Start with Iran. In May, Trump withdrew from the Nuclear Accord over strong opposition from foreign allies and domestic policy experts. America announced it would unilaterally impose sanctions on Iran from November 1. Critics said this would be ineffective. Since then, Iranian oil exports are down 25% and likely to fall further. Any company trading […]
Last week the U.S. became the world’s biggest crude oil producer. Not everyone agrees – Russian production figures still show them ahead. But the Energy Information Administration (EIA) is confident that we are, and that we’re going to stay there at least through next year. This represents a milestone in the path towards American Energy […]
On July 6, 2013, 47 residents of Lac-Megantic, Quebec died horribly when a 74-car freight train carrying crude oil exploded in a fireball. It was the deadliest freight-train accident in Canadian history. Five bodies were never recovered and were assumed to have simply vaporized. DNA samples were required to identify others. Heat from the inferno […]
One official says the shale industry may be “set up for failure.” “It is quite likely that many of these companies will go bankrupt,” a senior adviser to the Energy Information Administration administrator predicts. This is from the New York Times. However, it wasn’t part of The Next Financial Crisis Lurks Underground, Bethany McLean’s recent […]
In July, Pierre Andurand’s hedge fund, Andurand Capital, lost 15% on bullish crude oil bets. Oil was weak in July, but is up 21% in 2018. Notwithstanding this correct outlook, his fund is -5% for the year. Few things are more frustrating for a manager or his clients than losing money on a profitable call. […]
When it comes to limiting CO2 emissions, the results are not always what you’d expect. Debates about climate change often draw zealots on both sides. The common accusatory opener, “Do you believe in global warming?” betrays the binary, almost religious argument between those who think we’re wrecking the planet and those who don’t. Pragmatism is […]
