Tx Permian Basin Situation Debunks ALL Of Biden’s Favorite Big Oil Talking Points

Biden ducks accountability for skyrocketing energy costs with two claims… Big energy greed drives pricing, and his own green push does NOT drive price hikes. That’s bullsh**t. Here’s why…

For all of his protests to the contrary the hostility of Biden and his party to Big Oil is well-documented: ranging from shutting down pipelines; to Dems pressuring financiers to not finance drilling operations; to blocking drilling on federal land; to draining the Strategic Oil Reserves, Energy coporations are hemmed in at every turn.

Then prices predictably skyrocket and what does Biden do? He points his bony finger at Big Oil executives and accuses them of greed, as though blocking the extra 3 Million barrels of oil an energy-independent America could have been producing right how had Biden left everything exactly as he had found it.

Joe blames greed and not ‘market conditions’. But proving him wrong isn’t hard at all.

This test case in Texas drops that talking point straight into the wood chipper.

With Russia’s natural gas lines out of commission, Europe is desperate to get its hands on supply in time for winter. They are willing to pay a pretty penny for the privilege, too.

When that happens, we all know that prices go up, right? Supply and demand. The most basic of the basic economic rules.

And that IS what happened. Natural gas right now is trading at ‘more than $5 per MMBTU’. Europe is trading somewhere north of $25 / MMBTU.

If prices are soaring, and demand is so high, what’s going wrong in Texas where, instead of 5 or 25 dollars per MMBTU it’s more like 20-70 CENTS? Seems like a problem, no?

There’s a simple explanation for it. The answer can be found in the same supply-and-demand model. Because there isn’t enough pipeline capacity right now to move the supply they already have in stock, they are selling for pennies on the dollar.

Flourishing natural gas production in the Permian has swamped pipelines, putting an undue burden on takeaway capacity, resulting in an oversupply situation that has caused natural gas prices to sag to as low as 20 cents per MMBTU, traders have reported, and up to 70 cents per MMBTU.
…But scheduled maintenance for Gulf Coast Express and El Paso Natural Gas pipeline systems continue to dampen exports for Waha. Kinder Morgan is conducting maintenance at its Gulf Coast Express Pipeline beginning on October 25 at its Rankin, Devils River, and Big Wells Compressor Station. KMI expects the volumes to be reduced to 1,325,000 on Tuesday and Wednesday, and to 1,125,000 on Thursday and Friday. KMI’s EL Paso Natural Gas Company is expected has had a rash of maintenance performed on multiple lines since the beginning of October.
…Waha is the key natural gas pricing point for Mexico.
The Permian basin has been plagued by takeaway capacity constraints, “making the region more susceptible to sudden gluts and price volatility,” Campbell Faulkner, chief data analyst at OTC Global Holdings LP, told Bloomberg.
Waha gas went negative 20 times in the last 3 years, data analyzed by Bloomberg showed. — Oilprice

With an oversupply of product at the source, and no way to transport it to a willing buyer, this product will still get sold, but a middle-man energy speculator, not the people who produced it, will be making a killing on the global market.

How well does that line up with the story Joe likes to tell about how canceling pipeline projects and drilling leases had absolutely NOTHING to do with the current oil price situation?

Psalms of War: Prayers That Literally Kick Ass is a collection, from the book of Psalms, regarding how David rolled in prayer. I bet you haven’t heard these read, prayed, or sung in church against our formidable enemies — and therein lies the Church’s problem. We’re not using the spiritual weapons God gave us to waylay the powers of darkness. It might be time to dust them off and offer ‘em up if you’re truly concerned about the state of Christ’s Church and of our nation.

Also included in this book, Psalms of War, are reproductions of the author’s original art from his Biblical Badass Series of oil paintings.

This is a great gift for the prayer warriors. Real. Raw. Relevant.