Big Banks Pull Financing, Prepare To Seize Assets From Collapsing Oil and Gas Industry
By Justin Mikulka, DeSmog Blog
The finances of the oil and gas industry are so dismal that the major banks that have funded the money-losing fracking boom are now exploring taking the unusual step of taking over the oil companies that cannot afford to pay back the banks' loans.
Is the U.S. Fracking Boom Based on Fraud?
By Justin Mikulka, DeSmog Blog
Is it misleading to laugh at your company's investors if you know the estimates you are giving them are inflated, but because you own the stock that benefits from those estimates, you do it anyway? Is that fraud? Perhaps that depends on if you get you get ethics lessons from Andrew Fastow and Jim Hackett.
Peak Permian Oil Production May Arrive Much Sooner Than Expected
By Justin Mikulka, DeSmog UK
In mid-January, Adam Waterous, who operates the private equity firm Waterous Energy Fund, made a prediction about the crown jewel of the U.S. shale oil industry, the Permian shale play that straddles Texas and New Mexico. “We think we are at or near peak Permian,” Waterous told Bloomberg. “The North American oil market has been grossly overcapitalized, which is not sustainable.”
To Many’s Dismay, Permian Produces More Gas and Condensate Instead of Oil and Profits
By Justin Mikulka, DeSmog Blog
As oil prices plummet, oil bankruptcies mount, and investors shun the shale industry, America’s top oil field — the Permian shale that straddles Texas and New Mexico — faces many new challenges that make profits appear more elusive than ever for the financially failing shale oil industry. Many of those problems can be traced to two issues for the Permian Basin: The quality of its oil and the sheer volume of natural gas coming from its oil wells.
Stanford Study Says Renewable Power Eliminates Argument for Using Carbon Capture with Fossil Fuels
By Justin Mikulka, DeSmog Blog
New research from Stanford University professor Mark Z. Jacobson questions the climate and health benefits of carbon capture technology against simply switching to renewable energy sources like wind and solar. Carbon capture technology is premised on two possible approaches to reducing climate pollution: removing carbon dioxide from the atmosphere anywhere in the world, an approach generally known as direct air capture, or removing it directly from the emissions source, such as the smoke stack of a fossil fuel power plant.
Will the Fracking Revolution Peak Before Ever Making Money?
By Justin Mikulka, DeSmog Blog
When DeSmog first began reporting on the failed finances of the fracking industry, publications like the Wall Street Journal were writing about the optimistic financial future for shale companies. A year and a half later, that optimism has died. But all of these dynamics played out before the industry ran up against “core operational issues.”
Bleak Financial Outlook for US Fracking Industry
By Justin Mikulka, DeSmog Blog
After years of patience as the fracking and tar sands industries continued to pile up losses, investors are understandably tired of losing money.
‘Bomb Trains,’ a New Book on the Deadly, Ongoing Threat of Oil by Rail
By Justin Mikulka, DeSmog Blog
I lay out the whole damning history in this book. When the next oil train disaster strikes, we can't say we weren't warned.