Weekly Oil and Gas News with The Midnight Oil!

This weeks oil & gas news!

Are you hesitant yet? If so, maybe you shouldn’t be. While U.S. rig reduced the number of oil and gas rigs for the eighth consecutive week according to the Baker Hughes rig count, it is not all trouble in oil city. Oil rigs fell by 6 to 546, the lowest since April 2022, while gas rigs remained steady at 130. Oil prices ticked up for the second consecutive day due to concerns over political instability in Russia and potential supply disruptions, offsetting worries about global demand. Brent crude futures increased by 6 cents to reach $74.24 a barrel, while U.S. West Texas Intermediate (WTI) futures rose by 10 cents to $69.47 a barrel.

Not surprisingly, oil prices ticked up for the second consecutive day due to concerns over political instability and potential supply disruptions, offsetting worries about global demand. Brent crude futures increased by 6 cents to reach $74.24 a barrel, while U.S. West Texas Intermediate (WTI) futures rose by 10 cents to $69.47 a barrel.

When it comes to Energy, we all know that oil and gas plays the most important role of today, but having a back up plan is not all that bad. To that end, the U.S. Department of Energy has announced over $21 million in grants to support the development of clean energy technologies. The funding will be allocated to various projects ranging from solar to nuclear solutions. The initiatives aim to address commercialization challenges, improve laboratory processes, increase accessibility to clean energy resources, and benefit underserved communities. The funding aligns with the goal of achieving net-zero carbon emissions by 2050 while creating jobs and reducing energy costs. More at: Rigzone article

Thank you Oil and Gas!

As I sit in the nice air conditioned and climate controlled house, I must thank the oil and gas industry! Last week summer kicked off with what can only be described as a “scorcher” here in Texas, and much of the Southwest. With temperatures breaking 100 degrees and heat index well above that, hot is an understatement. Thankfully many of us have access to climate controlled environments, where we can get a much needed reprieve from the heat.

As our air conditioning blasts cool air, electricity is flowing to the unit. But where does this come from? In Texas, ~38% comes from nuclear, wind, & solar when conditions are right, while ~45% comes from natural gas. The beauty with natural gas, it’s near “on-demand.” By flipping a light switch, or pressing “on” on the AC, we are utilizing electricity generated across the state when we need it. During these high peaks especially, we rely heavily on natural gas to keep us cool, calm, and collected when we need it. (did you know that wind power is often not generated when it is super hot?)

So while you may think that the magical fairy is delivering electricity to your AC while you sleep at night, you should be thanking the your local oil and gas worker!

Trivia of the day

The Drake Well is the first commercial oil well in in the U.S. in Oil Creek. The success of which sparked the first oil boom in the United States. The well is the centerpiece of the Drake Well Museum located 3 miles (5 km) south of Titusville.

So how deep is the first commercial oil well in the United States?

(answer below)

What we are listening to this week…

During one of Peter Attia’s podcasts he mentioned the book “Mistakes Were Made (but Not by Me).” I finally got around to “reading” this one via Audible, and it is great. Many of the examples shared in this book are very relevant today, and help illuminate the need to recognize cognitive dissonance and our own personal biases. I found this book valuable for understanding the cognitive biases that can affect decision-making, and recommend this one to anyone who makes decisions (yes that is you!)

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The well measures in at 69.5-foot-deep (21.2 m)