“Over the last 120 years, we estimate it took 17 barrels of oil on average to buy one unit of the S&P 500 Index. Today it requires over 53 barrels.” In the thirty years we have been investing in...
What’s happening to US shale production? After growing by a torrid 145,000 b/d per month in 2018, shale production growth has ground to a screeching near halt. Since December, shale oil production...
“Under any scenario, future shale growth looks set to slow dramatically.” Developments in the US shale basins have never been more important for global crude fundamentals. Over the past decade, the...
“If global commodity demand was falling sharply today, we would expect tosee the Baltic Exchange Dry Index plummeting. Instead, just theopposite is happening.” For nearly 30 years, we have been...
“While the conventional wisdom suggests the oil markets are in a sustained glut, the pronounced backwardization tells us that there is no truth in this belief.” For nearly 30 years, we have been...
![[PODCAST] A Comprehensive Look at Energy Markets with Leigh Goehring](https://blog.gorozen.com/hubfs/Blog%20Images/2019-Evercore-Podcast-Blog-LinkedIn.png)
On July 23rd, Leigh Goehring was a guest on theInvest with James Westpodcast series hosted by James West, Senior Managing Director & Partner at Evercore ISI.
“Headlines all strongly suggested DeGolyer & MacNaughton independently verified 260 bn bbl of Saudi Arabian oil reserves, in truth they only verified 162 bn (or 60%) of that amount.” Picking up...
“Ghawar will not be able to increase production from here, making its 3.8 m b/d ‘maximum sustained capacity’ figure highly suspect.” Major depletion issues are now emerging in the OPEC world,...
“According to the IEA, non-OPEC production outside of the U.S. and Russia peaked in June 2018 at 32.8 mm b/d and has since declined by 800,000 b/d.”
Despite 2019’s rally in oil prices, investors remain bearish towards oil-related equities. While Brent and WTI prices rallied between 25 and 30% from their Christmas Eve-lows, oil-related stocks...