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Chesapeake’s AIG Moment: Energy Giant Faces $1 Billion In Collateral Calls

Chesapeake’s AIG Moment: Energy Giant Faces $1 Billion In Collateral Calls Back on February 10, when looking at Carl Icahn’s darling Chesapeake, whose stock had plunged to effectively record lows on imminent bankruptcy concerns, we said that for anyone brave enough to take the plunge, the “Trade of the Year” would be to go long a specific bond, […]

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A Reality Check For U.S. Natural Gas Ambitions

A Reality Check For U.S. Natural Gas Ambitions Something unusual happened while we were focused on the global oil-price collapse–the increase in U.S. shale gas production stalled (Figure 1). Figure 1. U.S. shale gas production. Source: EIA and Labyrinth Consulting Services, Inc. (click image to enlarge) Total shale gas production for June was basically flat […]

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Have Natural Gas Prices Bottomed?

Have Natural Gas Prices Bottomed? Last Friday we finally got confirmation of where all the natural gas supply has been coming from as Cabot (COG) reported its earnings. Just like Chesapeake (CHK), they reduced natural gas output, but on a much grander scale. CHK has yet to report and will do so on May 6th […]

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Natural Gas Futures Drop Below $3 for First Time Since 2012 – Bloomberg

Natural Gas Futures Drop Below $3 for First Time Since 2012 – Bloomberg. Natural gas futures slumped below $3 per million British thermal units for the first time since 2012 on speculation that record production will overwhelm demand for the heating fuel. Futures have slid 29 percent this year, heading for the first annual decline […]

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Fracking Fracas: The Trouble with Optimistic Shale Gas Projections by the U.S. Department of Energy Post Carbon Institute

Fracking Fracas: The Trouble with Optimistic Shale Gas Projections by the U.S. Department of Energy Post Carbon Institute. On December 3, 2014, Nature published “Natural Gas: The Fracking Fallacy”, which suggested that the forecasts of the Energy Information Administration (EIA) for four major U.S. shale gas plays were wildly optimistic, based on a comparison to forecasts for […]

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First Oil, now US Natural Gas Plunges off the Chart, “Negative Igniter” for New Debt Crisis | Wolf Street

First Oil, now US Natural Gas Plunges off the Chart, “Negative Igniter” for New Debt Crisis | Wolf Street. Friday, natural gas futures plunged 6%. Monday morning, when folks were thinking about the beautiful Santa Rally, NG futures plunged nearly 10% to $3.12 per million Btu, the lowest since January 10, 2013. But the crazy […]

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Peak Oil Notes – Oct 23

Peak Oil Notes – Oct 23. New York oil futures traded around $82 a barrel this week until Wednesday’s stocks report showed an unexpected 7 million barrel jump in US crude stocks. The jump resulted in a nearly $2 decline in the futures market to a close of $80.52 a barrel, the lowest settlement since June of […]

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Olduvai IV: Courage
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Olduvai II: Exodus
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