credit and financing market conditions during first quarter had a significant unfavorable impact on the process,” the company said.

While the process did not identify a buyer for the entire oil and gas business, FCX said a number of parties have interest in select assets.

The company said it will continue to engage in discussions with parties who are interested in potential asset or joint venture transactions.

FCX said that, in the interim, it is taking immediate steps to reduce oil and gas costs further.

The Arizona-based company confirmed that it will cut its oil and gas workforce by 25 percent.

According to the Wall Street Journal, the headcount reduction plan will eliminate 325 jobs.

FCX expects to record a charge of $40 million in second quarter associated with workforce reductions and other restructuring costs.

The company is also implementing a new management structure for its oil and gas business.

“The newly structured oil and gas management team is actively engaged in managing costs and developing plans to preserve and enhance asset values,” the company said.

FCX’s cash production costs for its oil and gas operations fell to $15.85 per barrel of oil equivalent in the first quarter, down from $20.26 per BOE in first-quarter 2015 thanks to increased production from the deepwater Gulf of Mexico and ongoing cost reduction efforts.

FCX’s cash operating margin per BOE had realized revenues of $23.79 per , down from $43.71 per BOE in the year ago quarter.

Cash operating margin per BOE fell to $7.94 in the first quarter, down from $23.45 per BOE a year ago.

Capital expenditures for oil and gas operations in first quarter totaled $480 million in the United States, including $258 million incurred for deepwater GOM and $225 million associated with the change in capital expenditure accruals along with $43 million primarily associated with prior period costs in Morocco.

Capital expenditures for oil and gas operations for 2016 are estimated to total $1.5 billion, excluding $800 million in idle rig costs that are expected to reduce operating cash flows.

About 90 percent of the 2016 capital budget is expected to be directed to the GOM.

FCX booked a first quarter net loss attributable to common stock of $4.2 billion, or a loss of $3.35 per share.

After adjusting for net charges totaling $4 billion, or $3.19 per share, first quarter adjusted net loss attributable to common stock totaled $197 million, or $0.16 per share.


“We believe the quality and scale of our assets provide opportunities for significant debt reduction while retaining a substantial business with attractive low-cost, long-lived reserves and resources that will enable our shareholders to benefit from improved conditions in the future,” FCX president and CEO Richard C. Adkerson said.  (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 29, 2016, 09:12:06 pm
New Report Shows ‘Natural Gas Increasingly Becoming an Unnecessary Bridge to Nowhere’

SUN DAY Campaign | April 28, 2016 10:13 am

Setting a new lopsided quarterly record, renewable sources (i.e., wind, solar, biomass and hydropower) outpaced—in fact, swamped   ( —natural gas by a factor of more than 70:1 for new electrical generating capacity placed in-service during the first three months of calendar year 2016.

“While often touted as being a ‘bridge fuel,’ natural gas is increasingly becoming an unnecessary bridge to nowhere,” noted Ken Bossong, executive director of the SUN DAY Campaign.

According to the latest just-released monthly Energy Infrastructure Update report from the Federal Energy Regulatory Commission’s (FERC) Office of Energy Projects, nine new “units” of wind provided 707 megawatts (MW), followed by 44 units of solar (522 MW), 9 units of biomass (33 MW) and 1 unit of hydropower (29 MW). By comparison, only two new units of natural gas (18 MW) came on line. There was no new capacity reported for the quarter from coal, oil, nuclear power or geothermal steam.

Further, solar (75 MW), wind (72 MW) and biomass (33 MW) accounted for 100 percent of new generating capacity reported by FERC for just the month of March. Solar and wind were the only sources of new capacity in January as well.

Renewable energy sources now account for 18.11 percent of total available installed generating capacity in the U.S.: water—8.58 percent, wind—6.39 percent, biomass—1.43 percent, solar—1.38 percent and geothermal steam—0.33 percent. For perspective, when FERC issued its very first “Energy Infrastructure Update” in December 2010, renewable sources accounted for just 13.71 percent.

Moreover, the share of total available installed generating capacity now provided by non-hydro renewables (9.53 percent) not only exceeds that of conventional hydropower (8.58 percent) but is also greater than that from either nuclear power (9.17 percent) or oil (3.83 percent).*

“While often touted as being a ‘bridge fuel,’ natural gas is increasingly becoming an unnecessary bridge to nowhere,” noted Ken Bossong, executive director of the SUN DAY Campaign. “As renewables continue to rapidly expand their share of the nation’s electrical generation, it’s becoming clear that natural gas will eventually join coal, oil and nuclear power as fuels of the past.”  (

* Note that generating capacity is not the same as actual generation. Electrical production per MW of available capacity (i.e., capacity factor) for renewables is often lower than that for fossil fuels and nuclear power.

According to the most recent data provided by the U.S. Energy Information Administration (EIA), actual net electrical generation from utility-scale renewable energy sources totaled about 14.3 percent of total U.S. electrical production as of January 31, 2016 (see:

However, this figure understates renewables’ actual contribution because neither EIA nor FERC fully accounts for all electricity generated by  distributed, smaller-scale renewable energy sources such as rooftop solar (e.g., FERC acknowledges that its data just reflect “plants with nameplate capacity of 1 MW or greater”).
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 02, 2016, 03:16:43 pm
Chevron (
 cutting 1,000 more jobs after missing earnings target  ;D

Staff Writers  May 2, 2016

Chevron said Friday that it will cut another 1,000 jobs after posting a $725 million first quarter loss.

According to the Wall Street Journal, the company will cut 1,000 jobs later this year, bringing Chevron’s total number of job cuts to 8,000 workers, or about 12 percent of its workforce.

Chevron has not disclosed further details about the cuts.

Chevron reported a loss of $0.39 per diluted share for first quarter 2016, compared with earnings of $2.6 billion, or $1.37 per diluted share, in the 2015 first quarter.

According to Seeking Alpha, Chevron was expected to post a $0.20 loss per share.

The company’s Upstream segment reported a loss of $1.45 billion, compared to $1.56 billion in earnings in the first quarter of 2015.

U.S. upstream operations incurred a loss of $850 million in first quarter 2016 compared to a loss of $460 million from a year earlier due to lower crude oil and natural gas realizations that were partially offset by lower operating expenses.

International upstream operations incurred a loss of $609 million in first quarter 2016 compared with [b]earnings of $2.02 billion a year ago[/b].

The company’s Downstream segment reported earnings of $735 million, down from $1.42 billion in earnings a year ago.

U.S. downstream operations earned $247 million in first quarter 2016 compared with earnings of $706 million a year earlier.

International downstream operations earned $488 million in first quarter compared with $717 million a year earlier.

Net charges in first quarter 2016 were $1 million, compared with $416 million in the year ago period.

Foreign currency effects decreased earnings in the quarter by $319 million, compared with an increase of $580 million a year earlier.

Sales and other operating revenues in first quarter 2016 were $23 billion, compared to $32 billion in the year-ago period.

Capital and exploratory expenditures in first quarter 2016 were $6.5 billion, compared with $8.6 billion in the corresponding 2015 period.

The board of directors of Chevron Corporation declared a quarterly dividend of $1.07 per share.

“Our efforts are focused on improving free cash flow. We are controlling our spending and getting key projects under construction online, which will boost revenues,” ( Chevron chairman and CEO John Watson (


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 02, 2016, 06:37:02 pm
Markets  |  Mon May 2, 2016 4:08pm EDT
Oil down 3 percent  :D on OPEC output hike, speculative ramp-up in Brent
NEW YORK  |  By Barani Krishnan Reuters     
Oil prices fell about 3 percent on Monday as production from the Organization of the Petroleum Exporting Countries neared all-time peaks and record speculative buying in global benchmark Brent sparked profit-taking on last month's outsized rally.

OPEC's crude production climbed in April to 32.64 million barrels per day, close to the highest in recent history, a Reuters survey showed.

Iraq's April exports from southern fields increased, as did seaborne exports from Russia, the biggest exporter outside OPEC.

Traders also cited market intelligence firm Genscape's report of a 821,969 barrel rise in stockpiles at the Cushing, Oklahoma delivery point for U.S. West Texas Intermediate (WTI) crude futures during the week to April 29.

Brent's new front-month contract, July LCOc1, settled down $1.54, or 3.3 percent, at $45.83 per barrel, hitting a session low at $45.72.
WTI CLc1 closed down $1.14 cents, or 2.5 percent, at $44.78 a barrel, after hitting an intraday low at $44.54.

"Our high side parameters for both WTI and Brent have been achieved and we would strongly suggest against purchases anywhere across the energy spectrum, especially off the weekly EIA data," said Jim Ritterbusch of Chicago-based oil markets consultancy Ritterbusch & Associates.

The U.S. Energy Information Administration (EIA) will issue on Wednesday weekly supply-demand data on oil. Cushing stockpiles aside, U.S. crude inventories as a whole likely rose by 1.4 million barrels last week, a Reuters poll of analysts found.
Speculator bets ( on higher Brent prices reached record highs last week as Brent futures gained 21.5 percent in April, their largest monthly advance in seven years.  >:( Bets on WTI futures and options also rose  (, to 10-month highs, feeding investor views that prices may have risen too far, too fast.  (

"The recent rally in oil prices that took WTI above $46 a barrel appears to have little to do with fundamentals  (
, only partially with financial factors, and possibly more to do with sentiment  ;)," BNP Paribas oil strategists Harry Tchilinguirian and Gareth Lewis-Davies said.

Morgan Stanley said it expected the drop in the U.S. rig count that helped crude prices recover to end soon as shale oil producers increase drilling. "History suggests a rig count bottom is imminent and increases are coming," it said in a note. [RIG/U]
In Brent, Monday's volume was just about half of levels seen last week, with the market in London closed for the May Day holiday.

Brent's previous front-month contract, June, settled on Friday at $48.13 a barrel, after setting a six-month high at $48.50.

With its June contract expiry, the premium for Brent's front-month versus second LCOc1-LCOc2, known as "backwardation," ended. The new front-month, July, is now at a discount, or "contango," to the second-month, August.

(Additional reporting by Libby George in LONDON; Editing by Bernadette Baum and Tom Brown)

Agelbert NOTE:
The alleged "sentiment" that caused the recent oil price rally that stalled is REALLY speculation software aided and abetted by fossil fuel fascist money. A brief look at the BILLIONS of dollars  :o the oil majors are desperately throwing at stock "repurchase" programs to keep stock prices from cratering (as they should) will give you a hint of how these crooks are attempting to game the price of their stock AND the price of oil.

It worked back in the 1980s. (

It's NOT going to work this time.



Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 02, 2016, 08:09:02 pm

It’s Off: Halliburton, Baker Hughes abandon $28 billion merger  ;D

Nicolas Torres  May 2, 2016

After months of regulatory delays the pending merger between Baker Hughes and Halliburton has collapsed.

In a statement issued on Sunday, Halliburton confirmed media reports that the merger agreement has been terminated.

“While both companies expected the proposed merger to result in compelling benefits to shareholders, customers and other stakeholders, challenges in obtaining remaining regulatory approvals and general industry conditions that severely damaged deal economics led to the conclusion that termination is the best course of action,” Halliburton chairman and CEO Dave Lesar said.

In connection with the termination of the merger agreement, Halliburton will pay Baker Hughes the termination fee of $3.5 billion by May 4.

“Today’s outcome is disappointing because of our strong belief in the vast potential of the business combination to deliver benefits for shareholders, customers and both companies’ employees,” Baker Hughes chairman and CEO Martin Craighead said.

The merger was valued at $35 billion when the deal was signed in November 2014 and was initially slated to close in the second half of 2015 before that deadline was extended to April 30.

The U.S. Department of Justice filed a civil antitrust lawsuit on April 6 to block the proposed merger between Halliburton and Baker Hughes.

The deal also faced opposition from European regulators who said they were concerned that the deal would harm competition.

Halliburton said it will discuss the termination during its previously scheduled conference call on May 3.

After the termination was announced, Baker Hughes outlined a plan to reduce costs and simplify its business.

Baker Hughes said its “taking immediate steps to remove significant costs that were retained in compliance with the former merger agreement,” with the initial phase of the cost reduction efforts is expected to result in $500 million of annualized savings by the end of 2016.

The Houston-based company also plans to use the proceeds from the breakup fee to buy back $1.5 billion worth of shares and debt totaling $1 billion.

Baker Hughes  ( also intends to refinance its $2.5 billion credit facility that expires in September 2016.

The company said it has also decided to “retain a selective footprint in its U.S. onshore pressure pumping business, while preserving the flexibility to expand for the right opportunities.”

Halliburton  (
confirmed Friday that it cut another 6,000 jobs during the first quarter, citing low oil prices and falling rig counts.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 04, 2016, 04:09:12 pm

Bankruptcies spread through oil patch, more than 175 companies are ‘high risk’   ;D

ztaff Writers  May 4, 2016

The number of U.S. oil firms filing for bankruptcies is swiftly approaching levels last seen during the telecom bust.

According to Reuters, 59 U.S. oil firms have filed for bankruptcy since prices began falling in 2014, just nine filings shy of the 68 bankruptcies filed during the telecom bust in 2002 and 2003.

Oklahoma-based Midstates Petroleum and Houston-based Ultra Petroleum became the latest firms to file for bankruptcy protection earlier this week.

A report published by Deloitte in February found that nearly 35 percent of pure-play E&Ps listed worldwide, or about 175 companies, are at a “high risk” for insolvency.

Thirty-five U.S. E&P firms with a cumulative debt of under $18 billion filed for bankruptcy protection from July 2014 to December 2015, according to Deloitte.

According to data collected by Dow Jones U.S. Oil and Gas Index and seen by Reuters,
the valuation of U.S. energy companies has declined by as much as $1.02 trillion since oil prices began sliding in 2014.   (

However, the wave of bankruptcies has not put a large dent in U.S. production as most companies continue to operate under Chapter 11 protection.  ;)  ( (

Crude production dipped 3.4 percent year-over-year in April to 9.129 million barrels per day, according to the U.S. Energy Information Administration.

According to Deloitte, more than 80 percent of U.S. E&P firms that have filed for bankruptcy since July 2014 are still operating under Chapter 11 protection.

Deloitte said the majority of those restructuring plans were approved when oil prices were around $55 to $60 per barrel.

Agelbert NOTE: Since the "restructuring" WISHFUL THINKING babying by the courts ASS-U-MEd that oil prices would continue at $55 to $60 per barrel, more than 80 percent of U.S. E&P firms that have filed for bankruptcy since July 2014 CANNOT SURVIVE at present prices, PERIOD.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 07, 2016, 04:12:39 pm
Agelbert NOTE: I explain the question mark I stuck in the headline after the story.  8)

Billionaire’s Bargain ( Reveals Risks for Offshore Oil Creditors  ( (

May 6, 2016 by Bloomberg

By Luca Casiraghi and Mikael Holter

(Bloomberg) — A bargain for shipping tycoon George Economou is bad news for creditors holding $24 billion of distressed offshore-drilling bonds.

The Greek billionaire snapped up a drillship called Cerrado for less than 10 percent of its 2011 new-build price, showing how a collapse in crude has driven down the value of offshore equipment. The industrywide slump, which stretches from helicopters to oil rigs, means lenders could end up holding collateral worth a lot less than they are owed.

“It’s shocking,” said Alex Brooks, an analyst at Canaccord Genuity Group Inc. in London. “Creditors can’t ignore anymore that the value of the assets on their loans and bonds may be lower than they previously thought.”

The sector’s financial cracks have spread in recent weeks, with Seadrill Ltd. seeking to restructure the largest debt load among offshore drillers, and Harkand Global Holdings Ltd., which is owned by Oaktree Capital Group LLC, defaulting. Helicopter operator CHC Group Ltd. has also followed rig owners Sete Brasil Participacoes SA, Hercules Offshore Inc. and Grupo Schahin into bankruptcy, as oil companies cut exploration and production.

“These are very demanding times,” said Kristin Holth, global head of shipping, offshore and logistics at DNB ASA, Norway’s biggest bank. “Liquidity will be the essential factor.”

Economou bought the Cerrado for $65 million through Ocean Rig UDW Inc., according to a statement last week. He’s chairman and chief executive officer of the New York-listed company. The vessel was sold by Schahin creditors, who seized it after the Brazilian driller filed for bankruptcy last year.

A spokesman for Ocean Rig didn’t reply to requests for comment on the deal, or to requests for an interview with Economou.

The Cerrado sale may “reverberate” across the offshore industry because it was the “first true acquisition” of an uncontracted drillship of its type during the downturn, Barclays Plc analysts led by J. David Anderson said in an April 25 note to clients. The vessel cost $680 million about five years ago, they said. Drillships are used to bore undersea oil wells.

“It’s bad news for rig operators who need to sell assets,” said Nordea Bank AB analyst Janne Kvernland. “The Cerrado deal may be used as a blueprint for similar fire-sales.”

Another drillship, the Deepsea Metro II, failed to draw any bids in an auction with a $175 million reserve price in March, according to an Evercore ISI research note. The final sale price, $210 million, is unrepresentative because the vessel was bought by a creditor, the Barclays analysts said.

Crude’s Tumble

Demand for drillships, rigs and helicopter services has slowed due to an about 60 percent tumble in crude prices since 2014. Only 325 offshore wells will be drilled worldwide this year, down from 410 last year and 595 in 2014, according to data compiled by Bloomberg Intelligence analyst Andrew Cosgrove. That’s caused rates for deepwater drillships to fall about 50 percent in the past two years to less than $300,000 a day, he said.

For companies and investors with cash, the slump may provide opportunities. The low price for Cerrado means the ship could generate an “attractive return of capital” at charter rates of little more than $200,000 a day, depending on upgrade costs, according to Fitch Ratings. Still, Ocean Rig faces a “challenge” finding a multiyear contract for the vessel because of the drilling slowdown, the ratings company said.

Distressed Rigs

Shipping billionaire John Fredriksen set up a company called Sandbox  ;)  in December to buy rigs at distressed values, according to comments he made to Norwegian newspaper Dagens Naeringsliv in December. Oslo-based Pareto Securities AS approached investors with similar plans last year, two people familiar with the matter said at the time.

A spokesman for Fredriksen’s Seadrill declined to comment on offshore-equipment prices. ( ( (

Such opportunities are little comfort to creditors holding discounted industry debt. Defaulted September 2022 bonds issued by Schahin, the former owner of the Cerrado, last traded at 14 cents on the dollar, according to Trace, the bond-price reporting system of the Financial Industry Regulatory Authority.

Such a deal!  (

The Deepsea Metro II’s previous owner told second-lien bondholders in March that they are unlikely to get any money back.
The owner of a sister ship, the Deepsea Metro I, is in talks with holders of its October 2019 notes. The company has said interest payments may be missed. Calls to Odfjell Drilling Ltd., which helped set up the companies that originally bought the ships, weren’t answered.  (

“It’s getting increasingly tough ( for operators who can’t afford to keep ships out of contract,” said Clarksons Platou Securities AS credit analyst Eirik Rohmesmo. “In the event that ships are sold through a forced sale, there may be limited recovery for creditors.”


–With assistance from Michael Bellusci.

Agelbert NOTE: The alleged "bargain" for shipping tycoon George Economou (buying the drillship called Cerrado for less than 10 percent of its 2011 new-build price) is nothing of the kind.      (

Also that corporation called "SANDBOX" set up by the other billionaire without a brain  ;D to do a little bargain sandbagging of rigs at distressed prices is a really stupid move.  (

WHY? ???

First of all, because the people  ( in the oil business ( are not known for giving stuff away. (

A transfer of ownership will give the former owner or original creditor a threadbare, but possibly legal (in the current corrupted state of the courts) excuse to default on bonds purchased based on the projected Cerrado (or other rig or drillship) oil swag revenue stream.

Those that are not happy campers with 14 cents on the dollar (or less), who wish to sue for lost bond revenue, may then be forced to go after the billionaire George Economou or the Sandbox sandbagger billionaire John Fredriksen.

IOW, the oil business is passing the buck to shipping billionaires either lacking brains or brainwashed to believe the oil prices will rebound.

I'm sure those billionaires believe the "good old days" of high oil prices will return so they can rake in a massive return on investment from their "bargain" drillship purchases.


If the oil business actually believed that, the Cerrado would not have been sold for a 90% discount.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 07, 2016, 04:56:40 pm

Weatherford International cutting another 2,000 jobs  ;D

Nicolas Torres  May 6, 2016

Weatherford International said Wednesday that it’s planning another 2,000 job cuts in an effort to cope with low oil prices.

The company said in its first quarter results that it plans to further reduce its cost structure by another 2,000 in headcount and complete the closing of five additional manufacturing and services facilities.

The company did not disclose further details about the headcount reduction.

Weatherford also confirmed that expects to close another 30 operating and other facilities by the end of 2016, with a target of completing half of those closures by the end of the second quarter.

The Houston-based company said it completed 78 percent of its previously announced 6,000 headcount reduction target during the first quarter.

Weatherford also ceased operations at four of the nine manufacturing and service facilities it expects to close this year and shut down 26 operating and other facilities in North America.

The company reduced its full year capital expenditures forecast to $250 million, 63 percent lower than its 2015 spending level and 83 percent below its spend in 2014.

“During the first half of 2016, we are confronted with an unusually severe market contraction characterized by extremely low levels of customer activity and punitive pricing. We are managing our operations with more cost rationalization, cash discipline and an intensified sales drive, helping our customers improve efficiencies and economics,” Weatherford chairman, president and CEO Bernard J. Duroc-Danner said.

Weatherford’s first quarter revenue fell to $1.59 billion from $2.79 billion in the first quarter of 2015.

GAAP net loss for the first quarter of 2016 was $498 million, or a net loss of $0.61 per share.

Net loss on a non-GAAP basis for the first quarter of 2016 was $239 million, or a net loss of $0.29 per share, compared to a net loss of $33 million in the first quarter of the prior year.

The company said it was able to negotiate the renewal of its revolving credit facility and a new term loan facility during the first quarter.

“In addition, in order to safeguard our company from a protracted down cycle, during the first quarter, we successfully raised $630 million of net proceeds through an equity offering,” Weatherford added. (

Agelbert NOTE: $630 million dollars raised from true believing suckers shows that the fossil fuel industry happy talk continues to capture the biosphere math challenged morons.   (

Some people never learn. 
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 07, 2016, 09:20:56 pm
The VERY recent 600,000 BPD decline from  ( Canada electing to idle tar sands piggery operations because 80,000 people were evacuated from a town nearby will help MKing and friends achieve there feverish hopes for a rise in oil prices in the short term.

But it won't last, no matter how much the speculators scheme to jack up the price in the commodity futures market(s) in a move TOTALLY UNRELATED to fundamentals, as occurred last month when MKing was crowing about oil prices "rising on increased demand". (

Speculator bets on higher Brent prices reached record highs last week as Brent futures gained 21.5 percent in April, their largest monthly advance in seven years.  Bets on WTI futures and options also rose, to 10-month highs, feeding investor views that prices may have risen too far, too fast.

"The recent rally in oil prices that took WTI above $46 a barrel appears to have little to do with fundamentals, only partially with financial factors, and possibly more to do with sentiment  ;)," BNP Paribas oil strategists Harry Tchilinguirian and Gareth Lewis-Davies said. (

New Report Shows ‘Natural Gas Increasingly Becoming an Unnecessary Bridge to Nowhere’

SUN DAY Campaign | April 28, 2016 10:13 am

Setting a new lopsided quarterly record, renewable sources (i.e., wind, solar, biomass and hydropower) outpaced—in fact, swamped    —natural gas by a factor of more than 70:1 for new electrical generating capacity placed in-service during the first three months of calendar year 2016.

According to the most recent data provided by the U.S. Energy Information Administration (EIA), actual net electrical generation from utility-scale renewable energy sources totaled about 14.3 percent of total U.S. electrical production as of January 31, 2016 (see: (

However, this figure understates renewables’ actual contribution because neither EIA nor FERC fully accounts for all electricity generated by  distributed, smaller-scale renewable energy sources such as rooftop solar (e.g., FERC acknowledges that its data just reflect “plants with nameplate capacity of 1 MW or greater”). 

Peak oil DEMAND will continue to fall as new Renewable Energy comes online. Mking ASS-U-MEs that all that money invested in oil piggery will be defended because it's "such a great investment". 

I think RE has, on numerous occasions   ;D, tried to explain to MKing that throwing good money after bad DEBT is brain dead, as well as wishful thing on MKing's part.

the money put into oil and gas with wall street that either has to go back to the investors, or be spent in oil and gas. The number runs into the 12 figures.

No, it doesn't.  It can completely dissapear down a Black Hole of irredeemble debt.  The "money" being issued out here is debt money.  If the underlying assets used as collateral do not have the value that was attributed to them at the time the debt was issued, the difference between the debt money issued and the collateral devaluation is entirely lost money.  It never really existed  actually, it was just notional money based on future promises.


But as for MKing's "world class fossil fuel worshipping geochemist views" about the future of the fossil fuel industry and the "soon recovery" of oil and gas prices (also desperately hoped for by such banking pigs as JPM that have their asses in the wind for loaning out so much money to the now cratering oil and gas corporations), SEE BELOW:

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 09, 2016, 04:08:16 pm

Big Oil Told to Adapt or Die   (

Kieran Cooke, Climate News Network | May 9, 2016 9:11 am

At best, big oil companies such as ExxonMobil, Shell, Chevron and BP face a period of gentle decline, but will ultimately survive.

At worst, if they do not adapt and change direction, “what remains of their existence will be nasty, brutish and short.”

That’s the core message of a research paper on the oil corporates by one of the UK’s leading energy experts, Paul Stevens, a senior research fellow at the London-based Chatham House think tank, the Royal Institute of International Affairs.

Present management strategies within the oil majors have failed to deliver value to shareholders and profits are declining sharply, Stevens said.


Impact on Climate

Meanwhile, growing public and governmental concerns over fossil fuels and their impact on the climate, together with a sharp drop in prices, are threatening the survival of the international oil companies (IOCs).

“The IOCs cannot assume that, as in the past, all they need to survive is to wait for crude prices to resume an upward direction,” Stevens warned.

“The oil markets are going through fundamental structural changes driven by a technological revolution and geopolitical shifts. The old cycle of lower prices followed by higher prices can no longer be assumed to be applicable.”

Stevens says the business model adopted by the IOCs has failed. They have to downsize and many of their assets will have to be sold off. Above all, the corporate culture of these once-mighty conglomerates has to change.

Although growing international pressure to take action on climate change and falling prices have together led to a decline in the IOCs’ fortunes, the rot set in many years ago, says the research paper.

Up to the early 1970s, the IOCs had it all their own way, controlling most aspects of oil exploration, production and distribution. But the rise of state-controlled energy companies asserting control over national resources severely diminished the IOCs’ power.

Starting in the 1990s, the IOCs embarked on a high-risk strategy: they invested in increasingly higher-cost and more technologically-challenging projects. This was built on a “quasi-religious” belief in perpetually rising oil demand, the paper says. Finding new reserves was all-important.

Those who invested in the IOCs hoping for high returns on their money have been disappointed.

“Overall, there can be little doubt that, from an investor’s point of view, the IOCs have been failing to perform,” the study says.

The 2008 financial crisis made investors nervous about putting their money into large, high-risk, long-term projects—such as Arctic oil exploration.

The Deepwater Horizon oil spill in 2010—when millions of barrels of oil were discharged into the Gulf of Mexico—escalated industry costs and further environmental concern about the activities of the oil majors.

In the first eight months of 2015 alone, the stock prices of ExxonMobil, Chevron, Shell, ConocoPhillips and BP dropped by as much as a third. Over the past two years, nearly US$400 billion of new oil projects have been shelved.

Attempts at diversification—into coal, nuclear, supermarkets and hotel chains—have been largely unsuccessful. The IOCs have also invested in renewable energy sources, including solar and wind. But Stevens writes: “These efforts were relatively short-lived and many IOCs have subsequently pulled out of such ventures.”

Limiting Emissions
There are doubts over whether the oil companies have the necessary technical and managerial skills to operate successfully in what is rapidly becoming a decentralized energy system.

The IOCs also find themselves burdened with “stranded assets”—fossil fuel deposits that cannot be exploited if international agreements on limiting greenhouse gas emissions are going to be fulfilled.

The demise of the oil majors has been predicted before, yet the companies live on. Despite recent setbacks, they are still financially powerful, with considerable political influence in many areas.

Billions of dollars of pension funds are tied up in the IOCs. Although their shares have taken a pounding on the stock exchanges, their combined market worth still dwarves the gross domestic product of many countries. (

Agelbert COMMENT: Fossil fuel corporate crooks and liars are, by their nature, empathy deficit disordered. Therefore, we can expect them to NOT adapt. As the author says, “what remains of their existence will be nasty, brutish and short.”

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 11, 2016, 09:50:24 pm
Energy expert: Oil companies must shrink and diversify or face rapid decline

Sami Grover (@samigrover)
Energy / Fossil Fuels
 May 10, 2016

Oil companies have about ten years to figure out a new business model, says Professor Paul Stevens, Distinguished Fellow, Energy, Environment and Resources at Chatham House—a think tank focused on international affairs. If they don't, he argues, they could face a rapid and "brutish" decline within the next ten years.

That's the thinking he lays out in a new research paper entitled International Oil Companies: The Death of the Old Business Model.

While it's tempting for us TreeHuggers to give all the credit to recent innovations in green technology, victories on the environmental policy front and a growing divestment movement—all of which are no doubt contributing to the industry's woes—Stevens says the issues that BP, Exxon and the like face are more fundamental, and a lot more deeply seated than these relatively new challenges.


Because oil companies have spent the last 30+ years trying to maximize shareholder value  (, increase their bookable reserves (discovered oil that they can claim on their books) and outsource much of their day-to-day production operations, they were already in a position where they had too many eggs in a highly unstable basket.


Now, with oil prices crashing while the cost of production does not; with campaigners scoring victories from the Paris climate agreement to major institutional divestment from fossil fuels; and with increasingly viable competition from electrified transportation, efficiency and renewables—oil companies may be facing a unique confluence of uphill challenges.

After all, when the car that's generating the most buzz among the public burns literally zero oil  ;D; when Saudi Arabia says it's got to diversify away from oil  ;D; and when the Governor of the Bank of England says many of our known reserves are unburnable  ;D, a strategy based on discovering and selling more oil in the future  ( starts to look uncertain at best.

But what's the solution?  ???  Stevens does offer a relatively straightforward suggestion. Unfortunately, it's probably the last thing that many folks in the board rooms will want to hear  ;D:

"In this new world, the only realistic option for the IOCs lies in restructuring and realizing many of their current assets to provide cash for their shareholders.


Inevitably, this means that they must shrink into the remaining areas of operation, functionally and geographically, where they can earn an acceptable return. This would require a major change in the corporate culture of the IOCs. It remains to be seen whether their senior management  ( could handle such a fundamental shift. If they can, the IOCs will be able to slip into a gentle decline but ultimately survive on a much smaller scale."

Oh well, let's look at it this way: It's not like an incumbent and seemingly monolithic industry has ever been caught napping to the extent that it suddenly found the old rules of the game no longer apply. Right?   (


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 12, 2016, 08:33:27 pm

LINN Energy files for Chapter 11 with $9.3 billion in debt

By Nicolas Torres -
May 12, 2016
LINN Energy said Wednesday that it will file for Chapter 11 bankruptcy protection.
LINN Energy, LinnCo and Berry Petroleum Company have entered into a restructuring support agreement with the holders of at least 66.67% by aggregate of outstanding principal amounts of LINN’s amended and restated credit agreement, dated as of April 24, 2013, as amended, and Berry’s Second Amended and Restated Credit Agreement, dated as of November 15, 2010, as amended.

In order to implement the terms of the restructuring support agreement, the company filed voluntary petitions for restructuring under Chapter 11 of the Bankruptcy Code in the United States Bankruptcy Court for the Southern District of Texas (

The company expects its operations across its asset base to continue  (  ( in the ordinary course throughout the Chapter 11 process.

Under the restructuring support  ;) agreement, the parties agreed to support a reorganization plan for the company that would include a new LINN $2.2 billion reserve-based and term loan credit facility on terms established in the restructuring agreement, the consensual use of LINN and Berry’s cash collateral to fund the Chapter 11 cases under negotiated terms and conditions and the broad terms of a comprehensive restructuring of the company’s indebtedness.

The restructuring support agreement was filed as an exhibit to a current report on Form 8-K with the Securities and Exchange Commission on Tuesday.

The company anticipates that cash available to it during its Chapter 11 cases will “likely provide” sufficient liquidity  ( to support the business during the financial restructuring process.

The company does not currently intend to seek debtor-in-possession financing.

Houston-based LINN
said it intends to continue paying employee wages and provide healthcare and other defined benefits without interruption in the ordinary course of business.    (

The company will also pay suppliers and vendors in full under normal terms for goods and services provided on or after the Chapter 11 filing date.  ;)    (

“Like many others in our industry, LINN has been impacted by continued low commodity prices. We believe that these steps will provide us the financial flexibility to successfully manage in the current commodity price environment and, when combined with constructive agreements with our remaining creditors and potential third party financing, will provide a platform for future growth,” LINN Energy chairman, CEO and president Mark E. Ellis said.   (

LINN ( warned in March that “significant indebtedness” could prompt it to file for bankruptcy.

In a filing with the Security and Exchange Commission, the company said that month that it was in default under its LINN credit facility and its second lien indenture.

As of February 29, the company had an aggregate amount of $9.3 billion outstanding under its notes and credit facilities, with an additional borrowing capacity of less than $1 million.

LINN reported  a fourth quarter 2015 net loss of $2.5 billion, or $7.05 per unit, and a full year 2015 net loss of $4.8 billion, or $13.87 per unit.

Kirkland & Ellis LLP is serving as legal advisor to LINN, Lazard is serving as its financial advisor and AlixPartners is its restructuring advisor. (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 14, 2016, 04:22:26 pm

Oil & Gas Job Losses Top 43% Worldwide

Published at 04:36PM - 12/05/16

Global job losses in the oil & gas industry have just topped 350,000, more than 43% of the industry’s total workforce worldwide.

By the beginning of this month, the figure was at 351,410 globally with the most severe impact of layoffs focused in the oilfield service sector of the industry, according to a Graves & Co. survey.

“The impetus to cut costs has significantly affected those responsible for finding, developing and producing oil and gas”, said Graves & Co. president, John Graves.

Job Cuts Across The Oil & Gas industry

Layoffs in the upstream production sector began slowly but in recent months, they have surpassed those in the drilling, contracting and supply sectors, reaching 80,265, or just under 23% of total layoffs, while drilling and supply now represent 15% and 14.5%, respectively.

“For a long time, job cuts in the E&P sector lagged behind the oilfield service, drilling and supply sectors as oil and gas producers attempted to hold on to important  ( talent” (, Graves explained.

18 US Firms File For Bankruptcy (  (

In some cases, layoffs have not been enough and companies have been forced to take extreme measures. In March and April alone, it has been reported that 18 North American companies had filed for bankruptcy protection and since then, the trend continues.

Yesterday, Linn Energy has filed for bankruptcy after spending a massive amount of money in the shale land grab.  From 2012 to 2014, the company was an active acquirer, having purchased around US$10.5 billion of assets (£7.25 billion).

“Like many others in our industry, Linn has been impacted by continued low commodity prices”, Linn Energy Chairman Mark E. Ellis, said.

Also in the US, local driller Newfield Exploration announced plans to relocate up to 15% of its US workforce to cut costs amid low crude prices.

“We’re dealing with challenging market conditions”, said Newfield spokeswoman Cindy Hassler. “Our management felt that centralising in The Woodlands would drive better performance in Oklahoma”, she added. 

"Hitting peak oil will come faster than any of us think. But don't blame dwindling supply — it's all about disappearing demand" Amory Lovins
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 22, 2016, 05:14:33 pm
Faced by Falling Oil Prices and Plunging Profits, Big Oil Invests in Renewables

Kieran Cooke, Climate News Network | May 22, 2016 11:09 am

The big oil companies’ on-off affair with renewable energies seems to be back on track.  ;)

Recent reports say Shell, the Anglo-Dutch oil conglomerate, is to invest $1.7 billion in forming a new company division aimed specifically at developing renewable energy and low carbon power.   (

As a recent report pointed out, the oil companies have failed to adapt to an increasingly fragmented global energy system. Buffeted by low oil prices and tightening climate change-related regulations, they have seen a sharp drop in their financial fortunes.

This follows on the heels of an announcement by the  French oil company Total, another of the oil giants, that it is stepping up its investments in clean energy, spending more than $1 bn buying Saft, a major battery manufacturer. Total has also purchased  a majority share in SunPower,  a leading solar concern.

Even ExxonMobil, for long an organization which cast doubt on the whole science of global warming, has recently announced plans to investigate fuel cell technology in order to build carbon capture and storage facilities and eliminate greenhouse gas emissions from power installations.  (

Low Investments

On the face of it, this is all good news in the battle against climate change. Emissions from fossils fuels, particularly from oil and coal burning, are a major driver of global warming.

Yet as a proportion of their overall spending, the oil giants’ investments in renewables are still very low, and are dwarfed by their spending on fossil fuel-related activities.

Also, in the past, the oil majors ( have made much-publicized announcements about alternative energy investments, only to later quietly withdraw their support.   (

As a recent report pointed out, the oil companies have failed to adapt to an increasingly fragmented global energy system. Buffeted by low oil prices and tightening climate change-related regulations, they have seen a sharp drop in their financial fortunes.

BP has been worst hit, reporting a loss of $6.5 billion in 2015 compared to a profit of $3.8bn the previous year.

Market Share Lost

Operating in an oil market which is increasingly chaotic and unstructured is not easy. The major oil companies—once all-powerful in the energy market—have over the years lost production and market share to state-owned conglomerates, most of them gathered under the Organisation of Petroleum Exporting Countries (OPEC) umbrella.

In recent years OPEC itself has begun to fracture, and production level agreements have broken down.

Member countries Saudi Arabia and Iran are bitter enemies. Libya is in a state of near civil war. There is political chaos in Venezuela. Rebel groups are attacking oil installations in Nigeria.

Meanwhile non-OPEC members—the U.S. and Canada—have been adding to a global oil glut—caused primarily by a slowing world economy—by pumping out millions of barrels of oil from shale deposits and by fracking.

Experts say that in order to survive, the oil majors have to invest in new technologies, including renewables. Once again, the companies are taking tentative steps along that path, but it might be too little, too late for them to survive.  (

Kieran Cooke, a founding editor of Climate News Network, is a former foreign correspondent for the BBC and Financial Times. He now focuses on environmental issues

Agelbert NOTE: The ONLY reason the oil majors lie about "plans" to go into Renewable Energy and/or try to buy the Renewable Energy competition, like French Oil Pig Total is doing with the over one billion dollar purchase of Saft, a major battery manufacturer, is to suppress Renewable Energy.

The Fossil fuel Industry does not like losing energy market share to Renewables, particularly those Renewables that destroy demand for gasoline and diesel (i.e. battery powered TRANSPORTATION).

What's the big deal about big oil transportation market worries versus all the other uses fossil fuels are used for in our civilization? ???

The simple answer is that, as you all know, the products of the oil and gas majors have to be refined in, of course, refineries. That is a complex, energy hogging process that the fossil fuelers do not like to talk about. It produces a LOT of pollution, above and beyond the pollution from flaring (and other causes) at ocean and land oil and gas rig fossil fuel extraction sites.

I have, in the past, mentioned how CH4, otherwise known as methane, can be obtained from animal feces Methane Harvesters without ANY flaring or ANY aquifer polluting side effects that are sine qua non to Fracking. Fracked CH4 gas is NOT "natural" gas. Methane harvester CH4 IS RENEWABLE ENERGY, POLLUTION FREE, NATURAL GAS. The ERoEI of CH4 from Methane Harvesters is FAR MORE than that of CH4 from Fracking. But today I wish to concentrate on crude oil, not Fracked oil and gas.

In an oil refinery, the crude oil is processed to produce certain fractions by percentage, that are fairly rigid, from a given amount of crude oil. Because some of the crude is volatized during the distillation, heating, cracking and isomerization stages, the percentages add up to a little more than 100%.

Before you become too bored, the main point here is that about 42% of every single barrel of crude oil MUST yield gasoline raw material. NO OTHER FRACTION comes to even half the gasoline raw material fraction.

I say "raw material" because that 42% will NOT properly run your car like biofuel plant based ethanol can with ZERO added energy inputs and processing.

The raw gasoline must be catalytically reformed and isomerized to make the short hydrocarbon chains into long ones to increase the octane (avoid engine knocking - further processing is required - adding some chemicals that replaced lead, though lead is STILL added for aviation gasoline, ALL through a highly energy intensive process that bought and paid for Charles Hall does not want to include in his energy math.  ;)).

Finally, gasoline has to be "sweetened", something totally unnecessary for biofuel based ethanol (the fossil fuel industry produces about 5% of world ethanol output - the ERoEI of biofuel ethanol is FAR higher than the ERoEI of fossil fuel based ethanol - regardless of the propaganda claiming they are the same). "Sweetening" is the process of making it smell less offensive (and be less polluting when it is burned) by stripping the gasoline of a large part of its sulfur content. "Sweetening" ALSO uses a lot of energy. 

But our dear loyal servants in the fossil fuel industry, have managed to make vast fortunes and kept the CLEAN energy competition at bay with "subsidies" their bought and paid for politicians continually baby them with.

Along comes solar power and batteries and starts to eat fossil fuel lunch in heating oil (this is a smaller distillate fraction than gasoline but it gets their attention).
THEN battery technology begins to take off and it REALLY gets their ( attention. That is because EV's run on batteries that can get all their energy from solar power. It's a combination that threatens OVER 42% of the downstream product profit. (

When 42% of the fossil fuel industry refinery product goes from being a lucrative contribution to profits to being a loss inducing, and added polluting cost because you have to burn it at the refinery, the entire business model of the crude oil extracting fossil fuel industry is in jeopardy.   

So, they try to suppress, strangle, buy, bop, etc. the competition while continuing to bullshit us 24/7 about how they are just trying to provide "cheap" energy. 

SO, every time somebody tells you about how "unimportant" transportation fuels are to the big oil bottom line and how we "need" oil for a "lot of other stuff" that makes oil "necessary" for our civilization, I suggest you quote the following to them:


Refinery gases (including liquefied gas) 6.2%
Gasoline 42.4%
Jet fuel 6.9%
Burning (heating) oils, including kerosene 23%
Naptha and Petrochemical FEEDSTOCKS 5.5%
Lubricants and waxes 1.4%
Asphalt 3.1%
Miscellaneous 0.9%

Residuals (heavy oils) 11.6%

These percentages are by volume and total more than 100 per cent, because many of the products have a lower density than the original feedstock.

SOURCE: The New Illustrated Science and Invention Encyclopedia: Volume 13
Published by H. S. STUTTMAN INC.

A mere 5.5%, on the average. is for plastics, pesticides, fertilizers, pharmaceuticals, ETCETERA. So you can tell the propagandists claiming we "need" oil for "a lot of other stuff" that they are either ignorant of the facts, or complicit in the mendacious and disingenuous propaganda.

The fossil fuel industry is DEAD if they cannot sell us GASOLINE and HEATING OIL.
Now you KNOW why they have been fighting solar power and want to suppress battery technology.

We-the-people are HURTING the fossil fuel industry bottom line.  (

The average U.S. household is expected to spend about $550 less on gasoline in 2015 compared with 2014, as annual motor fuel expenditures are on track to fall to their lowest level in 11 years.

THAT is because we are DRIVING LESS , not just because the cost of fuel has gone own. Added to the demand destruction is the steady increase of EVs.

But if you don't have the money to buy one, just do what I do. For over a decade I have averaged less than 2000 miles a YEAR in my 1997 Camry. That's about 110 gallons of gasoline a YEAR. (

The average household consumes about 1,011 gallons per year ( (and that is over 15% DOWN from previous years  ;D). The math challenged fossil fuel industry propagandist (MKing) repeatedly calls me a "gas guzzler" even though my household consumes 90% LESS  gasoline than the average American household.  ::)

If every family did that, the fossil fuel industry would, despite all their subsidy swag, DIE. Do your part. Use NO gasoline.  If that is not possible, then combine errands and use a LOT LESS gasoline. By doing that you will help the fossil fuel industry go the way of the dodo bird. The sooner, the better.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 27, 2016, 07:29:28 pm
Another one bites the dust...twice!

HTF does this work?   ???     (

RE (

U.S. Oil Company Sets New Record: Headed For Second Bankruptcy in One Year


For the second time in less than a year, oil services provider Hercules Offshore is heading for Chapter 11 bankruptcy protection by entering a restructuring support agreement (RSA). The Wall Street Journal writes that ''In a prepackaged bankruptcy, companies line up creditor support for their debt-payment plans before seeking chapter 11 protection, allowing them a speedier—and cheaper—trip through bankruptcy.

Last August, Hercules filed for Chapter 11 protection—the first time. At the time, the company showed US$13 billion in debt and just over US$546 million in assets, trying to restructure with a new US$450-million credit line.

Related: Clinton Chasing Votes With Fracking U-Turn

It resurfaced from this bankruptcy only in November, but the perpetual low oil price environment led to a slump in exploration investment and project cancellations.

Under the new Chapter 11 filing, Hercules is selling assets to pay off investors. The company has reportedly agreed to transfer the right to buy the Hercules Highlander jack-up rig to a subsidiary of Maersk Drilling for US$196 million.

The company said that its international units will not be included in the Chapter 11 filing, but will be part of the sale process.

In just the first four months of 2016 there were double the the number of energy company bankruptcies than in all of 2015. The total secured and unsecured defaults rose to $34 billion, double the $17 billion total for all of 2015. In 2015, 42 oil companies filed for bankruptcy.

In April this year, 27 North American oil and gas companies filed for bankruptcy—11 of them filing under Chapter 11, according to a Haynes and Boone report. Some 69 North American oil and gas producers have filed for various forces of bankruptcy.

More than one-third of public oil companies globally face bankruptcy, according to a new Deloitte report that paints a fairly gloomy picture of the U.S. shale patch as it struggles to survive under mountains of debt.

Chapter 11 is a corporate welfare queen bailout mechanism, ESPECIALLY if the corporation is a fossil fuel corporation.

WHY? Because the "restructuring" of the corporate finances are figured by trustees in Fossil Fuel FRIENDLY Bankruptcy courts (mostly in TEXAS) that, in virtually ALL of the fossil fuel Chapter 11 proceedings last year, PROJECTED $60 per barrel prices in 2016.

It didn't happen. HOWEVAH, the oil pigs got away with operating WITHOUT paying their main creditors based on projected earnings happy talk BULLSHIT that the bankruptcy courts swallowed hook, line and (bought and paid for) sinker.

When ANY other corporate enterprise, such as a retailer or, dare I say, a Renewable Energy product manufacturer  ;), goes into Chapter 11, they do not get this totally irresponsible, irrational and corrupt court protection and help.

We hear wailing and gnashing of teeth about Renewable Energy "scams and boondoggles" and all that "subsidy money waste" and "giant scam taxpayer loans" for Renewable Energy (statistically insignificant compared with fossil fuel subsidy and taxpayer loan swag), BUT NOT A PEEP about how fossil fuel corporations, that should have gone the way of the dodo bird, are still there.

The fact is that there is no way that ANY of these oil pigs can make money, even with their subsidy swag (along with the hidden pollution "externalized costs" subsidy swag) at less than around $60 a barrel. And THAT is why the Bankruptcy courts push the BULLSHIT that they will be "profitable again", because, uh, the price of crude will soon exceed $60 a barrel...

The HELL of it is, they may be right!  (

But NOT because of supply and demand. NO SIR! It will be because of GAMED SPECULATION in the commodities trading of oil and gas futures, just like happened around 2003. ANY study of that period confirms the FACT that there was NO "lack of supply" to justify the price shocks.

At present the recent 80% rise in per barrel prices was ALL SMOKE AND MIRRORS.

The fact that a one billion barrel oil basin has just been discovered and announced ACCESSIBLE to current drilling technology off the Falklands SHOULD, in a sane world, spell the DOOM of any oil pig that requires $60 a barrel to survive.

But as long as we have bought and paid for bankruptcy courts in Texas, and the government backed gamed commodities trading CRAP, the WELFARE QUEEN babying of oil and gas corporations will continue. (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 01, 2016, 04:12:21 pm
Palloy said
In conclusion: In spite of the recent increase in Russian production as well as the slight increase from the North Sea, in spite of the dramatic production increase from Iran due to the lifting of sanctions, world crude oil production is in decline. And while it is true that most of this decline is due to the price crash it remains to be seen just how much production will recover when the price returns to… to… wherever it returns to before it stops.

But… the decline has only just begun. The price collapse caused the plateau in world oil production that began about March 2015. However, the decline did not actually begin until January 2016. The dramatic rise in production from Iran has kept the decline from becoming obvious to everyone. However, when the May production numbers come in, I think it will then become obvious to everyone.

I disagree with your conclusion. There is a lot more at work here than just Iran. As usual, you ignore the Renewable energy caused demand destruction contribution to the sticky low price AND the commodities futures speculation manipulation. When you do acknowledge reduced demand, you claim it is due exclusively to depressed economies. The demand destruction is a combination of the two, though apparently you will never accept that.    (

The current demand will continue to go DOWN while production is INCREASING, not declining. The meeting of OPEC coming up has EVERY sign of everybody giving each other the finger, not some "gentlemanly" agreement to engineer higher prices by reducing production.

That is not my opinion; it's the opinion of a PRO-Oil dude that is moaning and groaning about it with some rather inconvenient, but quite accurate, data. He WANTS prices to rise. But he does not see that happening any time soon.

I agree UNLESS speculation achieves it. The fundamentals you are referencing DO NOT justify it, mainly because the "demand" predictions are happy talk. If you seriously expect objectivity about oil demand from the EIA, you are in for a rude awakening.

OPEC: Obviously Powerless to Effect Change?
Analysis & Opinion > OPEC: Obviously Powerless to Effect Change?   

Exclusively For Offshore Post: Declan is an internationally recognised journalist of more than two decades, having worked for the BBC and ABC News, focusing on all things business and global economics.


Increasing Production

Meanwhile, Kuwait, the United Arab Emirates and now Iraq are talking about increasing production, not reducing it. And some of the temporary shortages that nudged the market price of Brent Crude back above $50 a barrel are just that – temporary.

Canada will repair the disruption to supplies caused by those forest fires (see my last column). Suncor Energy, Canada’s biggest oil producer, announced a “safe and staged restart” of production last weekend; it has moved over 4,000 employees and contractors back into the region already, with another 3,500 people to follow this week.

So prices are likely to remain low, and possibly for quite a while longer. It is possible to conjure up a narrative that says suppressing the market price by producing far more crude than the world needs is all a far-sighted, intensely clever strategic play by the Saudis and OPEC to stimulate demand for oil, and stretch that demand long into the future while eliminating some deadly rivals.

A low oil price squeezes the life out of America’s high-cost, highly indebted shale industry, it makes it less economic to develop renewable sources of energy, it reduces the urgency to become more energy efficient and it curbs the temptation to switch to lower-cost fuels. In this narrative, we stay reliant on Saudi oil for decades to come.

Feeling The Pain

But it’s hard to see it as cool, calculating strategy when it is causing such pain for the oil industry – and for nations that rely on oil revenues, inside and outside OPEC. (

Here's another reality check for those (like you, perhaps?  ;)) hoping for prices above $50/barrel:

Russia Won't Attend OPEC Meeting; Now Shuns Output Freeze (

AND, about the
SPECULATION SMOKE AND MIRRORS that can jack up oil prices (absent ANY fundamanetals justification) that you REFUSE to acknowledge:


A recent study by Cambridge Econometrics, Oil Market Futures, concluded that investing in clean transportation could help head off the next oil price spike.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 04, 2016, 06:25:28 pm
7 Charts Show How Renewables Broke Records Globally in 2015  (

Simon Evans, Carbon Brief | June 3, 2016 12:33 pm


Global investment in renewable energy reached record levels in 2015, according to a new report from the UN Environment Programme (UNEP) and Bloomberg New Energy Finance (BNEF).

More surprisingly, perhaps, the report shows that the $286bn poured into green energy was more than double the spending on coal– and gas-fired power.

It also shows, for the first time, that more renewable power capacity was added than other sources and that renewable energy investment was mostly in developing countries.

Carbon Brief runs through the key findings in seven charts.


Full article and the other six charts at link below: (

Agelbert NOTE: ANYONE that claims the above global energy market share of Renewable Energy is not SERIOUSLY DESTROYING DEMAND for fossil fuels, is willfully ignorant of reality or is working for the fossil fuel industry (usually the same thing  ;D).

The declining energy market share of fossil fuels is the most important, and deliberately unreported, reason that the price of crude oil remains low.   

"Hitting peak oil will come faster than any of us think. But don't blame dwindling supply — it's all about disappearing demand" Amory Lovins


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 17, 2016, 10:34:12 pm
Oil price forces industry  ( to cut back on spending ;D


The international oil industry is set to cut spending on exploration and development by $1 trillion as it responds to a plunge in oil prices, according to Wood Mackenzie.

Global investment in oil and gas projects between 2015 and 2020 will be 22 per cent lower than expected after prices began to slide in 2014, the researcher and consulting company said. A further $300 billion will be cut from exploration in areas such as the Arctic.

“The impact of the global drop-off on upstream spending has been absolutely huge,” Malcolm Dickson, of Wood Mackenzie, said.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 17, 2016, 11:24:44 pm
“The world nears peak fossil fuels for electricity”

The era of ever expanding global demand for fossil fuels to generate power comes to an end in less than a decade, according to a new forecast by Bloomberg New Energy Finance. The peak year for coal, gas and oil will be 2025, and the world is headed for another “remarkable” tipping point by 2027, writes Tom Randall in an accompanying article. “At that point, building new wind farms and solar fields will often be cheaper than running the existing coal and gas generators.”

The report also argues that electric cars arrive just in time to prevent a fall in power demand in many economies.   ( 


“Take Germany, where increases in efficiency mean that without electric cars, demand for electricity would be headed toward a prolonged and destabilizing decline.”

"Hitting peak oil will come faster than any of us think. But don't blame dwindling supply — it's all about disappearing demand" Amory Lovins

Amory Lovins on Energy Efficiency Breakthroughs (real world 90% plus waste reduction) that seem hard to believe:

"Only puny secrets need protection; big discoveries are protected by public incredulity."

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 05, 2016, 04:41:21 pm
Parked Gasoline Tankers Evidence Gasoline Demand Destruction.  (   ( (

Gasoline Tankers Parked Off New York

July 5, 2016 by Reuters By Ron Bousso

LONDON, July 4 (Reuters) – At least two tankers carrying gasoline-making components have dropped anchor off New York Harbor for nearly a week, unable to discharge their cargoes in the latest sign that storage for the fuel is running out  ;D, traders said.

Several tankers with gasoline have also been diverted from the New York region to Florida and the U.S. Gulf Coast in recent days, a rare move that underscores oversupply in the pricing hub for the benchmark U.S. gasoline.

The excess in the midst of summer demand for the motor fuel casts a shadow of the profitability of refineries, and thus their demand for crude oil over the coming months.

U.S. gasoline refining margins <1RBc1-CLc1> dropped last week to their lowest since February at around $13.61 a barrel after gasoline inventories posted an unseasonably large build.

The builds were a result of higher output from U.S. refineries as well as an increase in imports, data from the U.S. Energy Department showed. At the same time, data suggested lower U.S. consumption than previously indicated.  ;D


The 74,000 tonne tanker Emerald Shiner, carrying a cargo of alkylite from the west coast of India has been anchored off the New York Coast since June 28, according to Reuters shipping data and traders.

The 37,000 tonne Energy Progress, with a cargo of reformate from Turkey, has similarly been waiting outside New York since June 28.

Furthermore, at least three cargoes of gasoline from Europe, which heavily relies on exports to the U.S. East Coast, have been diverted in recent days from New York Harbor to Florida and the U.S. Gulf Coast, ship tracking showed.

Those include the tankers Energy Patriot, Seasalvia and Ance.

“Tanks are full to the brim in New York Harbor,” a trader said.

Global gasoline stocks have risen steadily in recent months as refiners ran at full steam on expectations of strong demand this summer, particularly in the United States and Asia.

With dropping profits from producing gasoline, refiners are increasingly shifting to making diesel and jet fuel. (Editing by William Hardy)

(c) Copyright Thomson Reuters 2016.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 05, 2016, 05:31:08 pm


Fossil Fuel Industry in Denial on Divestment

From Brexit’s impact on stocks to the Koch brothers’ campaign expenditures, money is, as usual, a hot topic. Who’s spending how much on what can give important insights into their priorities.

 One such example is the divest/invest movement, which advocates for institutional investors like pension funds or universities to sell their holdings in fossil fuel companies and instead invest in clean alternatives. For the first few years, as the campaign found few wins and rarely reached past college campuses, the industry largely ignored them.

But a  new story in ClimateWire ( suggests that the recent successes (U Maryland just last week) have the fossil fuel industry worried.  (  (

Chloe Maximin ( of Divest Harvard likens it to the stages of grief, with the industry first in denial about the potential success of the campaign, then anger, and now bargaining.  ;D

Organizing panels, writing op-eds, commissioning multiple surveys and setting up the website   (, the fossil fuel industry seems to be taking the divestment campaign pretty seriously. And for good reason, as the list of divesting institutions has grown to encompass a total value of  $3.4 trillion dollars and numerous high-profile divesters.

The main repository of industry pushback is, which endeavors to “educate” the public about the facts of told by the Independent Petroleum Association of America   (

Given that their similar project to defend fracking, Energy in Depth, is not only funded by Big Oil, but also guilty of relying on shoddy pseudo-science, it’s unlikely anyone legitimate will take its claims seriously. But the fact that they’ve gone to the trouble of setting up a website demonstrates that they’re growing increasingly worried by the movement’s successes.

And there are good reasons for those divestment wins that have nothing at all to do with the environment. On a purely economic level, divestment makes sense, from avoiding future stranded assets and presently-bankrupt coal companies, to simple metrics of market performance.

For example, a  2015 analysis ( found that those who divested from fossil fuels in 2010 would be outperforming those still invested in 2015. A  2016 analysis ( found that New York’s pension system would have had an additional $5.3 billion had it divested in 2012, translating to $4,500 for each pensioner.

Funny enough, neither of those two facts appear anywhere on Perhaps they haven’t moved out of the denial stage after all, and have instead opted to divest from facts altogether.


Agelbert Note: It's not that the fossil fuelers divest from facts altogether; it's that they cherry pick the ones that suit them and discard the ones that expose their profit over people and planet "business model" as a fraud.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 08, 2016, 07:38:20 pm

Oil Industry ( Losing the Burn of Asian Demand  ;D

July 7, 2016 by Reuters

ReutersBy Henning Gloystein, Jane Chung and Osamu Tsukimori

SINGAPORE/SEOUL/TOKYO, July 7 (Reuters) – After half a year of strong oil price rises, Asian crude demand is slowing and by some measures falling, and many market participants suspect it is not just a cyclical phenomenon, but also a product of more permanent structural changes.

With years of annual economic growth of 7-10 percent in China and similar recent figures from India, Asia-Pacific has overtaken the Americas to become the world’s biggest oil consuming region, accounting for almost 40 percent of global demand.

But an industry that has come to rely on Asia’s booming thirst for oil could soon be scratching around for growth.

Thomson Reuters Eikon data shows that Asian crude oil tanker imports have fallen, albeit from record levels, for four straight months and by 12 percent since March to around 82 million tonnes (20 million barrels per day), slightly below last year’s levels.

Much of the surprise decline is explained by conditions in China, the region’s biggest consumer, accounting for 27 percent of Asia-Pacific demand and 13 percent of global demand.

With its long-term growth outlook now camped perhaps permanently below 7 percent, most analysts expect vehicle sales in China will slow accordingly.

They have already slipped to 2.1 million at the end of May, down from a peak of almost 2.8 million in December 2015.

Refiners  ( across Asia said that was starting to hit their business.

“Asian oil demand growth is slowing down. China, Asia’s largest market, is experiencing sluggish demand,” said a South Korean refiner.

As domestic refiners sell off surplus fuel, China’s exports of diesel and gasoline, the main refined fuels for industrial and passenger vehicles, have both soared.

“Asia refiners have already started to pull back … and there are reports of (oil) cargoes struggling to sell,” said Adam Longson of Morgan Stanley this week in a note to clients, adding that demand in the third quarter could fall further.

Ship brokers say traders (  have started chartering supertankers to store supplies that consumers can’t absorb.

One key pillar of recent demand is never coming back.   (  Analysts think China has nearly finished building its strategic petroleum reserves (SPR).

Oil analysts at JPMorgan estimated in a note to clients last week that the SPR was now at 400 million barrels, which they believed was close to capacity.

“Our model suggests a 15 percent month-on-month decline  ;D in China’s crude oil net imports in September, or a loss of 1.2 million barrels versus August and 0.8 million barrels less from the 12-month average,” they said.   (


Structural changes in demand are not limited to China.

For Asia’s most developed oil markets, Japan and South Korea, analysts say long-term demand will steadily fall.

Japan’s oil consumption, once 6 million barrels per day (bpd) and 10 percent of global demand, has fallen to not much more than 3.5 million bpd, or under 5 percent of world consumption. It will fall further as government consolidates its refiners.

“There are various factors. Nuclear power generation has restarted, pushing down energy demand. When nuclear plants shut down (after the 2011 Fukushima disaster), Japan imported lots of crude. Other factors include shrinking population, saturated status of automobiles and efficiency improvement,” said Kaname Gokon, strategist at brokerage Okato Shoji.

The situation is similar in South Korea.

“Korea’s oil demand is at a standstill, and demand is expected to decrease because of greenhouse gas emissions policy and alternative fuel. On top of that, if a growing number of people switch to use electric cars, oil demand is bound to fall,” said Moon Young-seok, senior researcher at state-run Korea Energy Economics Institute.

Even in India, the industry’s big hope to compensate for slower demand in China, demand for new cars is tepid.

While Indian motorbike sales remain strong, the number of new cars sold has fallen below 215,000 per month, down from almost 260,000 in October and well below the monthly record of just over 300,000 more than four years ago.

While industry doesn’t expect Asian oil demand to decline outright, they say the growth seen over the past decade may never be revisited.

The fuel economy standards of new cars, which stagnated below 30 miles per gallon (mpg) between 1980 and 2010 (, have improved to around 40 mpg now and are expected to rise to mid-50 mpg by the early 2020s, according to industry estimates. That’s without considering the rise of hybrid or pure electric vehicles.

“Energy efficiency will play a huge role in slowing the growth in global demand
, as energy use per unit of economic output is likely to fall by 40 percent (between 2014 and 2040),” U.S. oil giant ExxonMobil says in its 2016 outlook.

(Additional reporting by Aizhu Chen in BEIJING; Editing by Will Waterman)

(c) Copyright Thomson Reuters 2016.

"Hitting peak oil will come faster than any of us think. But don't blame dwindling supply — it's all about disappearing demand" Amory Lovins

For those, like Palloy and Mking, who "concluded" (about two months ago  8)) that oil prices were going up, based on the totally objective stats and projections of crude oil supply and demand from those storehouses of integrity and accurate predictions  ( ...

...  known as the EIA and the IEA, dinner is served.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 11, 2016, 01:35:50 pm
Fossil Fuel Industry Risks Losing $33 Trillion to Climate Change

by  Joe Ryan July 11, 2016

Companies may be forced to leave gas, oil and coal in ground

Task force drafting guidelines for companies to disclose risk

The fossil fuel industry risks losing $33 trillion in revenue over the next 25 years as global warming may drive companies to leave oil, natural gas and coal in the ground, according to a Barclays Plc energy analyst.

Government regulations and other efforts to cut carbon emissions will inevitably ;D slash demand for fossil fuels, jeopardizing (  traditional energy producers  ( , Mark Lewis, Barclays’s head of European utilities equity research, said Monday during a panel discussion in New York on financial risks from climate change.

His comments are part of a growing chorus calling for more transparency from oil and gas companies about how their balance sheets may be affected by the global shift away from fossil fuels. As governments adopt stricter environmental policies, there’s increasing risk that companies’ untapped deposits of oil, gas and coal may go unused, turning valuable reserves into stranded assets of questionable value.

“There will be lower demand for fossil fuels in the future, and by definition that means lower prices” Lewis said.

Stranded Assets

The meeting Monday was organized by the Task Force on Climate Related Disclosures, a group established last year by Bank of England Governor Mark Carney. It seeks to bring transparency and consistency to how companies warn investors about dangers they face from climate change. The group, led by Bloomberg LP founder and majority owner Michael Bloomberg, is drafting voluntary guidelines for companies to disclose risks related to coastal flooding, carbon-dioxide emissions and shifting global energy policies.

A “child with an abacus” can calculate that there are tremendous amounts of gas and oil that will need to be left in the ground
, said Anne Simpson, investment director of global governance at the California Public Employees’ Retirement System, the largest U.S. public pension fund.

“Yet we have boards of directors ( ( who will not talk to their shareholders about this issue,” Simpson said.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 23, 2016, 11:15:16 pm


Ensco Sells Drilling Rigs for Scrap

Published July 20, 2016
UK-based Ensco  ( announced it has sold various drilling rigs for scrap value, including semi-submersible rigs, drill ships and jack-up rigs.

According to the offshore drilling contractor’s latest fleet status report, two semi-submersible drilling rigs built in 2004  :o  ( – Ensco 6003 and 6004 – have been sold for scrap value with the sale price in line with net book value of the rig.  (

As well as this, the company’s two drill ships Ensco DS-1 and Ensco DS-2, with a DP Gusto 10,000 design and built in 1999, have also been sold for scrap value.

Ensco Sells Drilling Rigs for Scrap

Ensco also sold two jack-up drilling rigs – Ensco 91 ad Ensco 58. While the first is of a DP Gusto 10,000 design and was built in 1989, the second is of an F&G L-780 Mod II design and was built in 1981.

Additionally, two DP3 Samsung drillships – Ensco DS-4 and Ensco DS-5 –, built in 2010 and 2011   :o  , have been cold stacked in Spain.

Ensco Gets New Contracts in Gulf of Mexico

The company has been reportedly awarded short-term contracts in the Gulf of Mexico.

The contracts awarded include one for jack-up Ensco 75 with Talos Energy, as well as the lease of Ensco 8506 semi-submersible rig to Deep Gulf Energy.

Castex also awarded a contract for jack-up rig Ensco 87 with a duration of one month, while the contract for the semi-submersible rig Ensco 5006 has been extended by 15 months.

As well as this, Ensco has allegedly received the termination of a longer contract by Marubeni, for the semi-submersible rig Ensco 8605 with effect from August 16.

The original contract was expected to last from December 2015 to January 2018 and no reason has been disclosed for the terminal, Ensco reported.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 28, 2016, 08:30:48 pm
Grid and renewables to be new pillars of EnBW’s energy business

With 967.5 million euro, German utility EnBW has achieved a 24.2 percent lower operating result in the first six months of 2016 than in the same period in 2015. The company expects results for the whole year to be five to 10 percent lower than last year.

The most successful parts of the business were its grids and renewable energies segments which, according to the company’s 2020 targets, will become the main pillars of the business. The renewables segment showed an adjusted EBITDA of 153.1 million euros, 75 percent more than during the first six months of 2015.

The share of renewables in the company’s adjusted EBITDA rose from 6.9 percent to 15.8 percent. The adjusted EBITDA in the generation and trading segment fell year-on-year by around 73 percent to 148.6 million euros.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 29, 2016, 04:19:59 pm
Back to where we were at the start of the year, outlook negative:

About three months ago, Palloy "concluded" that the price of oil would go up. I told him he was wrong. I predicted that the price would NOT go up, but go DOWN because of demand destruction and efficiency improvements.

I was right. But don't expect Palloy to admit he was wrong OR that I was right. He is not into admitting his flawed conclusions, especially about fossil fuels and their price.

But it is nice to see Palloy face reality for a change.  (

Fri Jul 29, 2016 3:05pm EDT  Related:  Global Energy News 

Oil rout erodes second-quarter profits for U.S. majors Exxon, Chevron

HOUSTON  |  By Ernest Scheyder


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 30, 2016, 05:46:56 pm

Tue Jul 19, 2016 2:05am EDT

Oil traders lose millions as LPG glut shocks market ( (

LONDON/BEIJING  |  By Julia Payne and Chen Aizhu
Traders in the liquefied petroleum gas (LPG) market face a "career-ruining" glut  ( ( that has led to millions of dollars in losses as Chinese buyers, far from coming to the rescue, are in a stand-off with oil companies to cancel deals.

LPG, a historically niche and dislocated market, has ballooned with the advent of U.S. exports due to the shale boom. The United States went from an importer to the largest single exporter of propane in just a few years, rivaling the Middle East Gulf producers.

"I can't remember it being this bad  ( There was massive new production out of the U.S. and people hoped the Chinese market might absorb it," one LPG trader ( said.

"There was strong buying in the first four months of the year with low oil prices but that stopped and the market is now a few million tonnes long."

A glut was expected  ( (, but its severity caught most by surprise and will likely serve as a warning to those trading liquefied natural gas, which is increasingly oversupplied.  ;D

LPG is the collective term for propane and butane. The United States exports mostly propane used for heating and in the petrochemical industry to make propylene, a base for plastics manufacturing.

Traders have been left scrambling to mitigate losses as China has failed to be the driver of demand.

At least five companies — Vitol, Gunvor, Shell, BP and EDF Trading — canceled July-loading cargoes out of the two major Texas LPG terminals, preferring to pay penalties of up to $1 million per cargo.
Many LPG traders signed up for multi-year contracts but premiums to the U.S. benchmark on a spot basis sunk by about $40 a tonne this year, undercutting the term lifters.

The contracts were also signed when the U.S. benchmark was around a $150 to $200-per-tonne discount to the European benchmark and Saudi Arabia's official selling price. But spreads shrunk dramatically in 2016, making U.S. exports suddenly unappealing to Asia.

Chinese end-users are now cancelling or renegotiation their term contracts, taking advantage of product overhangs in the Middle East and a cheaper alternative feedstock, naphtha.

Asian demand slowed earlier this year on weak propylene margins, which led to run cuts and delayed new plant start-ups. After hitting a trough, the market is expected to rebalance by the year-end though supply will continue to outpace demand.

"Non-associated gas output means there will be a steady rise in natural gas liquids output despite the oil price doldrums. This trend will continue in the medium term," Al Troner, head of Asia Pacific Energy Consulting in Houston, said.


The disputes have in some cases devolved into open altercations and tanker stand-offs.

At an LPG conference earlier this year in China, one trader said he saw "serious arguments between the Chinese and the U.S. suppliers outside the hall at the café ... Everyone pretended not to be eavesdropping but stopped chatting and just stood still".
Targa Resources, operator of an export terminal in Texas, has been stung by contracts with Chinese buyers and is seeking "damages in excess of $1,000,000" from China Soft Packaging Group, documents filed by Targa at a Texas county court showed.

China Soft Packaging declined to comment and Targa did not respond to requests for comment.   (


"The U.S. suppliers already made fat margins earlier (in 2015) and they should be ready for price negotiations," a senior source with one of the east China-based LPG buyers said.

Hong Kong-based Oriental Energy International Trading has also had disputes ( ( with Targa and Greek LPG trader Naftomar. Targa let Oriental's Kikyo tanker languish for weeks offshore Texas in June. Naftomar's Constellation ship is now stuck outside China's Ningbo port, a senior trader at Naftomar said.

Singapore-based SK Chemical Trading recently canceled contracts with Naftomar, Petredec and Shell after its end-user Zhejiang Shaoxing Sanyuan Petrochemical Co reneged on its orders. The companies did not respond to requests for comment.

One trader   ( said the price rout was ruining careers and had "gunfight at the O.K. Corral-type implications", referring to one of the most famous shootouts from the days of the American Wild West.   (

Agelbert OPINION
of fossil fuel trader(s) (infamous for being empathy deficit disordered crooks and liars - possibly the lowest form of life in our "civilization") threats of a 'shootout at the O.K. Corral': 

(Additional reporting by Libby George in London, Florence Tan and Seng Li Peng in Singapore and Liz Hampton in Houston; Writing by Julia Payne; Editing by Dale Hudson)

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 30, 2016, 09:29:09 pm


Offshore Services Firm Goes Bankrupt

Published at 03:20PM - 28/07/16
Swiber Holdings Limited, an offshore services company based in Singapore, has made an application to wind up the company following demands from credits.

The company also filed an application to place it in provisional liquidation, media sources reported.

“While business sentiment in the oil and gas industry remains depressed, the Group believes that the impact on shallow water field development and production activities, where Swiber is an established provider, will be lower,” the company’s Group President, Darren Yeo, had said in its first quarter results report.

Offshore Services Firm Goes Bankrupt

The company announced it made the application to Singapore’s High Court on Wednesday and the hearing is set for August 19, 2016.

The High Court of Singapore has appointed Cameron Lindsay Duncan and Muk Siew Peng, care of KordaMentha Pte, as the joint and several provisional liquidators of the company.

Following the application, the company’s Executive Director and Vice Chairman Francis Wong, Executive Director and Group Chief Financial Officer (CFO) Leonard Tay and its Executive Director Nitish Guptal, all resigned.

In the first quarter of the year, the company reported a net loss of US$200,000, while the Group revenue rose by 16% compared to the first quarter of 2015, mainly due to new contracts secured in the last 12 months despite depressed market conditions.

2,700 Oil Workers Left Jobless

Swiber is a global provider of engineering, procurement, installation and construction (EPIC) services to the offshore industry.

According to Swiber’s 2015 annual report, the company has nearly 2,700 employees worldwide and some 10,250 shareholders, a total of US$1.43 billion in liabilities and total assets of US$1.99 billion.

The company owns 51 vessels, but it is not certain whether it will be able to convert these into cash given the current downfall in oil prices.

Across the industry, the pace of bankruptcies is picking up, especially in the US, where 11 oil and gas firms had filed for bankruptcy this year, until May.

According to analysts, more bankruptcy filings are expected to take place throughout the year, with approximately a third of global oil and gas firms at risk of insolvency.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 30, 2016, 10:19:12 pm
ExxonMobil Posts $4.7bn Loss in H1

Published at 05:11PM - 29/07/16 (

Agelbert NOTE: Has ANYBODY claimed this is an absolute death sentience for them? NO.

WHY NOT? Because there is a fossil fuel industry mind block  ( at Wall Street!  If ANY other corporation (not part of the fossil fuel industry welfare queen gang) had these kind of loses, the stock would be in free fall well past a 15% drop.

Consider, for a moment, the totally unrealistic way this oil major (polluting pig) is ridiculously considered a 'going concern' and a 'good investment' by Wall Street brokers, despite this devastating loss. Yes, Exxon has their buyback scam in high gear to try to keep the stock from cratering by draining corporation capital. Tillerson has been DOING THAT for over TWO YEARS! That alone is enough to have them downgraded to SELL, even before the devastating loses they have been incurring were reported.

But all you hear is talk of their 'sound' decision to maintain the dividend yield. HELLO?!!! They have MASSIVE LOSSES. That means you are supposed to SELL and stop your stubborn, irrational and stupid fossil fuel worship like that which governs most of the idiots at ZeroHedge.   (
If Musk had a loss like this, do you think TESLA stock would only be down by two percent or so? Of course not! Every brain dead fossil fueler and his mother 'energy expert' crook and liar pal would be screaming that TESLA was a dead corporation walking and much deserving of instance death!    (

The bottom line is that Exxon is a SELL. If you do not believe that, then go ahead and BUY, BUY, BUY. When you lose your shirt, it will be well deserved.  ;D

“We are all born ignorant, but one must work hard to remain stupid.” - Benjamin Franklin
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 05, 2016, 03:19:51 pm

Transocean Profits Dwindle as Customers Cut Offshore Drilling

August 3, 2016 by Bloomberg

Transocean drillship Deepwater Champion  ::). Photo: Transocean

By David Wethe

(Bloomberg) — Transocean Ltd.’s profit dwindled in the second quarter as the world’s largest offshore driller struggles to win contracts and keep rigs busy during an oil industry downturn.

Net income fell to $77 million, or 21 cents a share, from $342 million, or 93 cents, a year earlier, the company based in Vernier, Switzterland, said Wednesday in a statement. Excluding one-time items, the 17-cent per-share profit was better than the average 2-cent loss estimated by 33 analysts surveyed by Bloomberg.

Offshore rig contractors have been among the hardest hit in the industry, with customers slashing spending while new drilling vessels continue to enter an oversupplied market. Transocean announced on Monday it agreed to buy out the public stakes in Transocean Partners LLC for $249 million in an effort to cut costs and boost liquidity.

“Utilization is still declining at almost 5 percent per quarter, and contracting is essentially next to zero,” Marc Edwards, chief executive officer at Diamond Offshore Drilling Inc., told analysts and investors Monday on a conference call. “Before we can declare a bottom, we at least need to see a level of fixture awards that matches a number of contracts that are reaching the end of their term. And for our industry sector, this has yet to happen.”

Brent crude, the global benchmark, is still down by more than half since the downturn began in the middle of 2014. Roughly around the same time that oil prices began falling, Transocean announced plans to create Transocean Partners, selling stakes in three deepwater rigs for the tax-free partnership.

“Transocean Partners was formed so that Transocean would be able to monetize drilling contracts by selling the ownership interests,” Andrew Cosgrove, analyst at Bloomberg Intelligence, said in an interview. “Under the current conditions, it’s not economic to use Transocean Partners for the reason it was created.”

The earnings were released after the close of regular trading in New York.

(Transocean is scheduled to hold an earnings conference call Thursday at 9 a.m. New York time, accessible at EVTS.)

© 2016 Bloomberg L.P

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 07, 2016, 06:47:15 pm
Diamond Offshore Starts Rig Stack and Scrap

Agelbert NOTE: TWO Diamond Offshore semi-submersible rigs like the one above to be SCRAPPED.    (

Published at 05:40PM - 01/08/16

Diamond Offshore announced in its second quarter results that it has decided to cold stack one semi-submersible drilling rig and one jack-up rig as well as scrap two semi-submersible rigs.

The drilling contractor’s decision follows an attempt to cut costs associated with the drilling rigs while ensuring the facilities remain preserved in a way that enables a quick reactivation as soon as the market recovers, the company informed.

“Although the market continues to be challenged, our focus is on striking a balance between controlling costs and laying the foundation to ensure Diamond Offshore is well positioned for the recovery,” Diamond Offshore President and Chief Executive Officer, Mark Edwards, said.

Diamond Offshore Starts Rig Stack and Scrap

The rigs to be cold stacked will be Ocean Endeavour, built in 2007 and located in Italy, and the Ocean Scepter, built in 2008 and located in the US Gulf of Mexico.

The two semi-submersible rigs to be scrapped will be Ocean Questand, built in 1973 and located in Malaysia and Ocean Star, built in 1997 and located in the US Gulf of Mexico.

As well as this, the company announced it has received a three-month extension for its contract with Woodside Energy in Australia, for the semi-submersible drilling rig Ocean Apex.

The rig was built in 2014 and represents a day rate of US$205,000 (£155,206) from mid-November 2017 until mid-February 2018.

Diamond Offshore Falls to a Loss

The company reported a difficult first half of the year, falling to a loss over the second quarter as a result of impairment charges and related taxes.

The company’s revenue also dropped during the quarter, by 17%, mostly as a result of the carrying value of eight semi-submersible rigs and associated inventory, the company explained.

There was also a slight decline in Diamond Offshore’s operational efficiency, mainly due to issues experienced within the ultra-deepwater floater category related to four unplanned retrievals of blowout preventers.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 07, 2016, 07:11:49 pm

Oil Prices Cut AGAIN by Saudis

Published at 09:19AM - 01/08/16

Saudi Aramco just announced it has lowered the price of its Arab Light crude by the most since October 2015, showing it does not intend to change its plans amid Iran’s strong revival.

Over this year, Iran has seen its production go up by 25% in an attempt to get back to pre-sanction levels, while Brent crude prices have shown a 17% rise mostly due to supply disruptions.

“We expect slightly higher oil prices for the second half of 2016 as oil market oversupply diminishes. However, inventories remain very large and will take some time to be drawn down,” World Bank’s Commodities Markets Outlook report lead author, John Baffes, said.

Oil Prices Cut by Saudi Despite Oversupply

Iran is trying to reach a daily output of 4 million barrels by the end of 2016, after a heavy drop caused by the international sanctions.

Just last month, Saudi Aramco CEO Amin Nasser told media sources the company was not worried (  about rival producers like Iraq, Iran and Russia gaining ground on Asia, its main export market.

However  (, the recent move could be showing otherwise. In 2014, Saudi Arabia led OPEC’s decision to maintain production levels.

In the meantime, despite this year’s climb in Brent crude oil prices, these are still 20% lower than in 2015. ( (

The rise follows a downfall in crude production in Nigeria, as militants resume pipeline attacks in the Niger Delta, as well as the Canadian wildfire that led the oil-sands industry to shut down more than 1 million barrels a day of production.

Oil Majors(  Suffer from Supply Glut  (

This oversupply and the continued drop in crude prices has severely affected the industry, which was left clear in the latest second quarter results announced over the past week.

In fact, ExxonMobil and Shell reported their lowest profits since 1999 and 2005, while Chevron reported its deepest fall in 27 years.
  (  (   (

“Energy exporting emerging and developing economies have struggled to adjust to persistently low prices. (…) Both energy and agricultural commodity exporting countries need to step up economic diversification efforts to bolster resilience to commodity price fluctuations,” Director of the World Bank’s Development Prospects Group, Ayhan Kose, said.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 10, 2016, 10:45:33 pm
Threat to Oil Price Recovery Rises from the Seas?  ???  (

Published at 12:31PM - 09/08/16

There is a general consensus amongst industry analysts (  that the oil oversupply creating the current market downturn will narrow by the end of 2016.  (

Douglas-Westwood (DW) data support this view, with our World Drilling & Production Market Forecast showing the first oil production decline in 2016 since 2009 – when OPEC strategically cut output in order to support prices. This is largely due to considerable reductions in oil production from the US shale plays as well as widespread outages in Nigeria as a result of militant attacks in the Niger Delta.

Therefore, the oversupply will be eroded  ( from the supply side with the demand side stuttering as a result of slowing Chinese economic growth and uncertainty surrounding the future of European markets.

DW’s 2017 view is less positive for the oversupply. The implementation of a host of offshore developments sanctioned before the oil price crash will lead to a 1.8 million barrels per day (mmbbl/d) increase in offshore oil output and a 2.1 mmbbl/d increase overall.

Such projects include the ill-fated Kashagan project in the Kazakh Caspian. Kashagan alone is expected to contribute nearly 300 thousand barrels per day (kbbl/d) in 2017. Significant additions are also expected from the Middle East in the form of condensate output from the 24-phase South Pars development and around 300 kbbl/d Khafji field – previously shut-in due to environmental infringements and disagreements between joint operators Kuwait and Saudi Arabia.

This pattern is expected to be seen globally
, even mature plays in the North Sea and south-east Asia seeing increased output in 2017 as a result of the lag effect of offshore developments (the time between project sanctioning and first oil can be many years).

Demand outlooks from BP, EIA and IEA suggest 2017 demand growth around 1.2 mmbbl/d to 1.5 mmbbl/d, therefore it is highly likely the oversupply will increase once again next year.

Whilst this is not certain to push oil prices down once more, it is likely to dampen the recovery until later this decade when a lack of project sanctioning in the last two years leads to a significant drop in offshore oil output additions towards to the end of the decade.

This will cause offshore oil production to peak at 29.1 mmbbl/d in 2019 before declining slowly into the 2020s. Onshore oil production is unlikely to sufficiently offset this trend to keep pace with demand growth later this decade, therefore, this may be the point the market reaches equilibrium. (

Agelbert NOTE:
The wishful thinking happy talk from the fossil fuel industry about "rising prices soon, soon, soon" ( is normal and expected from these masters of mens rea mendacity.  Therefore, this article is a breath of fresh air.   (

Although I certainly do not agree that the fossil fuel pigs will have a recovery a decade from now, I do agree that that there is not a snowball's chance in hell that oil and gas prices will increase before 2019.   (

THAT delay should bankrupt quite a few of these polluting bastards if the speculators don't pull another head fake, ignoring both supply and demand reality, and jack up the oil & gas commodities market with futures gaming and funny money rigging.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 13, 2016, 05:46:05 pm
Agelbert NOTE: The BABYING of Oil & Gas Corporations by the BANKS  ( in our fossil fuel corrupted economy is FINALLY starting to end.  :emthup:

If these TORRENTS of losses was being experienced by ANY of the Renewable Energy corporations, Wall Street would have destroyed them over a YEAR ago. But the oil and gas welfare queens ( have been BABIED for over TWO YEARS.  (

So the next time some brain dead, biosphere math challenged defender of fossil fuels whines about Tesla cars or some "wasted" government/bank loans to a solar panel manufacturer that went bankrupt, REMIND them Renewable Energy Corporations were (and are) NOT given the TIME or the RESTRUCTURING babying in Chapter 11 fun and gaming bankruptcy that the fossil fuel irresponsible polluting welfare queens ARE given TO THIS DAY.

Fossil fuel corporations have no business being in business, PERIOD.

... at $40 a barrel, they’re still well below the $60 to $80 drillers  ( to break even.

Investors Have $100 Billion to Spend on Oil Assets No One Else Wants
David Carey
Laura J Keller
Vamburkar meenal_v

August 11, 2016 — 5:00 AM EDT Updated on August 11, 2016 — 9:10 AM EDT

Buyout firms ( target soured loans with eye on taking ownership

Drillers   ( unload assets to stay afloat as cash crunch deepens

The long wait may finally be over.

Since the great crash of oil in mid-2014, more than $100 billion has been raised by buyout firms and distressed-debt funds eager to scoop up energy assets on the cheap. But as the months rolled by, few opportunities cropped up as cash-starved drillers limped along with the help of their bankers.  (

Not any more.
  ( What started out as a trickle has now turned into something much more, with Blackstone Group LP, Apollo Global Management LLC and WL Ross & Co. all jumping in this year to buy a grab bag of assets at discounted prices. Precise numbers are hard to come by, but in conversations with investors, bankers and analysts across the industry, there’s little doubt that private equity firms are ramping up their investments in everything from undrilled and developed oil and gas acreage to troubled loans.
“We’ve gone very aggressively into the market” after holding back for most of last year, said Shaia Hosseinzadeh, who oversees energy-focused distressed-debt investing at WL Ross, the namesake firm of billionaire dealmaker Wilbur Ross. “You’ll see more deals in the second half.”

Deals are picking up for a few key reasons. Oil prices are no longer in a free fall, but at $40 a barrel, they’re still well below the $60 to $80 levels many drillers need to break even.  (

Wall Street has started to turn away the weakest borrowers after extending more than $2 trillion in loans and commitments during the boom. ( (

And with the cash crunch causing a surge in bankruptcies this year, many firms are looking to unload assets to stay afloat. (

Much of the action is unfolding in distressed debt, where buyers have targeted loans and bonds with an eye on seizing ownership in bankruptcy or restructuring.
Billionaire Leon Black’s Apollo, WL Ross and EIG Global Energy Partners have snapped up more than half of the $1.6 billion in unsecured debt of Permian Resources, an oil and gas producer started in 2014 by the late Aubrey McClendon, people familiar with the matter have said.

McClendon set up Permian Resources with backing from Houston-based private equity shop Energy & Minerals Group. The explorer has leaseholds to 85,000 net acres in the Permian Basin of west Texas, one of the most prolific oil and gas fields in the country. While the company has top-flight assets ( and bought itself time by selling some, its debt load is unsustainable and is on track to default within a year    (
, said Carin Dehne-Kiley, an analyst at S&P Global Ratings. 

Representatives for all the firms declined to comment.  (  (

Banks, for their part, are finally getting serious about cutting off the energy industry’s weakest borrowers and selling loans -- after more than two years of foot-dragging  ( (   In the first half of 2016, the eight biggest U.S. banks reduced loans and loan commitments by 6.3 percent after stepping up the percentage they lopped off their books last quarter, according to data compiled by Bloomberg from the lenders’ filings and other disclosures.

As of June 30, they had lent or committed to lend $2.19 trillion, including some derivatives positions, compared to $2.34 trillion at the end of 2015, filings show. Bank of America Corp. reduced its exposure last quarter by a record 7 percent to $40.5 billion. Morgan Stanley has slashed its lending to the energy industry by 22 percent -- the most among the group -- since it ballooned to a peak in the third quarter of 2015.
Much of what’s left is souring ( At Wells Fargo & Co., energy loans that are considered “non-accruals,”   ( or those that aren’t expected to be fully repaid, have soared to $2.55 billion from just $35 million less than two years ago.

Representatives at the banks declined to comment. (  (

Many troubled firms are tapped out anyway. At least a dozen oil and gas producers had used more than 90 percent of their credit lines at the end of the first quarter, according to Bloomberg Intelligence. Half of those are effectively overdrawn after their bank credit lines were cut.

While executives at Wells Fargo and other banks have met with buyout firms to unload their energy loans in recent months, according to people familiar with the matter, some private equity players are also snapping up assets directly from operators that are short on cash.

In July, Blackstone paid about $500 million for acreage in the Permian. This month, it expects to wrap a deal to buy a partly developed oil field in the North Sea. The firm, which didn’t make a single investment for 15 months after it raised a $4.5 billion fund in early 2015 for energy assets, has spent $1.8 billion between the fund and its main buyout pool on oil and gas plays this year.

“One thing we’re focused on is to provide capital to complete large, oil-field development projects,” said David Foley, the head of energy investing at Blackstone, which manages $356 billion. “In many cases, it is possible to buy in at a significant discount to replacement cost.” He didn’t identify the ( sellers.

Some buyout firms like EIG are helping financially sound companies bankroll purchases of ailing rivals. In February, the firm agreed to invest as much as $500 million by buying preferred shares from a unit of Rice Energy Inc., a natural gas explorer in the Appalachian Basin, to back Rice’s acquisition program and expansion.
“We want to finance the big guys with preferred so they have liquidity to go on the attack,” EIG President Bill Sonneborn said at a conference in May.

That suggests dealmaking may accelerate. This year, $36 billion of acquisitions involving U.S. oil and gas companies have been announced -- ahead of last year’s pace but behind 2014. And while some producers have sold equity, Anadarko Petroleum Corp., Devon Energy Corp. and others are also boosting efforts to unload assets and raise cash. Devon, which sold off less than $200 million of assets in 2015, announced $3.2 billion in sales this year.

On Wednesday, Chesapeake Energy Corp., which has suffered more than $17 billion in losses over the past six quarters, announced it will give away its Barnett Shale holdings to an operator backed by First Reserve Corp., an energy-focused private equity firm.

“The thawing is underway,” said James Row ( , the chief executive officer of The Oil & Gas Asset Clearinghouse (, which brokers oil and gas deals.

Even as the market heats up, there are still plenty of risks -- a lesson that was driven home painfully last year.
After oil prices briefly rebounded in the first half of 2015 and flirted with $60 levels, Blackstone’s GSO credit unit (, KKR & Co. ( and Oaktree Capital (, as well as mutual-fund manager Franklin Resources Inc. (, among others, spent billions of dollars on cash-strapped explorers betting the industry would recover.


It proved to be too early. Many of the investments soured as oil descended into the mid-$20s. At least 90 producers, including SandRidge Energy Inc., Linn Energy LLC and Breitburn Energy Partners LP, filed for bankruptcy since the start of 2015, according to law firm Haynes and Boone LLP.

And while oil is up more than 60 percent from its low in February, prices have once again retreated and sunk back into a bear market this month. This year, bankruptcies are being filed at double the pace in 2015.

“There’s a long list of companies that are going to disappear,” said EIG’s Sonneborn. “You’ve got to be very, very careful investing in this space.”

The recent flurry of dealmaking has left fewer bargains as well. Outside the Permian, where operators can profit from $40-a-barrel oil, the supply of top-grade acreage is spotty. And traders see oil prices stuck below $60 -- a key level many producers need to boost drilling and profits -- until at least 2020.

“I don’t think you’ll see a tidal wave of deals, not good deals anyway,” said Blackstone’s Foley. “Firms raised too much money. They may get it invested over six years, but not in the next few.”

Agelbert NOTE: SEVERAL eye opening charts and graphics  ( included in this story at link. (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 19, 2016, 03:29:23 pm

August 19, 2016


#Fossil fuels #Utilities


Uniper: Risky bet on electricity from gas

Troubled German energy company E.ON is listing its conventional power division Uniper but the move lacks a convincing plan, Angela Hennersdorf writes in WirtschaftsWoche.

Uniper comprises commodity trading operations and more than 300 coal and gas power plants worldwide fossil fuel-burning assets that have no place in the post energy transition era, Hennersdorf adds.   (

She describes E.ON’s plan to list 53 percent of the unit in September as “shaky,” pointing out that electricity produced by gas plants is profitable at prices of at least 45 euros per kilowatt hour, but recent wholesale prices for gas-generated electricity were at less than 30 euros.

Agelbert NOTE: And then there is the water use problem in a world of increasingly expensive (due to Global Warming caused scarcity) fresh water that fossil fuel power plants have, that wind and PV solar do NOT have.



Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 27, 2016, 04:48:32 pm
Climate| Aug 26, 2016

Big Oil’s Nightmare Comes True   ;D

By Carl Pope


"This was retail politics and oil lost," (
was how Adrienne Alvord of Union of Concerned Scientists summed up the stunning environmental victory Tuesday in the California legislature, a victory which cemented the state's commitment to a 40 percent reduction in climate pollution by 2030.'' (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 27, 2016, 05:44:13 pm


Crude Oil Prices Start Downward Trend

Published at 08:14AM - 23/08/16
Crude oil prices have ended a short rally of gains over hopes that members of the Organisation of Petroleum Exporting Countries (OPEC) would soon agree on a production freeze to balance prices.

Crude oil prices fell by more than 1% this morning. On Monday, Brent was already down by 2.5% to $49.59, while WTI was off 2.1% from the previous $47.9.

According to media sources, Goldman Sachs has sent out a warning that the rebound in prices had been merely caused by the news on the potential output freeze and the weakening dollar.

Crude Oil Prices Start Downward Trend

Analysts are saying that the downfall in prices has been a result of an overreacting market  ( ( and not caused by changes in oil fundamentals.   ( *

According to Goldman Sachs, the potential proposal by OPEC members and non-OPEC producers to cut down on oil production would result in record highs.

As a result, it would not be expected to bring more balance to supply and demand levels.

As well as this, the deal is actually not that likely, the bank adds, as previous disputes between Saudi Arabia and Iran are bringing some uncertainty regarding Russia’s actual willingness to cooperate with OPEC members.

Crude Oil Prices React to Market Uncertainty

Crude oil prices had gone up by more than 20% in the beginning of August until last week, when they started a downfall by more than 3.5%.

The beginning of the month marked the time when prices crossed the $50 per barrel threshold, an increase of more than $10 since the beginning of August.

At the time, this reaction was blamed on Saudi Arabia’s oil minister Khalid al-Falih’s comments that OPEC may act on oil production at its next meeting.

However, a freeze proposal had been on the table earlier this year but efforts fell through due to differences between the members and non-members about market share. (

* Agelbert NOTE: Well yeah, I have been saying, FOR YEARS, that supply and demand does not have squat to do with the price of crude. The analysts are quick to correctly point out that the drop is unrelated to fundamentals but SILENT AS DEATH  ;) about the FACT that the rocketing rise of the price of Oil from February to June of 2016 was due ALSO to an 'overreacting'  ;) market (SEE: rigged Oil & Gas commodities futures SPECULATION (,  ALSO unrelated to supply and demand.

How absent minded of them.


How cherry picking convenient of them. How mendacious, duplicitous and perfidious of them.

At any rate, it is rather pleasant to see the Fossil Fuel Industry Crooks and Liars have to deal with ACTUAL cause and effect, instead of profiting from rigged speculation.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 27, 2016, 06:31:50 pm

Thursday, August 25, 2016

Renewables Blowing Away Monthly Records

Renewable energy generation has set new records every month this year, surpassing the same months from previous years.

According to new data from the US Energy Information Administration (EIA), generation from non-hydro renewables was up 17 percent over the first half of 2015, and utility-scale wind rose 23.5 percent.

The EIA projected in January that renewables would grow 9.5 percent this year, but so far the actual rate of growth has far outpaced these predictions.  (

Agelbert NOTE: When it comes to fossil fuels, the EIA is ALWAYS predicting higher prices and rosy growth. They have been consistently wrong. They are so tainted by fossil fuel love that ANY prediction the U.S. Energy Information Administration publishes for fossil fuels is always going to be exaggerated and Renewable Energy downplayed. 
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on September 14, 2016, 01:51:05 pm
Global Oil Outlook Darkens More Quickly on Stubborn Surplus ( (

September 13, 2016 by Reuters

ReutersBy Amanda Cooper

LONDON, Sept 13 (Reuters) – The global oil market will show a surplus into next year, as an abrupt deterioration in demand growth meets rising supply, pushing world inventories to yet another record high and confounding the previous expectations of leading energy agencies.

The International Energy Agency on Tuesday forecast global supply would outpace demand well into next year, marking an about-face from its assessment just one month ago that the market would essentially show no surplus for the remainder of this year.

Similarly, a monthly report from the Organization of the Petroleum Exporting Countries on Monday showed the world’s largest producers expect their non-OPEC rivals to pump even faster, suggesting a hefty surplus may be on the cards in 2017.

“Our forecast in this month’s report suggests that this supply-demand dynamic may not change significantly in the coming months. As a result, supply will continue to outpace demand at least through the first half of next year,” the IEA said.

Global refinery runs are expected to grow at their slowest pace in at least a decade this year, which will curb appetite for crude oil, just as inventories across the OECD rose to a fresh record high of 3.111 billion barrels, the report said.

“With our more pessimistic outlook for the second half of 2016 refining activity and revisions to crude supply, the expected draws in the third quarter of 2016 are now lower, while the build in the fourth quarter of 2016 is higher,” the IEA said.

Global demand growth is slowing at a faster pace than the group initially predicted. The IEA left its forecast for demand growth for 2017 unchanged from its prediction in June at 1.2 million barrels per day, but cut its forecast for 2016 consumption growth to 1.3 million bpd, from 1.4 million.

“The key demand change in this report is the erosion of 300,000 bpd from the third quarter of 2016’s global demand estimate, and the resulting removal of 100,000 bpd from the net 2016 forecast,” the IEA said.

Brent crude oil futures fell by around 2 percent on Tuesday to $47.30 a barrel, still showing a 70-percent gain so far this year, but about half where it was two years ago.

Despite oil’s collapse and resulting investment cuts, global oil production is still expanding, although nowhere near the breakneck pace of 2015. High-cost OPEC producers have been hit particularly hard.

However, the loss has been more than made up for by OPEC. Saudi Arabia and Iran have each raised oil output by over 1 million barrels a day since late 2014 when OPEC shifted strategy to defend market share rather than price.

OPEC forecast demand for its oil will average 32.48 million bpd in 2017, down 530,000 bpd from its previous forecast.

“It seems the situation has deteriorated strongly in the eyes of OPEC as well as the IEA,” Commerzbank head of commodities strategy Eugen Weinberg said.,      (

“.. That we are in the third quarter of 2016 and we won’t see the ‘balancing-out’ over the next six months is definitely a major change,” he said.

Near-record OPEC output, and higher supply from outside, could make it harder for OPEC, led by Saudi Arabia, and rival Russia to come up with steps to support the market. Producers are expected to meet in Algeria on the sidelines of the Sept. 26-28 International Energy Forum. (Reporting by Amanda Cooper; Editing by Louise Heavens and William Hardy)

(c) Copyright Thomson Reuters 2016.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on September 16, 2016, 06:37:26 pm

Offshore Drillers Brace for More Pain Even With Bottom in Sight

September 15, 2016 by Bloomberg

By Mikael Holter

(Bloomberg) — Offshore oil-rig operators, grappling with the biggest industry downturn in a generation, say they finally have the bottom in sight. The problem is, they could be stuck there for a long time.

Transocean Ltd., which owns the biggest offshore-rig fleet in the world, believes utilization for floating units will reach bottom toward the middle of next year, Chief Financial Officer Mark Mey said at a conference organized by Pareto Securities ASA in Oslo. Seadrill Ltd., which owns the third-largest fleet, said utilization could stabilize as soon as the beginning of next year, and that rental rates had already bottomed out.

Still, it’s impossible to say when those rates, which have dropped to about $200,000 a day from highs of $650,000 in 2013 for the most sophisticated units, will recover, said Seadrill Chief Executive Officer Per Wullf and Tom Kellock, a senior consultant at IHS Markit Ltd.

“We don’t know where demand is going, and that’s a reflection of the oil price,” Kellock said in an interview. “Rates are going to come back more slowly than oil prices because of the overhang and the degree of competition and the oversupply of rigs, which is not at this stage being tackled.”

Offshore drillers have been pounded by the collapse in crude prices in the past two years as oil companies slashed spending to protect their cash flow and shareholder payouts. Their predicament has been exacerbated by a wave of new rigs coming into the market that were ordered when demand was strong. Rig operators have reduced costs dramatically, but still have had to cut dividends, defer delivery of vessels and suspend or scrap existing ones.

Bottoming Out

The number of floating rigs on contract and working is expected to fall to about 120 in the middle of 2017 from about 160 currently, Transocean’s Mey said in an interview on the sidelines of the conference. It could take as long as a year before utilization bottoms out, IHS Markit’s Kellock said. As many as 60 more floaters need to be permanently scrapped, according to both Seadrill and IHS Markit.

While Seadrill said utilization rates will need to reach 70 percent across the industry before rates start improving, Transocean and IHS Markit estimated 85 percent. Regardless, a recovery depends on higher, more stable oil prices, Ensco Plc Chief Financial Officer Jon Baksht, said during a presentation at the conference Wednesday.

“You’ll have flat utilization” from the beginning of next year with operators “hunting” for work, Wullf said in an interview. “Then it’s a matter of the oil price.”

Longer Glut

While oil has recovered from the 12-year lows it reached in January, the International Energy Agency said this week that a global glut will last longer than previously expected, persisting into late 2017 as demand growth slows and supply keeps up, driven by record output from OPEC.

For costly ultra-deepwater rigs, utilization rates of 70 percent won’t be reached until 2018 at the earliest, said Andrew Cosgrove, an analyst at Bloomberg Intelligence. “I agree rates are definitely at or near bottom, but we’re going to be walking along the ‘bottom of the bathtub’ for a while.”  ;D

An extended period at the bottom looks especially threatening for Seadrill, which has the industry’s heaviest debt load, with about $9 billion at the end of the second quarter. The company, controlled by billionaire John Fredriksen, is currently negotiating with its 42 banks before it can be able to include bondholders, Wullf said at the conference. The company aims to have a solution in place by early December, he said.   ( (

“It’s a big puzzle,” Wullf said. “I’m carefully optimistic.”   (

© 2016 Bloomberg L.P


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on September 22, 2016, 01:54:00 pm
Investments in Fossil Fuels Take a Nosedive    (

Posted on Sep 21, 2016

By Kieran Cooke / Climate News Network

LONDON—A revolution is taking place in the global energy sector, with investments in oil and gas declining by 25% in 2015 while energy produced from renewables rose by more than 30%.

“We have never seen such a decline [in oil and gas investment]”, said Dr Fatih Birol, executive director of the International Energy Agency (IEA), at the London launch of its first ever report into world energy investment.

“Our findings carry a very important message for climate change and for the Paris agreement. Anyone who does not understand what is going on—governments, companies, markets—is not in the right place.”

Replacing fossil fuels with renewable energies is seen as vital in the battle against climate change.
The IEA, which focuses on issues of energy security, says that overall investment in the global energy sector declined by 8% in 2015 to US$1.8 trillion.

Fossil fuels products

In part, the decline in investments in oil and gas was due to the lower costs of crude oil and other products of the fossil fuels industry.

Although investment in renewables has been more or less the same in each of the last four years, increased efficiencies and lower capital costs resulted in a third more electricity being produced from these technologies in 2015.

“A major shift in investment towards low carbon sources of power generation is under way,” the IEA report says. “Fossil fuels continue to dominate energy supply, but the composition of investment flows points to a reordering of the system.”

Lazlo Varro, an IEA renewables expert, says the sector needed less and less in government subsidies as costs come down. Over the last five years, the price of solar energy dropped by 80%, while wind power’s costs dropped by a third overall.

Varro says that offshore wind power—traditionally seen as expensive—was becoming more price-competitive as turbine sizes increase and more efficient construction methods are used. Low interest rates were also encouraging more investment in renewables.

Nuclear energy is seen by some as an important ingredient in tackling climate-changing carbon emissions.

Fossil fuels continue to dominate energy supply,
 but the composition of investment flows points
 to a reordering of the system

The IEA says the drop in the price of renewables has not been reflected in the nuclear sector—rather, the reverse. And there are continuing worries about nuclear safety and the disposal of nuclear materials.

For those hoping for a bright new dawn of carbon-free energy, the IEA report has some sobering news: there are continuing large-scale investments in coal—the most polluting of fuels. More than US$60 billion was invested in coal projects last year, most of it in Asia and in Australia.

Many of the coal plants constructed are described as sub-critical—severely polluting, and using only basic technology.

The continued investment in coal was often due to the lack of the necessary infrastructure to support other, cleaner energy systems in countries such as India and Indonesia, and to the failure of governments to back renewables.

Energy spending

China continues to be the world’s biggest producer and consumer of coal, although the IEA says 60% of the country’s total energy spending last year was on renewables.

The IEA predicts that investment in fossil fuels is likely to continue to fall in the years ahead, particularly in the oil industry. But the energy sector—especially transport—will remain dependent on oil and gas.

The liquefied natural gas (LNG) market will grow substantially, and countries in the Middle East and Russia will continue to expand their oil production.

The IEA welcomes the shift in investment to renewable forms of energy, but says new oil production needs to come on stream in order to meet international energy demand.

Production from oil fields around the world is declining, and Birol says: “Every second year we lose [the equivalent of] one Iraq due to the decline in oil field production. This is worrying from an IEA perspective.”

Kieran Cooke, a founding editor of Climate News Network, is a former foreign correspondent for the BBC and Financial Times. He now focuses on environmental issues.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on September 23, 2016, 02:06:55 pm

Fri Sep 23, 2016 | 2:00pm EDT

Oil slumps 4 percent as no output deal expected for OPEC  (

By Barani Krishnan | NEW YORK

Oil prices tumbled about 4 percent on Friday on signs Saudi Arabia and arch rival Iran were making little progress in achieving preliminary agreement ahead of talks by major crude exporters next week aimed at freezing production.

Also weighing on sentiment was data showing the United States was on track to add the most number of oil rigs in a quarter since the crude price crash began two years ago. Lower equity prices on Wall Street and other world stock markets was another bearish factor. [RIG/U] [.N] [MKTS/GLOB]

Brent crude oil LCOc1 was down $1.88, or 4 percent, at $45.77 a barrel by 1:41 p.m. EDT (1741 GMT). It was flat on the week after showing a weekly gain of 4 percent earlier.

U.S. West Texas Intermediate (WTI) crude CLc1 was down $1.94, or 4.2 percent, at $44.38. On the week, WTI showed a gain of 3 percent.
Crude futures slumped after sources said Saudi Arabia did not expect a decision in Algeria where the Organization of the Petroleum Exporting Countries and other big oil producers are set to convene for the Sept 26-28 talks.

"The Algeria meeting is not a decision making meeting. It is for consultations," a source familiar with Saudi oil officials' thinking told Reuters.
Earlier in the day, Brent and WTI were on track to their largest weekly gain in more than a month after Reuters reported that Saudi Arabia had offered to reduce production if Iran caps its own output this year.

Oil prices are typically volatile ahead of OPEC talks and Friday's session was tempered with caution despite market sentiment on a high this week after the U.S. government reported on Wednesday a third straight weekly drop in crude stockpiles. [EIA/S]

The talks in Algeria are OPEC's second attempt to reach an agreement on production curbs, after a failed effort in May. The market has been skeptical of OPEC's commitment, though, as key members of the group, including Saudi Arabia, Iran, Iraq, Libya and Nigeria, have been pumping at optimum levels to protect market share. [OPEC/M]

Russia, the world's largest oil exporter and a key participant at the Algeria talks, also hit record highs in production this week.

(Additional reporting by Sabina Zawadzki and Libby George in LONDON and Henning Gloystein; in SINGAPORE; Editing by Marguerita Choy and Bernadette Baum)

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on September 24, 2016, 03:58:39 pm

Offshore Job Slash Continues Globally   (    (

Published at 02:05PM - 21/09/16

Since the start of the week, various oil and gas companies have already announced significant offshore job cuts across the industry, affecting different parts of the globe.

The move follows the continued challenges hitting the oil and gas industry as well as the uncertainty surrounding the evolution of crude oil prices.

The list of companies reducing their taskforce includes Technip, Petronas, Boskalis, Farstad and Shell and their decisions should impact different continents.

Offshore Job Slash Continues Across the Industry

Royal Boskalis Westminster started the trend after announcing it is moving ahead with plans to take a series of vessels out of service and lay off hundreds of workers.

Over the next two years, the company will see 24 vessels taken out of service, which is expected to result in the loss of 650 jobs worldwide.

On Monday, Technip also announced it is set to cut 130 jobs in Aberdeen. The company is undergoing consultation on the redundacies, with proposals that reflect “significantly reduced activity levels being experienced” across the industry.

Shell ( is shedding jobs in Norway

In Malaysia, Petronas is also reportedly planning to cut down its workforce by several hundreds as it continues to struggle with low oil prices.

In March, the firm had already implemented a restructuring, which resulted in redundancies of around 1,000 jobs.

Norway Affected by Job Cuts

Further East, in Australia, Farstad Shipping also announced job cuts following the closure of its Melbourne office, shedding from 65 to 30 employees as it moves all its activities to Perth.

Back in Europe, Shell had already warned that its merger with the BG Group would lead to thousands of offshore job cuts across its global operations. The company will now implement a reduction of 145 positions.

As well as this, according to media reports, the supermajor confirmed it will also discontinue 110 contractor agreements, on top of those 145 positions.

However, Shell is not the only firm to take the leap in Norway. FMC Technologies and Aker Solutions are also reportedly shedding jobs in the North European country, laying off 200 and 100 offshore workers, respectively.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on October 04, 2016, 06:58:51 pm
More German Coal Plants Face Early Closures as Profits Fade  ;D

Updated on September 30, 2016 — 9:26 AM EDT
Quarter of hard-coal stations seen closing, Nena says

German coal-fired power plant closures are poised to accelerate as dwindling margins prompt utilities to retire the stations early.

A quarter of hard coal-fired generation capacity in Europe’s largest economy may shut ahead of schedule if plant operators forgo spending on upgrades to keep aging stations open, according to Nena AS, an Oslo-based energy consulting firm. Steag GmbH, the nation’s fifth-biggest power producer, is considering shuttering at least five of its 13 German coal stations before plan, Juergen Froehlich, a spokesman for the utility, said by e-mail.

As German coal plant profitability lingers near its lowest levels in at least five years, other utilities may follow Steag, helping ease a surplus of generating capacity exacerbated by the rise of renewable energy, according to Goldman Sachs Group Inc. While utilities have shut about 18 percent of Germany’s current hard coal-fired capacity since 2011, only 9 percent more is slated to close through 2019, according to consultants Pira Energy.

“You have a lot of old hard-coal plants in Germany and you need to take investment decisions now if you want to continue operating them,” Bengt Longva, a senior analyst at Nena, said by phone.

Dark Spread

The clean-dark spread, a measure of coal-plant profitability, for next month in Germany dropped 57 percent in the past 12 months to EU2.80 per megawatt hour, a third of the five-year average for this time of year, according to broker data compiled by Bloomberg. At the same time, gas-fired generation margins have recovered to 2.86 euros per megawatt hour from minus 8 euros.

“We have seen some resilience for coal, but dark spreads have been narrowing and along the curve I don’t see how these units will be running next year,” said Bruno Brunetti, a director of electricity at Pira in New York. “Recovery of costs is now becoming a real issue.”

While fuel prices have risen this year, coal has climbed faster than natural gas. This spurred a 15 percent jump in German gas-fired generation as of July, compared with a decline of 16 percent in hard-coal plant output, according to German utility lobby BDEW. Hard coal makes up about 18 percent of the country’s generation.

Even with German power prices slumping the lowest in more than a decade, total installed generation capacity has increased by more than 50 percent to 195 gigawatts since 2006 due to the surge in renewables, according to the Fraunhofer ISE research institute. Fossil fuel-plant capacity fell 11 percent in the same period. A gigawatt is enough to power 2 million European homes.

“The industry is reacting at last,” Goldman Sachs analysts wrote in a Sept. 13 note. More utilities may follow Steag’s move, “further improving the outlook for supply and demand,” they wrote.

In addition to Steag’s mooted closures of some of its own plants, the utility and RWE AG, Germany’s largest electricity producer, decided to shut their co-owned Voerde A and Voerde B coal units by April next year.

What’s happening in Germany is a game of chicken,” said Andreas Gandolfo, an analyst at Bloomberg New Energy Finance in London. “If someone else shuts their power plant first, you benefit.”
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on October 06, 2016, 02:18:12 pm
Who coulda node?  ::)

RE (

What happens to demand for oil in a deep global recession? It tends to plummet, and unless production falls by the same amount, then price tends to plummet as well, as supply stays stubbornly higher than cratering demand.

These two nuclear options could strike the global economy even without any planning. Once the global economy tips into recession, oil may fall under its own weight and the dollar may gain ground as other currencies fall.


However, at the moment the oil predatory crooks and liars are following their time honored scare tactics to jack up the price of crude based on Hurricane Matthew's projected supply interruption.

As usual, they jack up the price BEFORE any damage has occurred and are slow as a snail in molasses to lower it when demand continues to evaporate. The fossil fuel industry CROOKS  have a cute term for this "phenomenon": They claim that prices are "inelastic" on the way down and "elastic" on the way up.  (  (  (

Oh, the pliability of the English language.    ::)

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on October 31, 2016, 01:39:30 pm
Climate| Oct. 31, 2016 08:20AM EST
Big Oil  (  Is in Big Trouble   (  (

Oil Change International Oil Change International
By Andy Rowell


Something significant happened on Friday that warrants more than just a few column inches in a newspaper. AGREED  (

With the most divisive presidential election in U.S. history just days away from concluding, it is easy to understand why more is not being made of the news, but just to tell you something seismic happened on Friday last week.

The world's largest listed oil company, Exxon, announced that it was going to have to cut its reported proved reserves by just under a fifth—by 19 percent.

It would be the biggest reserve revision in the history of the oil industry. It is yet another sign that Big Oil is in big trouble.

The Chicago Tribune:

"Big oil companies have been solid investments for years, with a deceptively simple business model: Find at least as much new oil as you sell, book those barrels as future sales and reinvest in the hunt for new reserves. That made sense as long as oil prices went up, but it locked companies into a vicious cycle of replenishment, leading them to search for ever more extreme, and expensive, sources of crude oil in the Arctic and beneath the oceans."

And it added:

"Cheap oil has stopped that business cold and the threat of climate action raises fundamental questions about whether it'll ever be viable again."

Full article: (

Agelbert NOTE: For those magical thinking fossil fuelers who think this will help the Big Oil crooks and liars to jack up the price of fossil fuels, I can only pity your descent into straw grasping wishful thinking. Demand destruction is NOT going to go away. The Fossil Fuel "Industry"  ( will disappear in disgrace if logic and sanity prevails.   (


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on November 12, 2016, 06:24:45 pm

Oil Tankers Used to Store Millions of Barrels at Sea as Land Sites Fill

November 11, 2016 by Bloomberg

By Alex Longley

(Bloomberg) — Oil companies booked tankers to store as many as 9 million barrels of crude in northwest Europe amid signs that space in on-land depots is filling up, a ship-operator said. The glut could get bigger still, given the region is scheduled to load the most cargoes in 4 1/2 years next month.

There are 14 to 16 Aframax-class tankers now storing crude in the region, Jonathan Lee, chief executive officer of Tankers International, operator of the world’s biggest pool of supertankers, said by phone Friday. Standard cargoes are normally almost 600,000 barrels. Lack of on-land capacity to hold the oil is the most likely cause of the buildup, he said.

North Sea producers are among a long list of suppliers adding barrels just as OPEC prepares to try and eliminate a surplus. Pressure on the exporter club is piling up because its own members are pumping like never before while nations outside the group including Brazil, Kazakhstan, Canada and Russia are producing more than ever or pumping from new fields.

Traders began looking for profit at sea again earlier this month, according to a Bloomberg survey, with Tankers International saying at the time that between five and 10 ships had been chartered to hold oil near Singapore, most likely to profit from weak crude prices.

Doing the Contango   (

Those ships are the industry’s biggest supertankers, holding 2 million barrels a piece. The vessels in the North Sea would normally carry about 70 percent less oil.

Oversupply in the oil market has caused a key oil-price spread that denotes the scale of any surplus to balloon. The difference in the price of January and February Brent contracts rose to $1.18 a barrel this week, the widest since April 2015, excluding days when the price expires.

When the month-on-month discount gets deep enough — something called contango — it sometimes rewards traders to hire ships, keep hold of the oil, and sell it at the later price, because the gap more than covers the cost of booking a vessel.
Other times, there just isn’t space to unload, forcing vessels to wait. Inventories in Amsterdam, Rotterdam and Antwerp are the highest for the time of year since at least 2013, according to data from Genscape Inc.

“The big question is whether it’s contango  ( or whether it’s a lack of physical land-based storage” that’s caused the storage buildup in Northwest Europe, London-based Lee said. “It seems to be the latter at the moment.”   (

The Brent price spreads collapsed  ;D because supplies are being pushed onto the market that were previously unavailable.

Libya shipped the most oil since late 2014 in October, while Nigeria’s petroleum minister said the nation is now pumping more than 2 million barrels a day for the first time since the start of the year. That is in addition to new supply from Kazakhstan’s Kashagan oil field and Russian output at a post-Soviet record.

© 2016 Bloomberg L.P
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on November 17, 2016, 11:24:54 pm
Worst Still to Come for Norway Offshore Fleet as More Rigs Idled   ;D
November 16, 2016 by Bloomberg

By Mikael Holter

(Bloomberg) — The offshore fleet tending to Norway’s oil industry, already sailing through the worst downturn in a generation, is in for even more pain, according to the head of the Norwegian Shipowners’ Association.

Almost one in four offshore vessels, or about 140 units, and half of the floating rigs, or about 20 units, are now out of work, Chief Executive Officer Sturla Henriksen said. He sees that going “from bad to worse” over the next year, with as many as three in four rigs idled by the end of 2017 and no real recovery in sight.

“It’s a highly challenging situation, but it will get worse,” he said in an interview in his Oslo office on Tuesday. “It will still be bad two to three years from now, and maybe longer.”

There will only be demand for 14 of about 40 floating rigs in Norway next year, Jarand Rystad, managing partner of consultancy Rystad Energy AS, said at a conference in Stavanger Wednesday, echoing Henriksen’s forecast.

More than two years after crude prices started to collapse, oil companies worldwide have cut spending by hundreds of billions of dollars, decimating demand for services from drillers, seismic surveyors and supply vessels. Norway, western Europe’s biggest oil and gas producer and home to one of the world’s biggest offshore fleets, has been battered by the downturn. The industry has cut more than 40,000 jobs since 2014 and the government resorted to the first-ever withdrawal from its massive wealth fund to cover budget needs.

Cash Lifeline

Henriksen’s grim predictions echo comments from analysts and companies such as Seadrill Ltd., owner of the world’s third-biggest offshore rig fleet. While utilization rates for floating rigs could reach a bottom as soon as the beginning of next year, it’s impossible to say when rental rates would recover, Seadrill CEO Per Wullf said in September.

And many contracts signed before the downturn are now expiring, meaning a crucial cash-flow lifeline will be lost as deals are at best re-negotiated at rates near operational costs, Henriksen said.

“It’s now starting to bite in such a way that the structural consequences are coming,” he said. “We’re going to see changes both in the ownership structure and for the companies. We’re going to see fewer and bigger units, with other ownership constellations than we’ve seen before.”

Norway billionaire Kjell Inge Rokke pushed through a merger of supply vessel company Solstad Offshore ASA with rival Rem Offshore ASA in July after blocking a restructuring proposal in a bondholder vote. Rokke’s Aker has made clear that it has an appetite for further deals as it bets on a recovery of oil and oil-service markets in the coming years.

Statoil Monopoly

The plight of the Norwegian oil-service industry has been exacerbated by the dominant position of Statoil ASA, said Henriksen, who has previously criticized the state-controlled oil producer for squeezing suppliers by demanding price cuts to unsustainable levels. Norwegian authorities should remove management of Statoil’s state-ownership from the Petroleum and Energy Ministry, which also acts as the industry’s regulator, as well as reduce the 70 percent of the country’s oil and gas fields that it currently operates, he said.

“Statoil acts as the monopolist that it is,” Henriksen said. It “wields that power for everything that it’s worth, in a way that may serve Statoil in the short term but that has major consequences for Norway’s entire service industry.”

Officials at Statoil didn’t immediately reply to phone calls from Bloomberg.  ;)

The Shipowners’ Association, which represents numerous owners of transportation vessels, is also concerned about the U.S. election win of Donald Trump because the implementation of some of the candidate’s campaign pledges would have grave consequences for the health of the world economy, Henriksen said.

“There’s a deep concern linked to the uncertainty and unpredictability that he has created,” he said. “For an industry that has a symbiotic relationship with international trade and global economic development — partly driven by it and partly a premise for it — there’s not much encouragement to get from a candidate who has built his campaign on protectionism and nationalism.”

© 2016 Bloomberg L.P
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on November 22, 2016, 10:10:57 pm
Move over Trump: People are at the heart of the climate fight

by Megan Rowling | @meganrowling | Thomson Reuters Foundation

Monday, 21 November 2016 15:04 GMT
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on December 03, 2016, 08:09:34 pm
Samsung Heavy Says $776 Million order for FPSO Facility Cancelled  ;D

December 2, 2016 by Reuters

ReutersSEOUL, Dec 2 (Reuters) – Samsung Heavy Industries Co Ltd said on Friday that a 907.6 billion won ($776.8 million) order for a substructure for a liquefied natural gas (LNG) floating production, storage and offloading (FPSO) unit has been cancelled.

The South Korean shipbuilder said in a regulatory filing that the order, which came from an unspecified European firm, was cancelled as the firm did not issue a work order by a deadline agreed upon.

A Samsung Heavy spokesman could not be immediately reached for comment.

($1 = 1,168.4100 won) (Reporting by Joyce Lee)

(c) Copyright Thomson Reuters 2016.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on December 22, 2016, 05:49:30 pm
Global Energy News | Wed Dec 21, 2016 | 8:34pm EST

2016: A year of transition from talk to action on climate change
By Megan Rowling

BARCELONA (Thomson Reuters Foundation) - When it comes to climate change and the battle to keep it in check, 2016 was a year of extremes.

The euphoria of the super-fast entry into force of the Paris Agreement to curb global warming crashed days later with the election of Donald Trump as U.S. president, fuelling fears he may pull the world's second-largest emitting nation out of the pact.

But the explosion of efforts to drive climate action forward - at local, national and international levels - nurtured hopes the global movement to tackle climate change has grown more powerful than any single government.

One important reason is that money is moving away from environmentally harmful projects into cleaner, greener investments. Renewable energy has become much cheaper, making it competitive with fossil fuels in many places.

And in a year set to notch up a new heat record, stoked partly by the El Niño phenomenon, governments stepped up concrete measures to protect their people from climate and weather extremes such as floods, droughts and storms.

As 2016 draws to a close, the Thomson Reuters Foundation asked experts to list the top five signs climate action is gathering speed. Here is a compilation of their views.


The Paris Agreement on climate change took effect in November - 11 months after it was crafted by U.N. member states. Its swift entry into force was unexpected, but the prospect of a skeptical U.S. leader moving into the White House spurred international determination to push on with ratification.

At U.N. climate talks last month, governments gave themselves two years to hammer out the rules to put the Paris accord into practice and review national plans to keep temperature rise to "well below" 2 degrees Celsius.

In October, 191 countries in the International Civil Aviation Organization (ICAO) agreed on a global carbon reduction and offsetting scheme for air travel.

That same month, 197 parties to the Montreal Protocol on substances that deplete the ozone layer signed up to an amendment to phase down hydrofluorocarbons (HFCs), one of the fastest growing and most potent greenhouse gases, used mainly in cooling and refrigeration.


In May, the G7 group of wealthy countries set a deadline for the first time to end "inefficient" fossil fuel subsidies, encouraging all countries to do so by 2025, although the wider G20 shied away from a firm commitment at a later summit.

Meanwhile, Bank of England Governor Mark Carney led the charge to ramp up pressure on companies to heed the financial implications of their fossil fuel assets.

An international task force set up to prevent market shocks from global warming will ask companies to disclose how they manage risks to their business from climate change, as well as the impact of emissions cuts on their bottom line.

And a global campaign to persuade investors to pull their money out of fossil fuels gathered pace, doubling in size in 15 months, as the number of institutions that have committed to divest reached 688, representing $5.2 trillion in assets under management.

The International Energy Agency boosted its five-year growth forecast for renewable energy thanks to strong policy support in the United States, China, India and Mexico, and sharp cost reductions.

Renewables surpassed coal last year to become the largest source of installed power capacity in the world, it said.

Solar energy had a good year, as 2016 heralded the first solar-powered round-the-world flight, plans for roads paved with solar panels were announced for four continents, and Tesla Motors Inc. unveiled solar roof tiles.

A group of 48 developing states most at risk from climate change said they would strive to make their energy production 100 percent renewable as soon as possible before 2050.


Severe droughts linked to a powerful El Niño, hitting more than 60 million people, especially in southern Africa, reminded governments of the importance of preparing for weather and climate extremes by improving infrastructure, public services and food security.

Also In Global Energy News
Blue skies return to Beijing, but dangerous smog still blankets northern China
Activist investor ramps up pressure on Shell to act on climate change

U.N. envoys drafted a blueprint to reduce the damage from such events in future, while aid agencies tested innovative ways to get money to where it's needed before a disaster strikes.

Meanwhile, developing states are working on national plans to adapt to climate change effects - including wild weather, rising seas and melting glaciers - backed with up to $3 million per country from the fledgling Green Climate Fund.


This year saw a flurry of initiatives to tackle climate change get underway or expand - involving businesses, investors, cities and local governments, among others.

For example, the Under2 Coalition, a club of sub-national governments that have committed to cut their emissions by at least 80 percent by 2020, grew its membership to 165, accounting for a third of the global economy.

And the Science Based Targets initiative said more than 200 companies had pledged to set emissions reduction targets in line with the global effort to keep temperature rise under 2 degrees.

"2016 truly marked the year of transition from endless talks and global negotiations on how to tackle climate change to moving into action by governments, provinces, cities, companies, parliaments and affected communities," said Saleemul Huq, director of the Dhaka-based International Centre for Climate Change and Development (ICCCAD).

Sources: E3G, Red Cross/Red Crescent Climate Centre, ActionAid, CARE International,, ICCCAD, International Institute for Environment and Development, World Resources Institute, Oxfam

(Reporting by Megan Rowling @meganrowling, editing by Alisa Tang. Please credit the Thomson Reuters Foundation, the charitable arm of Thomson Reuters, that covers humanitarian news, women's rights, trafficking, property rights and climate change. Visit
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on April 17, 2017, 05:14:50 pm
( Big Announcements on Renewable Energy (

InsideClimate News April 17, 2017 | Rona Fried | Renewables & Efficiency

Thanks to continuing declines in solar and wind costs, the world added record amounts of renewable energy last year at the lowest prices ever (, according to the United Nations.  55% of all new power came from renewables – one of the reasons emissions were flat in 2016 for the third year in a row.

Electricity from renewables rose 9% (139 gigawatts), while the cost to install all that dropped 23%.

Renewables now provide 11.3% of the world’s electricity, preventing 1.7 gigatons of carbon emissions a year.

“More for less” was the story of renewable energy in 2016. Global investment in renewables (excluding large hydro) fell by 23% to $241.6 billion, the lowest total since 2013, but there was record installation of renewable power capacity worldwide in 2016,” says the report.

Key Findings:

◾Investment in renewables was roughly double that of fossil fuels for the fifth consecutive year.

◾Costs to install solar PV, onshore wind and offshore wind were down 10%

◾Record investments in offshore wind, up 53% to $25.9 billion in Europe and China

◾Solar and wind prices reached record lows at power auctions – prices “that would have seemed inconceivably low only a few years ago.”


In 2017, about 85 gigawatts (GW) of solar will be added around the world, more than double that of 2014, and China is expected to add 30 GW of that. The US, China, Japan and India will dominate the market in 2017, with India overtaking Japan as the third-largest market, according to GTM Research.

For the first time, offshore wind will be built without any subsidies, as DONG Energy won an auction to build two offshore wind farms in Germany’s North Sea at super-low prices. The price to construct offshore wind farms is down 46% in the last five years – 22% in 2016 alone- reports Bloomberg.

China’s emissions WENT DOWN for the first time last year, dropping 1% even as the economy grew 6.7%, says the International Energy Agency.  The US had the biggest drop in emissions at 3%.

US Renewables

Thanks to energy efficiency and renewables, US carbon emissions are 14% lower than 2005 levels – we are back to 1992 levels.  ;D

Wind and solar are increasingly the lowest-cost resources getting connected to the grid, changing the investment calculus for utilities and dominating new capacity builds. Electricity demand nationwide continues to fall, even as millions more square feet of buildings are constructed. And in states across the country, distributed solar is decimating load growth,” says GTM Research.

56 GW of coal plants could close in the Midwest because the average cost of wind is $10/ megawatt-hour cheaper, according to Moody’s Investor Services.

San Diego slid past Los Angeles in 2016 as the most active solar market. Installations rose 60% to 303 megawatts (MW) – enough to power 76,000 homes. LA is in second place, followed by Honolulu and San Jose.  The top 20 cities have nearly 2 GW of solar PV installed – about as much as the entire US at the end of 2010, says Shining Cities 2017: How Smart Local Policies are Expanding Solar Power in America.

California got 13% of its electricity from solar in 2016, according to the US Energy Information Agency.

Read our article, US Solar Grows 95% in 2016, In Best Year Ever.

Big Announcements

Chicago‘s mayor announced that all government buildings will run on 100% renewable energy by 2025, the most aggressive goal of any US city to date. For perspective, those buildings consume as much energy as 295,000 households. Two of the dirtiest coal plants in the country are also closing.

Florida is finally about to be a solar leader!  ;D Utility Florida Power & Light plans to install an incredible 2.7 GW of solar across the state in the next seven years – enough to power 420,000 homes. After it closes a second coal-fired power plant, solar will be the primary electricity source after natural gas.

New York State committed to 2.6 GW of offshore wind – the first major installation in the US. By 2030, wind will supply energy for 1.25 million homes.

Facebook announced it’s building another 100% wind-powered data center, this time in Nebraska on 144 acres – at least two 450,000 square-foot buildings.

The world’s largest beer-maker, Anheuser-Busch, announced it will run completely on renewables by 2025.  (

It joins 90 other companies and 25 U.S. cities – large and small – that have made this commitment. Cities range from Madison, Wisconsin to Abita Springs, Louisiana. Pueblo, Colorado is doing it to bring electric rates DOWN and get more reliable energy and Georgetown, Texas says wind and solar power are more predictable and lack the volatile prices of oil and gas – a contract signed today sets prices for the next 25 years. (

Tesla’s Nevada Gigafactory started manufacturing in January, bringing back battery production to the US, in addition to making the Model 3 electric car.

By 2018, the Gigafactory, which is a third complete, will double the world’s production capacity for lithium-ion batteries and employ 6,500 people. Besides building batteries for its vehicles – which could soon include trucks – Tesla is making batteries for homes and as back ups to the electric grid. 95% of components will be made in the US, including the enormous 70 MW solar array on the roof! (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 28, 2017, 08:12:38 pm
Wind & Solar Are Already Cheaper Than Coal & Gas, So Let’s Get On With It   (

May 28th, 2017 by Guest Contributor '


Originally published on RenewEconomy.
By Sophie Vorrath

New wind and solar energy generation is already cheaper – on average – than the cost of existing coal or gas power on Australia’s National Electricity Market.

We’ve reported it, and Bloomberg New Energy Finance foreshadowed it at the recent Australian Solar Council Solar and Energy Storage conference in Melbourne (did we mention battery storage..?).

And this week, the CEO of the Australian Renewable Energy Agency delivered the news to the federal government’s Senate Environment and Communications Legislation Committee, with the moment captured on video.  (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 29, 2017, 06:47:32 pm

India cancels plans for huge coal power station — because solar energy is getting so cheap ( 


Good news from India, as authorities report the scrapping of plans for nearly 14 gigawatts of coal-fired power stations.

Indian energy

India is the world’s second most populous country, and one of the fastest growing economies. Several projections put future India as the world’s most populous country and the world’s third largest economy by 2050, so if we are to truly combat global warming and achieve a sustainable future for the planet, India will be a key player.

Looking at India’s development over the past few decades has been quite a rollercoaster. With poverty running rampant through many parts of the country and a severe lack of infrastructure in the rural areas, it was surprising and inspiring to see the country’s ambitions in terms of renewable energy. In recent years, India has become one of the best markets for solar energy, with more and more panels being installed every day.

There are over 300 million people currently living in India with no access to electricity, most of which live in rugged, inaccessible areas. Establishing a conventional grid would be incredibly costly, but this is the beauty of solar power: it doesn’t really require a conventional grid. Aside from being renewable, clean, and cheap, solar can work with a local or separated grid.

Still, despite India investing massively in renewable energy (mostly solar), they’ve also developed a backup plan — also committing to fossil fuel energy, especially coal; pretty much the dirtiest source of energy. Last year, India announced plans to build more than 300 gigawatts (GW) of new coal capacity by 2030, even though that was found to be almost entirely unnecessary and wasteful, as over 90% of that new capacity would remain idle. Basically, the Indian government remained determined to not put all their eggs in one basket and invest both in renewable and fossil fuel energy.

Coal of the past

In 2017, things changed a bit. The Indian state of Gujarat announced the cancellation of a proposed 4 GW coal ultra-mega power project, citing a surplus of energy in the area and a desire to continue moving away from coal. That was just the start.

Now, in total, 13.7GW of planned coal power projects have been canceled this month alone, which is quite a figure.

Analyst Tim Buckley, director of energy finance studies at the Institute for Energy Economics and Financial Analysis (IEEFA) said that tariffs have dropped so much in India that a tipping point has been reached: solar energy is now cheaper than coal.

“Measures taken by the Indian Government to improve energy efficiency coupled with ambitious renewable energy targets and the plummeting cost of solar has had an impact on existing as well as proposed coal fired power plants, rendering an increasing number as financially unviable.”  (

“India’s solar tariffs have literally been free falling in recent months,” he added.
It’s a positive prospect for India, which could trigger a chain reaction elsewhere in the world.

( (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 17, 2017, 06:16:30 pm

In Latest Sign of Crude Glut, Ageing Supertankers Used to Store Unsold Oil  ;D

June 16, 2017 by Reuters

ReutersBy Keith Wallis and Henning Gloystein SINGAPORE, June 16 (Reuters) – Traders are increasingly storing oil in ageing supertankers in Southeast Asia as they grapple with a supply overhang that has left the system clogged with unneeded fuel despite an OPEC-led drive to cut production to prop up prices.

Around 10 very large crude carriers (VLCCs), all between 16 and 20 years old, have been chartered since the end of May to store crude for periods ranging from 30 days to around six months, brokers told Reuters. Each VLCC can carry 2 million barrels of oil.

These vessels are in addition to around 30 supertankers used for long-term storage around Singapore and Linggi, off the West coast of peninsula Malaysia.

One of the main drivers for storing oil in tankers is that crude prices for immediate delivery are cheaper than for future sale, a market condition known as contango.

Brent crude futures, the international benchmark for oil prices, have fallen by 13 percent since late May, to around $47 per barrel. Brent for delivery at the end of 2017 is $1.5 per barrel more expensive.

“Floating storage does seem … viable assuming time charter rates of under $20,000 per day,” said Rachel Yew, oil and tanker market analyst at Oceanfreightexchange.

Current rates to charter a five-year-old 300,000 DWT for one year are $27,000 per day, according to shipping services firm Clarkson. Rates for VLCCs at least a decade-old are much cheaper.

“It makes a lot of sense for a trader to pay $16,000-$19,000 per day to take an older VLCC for 30-90 days to store oil,” said a Singapore-based supertanker broker, asking not to be identified.

The festering supply glut comes even as the Organization of the Petroleum Exporting Countries (OPEC) pushes to withhold production until the end of the first quarter of 2018.


(!.png) Floating storage is an indicator of oversupply.  (

“Too much unsold oil  ( is headed to Asia,”
said Oystein Berentsen, managing director for oil trading company Strong Petroleum.  (

A shortage of spare onshore storage in China, as well as an expectation that new Chinese crude import quotas for independent refineries will be announced soon, are also playing a role in putting crude into tanker storage in Southeast Asia.

“Once China’s quota are released, you want to have oil close to China. Because onshore storage there is pretty full, the next easiest location is around Singapore and Malaysia,” said one trader.

“This expectation of new Chinese orders also helps explain why future crude is more expensive  than current crude. (  (  That’s why we store it for later sale,” he added. (  (

(Reporting by Keith Wallis and Henning Gloystein; Editing by Joseph Radford)

(c) Copyright Thomson Reuters 2017. (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 19, 2017, 01:02:37 pm

Sweden’s Largest Pension Divests From Paris Accord Violators, Including ExxonMobil & TransCanada   ( 

June 19th, 2017 by Joshua S Hill


Sweden’s largest pension fund, AP7, announced last week that it had divested all its investments in six separate companies that it says had violated the Paris Climate Agreement, including big name companies such as ExxonMobil, Gazprom, and TransCanada ( .

AP7 provides pensions to 3.5 million Swedish citizens, making it the country’s largest national pension fund. Last week, the group announced that it had divested itself from six companies it believed had violated the Paris Climate Agreement in different ways. Specifically, AP7 accused ExxonMobil, Westar, Southern Corp, and Entergy of fighting against climate legislation in the United States, Gazprom for exploring for oil in the Russian Arctic, and TransCanada for building large-scale pipelines across North America.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 20, 2017, 02:52:28 pm

One View of the Fall of Oil & Gas  ;D

June 19th, 2017 by George Harvey


We should also bear in mind one other thing that can be less than obvious but may play a large role in the overall picture. It is that a small loss of revenue can sometimes produce large financial losses, putting profits into negative territory. In a stressed company, this can end in complete collapse.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 23, 2017, 09:45:10 pm

Book Preview: The Tesla Revolution — Why Big Oil Has Lost The Energy War (


June 23rd, 2017 by Guest Contributor

Originally published on EV Annex.
By Charles Morris

Everybody seems to be piling on the poor ;D oil barons these days. Just as Tony Seba’s latest paper  ( the doom of the industry is making the rounds, a new book explains their predicament from an even more Tesla-centric perspective.  (

The Tesla Revolution: Why Big Oil Has Lost the Energy War is by Rembrandt Koppelaar, a Senior Researcher at the Swiss Institute for Integrated Economic Research, and Willem Middelkoop, founder of the Commodity Diversity Fund.

It examines the disruptive combination of electric vehicles and renewable energy, both fields in which our favorite California company is dominant. It’s a scholarly volume, with plenty of facts and figures, as the following brief excerpts will show (via GreenBiz).

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 30, 2017, 07:23:52 pm
(!.png) France To Ban New Oil & Gas Exploration Beginning In Autumn (

June 30th, 2017 by Steve Hanley


Emmanuel Macron, the new president of France and not yet 40 years old, is taking the first steps toward his stated goal of advancing his country’s commitment to the Paris climate change accords. Nicholas Hulot, Macron’s Ecological Transitions minister, told the French press this week that his country will impose a moratorium on new oil and gas exploration licenses.

There will be no new exploration licenses for hydrocarbons, we will pass the law this autumn,” Hulot said. ( (


Agelbert NOTE: Private reaction from Trump and his handler, Rex Tillerson:   (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 11, 2017, 10:14:46 pm
JULY 11, 2017 / 3:07 AM

Electricity investment overtakes oil, gas for first time ever in 2016: IEA  (

PARIS (Reuters) - Investments in electricity surpassed those in oil and gas for the first time ever in 2016 on a spending splurge on renewable energy and power grids as the fall in crude prices led to deep cuts, the International Energy Agency (IEA) said on Tuesday.

Total energy investment fell for the second straight year by 12 percent to $1.7 trillion compared with 2015, the IEA said. Oil and gas investments plunged 26 percent to $650 billion, down by over a quarter in 2016, and electricity generation slipped 5 percent.

"This decline (in energy investment) is attributed to two reasons," IEA chief economist Laszlo Varro told journalists.

"The reaction of the oil and gas industry to the prolonged period of low oil prices which was a period of harsh investment cuts; and technological progress which is reducing investment costs in both renewable power and in oil and gas," he said.

Oil and gas investment is expected to rebound modestly by 3 percent in 2017, driven by a 53 percent upswing in U.S. shale, and spending in Russia and the Middle East, the IEA said in a report.

"The rapid ramp up of U.S. shale activities has triggered an increase of U.S. shale costs of 16 percent in 2017 after having almost halved from 2014-16," the report said.

The global electricity sector, however, was the largest recipient of energy investment in 2016 for the first time ever, overtaking oil, gas and coal combined, the report said.

"Robust investments in renewable energy and increased spending in electricity networks, made electricity the biggest area of capital investments," Varro said.

Electricity investment worldwide was $718 billion, lifted by higher spending in power grids which offset the fall in power generation investments.

"Investment in new renewables-based power capacity, at $297 billion, remained the largest area of electricity spending, despite falling back by 3 percent," the report said.

Although renewables investments was 3 percent lower than five years ago, capacity additions were 50 percent higher and expected output from this capacity about 35 percent higher, thanks to the fall in unit costs and technology improvements in solar PV and wind generation, the IEA said.

Investments in coal-fired electricity plants fell sharply. ( Sanctioning of new coal power plants fell to the lowest level in nearly 15 years, reflecting concerns about local air pollution, and emergence of overcapacity and competition from renewables, notably in China. Coal investments, however, grew in India.

"Coal investment is coming to an end. At the very least, it is coming to a pause," Varro said.

The IEA report said energy efficiency investments continued to expand in 2016, reaching $231 billion, with most of it going to the building sector globally.

Electric vehicles sales rose 38 percent in 2016 to 750,000 vehicles at $6 billion, and represented 10 percent of all transport efficiency spending. Some $6 billion was spent globally on electronic vehicle charging stations, the IEA said.

Spending on electricity networks and storage continued the steady rise of the past five years, reaching an all-time high of $277 billion in 2016, with 30 percent of the expansion driven by China’s spending in its distribution system, the report said.

China led the world in energy investments with 21 percent of global total share, the report said, driven by low-carbon electricity supply and networks projects.

Although oil and gas investments fell in the United States in 2016, its total energy investments rose 16 percent on the back of spending in renewables projects, the IEA report said.

Editing by Susan Thomas
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on September 23, 2017, 04:45:57 pm
Agelbert NOTE: As you will learn, these floating drill rigs were previously cold stacked. That means they put them out of service HOPING to return them to service when oil prices "went up". Massive increases in Renewble Energy from both solar and wind has kept that from happening. (  The fact that these rigs will now be scrapped makes it crystal clear to an objective observer that Transocean fossil fuelers cannot figure out any way to make money out of them for the forseeable future (i.e. for at least 20 years - the average life of one of these floaters before scrapping). GOOD!

Transocean to Scrap Six Floaters from Fleet

September 22, 2017 by gCaptain

Sedco Express File photo

Transocean has announced its plan to scrap six deepwater and ultra-deepwater floating drilling rigs, aka “floaters”, as the offshore drilling company continues to shed older and less-competitive rigs from its fleet.

The floaters to be retired include the ultra-deepwater floaters GSF Jack Ryan, Sedco Energy, Sedco Express, Cajun Express, and Deepwater Pathfinder, and the deepwater floater Transocean Marianas. The rigs will be classified as held for sale and will be recycled in an environmentally responsible manner.

All six rigs were previously cold stacked.

Transocean says it will recognize an impairment charge of approximately $1.4 billion during the third quarter of 2017 as a result of the sale.

“We continue to enhance the quality of our fleet through the addition of new, high-specification assets, and the retirement of older, less competitive rigs,” said Jeremy Thigpen, President and Chief Executive Officer. “We remain committed to providing our customers with the most technically capable and highest quality ultra-deepwater and harsh environment assets in the industry, and will continue to objectively evaluate our rigs and high-grade our fleet as the market evolves.”

Following the retirement and sale of the six rigs, Transocean ( will own and operate a fleet of 38 mobile offshore drilling units  >:( consisting of 25 ultra-deepwater floaters, seven harsh environment floaters, two deepwater floaters and four midwater floaters.
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on October 19, 2017, 02:17:49 pm

Oil’s Biggest Rigs Get Sent to Junkyard as Daily Losses Mount  ;D

October 18, 2017 by Bloomberg


By David Wethe (Bloomberg) — Transocean Ltd. is finally sending Pathfinder to its grave, after two years in a Caribbean purgatory that cost about $15,000 a day.

Deepwater Pathfinder moored off Trinidad and Tobago. Photo credit: Boh/CC

The move by the world’s biggest offshore-rig operator signals just how bleak the future looks for deepwater drilling. Pathfinder is the most famous of six floating rigs the company is scrapping in burials that will add up to a bruising $1.4 billion write-off. Competitors are going the same route, jettisoning more rigs in the third quarter than have ever been trashed in a 90-day stretch, according to Heikkinen Energy Advisors analyst David Smith.

That’s how bad it is, with predictions crude prices won’t go much higher than $60 a barrel in the next year compared with around $50 recently. “Deepwater is going to be playing a much-reduced role on the global oil-supply stage relative to what the industry expected as recently as three years ago,” said Thomas Curran, an analyst at FBR Capital Markets in New York.

For all that, it could have been worse, in one way, for Transocean. It has been the most aggressive in an unprecedented experiment with what’s called cold-stacking for big drillships. After oil prices cratered in 2014, the company didn’t send all of its unwanted rigs out to sea in the time-honored temporary holding pattern where engines keep running and a crew remains on board — something know as warm stacking, naturally, that runs up a daily bill of some $40,000. Instead, Transocean dropped anchor on nine high-tech ships 12 miles off the coast of Trinidad & Tobago and simply shut the motors off. So far the savings are in the neighborhood of $90 million.

New Generation

This hadn’t been tried before with the new generation of finely tuned, computer-driven giants never intended for long-term parking. Equipped with derricks towering 220 feet above the platform and able to drill in 10,000 feet of water, the vessels had been in demand since birth. The big question was whether one could be shut down so solidly and later switched back on at a reliable cost. (Rival Ensco Plc brought its DS-4 drillship back from cold stack, but it wasn’t mothballed as long as Transocean’s rigs and was tied to a dock, allowing it access to more auxiliary power while parked.)

With Pathfinder, and a cousin called the GSF Jack Ryan that’s also being scrapped after its Caribbean cold stacking, Transocean will never know for sure.  ( The Vernier, Switzerland-based company declined to comment for this story. (

full article:
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on November 01, 2017, 05:31:41 pm
Rick Perry’s Halfhearted Attempt to Make Coal a Winner


In this week’s episode of The Energy Gang: Why everyone is blasting Secretary Perry’s attempt to shore up aging coal plants.

Almost no one likes Perry's proposed rule for coal and nuke plants.  ;D

(!.png) Podcast:

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on November 07, 2017, 06:59:50 pm
Lazard: Wind & Solar Power Costs Continue To Fall, Putting Coal & Nuclear At A Disadvantage (

November 7th, 2017 by Steve Hanley


Lazard is a global asset management company that tracks the cost of producing electricity, among other things. It uses a measure called the Levelized Cost of Energy (LCOE), which averages the estimated costs of construction, maintenance, and fuel for electricity generating assets over the number of megawatt-hours that each is expected to produce over its lifetime. In simple terms, it is one way of comparing different ways of making electricity to see which cost more and which cost less.

Wind & Solar Costs Declined By 6%

Excellent full article:    (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on November 17, 2017, 11:35:55 am
Norway’s $1 Trillion Fund Wants Out of Oil and Gas Stocks (

November 16, 2017 by Bloomberg


By Sveinung Sleire (Bloomberg) — The $1 trillion fund that Norway has amassed pumping oil and gas over two decades wants out of energy stocks.

Norway, which relies on oil and gas for a fifth of economic output, would be less vulnerable to declining crude prices without investments in the industry, the central bank said Thursday. The divestment would mark the second major step in scrubbing the world’s biggest wealth fund of climate risk, after it sold most of its coal stocks.

“Our perspective here is to spread the risks for the state’s wealth,” Egil Matsen, the deputy central banker overseeing the fund, said in an interview in Oslo. “We can do that better by not adding oil-price risk.”

The plan would entail the fund, which controls about 1.5 percent of global stocks, dumping as much as $40 billion of shares in international giants such as Exxon Mobil Corp. and Royal Dutch Shell Plc. (  ( The Finance Ministry said it will study the proposal and decide what to do in “fall of 2018” at the earliest.

Full article:

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on November 21, 2017, 01:15:51 pm

Norway Oil Bosses (  Insist End Isn’t Near ( After $35 Billion Shock Investment Dump (

November 20, 2017 by Bloomberg


By Mikael Holter (Bloomberg) — Can Norway dump $35 billion in oil and gas investments, and simultaneously convince that same industry to throw money into the country’s own fossil-fuel future?


After the initial shock of learning that Norway’s $1 trillion wealth fund wants nothing to do with it, the petroleum industry says both are in fact possible.

But the mood is shifting.( While the fund said its proposal is about spreading risk and doesn’t imply a negative outlook on the oil industry ;), the plan reverberated as a nod from western Europe’s biggest oil producer to the uncertain future facing oil.

Confident Lobby (

The proposal needs approval from Norway’s government and possibly even Parliament. Crucially, it has no bearing on the terms offered to oil companies operating offshore Norway, said both Industry Energy and the Norwegian Oil and Gas Association (, a lobby group for companies such as Royal Dutch S( , Total SA and Exxon Mobil Corp.( all companies that could be dropped ( by Norway’s wealth fund ( bmp) if the proposal is implemented.

Full article:

( Message for the Norwegian Oil and Gas Association:   

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on December 12, 2017, 02:40:24 pm
GE Cutting 12,000 Jobs as Renewables and Energy Storage Upend Fossil Fuels (

Motley Fool   
Travis Hoium, The Motley Fool
Motley FoolDecember 12, 2017

When an electric energy pioneer like General Electric (NYSE: GE) reconfigures its entire energy business, investors should take note. That's exactly what happened last week when GE Power announced it would cut 12,000 jobs, or 18% of the division's workforce, reducing the company's exposure to traditional power plants.

What wasn't affected was GE's staffing or investments in renewable energy and energy storage. In fact, these emerging energy assets are what's disrupting fossil fuels more broadly. GE has made the first step to reducing exposure to fossil fuels -- now the question may be "What's next?"

Coal power plant with smoke coming from smoke stacks. (picture at link)
Coal power plants like this one are being shut down by the hundreds, forcing GE to cut back on its power plant business. Image source: Getty Images.

What GE's layoffs tell us

As part of a plan to cut $1 billion in structural costs at GE Power, there will be about 12,000 positions eliminated up and down the business. Weak fundamentals in the power plant business overall were the drivers of the move, with the press release saying:

Traditional power markets including gas and coal have softened. Volumes are down significantly in products and services driven by overcapacity, lower utilization, fewer outages, an increase in steam plant retirements, and overall growth in renewables. GE Power is right-sizing the business for these realities and is focused on improving operational excellence and reducing its footprint and structure, which will help drive significant improvements in cash flows and margins.

Notice that growth in renewables was given as a reason for the reduction in GE's power business. As wind and solar energy have come down in cost, they've replaced traditional coal and natural gas power plants as the fuel of choice for new power plants around the world. And there's no reason that's going to change. ( What's unclear is if GE is going to transition from the dying fossil fuel business to the growing renewable energy business.

Is GE taking renewables seriously?

If GE is hoping to play a meaningful role in renewable energy in the future it's going to have to take the industry more seriously. GE sold its thin-film solar business to First Solar (NASDAQ: FSLR) in 2013, largely exiting the solar market. In wind, GE is a market leader in turbines, but pricing pressure has compressed margins for the industry as a whole. Energy storage is the third leg of renewable energy disruption, and GE hasn't made a meaningful play in the industry so far, ceding market share to AES (NYSE: AES), Siemens, and Tesla (NASDAQ: TSLA).

The only segment where GE seems to have taken renewable energy seriously is financing. The company has financed $5 billion of projects over the last three years. But that level of investment isn't going to drive earnings for a $153 billion company.

To take renewable energy seriously, I think GE needs to start putting its balance sheet to work, scooping up assets and developing projects around the world. Buying First Solar or SunPower (NASDAQ: SPWR) would make sense, although SunPower is majority owned by Total (NYSE: TOT) today. With SunPower, in particular, it could invest in the manufacturing scale necessary to become profitable and increase market share to become a top-3 manufacturer. (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 06, 2018, 09:46:13 pm

Coal Stacks Felled to Make Way for Solar in Ontario (VIDEO) ( 

March 2, 2018
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on May 24, 2018, 07:30:05 pm
Agelbert NOTE: This article answers the question that has ALWAYS been in the category of "Do wild bears poop in the woods". (



Can we get 100% of our energy from renewable sources? 

By Michelle Froese | May 18, 2018

This article comes from Science Daily, with materials provided by Lappeenranta University of Technology.

Scientists have demonstrated that there are no roadblocks on the way to a 100% renewable future.

֍ Is there enough space for all the wind turbines and solar panels to provide all our energy needs? (

֍ What happens when the sun doesn’t shine and the wind doesn’t blow? 🤔

֍ Won’t renewables destabilize the grid and cause blackouts?    (

In a review paper last year in the high-ranking journal Renewable and Sustainable Energy Reviews, Master of Science Benjamin Heard 🐉 and colleagues 🦕 🦖 presented their case  against 100% renewable electricity systems. They doubted the feasibility of many of the recent scenarios for high shares of renewable energy, questioning everything from whether renewables-based systems can survive extreme weather events with low sun and low wind, to the ability to keep the grid stable with so much variable generation.

Now scientists have hit back with their response to the points raised by Heard and colleagues. The researchers from the Karlsruhe Institute of Technology, the South African Council for Scientific and Industrial Research, Lappeenranta University of Technology, Delft University of Technology and Aalborg University have analysed hundreds of studies from across the scientific literature to answer each of the apparent issues.

They demonstrate that there are no roadblocks on the way to a 100% renewable future. (

“While several of the issues raised by the Heard paper are important, you have to realise that there are technical solutions to all the points they raised, using today’s technology,” says the lead author of the response, Dr. Tom Brown of the Karlsruhe Institute of Technology.

“Furthermore, these solutions are absolutely affordable, especially given the sinking costs of wind and solar power,” adds Professor Christian Breyer of Lappeenranta University of Technology, who co-authored the response.

Brown cites the worst-case solution of hydrogen or synthetic gas produced with renewable electricity for times when imports, hydroelectricity, batteries, and other storage fail to bridge the gap during low wind and solar periods during the winter. For maintaining stability there is a series of technical solutions, from rotating grid stabilisers to newer electronics-based solutions.

The scientists have collected examples of best practice by grid operators from across the world, from Denmark to Tasmania.

Furthermore, these solutions are absolutely affordable, especially given the sinking costs of wind and solar power.

The response by the scientists ( now appeared in the same journal as the original article by Heard and colleagues.

There are some persistent myths that 100% renewable systems are not possible,” says Professor Brian Vad Mathiesen of Aalborg University, who is a co-author of the response. “Our contribution deals with these myths one-by-one, using all the latest research. Now let’s get back to the business of modeling low-cost scenarios to eliminate fossil fuels from our energy system, so we can tackle the climate and health challenges they pose.”   ( (


📢 And of the rest planet needs that INDEPENDENCE too!
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 09, 2018, 02:05:34 pm

June 8, 2018 by Bloomberg

Next Offshore Wind in U.S. Can Compete With Gas, Developer Says (

By Jim Efstathiou Jr. (Bloomberg) — Massive offshore wind turbines keep getting bigger, and that’s helping make the power cheaper — to the point where developers say new projects in U.S. waters can compete with natural gas.

The price “is going to be a real eye-opener,” said Bryan Martin, chairman of Deepwater Wind LLC, which won an auction in May to build a 400-megawatt wind farm southeast of Rhode Island.

Deepwater built the only U.S. offshore wind farm, a 30-megawatt project that was completed south of Block Island in 2016. The company’s bid was selected by Rhode Island the same day that Massachusetts picked Vineyard Wind to build an 800-megawatt wind farm in the same area.

Bigger turbines that make more electricity have cut the cost per megawatt by about half, said Tom Harries, a wind analyst at Bloomberg New Energy Finance. That also reduces maintenance expenses and installation time. All of this is helping offshore wind vie with conventional power plants.

See Also: Massachusetts, Rhode Island Award Major Offshore Wind Contracts

“You could not build a thermal gas plant in New England for the price of the wind bids in Massachusetts and Rhode Island,” Martin said Friday at the U.S. Offshore Wind Conference in Boston. “It’s very cost-effective for consumers.” (

read more:
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 14, 2018, 05:48:16 pm

June 14, 2018

#Business & Jobs #Fossil fuels


Siemens said to mull sale of flagship gas turbine business  (

Siemens is considering the sale of its struggling business that produces gas turbines for power plants, according to people familiar with the matter, report Oliver Sachgau and Eyk Henning for Bloomberg. But a final decision has not yet been made, and the company could end up weathering a downturn and keeping the business that has suffered from a collapse in orders as the global energy industry shifts to renewable sources like wind and solar and away from large-scale power plants that run on fossil fuels, according to the report.

Read the report in English here (

Find plenty of background in the factsheet Germany’s Siemens: A case study in Energiewende industry upheaval. (

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 17, 2018, 06:09:55 pm

Solar — A Disruptive Technology (Graph)(
May 6, 2013 Zachary Shahan
Read more at (

Agelbert NOTE: As you can see below, this great trend continues to this day: 

Renewable Energy Clean Energy tech cost reductions up to and including 2017
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 19, 2018, 06:02:19 pm
Talk About “Losing Money” — US Shale Will Crash … Hard 🕵️ (

August 19th, 2018 by Guest Contributor

Originally published on


With fracking about to recommence in the UK after 8 years, social entrepreneur and writer Jeremy Leggett reviews the short but troubled history of fracking in the US. In a devastating slide presentation, he pictures the shale gas industry as a dirty, multi-hundred-billion-dollar doomed-to-burst debt bubble. And he predicts a similar fiasco in the UK. Courtesy Future Today.

Excellent 114 slide history of fracking: 👍

Slide description:

History of oil and gas production from shale in pictures and charts: Why American shale is heading for a crash and fracking in the UK is doomed to costly failure

1. History of oil and gas production from shale in pictures and charts Why American shale is heading for a crash and fracking in the UK is doomed to costly failure Jeremy Leggett

2. Preface This is a presentation based on the Future Today chronology of selected developments in climate, energy, tech and the future of civilization: The powerpoint version includes source urls as notes, and is available free for any use, by anybody, at I know something about this subject not just because of my fear of climate change and passion for the energy transition, but from the research work I did for more than a decade in my first career….

3. A paper in the Journal of The Geological Society analyses widespread shale rocks in the UK 7th Jan 2016 Apr 1980 I researched shale and related rocks while on the faculty at Imperial College (1978 – 1989), funded among others by BP and Shell.

4. At first pass, the reversal of US gas and oil production after fracking of shale began in earnest around 2007-8 looks like a modern industrial miracle

5. 7th Jan 2016 2015 Fracking of shale from c. 2006 pushes US gas production steeply up after 5 years of decline Trillioncubicfeet Source: EIA Annual Energy Outlook 2016 US dry natural gas production by resource type

6. 1940: 6 in 7 barrels used by Allies in WW2 come from the US 1950: Car use and oil imports soar Nov 1970 Peak 1977 Alaska comes onstream 2008: Fracking in shale 2014 Price collapse …recovery 7th Jan 2016 31st Jan 2018 Fracking of shale from 2008 pushes US oil production above 10 mbd: heights last seen in 1970 millionbarrelsperday

7. 7th Jan 2016 2011 This “game changer” for oil & gas triggers euphoria, including in the political, media and analyst worlds

8. Tar sands US shale oil Conventional crude oil Global crude oil production 2005–2014 2005 2007 2009 2011 2013 80,000 68,000 70,000 72,000 74,000 76,000 78,000 66,000 64,000 62,000 60,000 Thousandbarrelsperday Source:IEA US shale is propping up global crude oil production, and has derailed / deferred fears of a supply peak 7th Jan 20162014

9. But meanwhile there are some inconvenient truths concerning the economics

10. The US shale oil and gas business hasn’t funded itself at any oil price in any year since the beginning 7th Jan 2016 27th Dec 2017 Even at $100 oil prices in 2012 and 2013, the 33 companies spent more money producing shale energy than they made from operations. 33 shale-weighted E&P companies in the 4 main shale oil plays: Free cash flow Source: Bloomberg

11. 7th Jan 2016 6th Feb 2018 The US shale boom has been “a Ponzi scheme since day one”, doomed to collapse as fast as it has grown So argues @SRSroccoReport, based on the buildup of debt as evidenced in data collated e.g. by the Financial Times as above.

12. Even at the relatively high oil prices of 2017 fracked shale oil is a marginally profitable business at best 7th Jan 2016 3rd Mar 2018 Capex v cash from operations based on 10K full 2017 filings

13. Accounts of the main US exploration & production companies show 73% of them are losing money 7th Jan 2016 3rd Mar 2018 Capex v cash from operations based on 10K full 2017 filings

14. 7th Jan 2016 13th Feb 2018 A summary of the finances of fracked gas in the USA since the dawn of the shale gas boom Prof David Smythe for TEDx: income has been half costs plus borrowing …and rapid production declines won’t allow bonds to be repaid. Unconventional well finances 2007 – 2016 inclusive 350 70 227 647 Historic income (gas sales) 1 Drilling / completion cost 2 Royalties, leases, interest etc 3 Issuance of debt – junk bonds 4 324 $ billion

15. And even if somehow the majority of companies fracking shale could find their way to profitability they would face another problem of economics coming fast at them down the tracks….

16. 7th Jan 2016 12th Feb 2018 “A Powerful Mix of Solar and Batteries Is Beating Natural Gas” e.g. Arizona PS Co. opts for a solar-battery project cheaper than gas. California PURC requires PG&E to use batteries over gas. The Way Humans Get Electricity Is About To Change Forever

17. Case for coal and gas plants is “crumbling” as wind, solar and battery costs plunge 7th Jan 2016 28th Mar 2018 Bloomberg New Energy Finance says its latest conclusions have “chilling” implications for fossil generators. • Global LCOE falls 18% YOY for both onshore wind and PV in first six months of 2018 …to $55/MWh and $70MWh respectively • Offshore wind down 5% to $118/MWh • 79% fall in lithium-ion battery costs since 2010

18. There have been clear warnings about the debt mountain from early on in the shale story, and all the way through it ….in this respect the shale debt bubble is unlike the mortgage-backed securities debt bubble that built up before the credit crunch of 2007 and financial crisis of 2008 (In some of the pictures and charts that follow, the oil price of the day [Brent crude] is in yellow)

19. 1 mile © Hughes GSR Inc, 2014 (data from Drillinginfo, February, 2014) “Is the U.S. Shale Boom Going Bust?” (…even at $100 oil) 22nd Apr 2014 $108 Another Bloomberg report, on 30th April, digs further. Its headline: “Shale Drillers Feast on Junk Debt to Stay on Treadmill.”

20. “The Shale Industry Could Be Swallowed By Its Own Debt” 17th Jun 2015 $60 “Drillers’ debt ballooned to $235 billion at the end of the first quarter, a 16 percent increase in the past year, even as revenue shrank.”

21. “Oil price plunge sparks bankruptcy concerns” 11th Jan 2016 $29 Long-term debt for 134 public oil exploration and production companies in the US and Canada. 2015 figure is through December 17th.

22. Both trains and drillers are increasingly getting burned in the shale boom “BHP writes down US shale assets by $7.2bn” 15th Jan 2016 $28

23. 7th Jan 2016 29th Jun 2017 After $13bn of writedowns, BHP chairman says $20bn US shale investment in 2011 was “a mistake” Jacques Nasser: “If we knew (in 2011) what we knew today, we wouldn't do it, of course we wouldn't do it.”

24. “It will take more than an oil price rally to restart the US shale boom” 10th Feb 2016 $30 "It’s not really like just turning on the light switch." Bill Thomas, chief executive EOG Resources Reasons include cannibalization and degradation of idled equipment, workers relocating to growth sectors such as solar.

25. “Oil industry faces huge worker shortage”7th Jan 2016 8th July 2016 $44 The average age of the oil industry worker is 49 c. 350,000 workers laid off industry-wide, c. 60% of fracking workforce laid off, c. 70% fracking equipment idled, >70 companies bankrupt

26. The industry is innovating its costs down constantly: global average oil breakeven cost is now at $51 7th Jan 2016 13th July 2016 $44 This is down $19 since 2014, and shale costs are among the lowest. But it is not enough to reverse the buildup of the debt mountain.

27. “Energy companies buy time by paying debt interest with more debt” 7th Jan 2016 25th July 2016 W&T Offshore, for example: they are offering bondholders 45% of equity plus more debt notes deferring cash payments due. 7th Jan 2016 25th July 2016 $43

28. 7th Jan 2016 24th Oct 2016 $49 “Bankruptcy bust: How zombie companies are killing the oil rally” c.70 bankrupt companies are producing fully 1.1 mbd, restricting the oil price rise that can offer at least some hope of profitability.

29. 7th Jan 2016 1st June 2017 $50 Michael Bloomberg: US cities, states and businesses will still meet Paris targets “The Global Oil & Gas Industry Is Cannibalizing Itself To Stay Alive” 75% of operating cash flow just to pay interest The Debt Wall Amount of bonds below investment grade that the US energy companies need to pay back each year

30. Oil and gas extraction has been the least profitable US industry over the last year 7th Jan 2016 24th Sep 2017 $58 Negative net profit averaging almost 7% over the 12 months to end July.

31. 20th Apr 2017 2 of the 3 main US shale oil production plays have peaked ….meaning much now rides on the Permian

32. 7th Jan 2016 5th Oct 2017 $57 Land deals are plunging as costs rise & production figures disappoint: “latest piece of evidence to suggest that “Permania” might be easing.”. “The Permian Boom Is Coming To An End”

33. “Has the US shale drilling revolution peaked?” 7th Jan 2016 18th Oct 2017 $58 Rather inconvenient if so, because production must be maintained for a long time, at high oil prices, in order to service / reduce the debt wall.

34. Shale gas represents 64% of US dry gas production: the US economy can ill afford any kind of collapse 7th Jan 2016 2nd Mar 2018 $64 Much depends on the Marcellus Shale (mostly in Pennsylvania), which provides 38% of shale gas production and 24% of US gas production.

35. “Wary shale investors warn against drilling at all costs” 7th Jan 2016 1st Apr 2018 $69 Says one: “If you outspend cash flow on stupid investments & destroy capital, I’m not just going to be mad at you, I’m going to punish you…”

36. 7th Jan 2016 29th Apr 2017 $75 “More Rigs Don't Mean More U.S. Gas …producers are running hard to stand still.” Rigs double since August… …and production drops

37. Fast shale-well depletion means “the oil and gas infrastructure bubble is over”: John Dizard in the FT 7th Jan 2016 13th Apr 2018 Investors’ dilemma: “No matter how many years’ service the pipes and plants could provide, there will not be the production to fill them.”

38. “Shale Industry Drills More Debt Than Profit”: DeSmogBlog launches series on $280 bn debt pile 7th Jan 2016 18th Apr 2018 “The American oil and gas boom spurred by fracking innovations may be one of the largest money-losing endeavors in the nation's history.”

39. e.g. EOG Resources: $1.1 bn loss in 2016. Would have lost $0.7 bn in 2017 but for GOP tax handout of $2.2 bn. It is still $6bn in debt. US fracking companies tipped from yet more debt to profit by Trump tax law change at end of 2016 7th Jan 2016 26th Apr 2018

40. “The US shale industry has been a money pit”: FT. Chart shows free cash flow per barrel produced for a sample of leading companies. As the oil price rises, some US shale drillers finally just about recoup the cost of their drilling 7th Jan 2016 22nd Apr 2018 2010 2011 2012 2013 2014 2015 2016 2017 Source: FT $2 0 -2 -4 -6

41. Unprofitability of fracking means the industry must keep borrowing new debt to pay back existing debt: “…the very definition of a Ponzi Scheme.” “How Lousy Shale Economics Will Pull Down The U.S. Economy”: SRSrocco Report 7th Jan 2016 18th May 2018 $78 Future Today 2015 2016 2017 • Plotting production decline by year of first flow shows just how fast the decline rates are • This plot is of the Permian, the biggest oil basin, showing e.g. 60% decline in 2 years from beginning 2016 to end 2017 (red circles) • Replacing that decline requires taking on another massive increment of debt to bankroll new production 1 2 million barrels / day 1.5 0.5

42. To keep production ahead of such decline, most companies are piling on debt even at current oil prices. Cash flow in top 10 Q1 2018: - $455 m. 7th Jan 2016 25th July 2018 $73 Decline rate in the top US shale oilfields has steadily increased to half a million barrels per day now

43. As though this state of play were not bad enough, some shale players have demonstrably inflated share prices fraudulently. If this tendency proves to be as widespread as some fear, the shale-debt crisis could end up worse than summarized here

44. 2nd Mar 2016 2nd Mar 2016 1st Mar 2016 xEx Chesapeake boss indicted for conspiracy Anti-trust investigations of other drillers ongoing

45. 2nd Mar 2016 2nd Mar 2016 2nd Mar 2016 x Ex Chesapeake boss dies in fiery car crash

46. 2nd Mar 2016 2nd Mar 2016 4th Mar 2016 x“McClendon's Actions Aren't Uncommon Across U.S. Shale Patch”

47. 7th Jan 2016 15th June 2016 “Why Billions in Proven Shale Oil Reserves Suddenly Became Unproven” 2016 deletions: = 9.2 bn barrels across 59 U.S. oil and gas companies - more than 20 % of their inventories. The SEC is investigating.

48. The track record of resource exaggeration is not encouraging

49. EIA revises down its estimate of oil recoverable in the Monterrey Shale of California by, ahem, 96% 7th Jan 2016 21st May 2014 Monterrey lauded in 2011 as a 13 bn barrel resource: 66% of US shale oil supply. Rather more media coverage of that story than this one.

50. 7th Jan 2016 5th Feb 2018 EIA 2017 shale oil projection “highly to extremely optimistic, and are very unlikely to be realized”: PCI $ hundreds of billions in debt to do this much $7.7 trillion needed to drill 1.29 million wells in EIA’s projected production Source:DavidHughes,PostCarbonInstitute

51. As the debts have built up, so have environmental problems

52. An increasing flow of worrying environmental reports on water, waste, frack fluids, & emissions 7th Jan 2016 2007 to 2014

53. City where the shale industry began - Denton, Texas - votes to ban fracking on environmental concerns 7th Jan 2016 5th Nov 2014

54. Response: Texas Legislature bans fracking bans 7th Jan 2016 16th Jun 2015

55. Long awaited EPA study concludes that fracking does contaminate US drinking water[/size] 7th Jan 2016 5th June 2016 Both the oil and gas industry and the Environmental Protection Agency had insisted that it did not until this report.

56. 7th Jan 2016 1st Aug 2017 “As the oil patch demands more water, West Texas fights over a scarce resource” Water companies are mining aquifers Farmers and others are preparing to sue

57. Exposure to intense shale gas operations correlates with higher risk of asthma attacks,
researchers find 7th Jan 2016 18th July 2016 Study began in 2012 on medical records of >400,000 residents. Finds increase in severity of asthma in those exposed to most active wells.

58. 7th Jan 2016 27th Jan 2013 So much gas is being flared from US shale fracking for oil that it can easily be seen from space Bakken Shale Minnesota St Paul `Chicago Enough gas wasted to power all the homes in Chicago and Washington DC combined

59. 7th Jan 2016 18th July 2018 If the the gas burnt globally in flares were captured and used for power generation, it could supply 90% of Africa’s electricity consumption. Global gas flaring dropped slightly in 2017, but rose 7% in the US because of fracked shale oil

60. The core oil and gas climate argument is that burning gas is less bad for global warming than burning coal

61. True ….depending on leakage ( Agelbert NOTE: Though coal produces more particulate pollution causing respiratory diseases, gas actually increases Global Warming from GHG pollution MORE than coal!

📢 Amory Lovins: Natural Gas is worse than Coal
Published on Jul 6, 2017

62. 7th Jan 2016 28th Jun 2017 The Paris climate emissions budget is tiny, meaning all existing gas reserves cannot be safely burned Decarbonisation by 2040 As set out by Christiana Figueres + long list of climate experts. “3 years to safeguard our climate.” And if methane leakage is significant ….

63. “Future of natural gas hinges on staunching methane leaks” 7th Jan 2016 11th July 2016 EPA data collection programme underway on 10s of 1000s of oil and gas operations. Some drillers have committed to <1% emissions.

64. Methane leaks from the US oil & gas industry c.60% higher than government estimates: new study 7th Jan 2016 21st Jun 2018 9-basin estimate incorporating aerial data suggests 2.3% leakage well- to-power plant. EPA suggested 1.4%. 2.7% makes gas worse than coal.

65. “The data confirm that we can and must do more on methane.” 2nd Mar 2016 2nd Mar 2016 29th Feb 2016 xEPA Chief: Methane emissions from oil and gas “substantially higher than we thought”

66. 2nd Mar 2016 2nd Mar 2016 11th Mar 2016 xUS and Canada to cut methane emissions from oil and gas industry by 40-45%

67. 2nd Mar 2016 2nd Mar 2016 11th Mar 2016 xAPI says it will take legal action because emissions cuts will “threaten the shale revolution” Jack Gerard CEO

68. 7th Jan 2016 28th Apr 2016 The U.S. oil and gas boom is having global atmospheric consequences, NOAA reports Fully 2% of rising global ethane concentrations (which can only come from fossil fuels) are from the Bakken Shale.

69. 7th Jan 2016 16th Aug 2016 In US methane hot spot, researchers pinpoint sources of 250 leaks using airborne sensors c. 600,000 metric tons. Major coal bed methane production region. More than 50% emissions from 10% of leaks.

70. NASA-led team shows oil & gas industry responsible for largest share of recent rising methane emissions 7th Jan 2016 20th Dec 2017 New measurements reconciling isotopic data suggest fossil fuels contributed 12–19 Tg CH4 per year of c. 25 Tg CH4 per year since 2006.

71. The oil industry is betting its survival on gas, with US shale as a centerpiece

72. The O&G industry is trying to rebrand itself as a clean energy industry based on natural gas vs coal 7th Jan 2016 9th Jun 2015 World gas conference, 2015

73. Oil and Gas Climate Initiative: 10 CEOs …majoring on oil companies morphing to gas companies 7th Jan 2016 16th Oct 2015

74. 7th Jan 2016 16th Aug 2017 “Shell takes $14bn gas **** with world’s biggest floating structure” Floating Liquified Natural Gas vessel Prelude Length 488 metres

75. 7th Jan 2016 20th June 2016 Shell puts revamped shale arm at heart of future growth strategy

76. 7th Jan 2016 7th Jan 2018 Growth of Shell’s oil and gas operations in the next decade will depend on shale production: CEO With “a little bit of help from the oil price going up, we now see that we can significantly accelerate investment into this opportunity.”

77. Shell to bet billions on US shale by bidding for retreating loss maker BHP's shale division 7th Jan 2016 8th Mar 2018 The Charge of The Light Brigade A $10 billion offer, jointly with US private equity group Blackstone.

78. 7th Jan 2016 1st Aug 2013 Shell writes off $2 billion in shale The idea of a shale revolution spreading from the US across the world is “a little bit overhyped,” says CEO Peter Voser.

79. 7th Jan 2016 3rd Oct 2016 “Big oil should exercise capital discipline as prices rise” …& appoint a Head of Memory So says Paul Spedding, ex Global Co-Head of Oil And Gas Research at HSBC, now an advisor to Carbon Tracker

80. Beating Shell and Chevron to the 4.5 billion barrels of oil-equivalent resources, BP CEO Bob Dudley calls it a “transformational acquisition.” 7th Jan 2016 26th July 2018 BP heads into US shale oil and gas by buying BHP's assets - up for sale nearly a year - for $10.5bn

81. 7th Jan 2016 12th Feb 2017 “Oil and gas discoveries dry up to lowest total for 60 years” 174 discoveries totaling only 8.2 bb oil and gas equivalent in 2016. This dismal record pressures oil majors to seek quick wins in US shale.

82. 7th Jan 2016 31st Oct 2017 Gas firms spend €104m on lobbying in 2016 to keep Europe hooked on fossil fuel 30x more than groups lobbying for a fossil-fuel-free future. 460 meetings with just two relevant EU Commissioners in 2.5 years.

83. With one exception, it looks as though the rest of the world fears the downsides of shale enough not try and copy the Americans

84. 7th Jan 2016 2nd June 2016 Scottish parliament bans fracking

85. 7th Jan 2016 24th June 2016 Germany bans fracking 👍

86. 7th Jan 2016 30th Aug 2016 Victoria becomes first Australian state to permanently ban fracking and coal seam gas 👍 “It is clear that the Victorian community has spoken. They simply don’t support fracking”: State government spokesperson

87. France bans fracking and oil extraction in all of its territories 7th Jan 2016 20th Dec 2017 • 👍 President Macron says he wants to lead the world in race for renewables • Lawmakers hope the ban will be “contagious”

88. New Zealand bans future offshore oil and gas drilling 👍 in support of Paris targets 7th Jan 2016 12th Apr 2018 NZ currently has 5 operating offshore fields, and 22 active offshore exploration licences. Oil lobby expresses surprise and disappointment.

89. 7th Jan 2016 9th Nov 2016 Monterey county, a significant drilling target, votes to ban fracking despite oil industry lobbying blitz 👍

90. The exception is England, a country with a government seemingly intent on allowing the fracking of shale at any cost  >:(

91. 7th Jan 2016 Dec 2012 US shale drillers hit hurdles going international UK backs gas including domestic shale

92. “Vast areas” of southern England “discovered” to hold “billions of barrels” of oil in shale 7th Jan 2016 23rd May 2014

93. A single pre-frack exploration well drilled by Caudrilla at Balcombe in Sussex faces huge protests 7th Jan 2016 Aug 2014 👍

94. UK Secretary of State for Energy and Climate: “Our country needs shale gas, so let’s go get it” 7th Jan 2016 9th Aug 2015 Amber Rudd: “A responsible, long-term energy policy demands a willingness to take decisions today for the good of tomorrow.”  (

95. “Britain's shale fracking revolution comes with big risks” 7th Jan 2016 18th Aug 2015 Andrew Critchlow: “Get it wrong and fracking in Britain…will become too politically toxic for any future government to consider. “ There would be rather a lot of these on English country lanes, carrying water, sand, and toxic frack fluids in to well pads, and waste fluid plus (maybe) oil and gas out

96. Fracking gets go-ahead in UK for first time since 2011, despite 4,000 objections to planning enquiry 7th Jan 2016 23rd May 2016 FT Lex: “The cult following still believes that fracking in the UK could be profitable. Investors should allow market forces to finally kill it off.”

97. 7th Jan 2016 8th Aug 2016 UK shale: “All households near fracking sites set to get money paid straight into banks”

98. 7th Jan 2016 27th Oct 2016 Latest UK poll suggests only 17% support fracking (while 79% support renewables) These companies are joined by the Conservative government in running the gauntlet of such huge public opposition, which must be multi-party.

99. 7th Jan 2016 13th Feb 2018 UK government accused of dishonesty in regulation of fracking by eminent geophysicist Prof David Smythe: risk in fault leakage covered up, & definitions of “conventional” & water volume bent to misclassify fracked wells.  (

100. Ineos shale drilling application rejected: that makes 7 out of 8 shale drilling plans rejected in 2018 7th Jan 2016 8th Mar 2018 It now takes on average 58 weeks to (maybe) get a planning decision on the drilling of a vertical well, up from 13 weeks 5 years ago.

101. UK's first horizontal well completed in Lancashire shale, Caudrilla reports 7th Jan 2016 3rd Apr 2018 The driller now waits for government approval to conduct what would be the first frack since 2011. (The one that led to an earthquake).

102. 7th Jan 2016 19th July 2018 …and no payments for solar electricity exports – a huge blow to the homeowner and community solar that competes with shale gas. HMG proposes, on the same day, no need for frackers to seek planning permission henceforth….

103. Cuadrilla given the go-ahead to start fracking in Lancashire by energy minister 7th Jan 2016 24th July 2018 Claire Perry: “Our world-class regulations will ensure that shale exploration will maintain robust environmental standards and meet the expectations of local communities.” be derided  (

104. Letter to O&G companies: major hydrocarbon releases “remain a concern because of their greater potential to lead to fires, explosions and multiple losses of life. There have been several such releases in recent years that have come perilously close to disaster.” Offshore UK OGI “perilously close to disasters” as a result of neglected gas leakage, HSE warns 7th Jan 2016 26th Apr 2018

105. The Air Quality Expert Group (AQEG) report is eventually quietly published 3 days after Caudrilla gets clearance to frack in Yorkshire. 7th Jan 2016 2nd Aug 2018 Report finding that fracking increases air pollution buried for 3 years by UK government 40,000 premature deaths a year linked to air pollution HMG has just decided its OK for that figure to be higher  >:(

106. University of London cardiologists find exposure to nitrogen dioxide and PM2.5 and PM10 particles linked to an increase in the size of ventricles. 7th Jan 2016 3rd Aug 2018 Air pollution linked to changes in structure of the heart of the sort seen in early stages of heart failure

107. And there is no reason to expect the economics of shale drilling in the UK to be any less disastrous than in the US In fact, drilling costs should be higher in the UK, because we have “world class regulations” and the Americans have virtually none under a Trump EPA Plus…. (

108. Subsidy-free renewable energy projects set to soar in UK, analysts say, largely killing off new gas plants 7th Jan 2016 20th Mar 2018 Aurora Energy Research: Onshore wind and solar both viable without subsidies by 2025, unlocking £20bn of investment by 2030. Solarcentury roof for Sainsbury

109. Offshore wind will provide most of the growth from 2017 to 2025, WWF suggest, but HMG could & should also use onshore wind and solar. UK on track to phase-out coal by 2025 without the need for any new large gas plants: WWF report 7th Jan 2016 13th May 2018 Masayoshi Son, Softbank founder and CEO

110. Some conclusions

111. In the USA, the sadly numerous real-life oil-train wrecks are an allegory for the entire shale story: the debt mountain means this train is going to come off the tracks

112. It’s impossible to foresee when …but unlikely to be more than a few years

113. In the UK, the train is most unlikely to make it properly on to the tracks: polls, disruption, and mad economics suggest that too many conservative rural voters will be prepared to fight very hard indeed to stop it happening

114. In the UK, the train is most unlikely to make it properly onto the tracks: too many rural Conservative voters will be prepared to die in a ditch to stop it happening The energy-policy, economic, environmental and societal implications of these conclusions will be examined further in forthcoming blog-slideshows on the Future Today website:
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on September 14, 2018, 10:57:17 am
Senator Introduces Bill for New ‘Climate Choice’ TSP Investment Option ( (

September 12, 2018 - By My Federal Retirement

Senator Jeff Merkley ( (D-OR) introduced a bill last week that would create a new option for federal employees to put their retirement savings in funds that are free from investment in fossil fuel companies.

The Retirement Investments for a Sustainable Economy (RISE) Act (S.3424) would create a “Climate Choice” stock option under the Thrift Savings Plan (TSP). While the TSP currently offers investors options for the amount and risk allocation of their TSP accounts, it does not offer federal employees control over the types of industries in which their money is invested.

“As climate chaos ramps up, all Americans deserve the option to divest from the fossil fuel industry,” said Merkley. “For the first time, this bill will give millions of federal employees the power to ensure their retirement funds are invested in a more sustainable, socially responsible investment portfolio.”

The RISE Act mandates a report within one year from the Government Accountability Office (GAO) examining the risk for investors from TSP holdings in fossil fuel companies 🐉🦕🦖 given policies to keep average global temperature increases to 2º Celsius. The RISE Act also directs the GAO to provide a divestment mechanism for the TSP should the report show risk to investors from fossil fuel🦕🦖👹 holdings.

A summary of the RISE Act is here (1-page PDF) (

( Agelbert NOTE: Do your part for God, country and future generations. Help bankrupt all biosphere degrading Hydrocarbon Hellspawn Corporations 🐉🦕🦖 today and every day thereafter.  ( ( (
 ( (


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on October 08, 2018, 05:08:58 pm
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Tesla’s Battery In South Australia Breaks Stranglehold Of Natural Gas Industry ( 

October 8th, 2018 by Kyle Field

The massive 129 kWh Tesla Powerpack installation in South Australia has already been having a strong impact on the region’s electricity markets, saving grid operator Neoen and customers an estimated $25 million, or just over ⅓ of the purchase price, in its first year of operation.  :o (

As the regional grid continues to adjust to the impact of a new energy storage block of this size, we are already starting to see some of the side effects of the world’s largest lithium-ion grid-scale battery. Namely, the battery, called the Hornsdale Power Reserve, is putting the squeeze on natural gas peaker plants in the region. (

Peaker plants are smaller natural gas–fired electricity generating units (EGUs) that are idled for the vast majority of their lives. For those rare periods when the grid needs a bit of extra juice to meet customer demand, the peakers are fired up. That’s all fine and good, but their intermittent nature makes peaker plants extremely inefficient to operate and extremely polluting, as the startup and shutdown segments of a ntural gas turbine’s operation (when the engine gets warmed up or idles down) are by far the dirtiest.

After watching the operation of the battery ⚡ 💫 closely for its first year in operation, the Australian Energy Market Operator (AEMO) informed operators in the regional energy market that it would be putting an end to “the three-year-old requirement for 35MW of local regulation frequency and ancillary services to be provided in South Australia when there was risk of the state’s grid separating from the rest of the national grid,” according to Renew Economy.   (

“The operation of SA has changed significantly over the past 12 months,” AEMO shared in a written statement. “Synchronous unit requirements (for SA system strength) and the installation of the Hornsdale battery have ensured regulation FCAS is more readily available post-islanding of SA. Hence this requirement is no longer considered necessary.”

The major shift enacted by the large battery is that it removed the ability for natural gas–fired generation to game the market and took over that role itself.

The result of a competing on-demand electricity supplier entering the market was the immediate dilution of the tactics of the natural gas industry, which previously had a de facto monopoly on the local backup market. These gas companies almost entirely leveraged their control to ensure that the price of electricity rose to the market cap price of a staggering $14,000 per megawatt-hour whenever a call for backup power was made.

With the natural gas monopoly washed out, AEMO is realizing a much more stable market, as Tesla’s new battery installation responds to needs of the grid whenever more production is needed. This isn’t some do-gooder installation, but simply a response to a market that had been gamed to the point of making a business case for the world’s largest battery installation.

The good news … or the bad news, depending on how you look at it, is that these situations exist all over the world, to varying degrees. That is the lucrative new market Tesla is racing to gobble up, with battery production and procurement capacity as its sole constraint. Nearly all of Tesla’s batteries from Gigafactory 1 in Nevada went to the production of the Tesla Model 3, forcing the world’s largest battery producer to purchase even more batteries from external suppliers LG and Samsung for its larger energy storage products.

“Hornsdale has had a significant impact on the South Australia system,” Christian Schaefer, AEMO’s head of system capability shared, “and we have got new batteries coming on line with Victoria and South Australia.” While Tesla was the provider at Hornsdale, this improvement is not a Tesla thing — it’s a grid-scale battery thing and Tesla just happens to be the leader in the space.

Its Tesla Grid Controller, which was piloted at Tesla’s installation on the island of Samoa, pushes its Powerpack battery tech to the next level by adding another layer of intelligence that allows it to act as the brain for an entire island grid. This is achieved by more effectively and efficiently balancing energy generation — from solar, hydro, and traditional sources — as well as energy storage in the form of batteries and hydro with electrical demand from customers.

The electrical grid is the most complex machine humans have ever built, and watching grid-scale batteries flip these markets upside down in a matter of a few months while driving emissions down at the same time is both exhilarating and a bit nerve wracking. Thankfully, they’re paying out and proving themselves in increasingly larger installations around the world.

Source: Renew Economy

Title: Re: FThe Doom Of Fossil Fuel Investments Twitter Google+ Linkossil Fuel Profits Getting Eaten Alive
Post by: AGelbert on November 18, 2018, 05:40:15 pm
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The Doom Of Fossil Fuel Investments  (

November 18th, 2018 by Guest Contributor

By Nathanael Nerode



• There is a very short window of time to get out of pure-play oil & gas company investments without substantial losses. It is imperative to sell them now.

• It is already too late to get out of pure-play coal company investments without substantial losses. But they will lose even more money going forward.

• Utility companies which have a heavy reliance on fossil fuels are also in trouble.
Diversified companies will lose money on their coal, oil, and gas portfolios, although this may not be significant enough to warrant getting out of a diversified company.

• It will remain possible to do short-term swing trading in coal, oil, and gas companies with no future, but this is inappropriately risky behavior for a conservative investor.

The Reasons

• Oil demand is mostly for cars & trucks and will be destroyed by ...

Full article: (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on November 21, 2018, 08:45:51 pm

Oil Companies 🐉🦕🦖  Lose $1 Trillion As Prices Crash (

By Tom Kool - Nov 20, 2018, 3:00 PM CST

Title: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on November 23, 2018, 01:52:06 pm
Who cooda node?  ::)


Oil meltdown deepens as crude crashes below $51


By Matt Egan, CNN Business

Updated 10:45 AM ET, Fri November 23, 2018

(                     (                      (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on December 06, 2018, 11:51:05 am
Should We Cheer? ExxonMobil’s Renewable Energy Commitments Are In The News

December 6th, 2018 by Carolyn Fortuna

EXCELLENT article! ( In addition to to exposing what these fossil fuelers are up to now, it covers ALL the crooked=CAPITALIST Profit Over People and Planet Bases of the ExxonMobil mens rea modus operandi for the past SEVERAL DECADES: (

Agelbert NOTE: Should we cheer?( ( (

The only upside to this use of Renewable Energy by the Hydrocarbon 🦕🦖 Hellspawn is that their argument, for the last century or so, that "Fossil Fuel sourced Energy is cheaper than Renewable Energy" is  (and always was, by the way, ( but they did not admit it), KAPUT.  (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on December 07, 2018, 09:12:56 am
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Coal Is On The Way Out — Natural Gas Is Next (

December 3rd, 2018 by George Harvey

Shortly after reading Tina Casey’s CleanTechnica article, “New Report Outlines Investor Risk of Supporting Coal Power,” I found myself looking at the November edition of the EIA’s Monthly Energy Review. Of course, I found myself connecting the two.

As natural gas has taken market share from coal-powered electric generation, it has pushed emissions from coal down. But the EIA document shows that natural gas is emitting carbon dioxide at a record level, and, sadly, its own levels of emissions seem to be increasing faster than those of coal are dropping. As I looked at information on carbon dioxide emissions, I found myself wondering how long it will take for the natural gas industry to go into its own steep decline.

The answer to this question may be becoming clear, and rather quickly. There has been a series of developments in California that anyone interested should notice.

The underlying context is a general switch to renewable energy that has been going on there for many years. As wind and solar systems have been added to the system, prices for electricity from renewable systems have declined. They have pushed down wholesale power prices in the state, especially those of peak demand times, when prices have been highest.

As the cost of renewable power has declined, however, the cost of electricity from fossil fuel plants has held rather steady. As can be seen in Lazard’s Levelized Cost of Energy Analysis, Version 12.0[ (, the costs of renewably-sourced electricity have generally fallen so that they are often below those of coal-burning and gas-burning plants. And the fossil fuel plants have seen their profits disappear with more powerful competition.

Metcalf Energy Center (MEC) in California

Now we come to a specific example of unfolding events that is particularly revealing. In 2005, Calpine Corporation brought a new gas-burning combined-cycle plant online at the Metcalf Energy Center (MEC) in California. A brief history of the plant can be found at Wikipedia. As a combined-cycle plant, it was of the type that generally produces the least expensive power available from fossil fuels.

By 2017, the MEC was finding market conditions difficult. In June of that year, Calpine notified the California Independent System Operator that the plant would have to run on a reliability-must-run basis, or it would be shut down because it was losing money. Calpine🦕 wanted to keep the plant open and was requesting extra income, to be charged in the end to ratepayers. 😈 To do this, it would require a special license from the Federal Energy Regulatory Commission, to be renewed annually.

In November of 2017, the California Public Utility Commission (CPUC) authorized Pacific Gas and Electric (PG&E) to look for a less expensive source of electricity that could replace the MEC’s gas plant. Thereupon, PG&E made a procurement request for that electric power. And in the first weeks of last summer, PG&E announced that it had requested approval from the CPUC for a specific solution to reducing customer costs.

That solution included four battery systems, two of which would be much larger than the 100-MW / 127-MWh Hornsdale Power Reserve (HPR) in South Australia, currently the largest battery in the world. A posting of July 3 at Utility Dive said the total energy storage capacity of the project would be 2,270 MWh, almost eighteen times that of the HRP.

In November, the CPUC approved the battery system. It is expected to be the largest battery system in the world. 👀  An article ( at Commercial Property Executive details this.

While all of the four batteries are huge, the largest is just about mind-boggling all by itself. Vistra Energy is set to produce and own a battery of 300 MW / 1,200 MWh, three times the power capacity and nearly ten times the energy storage capacity of HPR. To this will be added a battery of 182.5 MW / 730 MWh, to be produced by Tesla but to be owned by PG&E. The smaller batteries are systems of 75 MW and 10 MW, whose specifications called for four hours of storage each.

What I find most interesting about this is not the record-setting sizes of the battery systems. It is that a relatively new fossil fuel plant, of a design that produces the least expensive electricity we can get from combustion, is being replaced by batteries, which do not generate electricity but just store it as it comes from the wind and sun. A gas plant is being put out of business by lithium-ion batteries, because the energy storage costs, combined with the cost of the electricity from solar and wind plants, are more attractive than the cost of the least expensive fossil fuels. ( 

The Utility Dive article cited above had a quote in it from Alex Eller, a senior energy research analyst at Navigant. He said, “Storage at this scale is likely now cheaper than the total cost to run the gas plants.” More natural gas plants may be coming online, but they look destined to be the next round of stranded assets. (

We are not talking about some day in the future here. Renewables ( are pushing gas🦕 out already.  (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on December 13, 2018, 07:12:01 pm
Agelbert NOTE: This is encouraging  ( That is, IF ( the Hydrocarbon Hellspawn 🐉🦕🦖 don't irreparably pollute the biosphere it happens. (

Published on Dec 4, 2018 #Bigoil #EVs #NowYouKnow

The Impending Big Auto/Oil ( Implosion ( Explained | In Depth


Now You Know

On today's episode of "In Depth" Zac and Jesse talk about The Impending Big Auto/Oil Implosion! Please consider supporting us on Patreon. We have some pledge rewards you may be interested in, so go check that out. Now You Know! #Bigoil #EVs #NowYouKnow

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Category Science & Technology
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on December 14, 2018, 09:10:55 pm

There are a few levers of power that can shut down fossil fuel companies, one of which is to cut off their supply of money. And investors are starting to do just that in increasingly greater numbers.


1,000 Organizations Have Pulled Their Money Out of Fossil Fuels ( in Major Milestone

Brian Kahn

December 13, 2018 8:50am Filed to: BAD INVESTMENTS  ;D
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on December 27, 2018, 11:58:53 am
Dec. 27, 2018 8:28 AM ET

For The Permian, It's Not 2016 - And That's Bad News For U.S. Shale   (

► The recent sell-off in oil is hard to explain with logic. (

► For US shale producers (, this sell-off is not like 2016 and the capital markets won't be so friendly this time around. (

Parsley Energy 🦖, one of the worst abusers of outspending cash flow, is reducing capex and growth targets, a sign of the times to come. (

Mark Papa's Centennial Resources 🦕 scrapped the idea of reaching 65k barrels of oil per day of production by 2020 and is now focusing on balance sheet. (

► Private equity has led the stupendous growth in shale this year and the pullback in oil is striking fears ( in all of the investors ( in private equity firms. (

Agelbert NOTE: What "energy experts" like the guy above cannot seem to grasp, in their zeal to bean count barrels produced of polluting crap hydrocarbons versus profits to sell polluting crap hydrocarbons, is the FACT that HYDROCARBON DEMAND DESTRUCTION from the use of RENEWABLE ENERGY TECHNOLOGIES is a larger contributing factor to tanking hydrocarbon prices than the current global economic distress.

All these Hydrocarbon Hellspawn Subsidy (visible AND invisible=banker sweetheart deals and Chapter 11 bankruptcy "legal reorganization" stiffing of creditors to emerge as Dracula "going concerns" again  (🤬) Welfare Queens would disappear in a bankruptcy heartbeat if the corrupted government giveaways would be eliminated.


The Fossil Fuelers 🦖 DID THE Clean Energy  Inventions suppressing, Climate Trashing, human health depleting CRIME,   but since they have ALWAYS BEEN liars and conscience free crooks 🦀, they are trying to AVOID   DOING THE TIME or   PAYING THE FINE!     Don't let them get away with it! Pass it on!   
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on March 29, 2019, 11:58:59 am
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Battery & Offshore Wind Costs Plummet, Threaten Oil & Gas  (

March 28th, 2019 by Joshua S Hill

The Levelized Cost of Electricity of lithium-ion batteries and offshore wind have plummeted in the last year, according to new figures from research company Bloomberg New Energy Finance.

The Levelized Cost of Electricity (LCoE) measures the all-in expensive of producing a megawatt-hour (MWh) of electricity from a new project, and accounts for the costs of development, construction and equipment, financing, feedstock, operation, and maintenance. It is a helpful, if not entirely comprehensive, measure of the energy wars being played out between old fossil fuel generation sources like coal and gas and new renewable technologies like wind and solar, supported by other energy technologies like batteries.

Bloomberg New Energy Finance’s (BNEF) regular LCoE reports are, thus, a handy guide for determining the pace of the war and the lay of the land, especially as we move more fully into a new year. And this latest report is big news for supporters of renewable energy technologies, as BNEF shows that the LCoE of lithium-ion batteries and offshore wind have fallen dramatically in the past year. Specifically, the benchmark LCoE for lithium-ion batteries dropped 35% to $187/MWh while offshore the benchmark LCoE for offshore wind fell by 24% to just below $100/MWh.

Onshore wind and solar PV have both also seen their prices fall, though at less dramatic yearly declines, with benchmarks of $50/MWh and $57/MWh respectively (for projects starting construction in early 2019), yearly drops of 10% and 18%.

“Looking back over this decade, there have been staggering improvements in the cost-competitiveness of these low-carbon options, thanks to technology innovation, economies of scale, stiff price competition and manufacturing experience,” said Elena Giannakopoulou, head of energy economics at BNEF. “Our analysis shows that the LCOE per megawatt-hour for onshore wind, solar PV and offshore wind have fallen by 49%, 84% and 56% respectively since 2010. That for lithium-ion battery storage has dropped by 76% since 2012, based on recent project costs and historical battery pack prices.”

So, while it was good news across the board for renewable energy technologies, the highlight was the dramatic price decline for lithium-ion batteries which, when co-located with solar or wind projects, are starting to compete — in many markets, and without subsidy — with coal- and gas-fired generation projects for the provision of “dispatchable power” (power which can be delivered whenever and as necessary).

“Solar PV and onshore wind have won the race to be the cheapest sources of new ‘bulk generation’ in most countries, but the encroachment of clean technologies is now going well beyond that, threatening the balancing role that gas-fired plant operators, in particular, have been hoping to play,” explained Tifenn Brandily, energy economics analyst at BNEF.

It’s also heartening to see the continual decline in offshore wind costs, and what was once seen as an expensive generation technology is benefiting from the same economies of scale which have supported the solar and onshore wind industries, with benchmark LCoE falling to below $100/MWh as compared to $220/MWh just five years ago.


“The low prices promised by offshore wind tenders throughout Europe are now materializing, with several high-profile projects reaching financial close in recent months,” said Giannakopoulou. “Its cost decline in the last six months is the sharpest we have seen for any technology.”
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 08, 2019, 06:31:43 pm


June 7, 2019 by Bloomberg

Top Bankers Warn Offshore Oil Industry’s Debt Woes Aren’t Over (


Agelbert NOTE: Expect more Trumpian ( saber rattling. The Hydrocarbon 🦕🦖 Hellspawn cannot make a profit at present oil prices. There is no way they can jack those prices up, considering the inventory is at a 30 YEAR HIGH (see: GLUT). A large increase in cheap Renewable Energy is partly responsible for the low oil price 👍😀. So, they need a war scare, or a war, to goose the price. If they keep this criminal insanity up, war will do us in before climate change does. 

Have a nice day.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 13, 2019, 12:27:25 pm
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June 13th, 2019


Contrary to what the anti-EV alligators would have you believe, plug-in vehicles produce lower emissions than dinosaur-burners over their full life cycles. That advantage is steadily growing as more and more electricity generation comes from renewable sources. A recent report from the International Renewable Energy Agency (IRENA) found that costs for renewable energy technologies fell to a record low last year, and that cost reductions are poised to continue into the next decade.

In many parts of the world, renewable power is already the cheapest source of electricity. IRENA says that over 75% of wind and solar PV projects due to be commissioned next year will produce power at lower prices than the cheapest fossil fuel options, without government subsidies.

Full article:


Chart: Electric Cars Cutting Gasoline Use By Hundreds Of Millions Of Gallons A Year (

Agelbert COMMENT: YES! The death knell of the Hydrocarbon Hellspawn from lack of gasoline (and diesel) sales is music to my ears.

Don't forget that MANY homes are no longer heating with kerosene or heating oil because of Renewable Energy based electric heat. The 'electricity is less efficient for heat' crowd ALWAYS neglects to mention hydrocarbon pollution in their MORONIC energy math.

Ignore the planet killer IDIOTS who don't want you to use electric heat. OR, just tell them that destroying the biosphere by burning hydrocarbons is REALLY inefficient!
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 13, 2019, 03:31:30 pm
Make Nexus Hot News part of your morning: click here ( to subscribe.

June 13, 2019   (

Norway's sovereign wealth fund waves goodbye to fossil fuels 👍, Adani mine ☠️ gets green light 👎, & more (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 23, 2019, 04:03:37 pm
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The author’s EV and one of his PV systems

Electric Vehicles, Renewables, & The Changing World Dynamic

June 22nd, 2019 by Robert Dee

Electric Vehicles — Thinking People’s Cars

What’s the ROI (return on investment) for filling a gas car? None, zero! You pay from the moment you sign on the dotted line — engine repairs, routine maintenance, gas, gas, and gas. Did I mention gas? Automakers love you, auto dealers love you, repair shops love you, and the fossil fuel industry loves you. Why not? You’re constantly at their doors with your wallet open.

Many studies showing the cost of owning an electric vehicle (EV) as opposed to a fossil fuel vehicle (FFV) are distorted and biased toward FFVs, as we’ve simply been programmed to think from a FFV perspective. This is by design, just like the skillful manipulation that has people pulling up to the pump without thinking about what’s going on and how devastating it is to them and the environment. The technological advantages and power of EVs when combined with renewables should not be underestimated or overlooked when we compare different propulsion systems.

You can never drive a gas car for the cost of driving an EV. You will always be tethered to the pump, but you will always have the option of paying very little to nothing for the energy to drive an EV. An unfair comparison? When we list the benefits of driving both cars, automakers are quick to point out how fast a gas car can be refilled, so if that’s a benefit of gas cars then surely being able to charge an EV from your own power is a benefit of electric cars. Combining EVs and renewables forms a bond that gas cars can not compete with and as technology improves, as it has done and will keep on doing, this will only get better. As charging rates continue to go up, the line between filling a gas car and charging an EV will vanish, and we are already starting to seeing this.

The Hidden Costs of Owning Fossil Fuel Vehicles

I’ve written at length about the crippling pollution and cost of the ICE (internal combustion engine):

Full article: (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on July 01, 2019, 02:07:25 pm
By Kurt Cobb, originally published by Resource Insights

June 30, 2019



Contrary to the wildly optimistic projections of the U.S. 🦕🦖 Energy Information Administration of continuously growing natural gas supplies through 2040, natural gas production from shale gas wells then is likely to be only a fraction of what it is today.

That would imply a lot of worthless or at least devalued utility and petrochemical infrastructure and a lot of unhappy investors.

Understanding this outcome as likely does not require a paranormal ability to see the future. The evidence is right in front of us now in the balance sheets and income statements of the shale oil and gas companies of America. The industry’s financial condition is in shambles because it simply can’t make money with prices this low. ( It follows that we cannot reasonably expect investors to suffer continuous losses between now and mid-century in order to subsidize the utility and petrochemical industries with cheap natural gas.

Full article:

Shale oil and gas: Destroying capital one well at a time (

The Hydrocarbon Hellspawn Fossil Fuelers 🦖 DID THE Clean Energy  Inventions suppressing, Climate Trashing, human health depleting CRIME, but since they have ALWAYS BEEN liars and conscience free crooks 🦀, they are trying to AVOID   DOING THE TIME or   PAYING THE FINE! Don't let them get away with it! Pass it on!   

Title: Kenyan Court Puts Kibosh On Country’s First Coal-Fired Plant
Post by: AGelbert on July 12, 2019, 06:14:29 pm
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July 12th, 2019 by Steve Hanley


70% of Africans do not have access to a conventional electrical grid, which is why distributed renewable energy from solar panels and wind turbines is the perfect way to connect them to the modern world. But that hasn’t stopped 🦕😈🦖 traditional energy companies from trying to drag Africa into the 21st century with 19th century technology if there’s a buck to be made.
Kenya coal fired plant endangers Lamu - Save Lamu logo

China is moving aggressively to slash carbon emissions at home, but it is only too happy to export them to other nations. It is offering to build coal-fired generating plants throughout southeast Asia, India, Pakistan, and Africa just as long as they are built by Chinese companies.

A court in Kenya has recently nixed a plan to build that country’s first coal facility — a 981 MW station backed by a Chinese-led consortium — after environmental activists sued Amu Power and the Kenyan National Environment Management Authority claiming they failed to carry out a rigorous environmental assessment and to inform local people of potential impacts, according to a report by The Guardian. They argued that the plant would have adverse effects on local fishermen and farmland. The court agreed. (

Full article:
Kenyan Court Puts Kibosh On Country’s First Coal-Fired Plant (

David Zarembka • 9 hours ago • edited
Another point is that the coal plant was supposed to sell its electricity for 7 cents per KWh, but an independent analysis indicated the cost would be closer to 70 cents per KWh. The government was also required to guarantee that the electricity would be bought by the power company and, if not, the company/government would be required to pay 85% of the cost of the undelivered power. This was a terrible deal no matter how you look at it. At the moment Kenya has an excess of electric power capacity and solar farms and more geothermal are coming on line. 👍👍👍

Steve Hanley > David Zarembka • 9 hours ago
Thank you for that local input, David. Sounds like the project developers were going to get a gold mine while Kenyans go the shaft.

David Zarembka > Steve Hanley • 8 hours ago
You are correct. But the Kenyan elite would have cashed in also.

Agelbert COMMENT: The Chinese seem to have a NIMBY problem. Someone should remind them that pollution cause and Catastrophic climate Change effect is unavoidable within a single planetary biosphere like ours.


It's real hard to grow crops on the 🌙 moon.


Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on August 21, 2019, 04:18:13 pm

Solar and wind sent European utilities into financial disarray, and U.S. utilities are facing a similar fate. Are global oil companies next? (  (
Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on September 03, 2019, 03:54:43 pm

This screenshot is quite good. We have known everything we needed to know for some years, and have just not cared. Somewhere in my reading today I came across the assertion that in order to make a difference, people in the developed world will have to live on one sixth of their current income/standard of living.

If you listen carefully, you can hear the collective "fat chance" from the wealthy, and
"You first" from the rest of us.

True that about the sentient termites (i.e. the ethically bankrupt = wealthy).

Please do not include me in the rest of us. I have publicly advocated for living with the power cut off from my house for 12 hours a day (not "you first", but all of us, including businesses, at once) in summer (AND winter) for well over a decade, for the purpose of reducing polluting energy use. Yeah, I have not actually hit the main power panel switch 12 hours a day (see: ALL of us together). I haven't turned it off at all. Still, my use is WAY BELOW what the average American wastrel considers "necessary". On top of that. Green Mountain Power is moving fast to 100% renewable energy. 

I have been frugal to a fault for at least 20 years. Though my "life style" may be considered too far above that of a slave in Africa to be "sustainable" by the hairsplitters (and hydrocarbon hellspawn out there, of course), I am 100% certain that if everyone on this planet had not bought any clothing, including shoes, for the last 12 years, gone without a water heater for the last four years (4 gallon "showers" - once a week or less frequent, period ;D), gone without a microwave oven for the last two years, driven less than 2000 miles a year for the last 13 years, despite saving 30% of my small pension a year, stayed OUT of the stock market in general (and hydrocarbon corporation stocks in particular), the biosphere would have a fighting chance AND the mammon worshippers would be a lot less popular and planet killing "prosperous" than they are now. I am not part of the Age of Stupid.

I learned of a bit of good news today. We take what we can. Reality is slowly (perhaps too slowly, but it's better than nothing), overcoming 🐵 Wall Street ( Hydrocarbon Hellspawn worship.

🦖 👹 Exxon Mobil Corp ( is poised to drop out of the S&P 500 Index’s 10 biggest companies for the first time since the index’s inception some 90 years ago.   (  (

The article has some "supply and demand" BULLSHIT happy talk about "the abundance of fossil fuels out there now," as if this was a temporary thing. It's NOT. For proof of that, just look at a hydrocarbon stock I warned the fossil fueler MKing to drop about four years ago. I told him it was going to tank  ( WHY it was going to tank (!/msg2398/#msg2398).

He laughed it off. I hope he kept lots of SLB (Schlumberger) stock in his portfolio. (

SLB was around $86 a share when I issued the warning. It's been all downhill since then. This year the hill turned into a cliff.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on September 06, 2019, 04:28:40 pm

Sep. 06, 2019

MP Pension's decision comes as asset managers across the world review their investments in oil and gas and coal companies at a time the world is struggling to limit the global average temperature rise to below 2 degrees Celsius above preindustrial times as agreed in Paris in 2015.

$20 Billion Fund in Denmark Divests From 10 Major 🦕🦖 Oil Companies, Citing 'Poor Returns' (
Title: Biggest Coal Miner Goes Bust 👍 As 🦀 Trump Rescue Fails 👍
Post by: AGelbert on November 02, 2019, 01:46:34 pm

Biggest Coal Miner Goes Bust As 🦀 Trump Rescue Fails (

( Robert E. Murray, the U.S. coal baron who pressed the Trump ( administration to help save America’s struggling miners, placed his company into bankruptcy as demand for the fossil fuel continues to weaken.  (
Title: Navajo Coal Plant Powers Down
Post by: AGelbert on November 27, 2019, 03:35:42 pm
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November 27th, 2019 by Johnna Crider

Navajo Generating Station

Navajo Coal Plant Powers Down 👍

The Navajo Generating Station, a coal-burning power plant, has closed its doors for good. It was run for 45 years in Arizona and was the largest coal plant in the West. USA Today reports that the mine that supplied the plant with coal has also closed — it closed back in August.

The decision to close this giant coal plant was made after years of fighting to keep the plant running and financially profitable. It seems that this was an impossible fight to win and the vote to close came even after a deal had been made with the Environmental Protection Agency to close down ⅓ of the plant and keep the other ⅔ of capacity running.

The plant was jointly owned by utility companies, the U.S. Bureau of Reclamation, and the Navajo and Hopi tribes. All parties tried to keep the plant and Kayenta Mine open. $100 million in maintenance was required to keep the plant running, though, and AZ Central reports that there were no buyers to come and save them.

The closure of the mine and the coal plant will hurt the Navajo and Hopi tribes and they will have to figure out a heavily revised budget since they will no longer be receiving royalties from the mine.

An Opportunity for Renewable Energy

It is a law of nature that when something dies, something else is born. The same could be said with the death of this plant. Sometimes it takes closing an old door before a new one opens, and this coal plant closing could be an opportunity to use renewable energy.

GreentechMedia may have shed a bit of light on this in an article on the news. A spokesperson for the Salt River Project, which is one of the utility companies involved, mentioned that the public power entity is replacing its share of the Navajo Generation Station’s generating capacity with natural gas from the Mesquite and Gila River power plants and will also be utilizing additional solar resources.

Photo by Zach Shahan | CleanTechnica

GreentechMedia also reports that the Salt River Project purchased two new solar and battery storage plants. This made it one of the largest investors in energy storage in the country. The two plants, The Sonoran Energy Center and The Storey Energy Center, will help the utility to meet the summer peak demands while also reducing carbon emissions and providing clean energy to its customers.

One of the major goals of the Salt River Project is to reduce carbon by 90% by 2050 and 60% by 2035. Arizona Public Service Co. is also planning more batteries and they actually split services in the Phoenix area with the Salt River Project. Officials from the Arizona Public Service Co. said back in February that solar and batteries are the cheapest way to meet the power demands in Arizona. (

Title: 📢 YouTuber 👍 Explains How Elon Musk & Tesla 🌞 Will Disrupt 10 🦕🦖☠️🦀💵😈 Industries
Post by: AGelbert on December 25, 2019, 01:16:35 pm
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📢 YouTuber 👍 Explains How Elon Musk & Tesla  ( Will Disrupt 10 🦕🦖☠️🦀💵😈 Industries (

December 24th, 2019 by Paul Fosse

A few days ago I ran across a video from a criminal defense lawyer in Florida that brings up some points I hadn’t heard before. I’d suggest you watch the whole 30 minute video if you have the time. If not, you can read my summary and comments and just use this guide Warren provided to skip to the parts that most interest you. I also find it interesting that Warren has been active in the Libertarian Party and is obviously concerned about the environment. That conflicts with the the story some people promote that only Democrats in the US care about the environment.

00:24 The Auto Industry
07:16 Oil Industry
09:32 Insurance
11:57 Lawyers
17:14 Medical
19:23 Parking
21:51 Rental Cars
23:00 Railroads
25:48 Airlines
27:17 Conclusion

I discussed Tesla’s impact on the used car industry (#10) in a previous video (Agelbert NOTE: His video on the used car industry is posted below the end of this article.  8)).

1. Auto Industry: He discusses that Tesla is making cars and trucks that can replace 5 vehicles. Since the robotaxi can be used many more hours a day than gas cars today, and since they will be designed to last a million miles instead of about 150,000 miles for a gas car, they won’t have to be replaced as often even though they are heavily used.

2. Oil Industry: Cars and trucks are the main users of oil, which Tesla vehicles don’t use. Natural gas and coal are used for both heating homes and producing electricity. Tesla’s expansion of vehicles, solar panels and roofs, and energy storage at competitive prices will greatly reduce the need for oil, natural gas, and coal.

3. Car Insurance: Millions of people won’t need car insurance if they just use robotaxis. Even for people who keep a personal car, the greatly reduced number of accidents and the injuries associated with those accidents will take most of the money out of this industry.

4. Lawyers: Fewer accidents (because of Full Self Driving) mean less work for both plaintiff and defense attorneys for both car accidents and drunk driving for civil and criminal cases. Nobody will be driving without insurance or with a suspended license since it is just much cheaper to take a robotaxi. Since the cars have so many cameras, criminals won’t be able to stage fake accidents — since you will be able to tell it’s faked from the video evidence. He further wonders if we even need police doing traffic enforcement, which is a major source of other cases (many victim-less crimes).

5. Medical: Much of the work of emergency rooms, chiropractors, and MRI machines is traffic accident related, and if we reduce traffic accidents by 99%, we won’t need as many of these things. Since we have an aging population, we will likely still have work for the medical professionals, but it will shift demand and could help us avoid a crisis we would otherwise face as the baby boomers age and require more medical care.

6. Parking: You don’t need huge parking lots if many people will take a robotaxi. Workplaces and shopping centers won’t need nearly as many parking spaces. Even homes will have have smaller garages or no garages.

7. Rental Cars: Travelers will find it more convenient to just get a robotaxi than rent a car from Hertz or Avis.

8. Railroads: Tesla self-driving semi trucks will reduce the need for freight trains. The Boring Company will reduce the need for traditional commuter railroads.

9. Airlines: Hyperloop and SpaceX will be very appealing (faster and cheaper) than taking an airline.

10. Used car industry: As people realize the low cost of ownership, Tesla vehicles become much more appealing that BMW and Mercedes vehicles, so the resale values of the traditional luxury values are being crushed. *

Warren presents a very optimistic view of the future overall, but warns that if you are in one of the above industries, there will be some adjustments that could be painful to individuals caught up in the massive transition driven by Elon Musk and Tesla.

If you decide to order a Tesla, use a friend’s referral code to get 1,000 miles (1,609 km) of free Supercharging on a Tesla Model S, Model X, or Model 3 (you can’t use it on the Model Y or CyberTruck yet). Now good for $100 off on solar, too!  If you don’t have any friends with a Tesla, use mine.

* Used car industry:
Title: Texas at the epicenter. We’re witnessing the destruction of money that loosey-goosey monetary polici
Post by: AGelbert on January 24, 2020, 02:41:57 pm
( Agelbert NOTE: Expect a 🦀 Trump push to (i.e. SOCIALIZE THE COSTS) welfare queen bailout these hydrocarbon 🦕 hellspawn profit over people and planet bastards using the old ( "It's for National Security" BULLSHIT excuse. This Grand Larceny "effort" will, unfortunately, be backed by too many Democrats. 😠 Remember that Biden, the establishment DINO Candidate for Preseident, was a Senator from BIG OIL FRIENDLY Delaware when you read the article below. Only the Progressives like Senator Bernie Sanders will oppose Fracker bailouts on principle. The article below fails to point out how increased renewable energy use ( has contributed to this well deserved tsunami of highly polluting shale oil and gas bankruptcies, but rest assured that it is the giant green elephant in the doomed hydrocarbon industry room. (

Unfortunately for we-the-people, even as these polluters go bankrupt, they are polluting even more than ever by the massively increased 🔥 flaring involved in their desperate, but environmentally destructive, efforts to remain economically solvent. >:( Prison is too good for those planet eaters. 😠   

U.S. 🦕 Shale Patch Sees Huge Jump In Bankruptcies  (

Fri, 01/24/2020 - 11:51

Authored by Wolf Richter via,


The Great American Fracking Bust started in mid-2014, when the price of WTI dropped from over $100 a barrel to below $30 a barrel by early 2016. Then the price began to recover, going over $70 a barrel in September and October 2018. But then it began to re-plunge. By the end of 2018, WTI had dropped to $47 a barrel.

Two major geopolitical events in the Middle East – the attack on Saudi Aramco’s oil facilities last September and the US assassination of Iranian Major General Qasem Soleimani – that would have shaken up oil markets before, only caused brief ripples, quickly squashed by the onslaught of surging US production. At the moment, WTI trades at $56.08 per barrel, which is still below where the shale oil industry can survive long-term:

And 2020 is starting out terrible for natural gas producers. ( The price of natural gas has plunged to $1.90 per million Btu at the moment, a dreadfully low price where no one can make any money. Producers in shale fields that produce mostly gas, such as the Marcellus, are in deeper trouble still, because oil, even at these prices, would be a lot better than just natural gas. 🤔

Producing areas with constrained takeaway capacity (it takes a lot longer to build pipelines than to ramp up production) are subject to local prices, which can be lower still. In some areas, such as the Permian in Texas and New Mexico, the most prolific oil field in the US, where 🦕 natural gas is a byproduct of 🦖 oil production, limited takeaway capacity has caused local prices to collapse, and 🔥 flaring to surge.  >:( ... ...

Texas at the epicenter.

The most affected state, in terms of the number of bankruptcy filings, is Texas, the largest oil producer in the US. Since 2015, the state had 207 oil-and-gas bankruptcy filings, of the 402 total US filings. In 2019, Texas had 30 of the 65 US filings.

Delaware, obviously, is not into oil and gas production, but into coddling corporations, and many companies are incorporated in Delaware, including some oil-and-gas companies in Texas. When they file for bankruptcy, they do so in Delaware.

These are the eight states with the most oil-and-gas bankruptcy filings since 2015:


Full article: ( (

Reality based Comment:

To Hell in a Handbasket 👍

Shale is merely the woke economics of the political right. It's clearly ********, and designed to shame you into accepting post truth non-realities, with economic gobbledygook.

The maths never made sense, but that didn't stop people from pushing post truth madness regarding the viability of shale. This forum has its fair share of pro-shale lunatics.

Title: Re: Fossil Fuel Profits Getting Eaten Alive by Renewable Energy!
Post by: AGelbert on June 02, 2021, 04:12:13 pm
June 2, 2021

Clean Energy ⚡ Power Cable Opened by Germany and Norway

Germany and Norway opened a power cable that will provide Europe's largest economy with clean energy. Dubbed “NordLink,” the cable will help turn Norway into a regional clean energy hub, able to fill shortfalls in Germany's intermittent wind and solar power with Norwegian hydropower. Norway is already connected to the Netherlands via a subsea power cable, and exported over 20 terawatt-hours of electricity in 2020, equivalent to 15 percent of the power Germany produced from lignite and hard coal last year. (Reuters (