Episode 149 - Biden’s ‘BackDoor’ Climate Plan | API Chief Economist, Dr. Dean Foreman

Biden’s ‘BackDoor’ Climate Planhttps://www.wsj.com/articles/bidens-backdoor-climate-plan-11616020338?-Can the EPA force states to regulate C02 regulations under current ozone laws?-It is possible and this is something the EPA may be working toward if Biden Admin climate legislation doesn’t work-And what about federalism?Oil Investors Hunt for Cash Gushershttps://www.wsj.com/articles/oil-investors-hunt-for-cash-gushers-11616151615-Where the Saudis right?-Why isn’t Texas producing more? Banks aren’t interested in lending to frackers when Saudis could change their mind about production any month?Saudi Aramco to prioritise China for next 50 yearshttps://www.argusmedia.com/en/news/2198029-saudi-aramco-to-prioritise-china-for-next-50-yearsColumn: China’s five-year plan focuses on energy securityhttps://www.reuters.com/article/us-column-china-energy-kemp/column-chinas-five-year-plan-focuses-on-energy-security-kemp-idUSKBN2BB1Y1-China says it wants carbon neutrality by 2060, peak carbon emissions 2030-COuld China unpeg oil from the dollar?Interview with API Chief Economist, Dr. Dean ForemanHow are we doing a year later? Rebounding?- pretty remarkable rebounding- Both in January and February oil demand is within 1.2% and 2% of where it was a year ago- Baker Hughes rig counts aren’t coming up despite the fact that we had $65 WTI. Will take more for the industry to come back.- Global oil demand recovery in 2021 and 2022 could become the largest 2 year increase on record since 1950.- Need to have a lot more investment into capex and drilling activity in US. - US LNG exports have increased to Europe, but with Nordstream 2 coming online soon, will this hurt US LNG exports? Demand is so strong there’s room for both!- Europe will probably get a better deal out of this, but US cost effectiveness is good.- More agreements for LNG- US liquid fuel consumption could return to 2019 levels but he second half of 2021- Passenger traffic is down by over 50% year on year but flights are only down 13%. Still substantial decline in jet fuel use.- Refinery utilization in Feb dropped to 56% (lowest point ever seen) at one point due to Texas Freeze.- Inventory build aren’t actually that bad because we do have demand and it should normalize. Lingering impacts in data through March but then should be fully normalizing.- Have stimulus checks impacted demand? This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit energyweek.substack.com