Telling the Truth About Our Future

Renewable energy is a poor substitute for fossil fuels. That’s because renewables are a diffuse form of energy and produce power only about one-third of the time. That doesn’t stop renewable energy true-believers from trying to bend the laws of physics to tell a story that’s not true. EROI** (energy returned on energy invested) was…

The Energy Transition is Being Led by a Clown Car

Renewable energy capacity is expected to expand dramatically in the next few decades in order to get climate change under control. Because wind and solar are intermittent sources of electric power, there needs to be a sound plan for energy storage or backup. From what I can tell, there is not. The EIA (Energy Information…

Renewables Are Not the Cheapest Form of Power

The CEO of TotalEnergies believes that the renewable transition will lead to higher—not lower—energy prices. That’s a very different view from the popular belief that renewable energy prices are falling so fast that electric power will become ever-cheaper. “We think that fundamentally this energy transition will mean a higher price of energy. “I know that…

The LNG Export Pause is Irrelevant

Industry and gas-producing states are furious about the Biden Administration’s announcement to temporarily pause new approvals on pending Liquefied Natural Gas (LNG) exports. “Instead of addressing America’s real energy challenges, your administration has decided to double down on a reckless environmental agenda through this TikTok-inspired ‘pause’…This surprise freeze is (1) unlawful, (2) harmful to our…

Betting the World on an Imaginary Energy Future

Government leaders tell us that the world is moving toward a renewable energy future. At the recent COP 28 climate meeting in the United Arab Emirates, those leaders agreed to a transition away from fossil fuels to net-zero carbon emissions by 2050. COP 28 was the thirty-sixth international climate conference at which some version of…

Aramco Development Halt Has Nothing to Do With Oil Demand

Saudi Aramco is abandoning plans made in 2020 to increase field production from 12 to 13 million barrels per day. The announcement has provoked analyst comments that the decision is because of weaker oil demand. “Demand growth is till continuing but it’s a little bit slower. In the short-term, we don’t need 13 million barrels…

Bakken Break-Even Prices Threaten Profits

The Bakken Shale play is following the same pattern of declining well performance that I have shown for the Permian and Eagle Ford in recent weeks. Bakken break-even prices have risen almost 70% as a result. If this pattern continues, it threatens the play’s future commercial viability. Bakken EUR (estimated ultimate recovery) has fallen almost…

Draining America First—The Beginning of the End for Shale Gas

The United States is the biggest producer of natural gas in the world and recently became the largest exporter of LNG. The industry is scrambling to build LNG (liquefied natural gas) export terminals as fast as permitting and funding will allow. This couldn’t come at a worse time. Instead of having an almost infinite amount…

A Renewable Energy Future Will Collapse the Financial System

Energy is the economy. That’s a radical concept because most people think that the economy runs on money. It doesn’t. What is energy? It is the potential or capacity to do work. The economy runs on work. That’s why energy is the economy. That’s simple. What is money? That’s a little more complex. “Money is…

Eagle Ford Shale–A Preview of Permian Decline

The Eagle Ford Shale was the hottest play in the United States a little more than a decade ago. In mid-2012, there were twice as many rigs drilling horizontal wells in the Eagle Ford as there were in the Permian basin. Now its decline is probably a preview of what to expect from the Permian…