[Maddog78]

Yeah, you've probably made a good move.
Us old guys will need replacing in a few years and there is a bunch of us.
Oil and Service companies went quite a few years without significant hiring.

[Graeme]

Green energy investments top carbon fuels: UN

$this->bbcode_second_pass_quote('', 'G')lobal investments in renewable energy overtook those in carbon-based fuels for the first time in 2008, attracting a record 155 billion dollars, a UN report said Wednesday.

Of that sum, 36 billion dollars was invested in producing clean energy in emerging economies such as China, a increase of 27 percent compared to 2007.

And 105 billion dollars was spent directly developing power generating capacity from wind, solar, small-hydro, biomass and geothermal sources.

The 2008 investment was more than four times higher than that in 2004 according to the report Global Trends in Sustainable Energy Investment 2009, prepared for the UN Environment Programme's (UNEP) Sustainable Energy Finance Initiative.

[Graeme]

Global oil companies to invest $375 bn despite downturn

$this->bbcode_second_pass_quote('', 'T')he private and state-run oil companies worldwide would invest $375 billion in the hydrocarbon sector this year despite the economic downturn and concerns about low oil demand, market research firm Ernst & Young said in a report.

It said the state-run oil companies are on course to invest over $275 billion in 2009, while major private sector companies have committed $100 billion.


About 70 percent of the investment would come from the oil companies in Asia and South America, and based on the current estimates, the oil companies would be investing $600 billion in the hydrocarbon sector by 2015, it added.

[Maddog78]

I hope they get after it soon. I got a lot of oilfield colleagues either looking for a job or worrying their's won't last much longer.


http://www.bloomberg.com/apps/news?pid=20602099&sid=akHq3iK1sd9o&refer=energy



$this->bbcode_second_pass_quote('', 'O')il Companies Urged to Invest to Avoid Surge in Crude Prices


By Torrey Clark

June 5 (Bloomberg) -- Oil companies must increase investment in production to prevent a surge in crude prices that may outstrip the records of last year, according to industry executives and officials.

Declining investment will naturally lead to production declines, making a Saudi prediction of oil at $150 barrel “realistic” within three years, Russian Deputy Prime Minister Igor Sechin said at the St. Petersburg International Economic Forum today.

Crude has fallen more than 50 percent since reaching a record of $147.27 a barrel in July last year as demand has declined in the world economic turmoil. Global investment in the oil industry may drop by as much as 21 percent this year, Sechin said, citing International Energy Agency estimates.

Should companies fail to invest, a demand crunch could drive up the price to $160 or even $200 a barrel, BP Plc Chief Executive Tony Hayward said, answering a question about surpassing last year’s prices. Hayward was at a session on the oil price attended by executives including OAO Gazprom’s Alexei Miller, who last year said oil might reach $250 a barrel.
snip...................

[Plantagenet]

By invest, do you mean oil companies should drill more oil wells?

Thats not a very politically popular position right now.......

[Maddog78]

True. The Democrats seem to hate the idea of drilling more wells in the US.
Yet they say they want to reduce imports. Strange.

[oddone]

NOC's control 88% of proven reserves in the world. Oil Companies like EM, BP, RDShell are "invited" to invest extreme amounts of money to get a possible profit in 5-7 years. Would you put your money in say KSA, Iran, Venezuela, Bolivia? Clearly not.

The NOC's that contol the resources are paralyzed by their inherent inefficiency, and will never develop past that, as their "business model" is ruled by idiots like Chavez, Morales and Ahmadinejad, who have prevailing agendas like indian sentiment or muhammed.
Other NOC's don't fare much better paralyzed by race, religion, nationalism and inefficiency.

Unforunately it seems most of the world's energy resources are held by entities that a prudent investor would not touch with a fire rake.

[bratticus]

$this->bbcode_second_pass_quote('', 'O')il producers have cancelled or delayed 170 billion dollars' worth of investment in recent months, the IEA said in comments published Monday, underlining the impact of the economic crisis.

[Starvid]

$this->bbcode_second_pass_quote('bratticus', '')$this->bbcode_second_pass_quote('', 'O')il producers have cancelled or delayed 170 billion dollars' worth of investment in recent months, the IEA said in comments published Monday, underlining the impact of the economic crisis.

[Graeme]

Renesola Breaks Out as Entire Solar Sector Shows Life

$this->bbcode_second_pass_quote('', 'R')enesola Ltd. (SOL) traded sharply higher Friday with little new company specific information has been released. At ZachStocks we have been watching the solar sector carefully over the past months and found plenty of great opportunities in the area now that investors are once again warming to the alternative energy area. For Renesola to rally without specific news is certainly a positive thing and it may represent one or two large institutions building a new position.

According to Thomson estimates, SOL is expected to earn 53 cents per share in 2010. If these expectations are correct, the stock has just recently moved to the point where its forward PE is over 10. This is a major milestone since the market had been pricing these companies at low single digit multiples for some time. But I see this trend of multiple expansion continuing higher as confidence builds. While we may not see multiples of 30 or 40 as was the trend in early 2008, a multiple of 20 on strong solar growth companies is not out of the question.

[Graeme]

Brighter days seen for solar, next-gen biofuels


$this->bbcode_second_pass_quote('', 'B')ig changes are afoot in the fledgling alternative-energy industry. As the sector recovers from the 2008 financial market meltdown, insiders look for next-generation biofuels and solar technologies to start joining mainstream energy markets, while wind power continues to lean heavily on government support.

Overall, renewable energy companies are starting to talk less of competition with oil and gas and more about an intensifying competition between alternative-energy technologies.

[aahala2]

It's a pretty ineffective argrument to ask oil companies
to invest more in order to avoid the companies to be
able to charge more in the future.

The argrument can be restated as follows:
"Unless you spend more now, you will be able to
receive more in the future."

[TheDude]

$this->bbcode_second_pass_quote('Maddog78', 'T')rue. The Democrats seem to hate the idea of drilling more wells in the US.
Yet they say they want to reduce imports. Strange.

[Maddog78]

You mean 17,347 wells for 2008
There will be no where near that for 2009.
btw, up to date seismic does not tell us what we really have.
The only way to know for sure is to punch a hole. Any oilman will tell you that.

[Outcast_Searcher]

It seems like private successful large oil companies such as Shell, Exxon, etc. providing CONSULTING services for various large-reserve NOC's would be both viable (they insist on getting paid as they go), and beneficial to everyone concerned - to the extent that NOC production is made more efficient.

It seems to me I read somewhere in 2009 (perhaps The Economist, but I'm unsure) that this was a significantly growing trend, given the problems with direct investment by capitalism and the risk of nationalization by the NOC's and their countries.

However, I was unimpressed with the initial hits I got trying to Google this - mainly looked like self-promotion / advertising or too nonspecific. (Not that I tried real hard, admittedly).

Maddog, as an oilman, do you have any (general disclosable) insight into this - i.e. is this a widespread phenomenon?

If this is NOT widespread and folks like Chavez are devestating the productivity of huge resources all over the world due to lack of expertise as the negative folks tend to claim - it's just too stupid to comprehend (IMO), even with our humans at the helm...

[threadbear]

$this->bbcode_second_pass_quote('Maddog78', 'T')rue. The Democrats seem to hate the idea of drilling more wells in the US.
Yet they say they want to reduce imports. Strange.

[Outcast_Searcher]

$this->bbcode_second_pass_quote('aahala2', 'I')t's a pretty ineffective argrument to ask oil companies
to invest more in order to avoid the companies to be
able to charge more in the future.

The argrument can be restated as follows:
"Unless you spend more now, you will be able to
receive more in the future."

[Maddog78]

$this->bbcode_second_pass_quote('', 'M')addog, as an oilman, do you have any (general disclosable) insight into this - i.e. is this a widespread phenomenon?

[Outcast_Searcher]

$this->bbcode_second_pass_quote('threadbear', '')$this->bbcode_second_pass_quote('Maddog78', 'T')rue. The Democrats seem to hate the idea of drilling more wells in the US.
Yet they say they want to reduce imports. Strange.

[TheDude]

$this->bbcode_second_pass_quote('Maddog78', 'T')rue. The Democrats seem to hate the idea of drilling more wells in the US. Yet they say they want to reduce imports. Strange.