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Nick Hodge – Peak Oil: It's Baaaack – PRN.fm – PRN.fm
Nick Hodge – Peak Oil: It’s Baaaack – PRN.fm – PRN.fm.
Nick Hodge – Peak Oil: It’s Baaaack
Over the past few months, I’ve been sharing my concerns about shale oil.
Namely, that it’s more comparable to a Ponzi scheme than any sort of boom.
I’ve articulated the reasons for my thesis, including fast decline rates, the amount of new rigs and wells needed, and a cost of production that’s been higher than the price of sale for some time now.
I’ve also shared recent evidence that this theory is proving correct, from horrid earnings reports — citing the reasons I just mentioned — for oil majors across the board to the fact that mainstream media outlets are starting to put the dots together, running stories like:
“Big Oil Companies Struggle to Justify Soaring Project Costs” —Wall Street Journal
“Dream of U.S. Oil Independence Slams Against Shale Costs” — Bloomberg
“Why America’s Shale Boom Could End Sooner Than You Think” —Forbes
“What Happens When The Shale Boom Ends?” — Christian Science Monitor
After my last article on the subject, I got an email from a sophisticated investor-friend of mine worth hundreds of millions of dollars — some even say a billion. His subject line was: “Awesome Article on Shale.” Here’s what he had to say:
Nick Hodge – Peak Oil: It’s Baaaack – PRN.fm – PRN.fm
Nick Hodge – Peak Oil: It’s Baaaack – PRN.fm – PRN.fm.
Nick Hodge – Peak Oil: It’s Baaaack
Over the past few months, I’ve been sharing my concerns about shale oil.
Namely, that it’s more comparable to a Ponzi scheme than any sort of boom.
I’ve articulated the reasons for my thesis, including fast decline rates, the amount of new rigs and wells needed, and a cost of production that’s been higher than the price of sale for some time now.
I’ve also shared recent evidence that this theory is proving correct, from horrid earnings reports — citing the reasons I just mentioned — for oil majors across the board to the fact that mainstream media outlets are starting to put the dots together, running stories like:
“Big Oil Companies Struggle to Justify Soaring Project Costs” —Wall Street Journal
“Dream of U.S. Oil Independence Slams Against Shale Costs” — Bloomberg
“Why America’s Shale Boom Could End Sooner Than You Think” —Forbes
“What Happens When The Shale Boom Ends?” — Christian Science Monitor
After my last article on the subject, I got an email from a sophisticated investor-friend of mine worth hundreds of millions of dollars — some even say a billion. His subject line was: “Awesome Article on Shale.” Here’s what he had to say:
Maduro Warns Venezuelan Protesters "We Are Coming For You"; Calls John Kerry A "Murderer" | Zero Hedge
As the daily street protests grow bloodier and bloodier, Venezuelan President Maduro has escalated his comments today, exclaiming that he “won’t be bullied,” and warning “prepare yourself, we are coming for you,” if protesters don’t “go home within hours.”
- *VENEZUELAN PROTESTERS HAVE ‘HOURS’ TO CLEAR BARRICADES: MADURO
- *MADURO SAYS HE’LL SEND ARMED FORCES TO ‘LIBERATE’ PROTEST AREAS
With 28 dead in the last month of protests, things are very serious but as we warned previously, Maduro still enjoying the support of the poor – as EuroNews reports, it appears he is not going anywhere soon. John Kerry also came under fire as the foreign minister called him “a “murderer of the Venezuelan people,” accusing him of encouraging the protests.
As Bloomberg reports,
Venezuela President Nicolas Maduro says he will send armed forces to clear barricaded areas if “protesters don’t go home within hours.”“Prepare yourself, we are coming for you,” Maduro tells soldiers at army event in Caracas
Plaza Altamira in eastern Caracas, the center of the protests, first to be “liberated,” Maduro says
As tensions with the US continue to rise:
The United States on Friday brushed aside “absurd” accusations by Venezuelan President Nicolas Maduro that it was meddling in the country’s internal affairs by intervening in anti-government protests.Venezuela’s foreign minister Elias Jaua had earlier called top US diplomat John Kerry a “murderer of the Venezuelan people,” accusing him of encouraging the protests that have killed 28 people in five weeks.
“The solution to Venezuela’s problems lies in democratic dialogue among Venezuelans, not in repression or in hurling verbal brickbats at the United States,” a state department official said on condition of anonymity.
“Venezuela’s government needs to focus on solving its growing economic and social problems, not on making absurd allegations against the United States.”
Maduro, however, charged that “the desperate government interventionism of the United States is clear.”
“There’s a slew of statements, threats of sanctions, threats of intervention. There has been lobbying by the highest officials in the US government,” he said.
As Stratfor notes, these protests could mark a turning point as the economic situation deteriorates there is a chance that protests like this could begin to generate additional social momentum in rejection of the status quo…Perhaps things could be changing for Maduro…
Relatively large student-led opposition protests convened in Caracas, Valencia, Maracaibo and many other cities throughout the country. Rough Stratfor estimates put the crowd in Caracas at between 15,000-20,000 people based on aerial photos posted on social media. Venezuela’s students are very politically active and protests are frequent. However, the relatively large turnout and widespread geographic distribution of this week’s protests indicate that the movement may be gaining traction.The challenge that the student movement will face is in finding a way to include Venezuela’s laboring class, which for the most part still supports the government, and relies on its redistributive policies. Their inability to rouse broad support across Venezuela’s social and economic classes was in part why previous student uprisings, including significant protests in 2007, failed to generate enough momentum to trigger a significant political shift.
But the situation has changed in Venezuela, and as the economic situation deteriorates there is a chance that protests like this could begin to generate additional social momentum in rejection of the status quo. President Nicolas Maduro has been in office for less than a year, and in that time the inflation rate has surged to over 50 percent and food shortages are a daily problem. Though firmly in power, the Chavista government is still struggling to address massive social and economic challenges. Massive government spending, years of nationalization and an overreliance on imports for basic consumer goods have radically deteriorated inflation levels, and undermined industrial production.
How the government responds will play a key role in the development of these protests going forward. The government cannot afford to crack down too hard without risking even worse unrest in the future. For its part, the mainstream opposition must walk a careful line between supporting the sentiment behind open unrest and being seen as destabilizing the country. Maduro retains the power to punish opposition politicians, and reaffirmed that Feb. 11 when he stated on national television that he intends to renew the law allowing him to outlaw political candidates who threaten the peace of the country. The statement was a clear shot over the bow of opposition leaders, and may foreshadow a more aggressive government policy designed to limit political opposition.
Perhaps it is the use of armed forces directly and aggressively that will roil the “poor”‘s perspective – we will see
Maduro Warns Venezuelan Protesters “We Are Coming For You”; Calls John Kerry A “Murderer” | Zero Hedge
As the daily street protests grow bloodier and bloodier, Venezuelan President Maduro has escalated his comments today, exclaiming that he “won’t be bullied,” and warning “prepare yourself, we are coming for you,” if protesters don’t “go home within hours.”
- *VENEZUELAN PROTESTERS HAVE ‘HOURS’ TO CLEAR BARRICADES: MADURO
- *MADURO SAYS HE’LL SEND ARMED FORCES TO ‘LIBERATE’ PROTEST AREAS
With 28 dead in the last month of protests, things are very serious but as we warned previously, Maduro still enjoying the support of the poor – as EuroNews reports, it appears he is not going anywhere soon. John Kerry also came under fire as the foreign minister called him “a “murderer of the Venezuelan people,” accusing him of encouraging the protests.
As Bloomberg reports,
Venezuela President Nicolas Maduro says he will send armed forces to clear barricaded areas if “protesters don’t go home within hours.”“Prepare yourself, we are coming for you,” Maduro tells soldiers at army event in Caracas
Plaza Altamira in eastern Caracas, the center of the protests, first to be “liberated,” Maduro says
As tensions with the US continue to rise:
The United States on Friday brushed aside “absurd” accusations by Venezuelan President Nicolas Maduro that it was meddling in the country’s internal affairs by intervening in anti-government protests.Venezuela’s foreign minister Elias Jaua had earlier called top US diplomat John Kerry a “murderer of the Venezuelan people,” accusing him of encouraging the protests that have killed 28 people in five weeks.
“The solution to Venezuela’s problems lies in democratic dialogue among Venezuelans, not in repression or in hurling verbal brickbats at the United States,” a state department official said on condition of anonymity.
“Venezuela’s government needs to focus on solving its growing economic and social problems, not on making absurd allegations against the United States.”
Maduro, however, charged that “the desperate government interventionism of the United States is clear.”
“There’s a slew of statements, threats of sanctions, threats of intervention. There has been lobbying by the highest officials in the US government,” he said.
As Stratfor notes, these protests could mark a turning point as the economic situation deteriorates there is a chance that protests like this could begin to generate additional social momentum in rejection of the status quo…Perhaps things could be changing for Maduro…
Relatively large student-led opposition protests convened in Caracas, Valencia, Maracaibo and many other cities throughout the country. Rough Stratfor estimates put the crowd in Caracas at between 15,000-20,000 people based on aerial photos posted on social media. Venezuela’s students are very politically active and protests are frequent. However, the relatively large turnout and widespread geographic distribution of this week’s protests indicate that the movement may be gaining traction.The challenge that the student movement will face is in finding a way to include Venezuela’s laboring class, which for the most part still supports the government, and relies on its redistributive policies. Their inability to rouse broad support across Venezuela’s social and economic classes was in part why previous student uprisings, including significant protests in 2007, failed to generate enough momentum to trigger a significant political shift.
But the situation has changed in Venezuela, and as the economic situation deteriorates there is a chance that protests like this could begin to generate additional social momentum in rejection of the status quo. President Nicolas Maduro has been in office for less than a year, and in that time the inflation rate has surged to over 50 percent and food shortages are a daily problem. Though firmly in power, the Chavista government is still struggling to address massive social and economic challenges. Massive government spending, years of nationalization and an overreliance on imports for basic consumer goods have radically deteriorated inflation levels, and undermined industrial production.
How the government responds will play a key role in the development of these protests going forward. The government cannot afford to crack down too hard without risking even worse unrest in the future. For its part, the mainstream opposition must walk a careful line between supporting the sentiment behind open unrest and being seen as destabilizing the country. Maduro retains the power to punish opposition politicians, and reaffirmed that Feb. 11 when he stated on national television that he intends to renew the law allowing him to outlaw political candidates who threaten the peace of the country. The statement was a clear shot over the bow of opposition leaders, and may foreshadow a more aggressive government policy designed to limit political opposition.
Perhaps it is the use of armed forces directly and aggressively that will roil the “poor”‘s perspective – we will see
Homeland Security Pre-Staging A Domestic Military Force
Homeland Security Pre-Staging A Domestic Military Force.
During the Iraq and Afghanistan Wars, the U.S. Army built 28,000 MRAPs (Mine-Resistant Ambush-Protected Trucks). Now the U.S. Army has announced that it is giving 13,000 of them away, for free. Who’s receiving the trucks? Homeland Security and U.S. Law Enforcement.
Instead of mothballing these MRAPs, Homeland Security is evidently pre-staging a domestic army of militarized agencies, police and law enforcement.
While Police and agencies say that all this military equipment from DHS grants will only be used against crime, the trust in many American alphabet agencies has been broken – now that we know some of the extent at which they are using technology to monitor and probe its own citizenry. DHS and many others, they’re stockpiling.
What we have here is a paranoid government, and one which is apparently and evidently ramping up for something…
The U.S. Army is giving away 13,000 armored trucks, worth about $500,000 each.
The 20-ton MRAPs, or Mine-Resistant Ambush-Protected trucks, were built specifically to save U.S. soldiers from roadside bombs in the Iraq and Afghanistan wars.
Now the trucks are patrolling U.S. city streets. U.S. law enforcement agencies have received the lion’s share of this high-powered military surplus.
Recently, retired Marine Colonel Pete Martino spoke plainly during a Concord (NH) city council public hearing over the cities intent to procure a armored attack truck (the manufacturer’s description, although the police prefer “rescue vehicle”).
He said:
What’s happening here is we’re building a domestic military, because its unlawful or unconstitutional to use American troops on American soil.
My best friend who’s a SWAT officer in Nashua (NH) who came to Iraq with me to train the Iraqi police, sent me an email with a picture of him on the streets of Watertown Mass (Massachusetts) wearing the exact same combat gear that we had in Iraq – only it was a different color.
The way we do things in the military, it’s called task organization. You take a command and then you attach units to it in order to accomplish the mission.
What’s happening is Homeland Security is pre-staging their equipment – it’s consistent. What they’re trying to do is use standardized vehicles, standardized equipment.
I saw a picture in the Boston Globe after the Marathon bombing where there was a state police officer – actually there were two officers – both had identical helmets, flak jackets, weapons, everything I wore in Iraq – only it was all blue.
The officer on one side had a big patch on his back that said Massachusetts State Police. Another officer next to him, his patch said Boston Police.
So what we’re doing here, and let’s not kid ourselves about it, we’re building a domestic army and we’re shrinking the military because the government is afraid of its own citizens.
The last time more than 10 terrorists were in the same place at one time was September 11, and all these vehicles in the world wouldn’t have prevented it, and it wouldn’t have helped anybody. So I don’t know where we’re going to use this many vehicles and this many troops. Concord is just one little cog in the wheel.
We’re building an army over here and I can’t believe people aren’t seeing it. Is everybody blind?
“Peter Martino is a citizen of the State of New Hampshire. Mr. Martino is a Colonel in the U.S. Marine Corps Reserve who has been mobilized three times. During his military career, he commanded an infantry platoon, company, and battalion. He was also the senior U.S. adviser to an Iraqi Army brigade. Mr. Martino has had a successful civilian career providing training, consulting, and program management services to private companies and to state and federal agency contractors. Mr. Martino presently holds a top secret security clearance.”
We now have desensitization – desensitizing the people getting used to seeing military hardware on local roadways.
DHS procuring-reserving nearly 2-billion rounds of ammo.
Check points to travel within our own country.
Paramilitary civilian police forces.
Mass surveillance of all citizens.
Political elite above the law.
Intimidation of press.
Something’s afoot…
“We cannot continue to rely only on our military in order to achieve the national security objectives that we’ve set. We’ve got to have a civilian national security force that’s just as powerful, just as strong, just as well-funded.”
-Barack Obama
Was The Price Of Ukraine’s “Liberation” The Handover Of Its Gold To The Fed? | Zero Hedge
Was The Price Of Ukraine’s “Liberation” The Handover Of Its Gold To The Fed? | Zero Hedge.
A curious story, and one which should be taken with a mine of salt, has surfaced out of the pro-Russian newspaper Iskra, which reports – so far on an entirely unsubstantiated basis – that last Friday, in a mysterious operation under the cover of night, Ukraine’s gold reserves were promptly loaded onboard an unmarked plane, which subsequently took the gold to the US.
From the source:
Tonight, around at 2:00 am, an unregistered transport plane took off took off from Boryspil airport.
According to Boryspil staff, prior to the plane’s appearance, four trucks and two cargo minibuses arrived at the airport all with their license plates missing. Fifteen people in black uniforms, masks and body armor stepped out, some armed with machine guns. These people loaded the plane with more than forty heavy boxes.
After this, several mysterious men arrived and also entered the plane. The loading was carried out in a hurry. After unloading, the plateless cars immediately left the runway, and the plane took off on an emergency basis.
Airport officials who saw this mysterious “special operation” immediately notified the administration of the airport, which however strongly advised them “not to meddle in other people’s business.”
Later, the editors were called by one of the senior officials of the former Ministry of Income and Fees, who reported that, according to him, tonight on the orders of one of the “new leaders” of Ukraine, all the gold reserves of the Ukraine were taken to the United States.
Indicatively, according to the latest IMF figures, Ukraine’s official gold holdings are just over 40 tons, having doubled in the past decade:
So just more disinformation and propaganda surrounding the Ukraine, or something more? GATA has submitted an inquiry into the New York Fed to get official denial (because it certainly won’t get a confirmation) from the Liberty 33 folks.
Of course, the best source of validation, and refutation, of this story would be the people of Ukraine, alas since not even Americans are entitled to observe how much gold is in Fort Knox, somehow we doubt that the Central Bank of Ukraine will be any more lenient in providing visiting and viewing hours for its much more compact gold inventory. Especially since the local population is far more busy celebrating its “liberation” by western powers.
We hope, for their sake, they weren’t also just “liberated” of all their gold, which after a brief stay 80 feet below the surface at 33 Liberty, will promptly find its way either to the Bundesbank, or to the billionaire oligarchs, based either in London or elsewhere, and currently in charge of “post-liberation” Ukraine.
Finally, putting this into perspective, 40 tons of gold is roughly what China imports every ten days.
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Was The Price Of Ukraine's "Liberation" The Handover Of Its Gold To The Fed? | Zero Hedge
Was The Price Of Ukraine’s “Liberation” The Handover Of Its Gold To The Fed? | Zero Hedge.
A curious story, and one which should be taken with a mine of salt, has surfaced out of the pro-Russian newspaper Iskra, which reports – so far on an entirely unsubstantiated basis – that last Friday, in a mysterious operation under the cover of night, Ukraine’s gold reserves were promptly loaded onboard an unmarked plane, which subsequently took the gold to the US.
From the source:
Tonight, around at 2:00 am, an unregistered transport plane took off took off from Boryspil airport.
According to Boryspil staff, prior to the plane’s appearance, four trucks and two cargo minibuses arrived at the airport all with their license plates missing. Fifteen people in black uniforms, masks and body armor stepped out, some armed with machine guns. These people loaded the plane with more than forty heavy boxes.
After this, several mysterious men arrived and also entered the plane. The loading was carried out in a hurry. After unloading, the plateless cars immediately left the runway, and the plane took off on an emergency basis.
Airport officials who saw this mysterious “special operation” immediately notified the administration of the airport, which however strongly advised them “not to meddle in other people’s business.”
Later, the editors were called by one of the senior officials of the former Ministry of Income and Fees, who reported that, according to him, tonight on the orders of one of the “new leaders” of Ukraine, all the gold reserves of the Ukraine were taken to the United States.
Indicatively, according to the latest IMF figures, Ukraine’s official gold holdings are just over 40 tons, having doubled in the past decade:
So just more disinformation and propaganda surrounding the Ukraine, or something more? GATA has submitted an inquiry into the New York Fed to get official denial (because it certainly won’t get a confirmation) from the Liberty 33 folks.
Of course, the best source of validation, and refutation, of this story would be the people of Ukraine, alas since not even Americans are entitled to observe how much gold is in Fort Knox, somehow we doubt that the Central Bank of Ukraine will be any more lenient in providing visiting and viewing hours for its much more compact gold inventory. Especially since the local population is far more busy celebrating its “liberation” by western powers.
We hope, for their sake, they weren’t also just “liberated” of all their gold, which after a brief stay 80 feet below the surface at 33 Liberty, will promptly find its way either to the Bundesbank, or to the billionaire oligarchs, based either in London or elsewhere, and currently in charge of “post-liberation” Ukraine.
Finally, putting this into perspective, 40 tons of gold is roughly what China imports every ten days.
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- 33266 reads
- Printer-friendly version
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N Korea test-fires two short-range missiles – Asia-Pacific – Al Jazeera English
N Korea test-fires two short-range missiles – Asia-Pacific – Al Jazeera English.
Seoul says missiles launched from Wonsan likely flew about 500km towards open sea in a northeasterly direction.Last updated: 03 Mar 2014 04:02
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North Korea has fired two short-range missiles into the sea off the east coast of the Korean peninsula, South Korea’s defence ministry has said, after launching similar rockets last week.
South Korea’s Yonhap news agency said the missiles likely flew about 500km after being launched on Monday, adding that they were believed to be Scud-C models. South Korea’s defence ministry has said the Scuds are normally fired using mobile launch pads which can be activated with minimal preparation. “North Korea fired two missiles, which are suspected as short-range ballistic missiles, at 6:19 this morning from Wonsan area towards open sea in a northeasterly direction.” South Korea’s Defence Ministry spokesman Kim Min-seok said at a regular news briefing. “North Korea is taking peace offensive and provocative acts at the same time. We strictly warn against such acts and strongly urge to stop them immediately.” The distance would mean the weapon can hit targets in South Korea and Japan. Launches by the North of short-range missiles are not uncommon as part of regular military exercises. The firing came days after the beginning of annual US and South Korean joint military exercises, which the North routinely denounces as a preparation for war. |