Yesterday the International Energy Association (IEA) swiped our soon to come extended Q1 2013 Newsletter thunder article, with an attention-getting headline “US to be Energy Independent.” This headline was quickly picked up by all the major media outlets confirming we were on to something when we started our research.
We will certainly give the IEA a break since they carry slightly more weight in the Energy spectrum than us (haha), but we are now armed with data from their report along with various other reports that will help us further our analysis and deliver a better article to you at year-end.
Here is a summary of the article along with a link for an executive summary. Their belief is that the US can become a natural gas exporter by 2020 and possibly completely energy independent by 2035 also along the way overtaking the middle east in total production.
Forecasts of this length are extremely hard to predict accurately, however the thought of such just a few years ago would have been unimaginable. We think the future is bright, and this is just one reason. Watch for more on this in our all new special extended edition Q 1 2013 Newsletter.
Have a great day!
PS Our two-day fire hydrant analyst meeting starting tomorrow is filled with Energy executives, the IEA’s research may give many a topic for discussion.
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For those that missed our slightly humorous “Little Brother” country grows up post, it is worth a quick read, but the general gist is how a smaller younger sibling/country can grow up and become more powerful and important.
In an interesting gulf news story of how much power a Little Brother country has, the IEA an international Energy Association, which we follow closely, is trying once again to get one of our Little Brother countries to join. In this case another Little Brother country has grown so quickly, Big Sister countries are losing their power and competitiveness and it has become very important to bring the youth into the group.
Before we were able to post this story, another even younger little brother, Slovakia, flexed their muscles and rejected the Euro Bailout.
Temper tantrums, or flexing of their muscle, it is very interesting to see little brother countries come into the spot light on their own. With their new importance, responsiblity also is a necessity.
Have a Great Day!
Yesterday the IEA (International Energy Agency) announced their 28 member group will be proportionately releasing 2 million barrels of oil per day, until a total of 60 million barrels hit the markets.
The closest month contract of West Texas Intermediate crude, a good benchmark for oil prices, dropped rather dramatically, bottoming out mid day at $89.69 per barrel from a day’s high of 94.33 or near a 5% drop.
Things that make you go hmmm….
According to various estimates, current world consumption is in the 85-95 million barrels of oil per day.
While the big drop in oil prices is nice for our summer travel plans, and will help at the pump, it might also exemplify the void of traders and professional investors at their posts in the summer days.
We are certainly happy to accept the extra bucks in our pockets from the reprieve in prices, however the movement may have been rather extreme given the magnitude of the announcement.
Have a Great Day and Super Weekend !
1 Minute Chart West Texas Intermediate Crude 6-23-11
In today’s rush to deliver “THE HEADLINE” story first, often times facts are lost, and opinion may seep into a story that compounds as other services re-report the same, possibly incorrect, story. Many times these stories are not from credible reporters or even reporters ar all.
Yesterday, there were various stories about Japan’s nuclear reactors and the United States’ reaction. Many of these stories were inaccurate. This from U.S. Nuclear Regulatory Commission site:
“Finally, there is a lot of erroneous information in the media and online about this event and its ramifications. One plume model in particular is especially egregious and totally bogus. We urge you to continue to seek information from credible sources, including the NRC and other federal agencies.”
As an example, here are a few excellent credible sources for Nuclear and Energy related information:
We hope that these incorrect stories are accidental, however we understand there are people with malicious intent in the world that might have negative intentions. We suggest caution, especially on very dramatic or exaggerated story headlines, and always check the sources.
Have a Great Day!