The domestic electricity operator has reportedly implemented emergency power outages
A large-scale attack against Ukraine’s energy system has been reported on Sunday. Ukrainian Foreign Minister Andrey Sibiga claimed that Russia launched one of its largest air attacks against the country since the conflict began.
“Another mass attack on the energy system,” Ukraine’s minister of energy, German Galuschenko, wrote on Facebook, as reports emerged of coordinated strikes on electrical generation and transmission facilities across the country. In response, the national electricity operator has implemented emergency power outages.
Authorities in Volyn Region reported damage to energy infrastructure, while Poltava Region was also subjected to emergency blackouts. The Rovno regional water utility warned residents of potential water supply disruptions due to the strikes.
In Odessa, power outages were compounded by a loss of water services, according to the city council. Local social media channels also reported explosions in Vinnitsa and Lviv regions.
Officials in Kiev reported that missile debris fell in several districts of the capital.
The Russian Defense Ministry has yet to confirm the strikes.
Earlier this year, Russia stepped up its attacks on Ukrainian military and energy infrastructure. In April, the Defense Ministry stated that these strikes are in response to Ukraine’s efforts to target Russian oil facilities, emphasizing that the operations focus on sites that aid the Ukrainian defense industry and do not target civilian areas. Meanwhile, Ukraine has consistently carried out assaults on energy installations deep within Russia, including oil storage facilities and refineries, using kamikaze drones.
In October, Ukrainian Prime Minister Denis Shmigal stated that nearly all of the country’s thermal power generation capacity had been taken out by long-range attacks by Russia, noting that the country must now depend on substitutes.
Subprime is always in trouble, and now, after the reckless-subprime lending era, more so. Prime is in pristine shape. Car-Mart joins our Imploded Stocks.
Total balances of auto loans and leases for new and used vehicles rose by 1.1%, or by $18 billion in Q3 from Q2, and by 3.1% year-over-year, to $1.64 trillion, according to data from the New York Fed’s Household Debt and Credit Report.
But the 3.1% year-over-year growth rate was the second-smallest since Q1 2021, behind only Q2 this year (2.8%) and the third smallest since Q4 2018.
One of the reasons balances grew at a relatively slow rate is that more people are paying cash for their vehicles due to the higher interest rates. For new vehicles, the share of cash purchases rose to 20% in recent quarters, from 18% in Q1 2022. For used vehicles, the share of cash purchases rose to 64%, from 59% in Q1 2022, per Experian data. We’ll look at other reasons for the slower increase in a moment.
Auto loan balances over the past 20 years ballooned by 135%, but not because of spectacular unit-sales growth – far from it, new vehicle sales, responsible for the vast majority of auto loan and lease balances, have stagnated for two decades, interrupted by two big plunges:
Rampant price increases and automakers taking their models upscale are what drove up auto loan balances through 2020. Then in 2021 and 2022, prices exploded and pushed up dramatically the amounts financed, even as sales volume plunged due to the vehicle shortages.
But prices of new vehicles started edging down in 2023 and through Q3 2024, just a tad – new vehicles, with their much higher price tags and 80% finance penetration dominate auto loans and leases. Used vehicle prices plunged over the same period, but with their much smaller loan amounts and small 35% finance penetration, they play a much smaller role in this equation (details and charts of new-vehicle CPI and used-vehicle CPI).
Those slight price declines of new vehicles kept a lid on the amounts to be financed and slowed the growth of the auto loan and lease balances so far this year.
The burden of auto loans and leases.
One way to measure the burden of auto-loan debt on households is the comparison to their disposable income, which includes after-tax wages, plus income from interest, dividends, rentals, farms, small businesses, transfer payments, etc. It’s what households have left over to pay for their costs of living and service their debts.
Rising incomes and stagnating or declining new-vehicle unit sales volume should have caused the burden of auto loans and leases to decline sharply over the past two decades. But rampant price increases over the years saw to it that the burden only moved up and down in a fairly narrow band, with the exception of the 2008-2012 collapse of the auto industry in the US.
As prices began declining in mid-2022, slowing the growth of the auto loan balances, disposable income rose sharply. And so, the debt-to-disposable income ratio started declining two years ago, and in Q1 2024 dipped to 7.5% and has roughly stayed there through Q3.
Subprime is always in trouble, which is why it’s subprime.
Subprime lending is largely confined to used vehicles, particularly to older used vehicles, sold by specialized subprime dealer-lender chains, or financed by specialized subprime lenders. All these lenders then package these auto loans into Asset Backed Securities (ABS) and sell them as bonds to pension funds and other institutional investors that buy them for their higher yield.
Of the auto loans originated in Q3, 16.9% by balance of were subprime, down from the prepandemic range of 19% to 25%, according to New York Fed data.
During the free-money era, the specialized subprime dealer-lenders loosened their credit standards and got very aggressive. They built in huge profit margins into the vehicle sales amount and into the interest. At the same time, used-vehicle prices exploded. And the risks piled up. And when used-vehicle prices began to tank and interest rates began to jump in 2022 and 2023, those risks came home to roost. In 2023, several PE-firm-owned subprime-specialized dealer-chains filed for bankruptcy.
The total 60-plus day delinquency rate, as tracked by Equifax, was 1.55% in September. The highs this year had been in January (1.59%) and February (1.61%). This year’s range is up by about 50 basis points from the prepandemic range centered around 1.0%.
The overall delinquency rate has been rising since early 2023, reflecting the mix of the surging subprime delinquency rates and the pristine prime delinquency rate.
Fitch, which rates ABS backed by auto loans, splits out the delinquency rates for prime-rated auto loans (blue in the chart below) and subprime-rated auto loans (red). Subprime is always in trouble, and after the reckless-subprime-lending era more so than before. Prime is in pristine condition. And let’s remember: only 16.9% of auto loans originated in Q3 were subprime. It’s a small specialized part of auto lending.
The subprime 60-plus day delinquency rate in September remained at 6.1%, same as in August, and same as in September 2023, according to Fitch (red). The fact that the delinquency rate didn’t worsen year-over-year indicates that the spike in delinquencies out of the reckless-subprime-lending era has begun to slow. These delinquency rates peak in January or February. They hit an all-time high of 6.4% in February this year and may end up in the same neighborhood next February.
The prime 60-plus day delinquency rate has been in the 0.28% to 0.35% range all year (blue), which is minuscule. Even during the Great Recession, the prime delinquency rate rose to only 0.9% at the worst moments.
ENB Pub Note: President Trump has committed to lowering our energy bills by 50%, and he is well on his way to doing that by selecting Chris Wright as Secretary of Energy. Chris is the best man for the job, and I have thoroughly enjoyed my podcasts and conversations with him. The American Consumer and the entire energy space is a real winner today. Congratulations, Chris!
President-elect Donald Trump nominated Chris Wright, who runs a Colorado-based oil and natural gas fracking services company, to lead the Energy Department, and said he planned to create a new council to drive US energy production.
Wright, the chief executive officer of Liberty Energy Inc., has no previous Washington experience. He’s made a name for himself as a vocal proponent of oil and gas, saying fossil fuels are crucial for spreading prosperity and lifting people from poverty. The threat of global warming, he has said, is exaggerated.
“Chris has been a leading technologist and entrepreneur in Energy,” Trump said in a statement Saturday. “He has worked in Nuclear, Solar, Geothermal, and Oil and Gas. Most significantly, Chris was one of the pioneers who helped launch the American Shale Revolution that fueled American Energy Independence, and transformed the Global Energy Markets and Geopolitics.”
Trump said Wright, if confirmed, would also sit on the newly formed Council of National Energy, which will be chaired by Doug Burgum, Trump’s nominee to lead the Interior Department.
“This Council will oversee the path to U.S. ENERGY DOMINANCE by cutting red tape, enhancing private sector investments across all sectors of the Economy, and by focusing on INNOVATION over longstanding, but totally unnecessary, regulation,” Trump said.
China could become the leader of the global fight to slow down climate change if the United States backs down under President Donald Trump, South Africa’s Minister of Environment, Dion George, told Bloomberg Television in an interview on Friday.
“That’s the big debate that is going on,” George said, referring to China’s reluctance so far to finance climate change mitigation measures in poorer countries. China has said that as a developing country itself it shouldn’t be held accountable for climate finance.
However, “The developed economy countries certainly believe that China should be contributing,” the South African minister told Bloomberg.
“If it’s going to be the superpower, the global superpower that it may aspire to be, then” it needs to show some leadership, he added.
China is the world’s biggest polluter and the global fight against rising temperatures depends a lot on Chinese energy and climate policies.
The pace at which China will reduce its greenhouse gas emissions will be critical to reaching the global targets to fight climate change, Germany’s climate envoy said earlier this year.
Germany has recently established a Climate and Transformation Dialogue with China to work on ways to accelerate the energy transition to keep the 1.5-degree target within reach.
China is a global leader in renewable energy investment and capacity installations. But it is also the world’s largest greenhouse gas emitter and continues to approve coal-fired power generation to meet its rising electricity demand without compromising energy security.
China has yet to see its carbon dioxide emissions peak as it is a developing nation and has a massive population.
“We should not forget that China is still a developing country, pursuing modernization for a huge population,” the head of law and institutional reform at the National Energy Administration (NEA), Song Wen, told media at the end of August.
German Chancellor Olaf Scholz spoke to Russian President Vladimir Putin for the first time since December 2022 on Friday afternoon (15 November), urging him to start “serious” talks with Ukraine.
In the phone call, Scholz urged Putin to end the war of aggression against Ukraine and withdraw his troops, German government sources stated.
Russia should “enter into serious negotiations with Ukraine with the aim of achieving a just and lasting peace for Ukraine,” Scholz was reported to have said, stressing that Russia had not achieved its war goals.
Scholz also stressed Germany’s commitment to supporting Ukraine as long as necessary, government sources added. The involvement of North Korean troops is seen as a “serious escalation and expansion of the conflict.”
Putin, for his part, underlined that any agreement to resolve the conflict would have to “take into account the security interests of the Russian Federation, proceed from the new territorial realities and, most importantly, eliminate the root causes of the conflict,” Russian news agency TASS reported.
He reiterated that, in his view, “the current crisis was a direct result of NATO’s multi-year aggressive policy.”
German media had reported in October that Scholz was considering a phone call with Putin ahead of next week’s G20 summit in Brazil.
However, Kremlin spokesman Dmitry Peskov had responded to the reports by saying that he did not see any relevant topics to discuss, according to Russian news agencies, adding that relations had reached “absolute zero.”
In recent months, Scholz has repeatedly stressed his desire to bring Russia to the negotiating table. He had stated his goal of holding a peace summit with Russia following the June peace summit in Switzerland, at which Russian representatives were absent.
The phone call marked a notable development, as it was the first call between the two leaders in nearly two years and one of the first of any major European leader in a long time. French President Emmanuel Macron had also last spoken to Putin in 2022. When contacted by Euractiv, the Elysée Palace declined to comment.
Hungarian Prime Minister Viktor Orbán, who has repeatedly refused to cut ties with Russia, met Putin in Moscow in the summer, a move that was met with overwhelming criticism in Europe.
On Sunday, the German leader will travel to Brazil, where Russian Foreign Minister Sergey Lavrov is expected to be present.
Impact of move for European gas market may be limited for now
Gas continued to travel through Ukraine, Slovakia on Saturday
Gazprom PJSC is sending natural gas to Europe via Ukraine at normal levels even after cutting off one of its longest partners, Austria’s OMV AG.
The Austrian energy company confirmed its Gazprom deliveries were reduced to zero as scheduled at 6 a.m. on Saturday. The cut comes after OMV said on Wednesday it would stop payments to the Russian firm to recoup a €230 million ($242 million) arbitration reward.
The impact of the move for the European gas market may be limited at least for now as Russian flows into the region as a whole continue as normal. Gazprom supplies gas into Ukraine for transit, from where it travels to Slovakia for own consumption as well as further into Austria and other neighboring countries.
Gazprom confirmed transit flows via Ukraine at usual levels for Saturday. It declined to comment further.
Data from Slovakia’s gas transport operator Eustream show flows continue from Ukraine into Slovakia at the Velke Kapusany border point as normal on Saturday. Deliveries from Slovakia into Austria at Baumgarten also continue, with nominations for the day 17% lower than for Friday.
With OMV cut off, gas is being taken or moved by other buyers, according to people with direct knowledge of the situation.
Slovakia’s Slovensky Plynarensky Priemysel AS and Hungary’s MVM Zrt. might be responsible for continued flows within the region as they use upward tolerances in their contracts with Gazprom, said James Waddell, head of European gas and global LNG at Energy Aspects Ltd. in London.
“This may be what we’re seeing today but it will be hard to sustain that level of flow without initiating a new contractual agreement,” he said.
SPP wasn’t immediately available for comment. MVM declined to comment.
Russian gas flows to central Europe may adjust at the start of next week, given it takes about three days for the gas to move from Russia to Austria’s Baumgarten and the cut to OMV came abruptly, said Karel Hirman, former Slovak economy minister.
Leo Lehr, a competition regulator at Austria’s E-Control, confirmed in a statement on X that Russian gas for now is still arriving in Baumgarten.
“Russian gas will continue to end up in Austria without an import ban; that’s market dynamics,” he said. “However, an end to the OMV contract means a severance of the long-term commercial ties with Gazprom – which is ultimately much more important than where the individual gas actually comes from.”
Meanwhile, OMV said it can meet supply obligations through 2025 and beyond via alternative sources in the event that Russian deliveries under its long-term contract are halted. The company is producing from its own assets in Norway and buying more liquefied natural gas, Chief Executive Officer Alfred Stern said in an interview on Thursday.
Austria may accelerate the use of domestic inventories, which already dipped below levels seen in the previous two years at the same time of the year amid colder weather.
“For this winter gas supplies are ensured,” OMV’s former CEO, Gerhard Roiss, said in an interview on Austrian public radio ORF. “Storage is full and demand is significantly down.”
But gas prices may rise 20% or more in the short term, risking a new round of inflation, according to Roiss, who is urging Austria’s government to tap its 2bcm fuel reserve to dissuade market speculation. “The reserves are there and should be used to dampen prices,” he said.
ENB Pub Note: -This is a good thing for investors. With the possibility of Chris Wright, CEO of Liberty Energy, and Larry Kudlow on as finance, this is a great thing for investors.
The US president-elected is reportedly looking at inviting Larry Kudlow back to the White House
US President-elect Donald Trump is considering Fox Business Network host Larry Kudlow for a senior economic policy position in his administration, the Wall Street Journal reported on Friday, citing sources familiar with the matter.
Kudlow served as the director of the National Economic Council (NEC) for three years during Trump’s first term in office. Trump’s advisers now see him as a contender to lead the NEC or the Treasury, the WSJ said. Kudlow has kept in regular touch with Trump, and was reportedly a guest at his Mar-a-Lago residence in Florida this week.
Bloomberg cited its own source on Friday, however, as saying that Kudlow told Trump’s team that he does not want a job in his administration. Kudlow declined to comment, Bloomberg said.
According to the WSJ, the 77-year-old financial news commentator is being considered more heavily due to a “cold war” between two other candidates for senior economic posts in Trump’s White House. The contenders are Cantor Fitzgerald CEO Howard Lutnick and hedge fund manager Scott Bessent, both of whom made “aggressive plays” to lead the Treasury, which “irritated” Trump, the magazine said, citing unnamed advisers.
Lutnick, as co-chair of the Trump transition team, reportedly approached the president-elect about the Treasury position directly. Republican Senator Lindsey Graham has publicly endorsed Bessent as an “outstanding” choice for Treasury secretary.
Additionally, Trump has discussed Robert Lighthizer, who served as trade envoy during his first term, and Apollo Global Management CEO Marc Rowan for senior economic roles, according to the WSJ. Earlier reports suggested that Trump would again pick Lighthizer for trade czar.
Trump has promised an aggressive tariff policy aimed at securing US economic interests, especially with regard to China. During his first term in office, Trump unleashed a trade war against Beijing, with both countries imposing tariffs and sanctions.
Canada attends COP29 in oil-rich Baku, where carbon pricing, the Taliban, and $1 trillion in climate aid dominate talks.
As COP29 — the United Nations’ annual climate change summit — gets underway in Baku, Azerbaijan, Canadians may notice that their government isn’t broadcasting their participation to quite the same extent as in prior years. [emphasis, links added]
At the Paris Climate Summit in 2015, Prime Minister Justin Trudeau was there on day one, promising to the assembled delegates that Canada “will take on a new leadership role internationally.”
Now, carbon pricing is one of the most singularly unpopular issues for the Liberal government, and this is the third year in a row that Trudeau won’t be personally attending the summit, which is taking place from Nov. 11 to 22.
Environment Minister Steven Guilbeault showed up promising to hand out more than $1 billion in climate-related foreign aid, and Canada has built an entire pavilion at the conference holding workshops ranging from Addressing Climate Disasters with Equity to Inspiring Change Through Global Children’s Perspectives.
But Baku may lack the glamour of prior UN climate change conferences.
As detailed below, Canada will be rubbing elbows with the Taliban, Putin loyalists — and doing it all in one of the most oily cities on Earth.
The Taliban Is There
The Taliban rulers of Afghanistan have not been allowed a seat at the United Nations General Assembly, and only a handful of countries have established any kind of official diplomatic relations with the government, which officially calls itself the Islamic Emirate of Afghanistan.
Still, they can still come to the UN’s climate change conferences.
Internal emails obtained by Reuters also show that Russia was instrumental in having this year’s conference hosted in Azerbaijan versus Bulgaria, a member of the European Union.
All of this might be why Russia is leaning into this climate change conference more than most, with a delegation of 900.
Although they’re representing a country whose economy is heavily dependent on oil and has adopted virtually no material climate policies, the Russian news agency TASS did say that the Russian delegation will be “carbon-neutral” for the first time.
For the Canadians at the conference, this means they’re going to be sharing cafeteria lines and washrooms with representatives of a country whose soldiers Ottawa is helping to kill.
The Whole Thing Is Being Held In A Historic Center Of Oil Production
Some of the most notable UN climate change conferences have been held in cities famous for their low environmental footprints, such as Copenhagen, Paris or Kyoto.
For the last two conferences, this trend has been conspicuously ended in favor of convening in some of the world’s most eminent petrostates.
Last year was in Dubai, a city funded, built, and sustained almost entirely by fossil fuels. And this year is in a place whose name is virtually synonymous with oil.
And the lights at COP29 are being kept on by an energy grid that is fueled almost entirely by fossil fuels.
As per the most recent analysis by the International Energy Agency, just six percent of Azerbaijani electricity comes from renewable sources (in Canada it’s more than 70 percent).
[Roughly 68% of Canada’s electricity comes from renewable sources, with hydropower being the largest contributor at about 60%. Other renewables, like wind and solar, account for around 8%. —CCD editor]
COP29’s Headline Goal Is To Convince Rich Countries To Give Trillions To Poor Countries
The Number Of Delegates Is Way Up Over Previous Years
Only a few years ago, Canada was routinely sending one of the largest delegations to UN climate change conferences.
In 2015, Canada sent 283 delegates to Paris; a contingent that was double the size of the American team, and triple the size of the United Kingdom’s.
This time around, Canada’s delegation doesn’t even make the top 20 for size. But it’s not so much that Canada is sending fewer people. Rather, it’s that the rest of the world is sending massively inflated delegations as compared to previous years.
Canada is sending about 370 people to Baku. Compare that to an an analysis by Carbon Brief which found that Brazil registered 1,914 delegates, Turkey registered 1,862 and even the African nations of Chad and Nigeria are beating Canada on attendance (387 and 637, respectively).
All told an estimated 65,000 people are coming to Baku. That’s nearly double the 36,000 who showed up to the Paris conference in 2015.
Activist groups, for one, are saying that part of the delegate inflation is due to the increasing presence of oil industry lobbyists at the conference; 2,456 as compared to 636 last year, according to Kick Big Polluters Out.
Indonesia is now a partner of the economic bloc, Russian Deputy Foreign Minister Aleksandr Pankin has said
Indonesia has been awarded “partner status” by the BRICS economic group, Russian Deputy Foreign Minister Aleksandr Pankin said on Friday. Russian media reports said that Malaysia and Thailand also received the designation.
Pankin made the statement on Thursday while addressing the Asia-Pacific Economic Cooperation (APEC) Ministerial Meeting in Lima, Peru.
Speaking about the BRICS Summit hosted by Russia in Kazan last month, Pankin said it had “demonstrated the desire of the world majority to establish a just world order, carry out reforms of international institutions, and build equitable economic ties.”
The deputy FM said that an “impressive” set of agreements on trade, investment, artificial intelligence, energy and climate, as well as logistics were made during the summit. “Indonesia, an APEC member state, has become a BRICS partner country,” he said.
The new ‘partner country’ status was approved at the Kazan meeting and is intended to serve as an alternative to membership after more than 30 nations applied to join the organization.
‘Partner country’ status provides for permanent participation in special sessions of BRICS summits and foreign ministers’ meetings, as well as other high-level events. Partners can also contribute to the group’s outcome documents.
Russian media quoted Pankin as saying that Malaysia and Thailand had also become partners, but the two nations were not named in the foreign ministry’s statement.
BRICS was initially comprised of Brazil, Russia, India, China, and South Africa, and expanded when Egypt, Iran, Ethiopia, and the United Arab Emirates officially became members on January 1, 2024.
Earlier this week, Russian ally Belarus announced that it had also officially become a BRICS partner country. In a statement, Minsk described the organization as “a pillar of a multipolar world” that gives many nations “hope for a fairer world order.”
On Thursday, Bolivian Foreign Minister Celinda Sosa Lunda revealed that her nation had received an invitation from Russia to become a partner country of BRICS. “We responded positively to this invitation,” she said.
The list of aspiring partners has not been officially announced, but media reports have also mentioned Algeria, Cuba, Kazakhstan, Nigeria, Türkiye, Uganda, Uzbekistan, and Vietnam as potential candidates.
Gavin Newsom called a special legislative session to ‘fight’ President-elect Trump, citing him as a threat to California’s climate programs and more. On Thursday, California Governor Gavin Newsom (D) called a special legislative session to […]
ENB Pub Note: If Germany wants to continue de-industrialization, then it should follow green energy policies. With the collapse of the German Government, they may want to look at cheap Russian gas as only one […]
Why is the U.S. natural gas price rising today? That’s the question Rigzone asked several analysts on Monday as the Henry Hub price ticked higher. “For me, it seems mostly like a weather phenomenon,” Ole […]
A cargo of Russian oil appears to have been switched between ocean-going tankers near a Spanish exclave in north Africa, restoring a clandestine practice that Madrid thought it had ended last summer. On Saturday, the […]
Critics are calling on Trump to end offshore wind support, citing economic and environmental issues, as Biden’s administration backs the industry. Critics of the offshore wind industry are calling on President-elect Donald Trump to keep […]
The FT writes, US oil execs are eagerly awaiting Trump’s expected rollback of environmental regulations, but despite the president’s pledge to “drill, baby, drill,” production is unlikely to increase significantly during his second term in […]
Highlights of the Podcast
00:00 – Intro
01:28 – Newsom Calls Emergency Session To Trump-Proof California, Defend Climate Policies And More
05:47 – German president hit man on head over Nord Stream – Bild
08:00 – Analysts Explain Why USA Natural Gas Price is Rising
09:26 – Russian Oil Gets Flipped Between Tankers Near Spanish Exclave of Ceuta
11:27 – GOP Lawmakers, Fishermen Urge Trump To Keep ‘Day One’ Promise To Axe Offshore Wind
13:37 – “I couldn’t be more thrilled by president-elect Donald Trump’s victory,” said Continental Resources founder Harold Hamm.
Video Transcription edited for grammar. We disavow any errors unless they make us look better or smarter.
Stuart Turley: [00:00:10] Hello, everybody. Welcome to the Energy News Beat daily. Stand up. This is the weekly recap. It has been an absolutely crazy week. This week we have had Donald Trump really throwing a lot of names around. We’ve had everything from Matt Gates signing a wife vegan to getting approved for the D. Head of the DOJ. We went and all these other ones just coming out of the woodwork. We’ve had to actually get really solidified. Elan and Vivek Ramaswamy, hats off to you guys and going to make America lean again. I like it. So lots of great stuff going on. I’m going to turn this over to the staff and have an absolutely wonderful weekend. Hugs your pets, Pass this along and if you are getting ready for your taxes right now, reach out. We have partner with Paco’s operating and they are van tastic folks. I’ve got money in it and I like having a tax benefit for an investment as well as mailbox money and production checks. Love me some production checks on oil and gas. Have a great day. [00:01:27][76.8]
Stuart Turley: [00:01:28] Governor Newsom calls an emergency session to drum through California and defend climate policies and more. Michael, this is about as dumb as it gets. Let me set the stage for this article. California gets about $228 billion in annual federal funding for different programs. That doesn’t include all the money incoming from the military that’s camped out there. That’s a lot of other things for a bankrupt state. You don’t want to piss off losing that funding and that’s what he’s doing. Let’s go through the stats on this. Governor Newsom said Trump, based on his actions during his first term in office, is a threat to California’s climate change program and illegal immigrant population, women’s rights and LGBT plus three over the square root, a three, four, or whatever the hell that is right. California is ready to fight, Newsom said. I just called an emergency session, which will be in the beginning, in December. It’ll be our fundamental civil rights. Reproductive freedom. This is bull crap. [00:02:42][73.7]
Michael Tanner: [00:02:42] Well, I mean, the thing about Newsom is he’s also a lame duck. So I think personally, what he’s trying to do with a lot of this stuff is keep his name in the news as long as he can, because when he leaves office in 2026, now there’s a gap because he’s term limited to win. If he were to try to run in 2028, we think a lot of this stuff is a bunch of hand-waving. The real question is how much can he do? I mean, the the side of it where and and hear me out on this one. I’m a state’s rights over federal. Right. I believe that the more local you get, the better you can govern your community. So I think a real Christian here is what our state’s allowed to do outside the purview. The federal government. Obviously, the federal government law trumps everything, which is good, but. [00:03:29][46.9]
Stuart Turley: [00:03:29] I’m sure you’re on the right track, Michael. But here’s where it gets a little weird. Governor Newsom has influenced the other 17 states that have passed laws that have it’s pass laws in California. They can follow it as well, too. So this complicates it in a energy perspective on California car mandates. Let’s just take the car mandates. It ruins the ability for people to get good gas mileage in in California. They do more damage to the environment and they have the highest prices possible. [00:04:07][37.3]
Michael Tanner: [00:04:08] I’m with you. I’m not arguing the fact that I think these policies are stupid. What I’m saying is, are should states allowed to be pass stupid laws assuming it’s what its citizens want? That, I think is the real underlying compelling reason. It is one thing I it is my belief that the more local you get the your local city council knows better how to govern you than they do in the White House. I agree they should because their their their every day. So some of this stuff is like if California wants to drive the car off the cliff, who are we to stop them? [00:04:41][33.4]
Stuart Turley: [00:04:41] No, I’m going to say goodbye. Have a great Thelma and Louise episode and have a great day. [00:04:47][5.5]
Michael Tanner: [00:04:47] Now, the counter argument to my argument is, well, the problem is someone’s going to have to pick up the pieces from all this. Someone is going to have to come in when their energy costs go through the roof and step in and subsidize. And, you know, it’s probably going to be you, the taxpayer, in one. [00:05:01][13.7]
Stuart Turley: [00:05:01] We have seen that. [00:05:02][0.7]
Michael Tanner: [00:05:02] On the federal government side. So that, I think, is the counter to my counter argument. [00:05:06][3.9]
Stuart Turley: [00:05:07] Well, here’s where it starts coming into play. And we’re seeing that voter fraud is still going on in Arizona. And don’t hit your head against the thing because he. [00:05:16][9.8]
Michael Tanner: [00:05:17] Wants to just let it away. [00:05:18][1.7]
Stuart Turley: [00:05:19] What I’m saying is, is that you have voter fraud going on in California and in Arizona and in you in. And when you take a look at voter fraud, you are going to have to put up some serious security measures in there, because how in the world it pencil neck shift when? [00:05:38][18.8]
Michael Tanner: [00:05:39] Well, I mean, because California because, again, the people of California are brain dead. I mean, that’s just be honest. They vote. They voted in these people. [00:05:46][7.4]
Stuart Turley: [00:05:47] German president hit a man on the head over Nord Stream. You can’t make this kind of stuff up. German President Mark Walter Steinmeier allegedly assaulted writer Marco Martin over his criticisms of the Nord Stream gas pipelines. Bild As reported. Michael, this is hilarious. Hard doing. I see nothing. I can see certain salts sitting in the corner. Now, this is absolutely hilarious when we sit back and think about it. Martin reportedly argued that the German government’s participation in Nord Stream might have emboldened the Russian president, Vladimir Putin, to launch his military campaign against Ukraine. I disagree with that 300%. The reason that Putin invaded Ukraine is because the Naito was encroaching and breaking all the rules that he told them not to do. That had nothing to do with it. The U.S. was alleged to have done the dirty deed and Biden even telegraphed it. My statement today, Michael, if you go green and you go, whoa, you go broke and your government gets thrown out. And that’s exactly what’s happened. Germany is de industrialized and they are broke. The government has failed because they are the poster child of green energy. So my recommendation is the war is going to end next month. Sign the Ukraine deal and go ahead and start buying that gas. There is still one Nord Stream pipeline that is still available to use. They only get three in the four pipelines. So I’d say fire that bad dog up and start trying to get some low cost energy so you could get your cotton picking government going and re-energize the German market. [00:07:38][111.7]
Michael Tanner: [00:07:39] Yeah, I mean, it goes to show you when you start hitting people over the head how sensitive you are with with this topic. I mean, if if it really was, you know, Russian people wouldn’t care. If you yell out, was you. It was this like the fact that they’re so sensitive about this topic tells me everything you think so in because of this. [00:07:59][20.6]
Stuart Turley: [00:08:00] Analysts explain why USA natural gas price is rising. Why is the US natural gas price rising today? That’s a good question. Rigzone asked several key analysts on that. For me, it seems like a weather phenomenon, said Ola, a vote by commodities analyst Ed Abu. I’m going to butcher this one. I’m just going to go ahead. And as then, Vulcan told rigs on the first recent updated weather forecast pointing to colder than expected temperatures across much of the US. At the same time, lower wind speeds were predicted. We’ve recently seen a similar effect in the EU Dunkle fog, which is low wind and solar output leading to reduced output from wind and power generation. Bottom line wind and solar is intermittent. So I think this is pretty good. A combination of colder weather and blue flying or whatever. Duke and flag is pretty funny. The EIA shows that according to the data from the S&P Global Commodities Insight, the average total supply of natural gas fell by 1.1% or one point 2,000,000,000 cubic feet per day compared to the previous report. Dry natural gas production decreased from 1.3% to an average of 101 Bcf per day, and an average of net imports from Canada increased by 2.2%. [00:09:25][85.1]
Stuart Turley: [00:09:26] Let’s roll over. The Russian oil gets flipped between tankers near Spanish enclave of CO2. The oil appears to have been switched between oceangoing tankers near the enclave in North Africa. It’s on the west side of the Gibraltar entrance. On Saturday, the Suez mixed class tanker Sciacca left the waters of CO2, a once popular destination for Russian oil switching with its dipped in the water, indicating an unloaded cargo. Before then, the ship vanished from digital tracking systems for about 60 hours. It’s about what it takes to unload a tanker. So just depends on the the offload or the unload. Capabilities. No euro cargo transfer been conducted near sealed since August 2023 after Spain wrote to local firms about the practice which could lead to breaches and a group of seven. Price gap on Russian oil. Before its transponder was switched off. Tracking system showed that a sorry orca collected about 700 and thousand 730,000 barrels of Russian oil from Prince Mark on the Baltic Sea in October and then sailed on through the. I just love this because this is actually a a freedom kind of thing from the standpoint that sanctions the Harris Biden administration weaponized the US dollar incorrectly and and really overstepped their bounds in so many ways. So I’m I’m almost like the old truckers when you had the the bears in the sky and you had a convoy and you had Smokey and the Bandit and you’re always trying to listen to see if you could outplay or outfox and drive faster. I’m almost rooting for the tankers just to avoid sanctions because they were improperly done and overly weaponized. You can overly weaponize against the US dollar. [00:11:27][120.6]
Stuart Turley: [00:11:27] GOP Lawmakers. Fishermen urge Trump to Keep Day one Promise to ax offshore Wind. I just saw a video of President Trump saying that he is going to through executive order. We’ll see if this is true. And offshore wind and Republican lawmakers opposed to heavy subsidies, green energy and commercial fishermen who the industry as an existential threat to their livelihoods are calling on the president elect to follow through on his campaign promise. We are going to make sure that this offshore and that day one, I’m going to write it out in an executive order, Trump told a crowd of his supporters in a rally in Wildwood, New Jersey, on May 11th. I couldn’t be happier from a standpoint that we need to really evaluate. Hey, if offshore wind could stand the fiscal sustainability and the environmental tests, I’m all in on wind. Let’s just go ahead and say that right out now. But the Biden-Harris administration have had reports, misaligned reports the offshore wind is actually pollutes more than they say it is. Where does the money go? It is not fiscally responsible from day one. Who pays for it? The consumers. And so we’re seeing the de-industrialization. If you heard of Germany, the UK. We’ve seen it in New Jersey, in New York, in California. Green policies, equal deindustrialization and then higher energy cost. And President Trump has vowed to cut your energy costs in half in order to do that. He’s going to have to take a fiscally responsible stance to energy, and I applaud that. If wind is fiscally responsible, let’s do it. If it’s not and we’ve been lied to, let’s get rid of it. [00:13:37][129.3]
Stuart Turley: [00:13:37] I could not be more thrilled by President elect Donald Trump’s victory, said Continental Resources founder Harold Hamm. I’ll tell you what, this is really cool, said Harold Hamm. This is a monumental win for American energy and the future of our nation’s energy security. Jeff Miller, CEO of Halliburton Echo, echoed those sentiments. It could only be positive. In fact, I’m quite optimistic. So you can see why everybody’s doing the Trump dance in the energy space in the oil and gas space. Anyway, taking on office next January, the industry expects Trump to slash many of the environmental rules imposed by Biden. Mike Summers, head of the API Cool Cat Love Mike Sommers of the American Petroleum Institute, said had been on a regulatory onslaught and during the past four years and I couldn’t agree more. Guess who got to pay that regulatory onslaught to the tune of about $1 trillion? US consumers. One of the most important fundamental changes brought by the industry for Trump, it would be aided by Republican control of the Senate. And and we’re hearing that House as well, too. Meanwhile, Trump has vowed to slash corporate tax and unpick Biden’s signature climate legislation. Take number one out of this article. America needs to return to the days which industry was allowed to compete in open markets. I could not agree more with limited in. Airfares for politicians and regulators are take number two. We’ve known as the media associate, good times in the oil field with high levels of production. That’s not necessarily the case in an environment in which operating and regulatory costs and risks are play low, play a much bigger role in ensuring long term prosperity and in this in the sector. I like this. Take number three in this article Magnum and as any oil gas companies that I might lobby for the retention of portions of outgoing and men’s immensely damaging and wasteful energy policy that happen to fill their corporate coffers even as they continue to rip off taxpayers. What would America do without these patriots? I’m not sure I understand that one, but I do like the. This came up. [00:13:37][0.0][796.8]
