The Midnight Oil

This weeks oil & gas news

Brent crude closed at $74.99, down 3.9% to end the week, despite the stated production cuts by Saudi Arabia. The U.S. Energy Information Administration (EIA) however, has increased its Brent spot price forecast for 2023 and 2024. The EIA projects prices to average $79.54 per barrel in 2023 and $83.51 per barrel in 2024.

Enverus Intelligence Research (EIR) and Wood Mackenzie also expect higher oil prices due to supply shortages and OPEC+ production cuts. Despite the optimism, concerns about global economic growth and storage challenges may still impact prices. Overall, there is encouragement for increased oil prices, but uncertainty remains.

The optimism s bolstered by the increased exploration activity seen in the market, including proposed exploration projects off the coast of Malaysia and significant finds in Norway.

What is digital anyways?

The term “digital” is everywhere, but what is digital? If you are asking this question, you are not alone. I asked Microsoft Bing’s AI and here is the response:

“ One common meaning is relating to, using, or storing data or information in the form of digital signals"

Pretty informative isn’t it!

From the looks of it, “digital” is pretty broad term that can mean many things depending on the context. Based on this answer, when it comes to oil and gas, digital has been around for awhile. Digital signals have been used for decades from computing to communication, so then why is digital such a big thing right now?

Well it is this revolution around the next wave of digital products that is so exciting. With advances in computing increasing by the day, we are seeing companies boost performance by connecting lots of dots by way of increase computing power. Which is also why we are now able to play with Generative AI like ChatGPT or Bing.

So in short, Digital today now means more than just information in signals. It is connecting data, people, resources, and patterns in ways not previously possible. This allows computations to be done near instantaneously, giving answers in relevant timeframe.

And this is why digital is so powerful, because having the answers you need, when you need them is what makes all the difference!

What we are listening to this week…

If you have not heard of Andrew Humberman’s podcast “Huberman Lab" I’d strongly suggest you check it out on your favorite podcast platform.

Andrew Huberman’s podcast been a weekly staple for me in the past year as I go on my daily walks. He provides actionable advice that is relatively low cost (and most cases free of charge) that is geared at improving all aspects of life. Some of my favorite guests of his are Peter Attia, Dr. Andy Galpin, and Dr. Layne Norton. Go ahead and listen today!

Answer: 5.7 million Barrels per day