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Video Transcription edited for grammar. We disavow any errors unless they make us look better or smarter.

Stuart Turley: [00:00:11] Hello, everybody. What can the energy news beat daily stand up. My name’s Stu Turley, President and CEO of the Sandstone Group. Michael still out of that family office just having way too much fun. We got an action packed show today. The first story coming out of the blocks. Buckle up. Job one for Doug Burgum at the Interior Department. The stories from David Blackmon. Love David Blackmon. I recommend you follow him. He’s on Energy Absurdity at Energy Absurdity on Twitter. You got a follow on oil wobbles on crude inventory draw, large fuel builds. Let’s go to the next one. China’s November gas imports drop. India is seeking to expand Russian energy imports. This is from the Moscow’s envoy there. You gotta love that. GM shuts down its misbegotten Robotaxi Money Pit after acquiring Cruz in 2016 and then blowing $10 billion once a few billion between friends. As Michael Tanner always says. [00:01:20][68.9]

Stuart Turley: [00:01:20] Hey, let’s go to the first story here. This one was in the Daily Caller, job one for Doug Burgum at the interior. And I’ve said you’ve heard me say this before, Doug Burgum. I want to visit with you on the podcast. We also have Chris, right, who’s been on the podcast. His podcast went nuts with Doom Burg and also Lee Zeldin, the Three Amigos. I guarantee you, who’s going to fight to beat Chevy Chase out of the Three Amigos because they are going to be rock stars. And all three are critical in reducing the energy in the United States. This is from David, anticipating a potential Trump win over the first Joe Biden and Kamala Harris in the presidential race. Officials and bureaucrats have spent the last 12 months pushing out as many new regulations as they can concoct and simultaneously working to make the repeal or revision of existing regulations hard to accomplish. The term Trump proofing has gone viral across Washington as a result. This is absolutely despicable. One of the most important challenges Burgum must quickly act to resolve is the four year long, de facto suspension of the oil and gas leasing program on federal lands and waters held in various means and outgoing superior Deb Haaland. She is not doing us any favors. The you also have all of the oil and gas being held up in Alaska and everything else. While drillers in the Permian Basin and other major plays have been able to keep increasing overall production to steady progression of all time heights via sophisticated drilling and fracking techniques and existing plays will eventually be moved to a gradual decline. We need trillions of dollars of investment just to meet our normal decline curves. We’re seeing a drawdown in the global inventory and I think that we have not seen peak demand yet. I think that oil and gas is a great investment. It’s going to be here for a while. And that goes back to the Turley’s law. I think and again, this goes back to the previous administration, the more money that has been spent on renewable energy, the more fossil fuels will be used. Turley’s Law, you heard it here. [00:03:51][150.9]

Stuart Turley: [00:03:51] Second. Oil wobbles on crude inventory draw large fuel builds. Crude oil prices fluctuated after the Energy Information Administration reported an estimated inventory fine of 1.4 million barrels for the week. In fuels, however, the EIA estimated sizable builds crude oil inventory compared with a draw of 5.1 million barrels for the previous week. That pushed prices higher for a while. But the gains are erased by the now chronic perception. Weak global demand growth is there. Gasoline inventories added 5.1 million barrels in the first week of December, with production averages around 10 million barrels. Let’s see here. Prices well, trending higher earlier today. We’re optimistic about Chinese stimulus and the expectations that the U.S. Fed will announce new rate hike next week. That later decision is now uncertain with the latest inflation figures for November showed that prices had added 22.7% on last year, which is above the Fed target of two. Did I tell you I am looking forward to President Trump getting back into office? Holy smokes, it can’t come soon enough. As I said, yesterday’s podcast, President Biden, if you’re listening to this podcast, you’re not welcome. I don’t want to interview you. President Trump loved to interview you. [00:05:18][86.8]

Stuart Turley: [00:05:19] China is November. Gas imports drop. Gas imports rose. Natural gas imports during the last month reached 10.9 million tons, down from the 1.4 compared to 10.95 million tons in November. The data from the general administration of Customs show gas. China paid about 5.3 billion for gas imports in November. China reported a drop jump in its LNG imports in October. The country received 6.55 million tons in October, up 28% year on year. China needs all of the natural gas that it can get in. It’s in negotiations with Russia for more natural gas and it’s going to buy everything that it can. So it I don’t see anything changing. And year you’re going to see the stimulus package that China has going on right now. It is going to be using more fossil fuels as well, too. So not only are they putting out coal, they’re putting out fossil. They are still going to be buying everything. Because what happens is if they don’t get the natural gas and they don’t get the oil, people get grumpy. When people get grumpy, they get to where they want to topple governments. So governments kind of like to keep their people at least and enough energy to keep them happy. [00:06:47][88.3]

Stuart Turley: [00:06:48] Let’s go to India. India is seeking to expand Russian energy imports. This is from the Moscow envoys speaking on this. New Delhi is interested in boosting long term supplies in Russian coal and LNG. Moscow’s ambassador to India, Dennis Aleppo. Excuse me, Denis. I hope I didn’t mispronounce your name. There’s mutual interest in increasing coking coal in LNG shipments. We are interested in the long term arrangements that should ensure stability and predictability and affordable supplies. You know, I’ll tell you, this is an amazing thing. Russia had become the largest oil supplier to India, accounting for up to 40% of the Asian countries. Overall crude imports, that’s a lot of oil. India, the fifth largest economy and the third largest importer and consumer of oil, ramped up crude purchases after Russia rerouted supplies to Asia in response to Western sanctions on the Ukraine conflict. More power to them. I hope that India buys all the Russia oil and natural gas that they can. I think it’s phenomenal. And why is that? That is so they can get the lowest cost kilowatt per hour in electricity to everyone in India. They all have the right to be able to afford it, take advantage of it. And if we go back and take a look, President Trump needs to not worry about the sanctions on the Russian oil and gas, but work with them in putting in a longer term contracts, work with them, and just not pay any attention to natural gas pipelines coming out of Russia. You would have a lot more money than rather than having the CIA going out and toppling governments and those kind of things. If we worked with Russia and said, Hey, you guys go sell there will go sell here. We get everybody lower power. Life is good. [00:08:50][122.4]

Stuart Turley: [00:08:50] Let’s go to this last story here. GM shuts down its I don’t want to mispronounce this one MySQL gotten robo taxi money pit after acquiring Cruz in 2016 and then blowing $10 billion. I have said this before, Tesla and Elon will be a survivor in the EV space and I guarantee you Elon’s knocking it out of the park. His automation is there. This is another reason why GM, Ford and all the others need to get out. Here’s my message to GM and Ford. Work on a hybrid model. There is a need for the flyover states. I would buy a hybrid as a second car. Right now I’m going to be buying a Ford 250. I’ve got too much land work to do. I need the whole stuff as Cybertruck does. Doesn’t have the range that I need. I would love to have a cybertruck that’s going to be probably my fourth or fifth car that I buy to use just because I want a cybertruck. General Motors announced Tuesday afternoon after blowing $10 billion on its Robotaxi startup no longer. Fund crews bring ownership out of the 97 to 97 via agreements and shareholders. Acquire the remaining share shares and shut down the Robotaxi operation fold Cruise’s technical team into its own autonomous assisted driving effort for personal vehicles, which includes a hands off Eyes on Driving feature now available in two dozen GM models. Elon got them again. You know, he’s out of it, out developing it and doing great. Last month, under the fist of GM, then Cruz admitted the allegations of the DOJ accepted the criminal charges brought against him by the DOJ and settled. Holy smokes. Cruz halted operations after the permit in San Francisco was operating in Phenix, Dallas, Houston and Miami. November 23rd issued a recall to its 950 robotaxis and laid off a portion of its 4000 employees. Among other housecleaning items, GM did it Cruz that time. I’m sorry. I get tickled at this. This is all about, you know, anyway, how do you waste $10 billion and be responsible to your shareholders? Oil and gas executives have heard the ESG mandate of investors over the last five, six years. They are giving back their money very hugely. And all I mean, when you sit back and also take a look at Exxon. Exxon to increase oil production by 18% in 2030. So we’ve got oil and gas and oil and gas executives are giving their money back to their shareholders. They have heard this loud and clear. You take a look. It’s unveiled in Exxon Mobil as unveiled to increase spending by 28 to 33% billion annually. That’s amazing. When you sit back and take a look, they are going to keep on going, doing what you’re doing. Now, if you’re a friend of the show and you’ve listened to this podcast, Michael and I have talked about this in the past, and that is the difference between the U.S. operators exploration and production units. They went ahead and they went through and they stayed the course Occidental And in the exploration space, Occidental did a combination of carbon capture, looking after getting the government money and looking at going that way. That was a fairly good one. But when the money runs out, Occidental is going to be in a little bit of a financial pickle. When the money for the subsidies on carbon capture don’t come in. So now you take a look at Exxon, Chevron and all of the 50% of the oil in the United States is made from private companies. Those companies are giving money back is a good lion’s share of it to the investors and stakeholders. [00:12:56][245.7]

Stuart Turley: [00:12:57] So with that, like subscribe, read this to your pad, share it with your friends and family. And we sure appreciate all of the great subscribers. And you can check out the podcast on our Substack which is the energy news meet.substack.com. And then we also have energy news beat. Take a look at the top menu, fill out the survey on there and where you think oil and gas is going. And if you’ve got a tax issue and you need some tax deductions by the end of the year, fill out a note. We’ll send you over with the folks over there at Pecos operating. They do a phenomenal job on my investment that I personally put over there. I’m getting 32% on mailbox money. Love me some mailbox money. And I had a 98% tax deduction off of my investment. So with that, I look forward to seeing you next time. Have a great day. [00:12:57][0.0]3[762.9]

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