Oil could hit $100 this winter and spur global economic crisis: Bank of America

[farming101]

Crude nearing 7 year high. Low 90's possible on this leg up

[AlbertaFarmer5]

[ATTACH]8805[/ATTACH].

Rig count has become almost meaningless over this period of time.
Productivity per rig and per well has increased so exponentially during the shake era that we can't even compare rig counts to a few years ago and conclude anything, except more rigs will be more production. Less or equal rigs, doesn't mean much.

[furrowtickler]

Less rigs north of here , the steam plants are proving to be very efficient so drill spots are actually down with production way up over traditional wells here
Actually most cold oil well production is virtually shut down now
Steam plant activity has ramped up dramatically NW and north of here the past few years

[wheatking16]

True jazz, USD trend appears higher yet right now. This is a direct challenge for U.S. exports. Silver absolutely smoked over the past few months. Gold struggles continue.

Loonie could break sharply if crude fails in-part pressured by the rising USD.

Currencies are complex, however, while oil is making new highs, the loonie is lagging.

I have no idea why, however, it forces me to question if this rise in oil is sustainable.



https://klarenbach.substack.com/

https://t.me/klarenbachresearch

[AlbertaFarmer5]

Currencies are complex, however, while oil is making new highs, the loonie is lagging.

I have no idea why, however, it forces me to question if this rise in oil is sustainable.

[ATTACH]8819[/ATTACH]

https://klarenbach.substack.com/

https://t.me/klarenbachresearch

I've heard it said that currency traders have to be much smarter and much more ahead of the curve than anyone else. Martin Armstrong seems to use currency flows as predictions of most other trends. So this is probably worth following.
And besides that, back when oil first fell below 100 to stay, I made a bet with the president of a local oil industry company that oil wouldn't be back above $100 for 10 years. So I would appreciate if it waited a little bit longer.
Wheat King 16 and farming 101 , please start more threads and contribute to existing threads to get this forum back on track. And perhaps attract some relevant posters again

[WiltonRanch]

Less rigs north of here , the steam plants are proving to be very efficient so drill spots are actually down with production way up over traditional wells here
Actually most cold oil well production is virtually shut down now
Steam plant activity has ramped up dramatically NW and north of here the past few years

Yes those thermal setups are turn key built and hauled out to site pretty much knowing all in costs and production before they start extracting. Even Fort Mac country has lots of sag d too. Cold wells are a million dollar shot per hole and chances of success or failure 50/50. Oil patch has automated and become far more efficient in past 10 years. Newer rigs require scads less bodies. Thermal projects produce more oil than 100’s of wells combined with not much need for services like vacs, flushby, coil tube, steamers, or in field fluid haulers. No need for oilfield personnel in large numbers aside from construction. Cold wells will still be around. Smaller outfits will keep them going but anything new in the heavy oil zone of nw sask is thermal.

[jazz]

The majors have said they will not be drilling along side this price increase because that caused the shale crash 8 yrs ago.

They are going to let the price ride and teach the ESG fools a little lesson in the meantime. Little payback for Build Back Better Biden too. If AB was smart, they would get into the pain business as well and send a little message down east for putting fckstick back in as PM.

[errolanderson]

Storyline today suggested Russia did some blinking today.

Crude oil technically showed a bearish reversal late day. Also, natural gas futures plunged 80 cents per gigajoule mid-day off early morning highs.

Energies not for the faint-of-heart these days . . . .

[WiltonRanch]

Cost of energy in general will influence consumer spending as essentials cost increases to the point the consumer has no disposable funds for the non essentials. The covid cash was/is a bandaid on a 3rd degree burn. It created a spending spree on crap for a spell but now the reality of the increases in essentials is beginning to temper this. For the time being economies around the world are flat because consumerism is dead for now. If this how the green agenda wants it so be it. I personally like to be frugal but everyone forced to live poor won’t end well. End of the day money talks and if big money isn’t making big money govt doesn’t get the big money. They need to be careful or there’ll be nothing left to build back better.

[Sodbuster]

Was watching BNN this morning and had a guest from Quebec explaining that to meet future targets they would have to quit putting gas furnaces in houses and buildings and use electricity instead. Furthermore all gas, oil and coal generation plants would have to be shutdown leaving wind, solar, nuclear and hydro as the only viable options. No new hydro or nuclear projects that I know of and with all the greenies and indigenous so called rights don’t see any of these moving forward in the coming years. And even more important the electrical grid system would never handle the increased flow electricity, My WAG on this that we would have to generate at least 4 fold or more to use electrical heat and cars. Maybe it time for the Liberals to cut back on the weed so they could do some rational thinking before they start going down this road.

[furrowtickler]

I say let them go for it
It will be a valuable lesson for many

[WiltonRanch]

I say let them go for it
It will be a valuable lesson for many

Yes! Remember years ago I got offered a deal to rent some cows and land from a neighbour. As it turned out the cows and owner were less than stellar and I had a blowout thanks to my Irish temper. After it all blew out my old man told me I coulda told you to stay away from the bugger but I knew you had to learn a lesson. Hard ass love I guess but proves your point. Like the 4H motto.