Guest Post: Another Special Report from SRSrocco

113
Sun, Sep 16, 2012 - 6:28pm

HUGE DOWNWARD REVISIONS OF U.S. SHALE RESERVES: Impact on Gold & Silver

For many years, the oil and gas industry has been hyping their new miracle baby called "SHALE ENERGY". Through advances in technology such as fracking and higher natural gas prices, unconventional sources such as shale gas became commercially viable. The U.S. Government first estimated the total shale gas reserves in the country at a staggering 827 trillion cubic feet. Furthermore, BP stated that shale gas and oil will make the United States self-sufficient by 2030.

However, cracks began to appear in the GREAT SHALE GAS MIRACLE when in January of this year, the U.S. Dept of Energy released new projections which cut the reserves to nearly half to only 482 trillion cubic feet. Even though this was a 42% decline in reserves... it is still a great deal of natural gas that the country can depend on. Or is it?

On Sept. 2nd, 2012, something very startling occurred. The USGS - United States Geological Society, came out with revisions to the shale gas fields' reserves... and it wasn't pretty. Before we get into the details of the data, let me give you some background information.

I have been reading TOD - TheOilDrum.com for years. I wrote a two part series called THE GREAT SHALE GAS SCAM on Turd's blog which you can find at these links (PART 1, PART 2). The series was based on work at TOD by Art Berman. Since 2009, Art has been skeptical of the hype put forth by the shale gas industry.

The EID - Energy In Depth (a public relations firm started and funded by the oil & gas industry) had to say this about Art last year:

"We think he's wrong about shale. But the good news is: we won't have to wait two or three years to find out who's right."

Well, it looks as if the folks at the Energy In Depth got their answer a hell of a lot quicker than they expected.

According to an article by Deborah Rogers, "USGS Releases Damning EUR's for Shale":

Chesapeake Energy (CHK) claims average EUR’s for the Marcellus at 4.2 Bcf. Range Resources (RRC) has claimed average EUR’s as high as 5.7 Bcf in investor presentations. According to the USGS, however, the average EUR for the Marcellus turns out to be about 1.1 Bcf.

(EUR stands for Estimated Ultimate Recovery)

Folks, this is quite alarming. Chesapeake had stated that the average estimated ultimate recovery of an average shale gas well in the Marcellus field was 4.2 Bcf (billion cubic feet). The USGS just cut that estimate nearly 4-fold to only 1.1 Bcf. In addition, investors with dollar signs in their eyes who purchased stock in Range Resources ... now get to experience how a 5-fold decline in reserves will impact their share price. I imagine SHALE ENEMAS are in store.

The USGS shale gas downgrades do not pertain to only a few areas, they reach across the whole country. Chesapeake Energy also claimed the average EUR in the Fayetteville was between 2.4-2.6 Bcf. But, according to the Powers Energy Investor, an industry publication stated:

“To put into perspective how ridiculous Chesapeake’s claims of 2.6 Bcf is, consider the following: of the company’s 742 operated wells completed on the Fayetteville, only 66 have produced more than one Bcf and none have produced more than 1.7 Bcf. Chesapeake’s average Fayetteville well has produced only 541 Mcf.”

Only 9% of Chesapeake's shale gas wells in the Fayetteville have produced more than 1 Bcf. I would gather Chesapeake probably doesn't believe the average figures it puts out in its propaganda pieces, but can you really blame them when they have to keep running the investor treadmill slaughterhouse? The USGS also confirmed this by stating the average EUR of the Fayetteville was only 1.1 Bcf.

One of the important factors not to overlook in estimating the ultimate recoveries of a shale gas field, is the realization that the sweet spots are drilled first, saving the mediocre and dead-beats for later. Thus, as the field ages with shale gas wells depleting exponentially by second year, it's nice to know the industry has decided to save the best for last.

Once you understand the insanity coming from the bowels of the Shale Gas Industry & Lobby, it becomes easier to pick out the charlatans promoting the business in newsletters and commercials. One name sticks out like a sore thumb -- Porter Stansberry.

Porter made a name for himself when he had Alex Jones narrate his END OF THE DOLLAR commercials that aired on MSM. He got a lot of exposure from these commercials that warned Americans of the upcoming collapse of the U.S. Dollar. He advised his subscribers and readers to buy gold and silver to protect themselves when the dollar finally died.

Everything was going fine for Porter until he decided that he could make more money getting people to believe in the Great Shale Oil & Gas Scam. This is how Porter describes Peak Oil:

OVER the past decade I have written many times that I consider Peak Oil to be one of the greatest intellectual frauds ever perpetrated.

Porter has no idea of the falling EROI - Energy Returned on Invested or the declining Net Oil Exports that peaked in 2005. I wonder if he is paying any attention to the recent USGS shale gas down-grades.

There is another interesting trend taking place in Texas. In the past several years, shale gas from Barnett field has gone up in an exponential fashion. If we look at the chart below, we can see just how much shale gas the Barnett field is supplying to the market:

In the past three years, shale gas production rose 20%. You would think this huge increase would greatly impact the overall supply. However, if we look at the NAT GAS production coming out of Texas, we find that total supply has actually declined since 2008:

In 2011, the Barnett Shale produced 1.936 Bcf or 25% of the total 7.6 Bcf that came out of Texas. For the Barnett Shale to be able to make the U.S. self-sufficient by 2030, it will have to produce a great deal more shale gas than it is today.

Unfortunately, this may not be possible as it looks as if the Barnett may be reaching peak production currently:

The only way shale gas production can increase to this level, is by the rapid rate of continued drilling. We must ask ourselves this question. How will the Barnett Shale increase future production if the industry practice is to drill the sweet spots first? Furthermore, shale gas wells depletion rates are running at 70-80% after two years of production.

Once we add up all the negatives such as, the recent USGS downgrades, the high depletion rates and the industry practice of exploiting the best areas first in the field... how in the living hell is shale gas going to make the U.S. energy independent?

This brings us to the next supposed SHALE MIRACLE.. and that is SHALE OIL.

Basically, what is taking place in shale gas industry, is also taking place in shale oil. I could get into a lot more detail, but this article would become too long and too boring. Instead, I have chosen a few charts done by Rune Likvern to give the reader an idea of what is taking place.

The shale oil players are doing the exact same thing as their shale gas counterparts by manufacturing, packaging and selling SHALE SNAKE OIL. These companies have overestimated their recoverable reserves as well as hyped how much their new technology will be able to extract more oil from future wells.

If we take a look at the first chart, we can see that there is an accelerated addition of wells just to sustain a specific well production in the North Dakota Bakken. The hamsters are running faster in the wheel -- getting nowhere:

In this next chart, the shale oil production that started in the summer of 2011, is much lower in its peak than the wells started a year prior. In 2010, peak production from these group of wells was nearly 130,000 BBL's ( barrels a day). But in 2011, the next group didn't quite reach 100,000 BBL's.

What we have taking place in the Bakken Field in North Dakota is a severe downturn in oil production per well as the best advanced technology is helpless in stopping it.

Rune made this comment on TheOildDrum about his findings:

For the studied wells in Sanish the decline in well productivity was around 40% over a year. Brigham’s wells (all of them which are spread over a huge area) showed a decline of around 10% in well productivity over a year.
Marathon’s wells show some gain in well productivity.
Overall the decline in well productivity was around 25% in one year.

So in light of this it becomes interesting to read that Marathon has decided to cut down on their activities in Bakken.

So did Occidental

Marathon & Occidental are cutting back their activities in the Bakken while oil prices are upwards of $100 a barrel? Do you see what is happening here?

As nitwits like Porter Stansberry continue to berate Peak Oil while pushing the SHALE MIRACLE, the data coming from the field provides a very sobering reality soon to knock on the door of the American Public. And that is, Shale Oil & Gas is not our future energy savior, but rather another delusion in a series of delusions propagated on U.S. citizens.

This is indeed the problem. The world has been closely watching the United States and its supposed new SHALE ENERGY PARADIGM. Countries throughout the world have been banking on our recent success so they can reproduce the same technology in their own supposed shale gas fields. However, we are finding out that our own experiment in this new energy field has proven quite disappointing.

The world will not be able to count on Shale gas or oil to supply a large percentage of its needs for a long period. In the end, shale energy will just give us a little more time before we have to realize that we as a species are going to have to survive on a lot less.

HOW WILL THIS IMPACT GOLD?

I have been writing about energy and its impact on the mining industry for a few years. The U.S. and world has been counting on advanced technology and unconventional oil sources such as shale oil & gas to allow us to keep running our car dependent lifestyles for at least another 3 or 4 more decades. I think we will run into trouble within the next several years... and this is without any black swan events occurring in the Middle-east.

As you know, I have been writing articles showing the declining gold and silver ore grades in the industry and how more energy is needed to mine the same or less metal each following year. I have finally updated the top 5 gold miners average annual gold yields, reserve head grades as well as their diesel consumption.

The first chart shows the growth (or lack of thereof) gold supply from the top 5 gold producers:

In six years, the total gold production from Barrick, Newmont, AngloGold, Gold Fields and GoldCorp has fallen 5% or 1.3 million ounces. As you can see from the chart Barrick and GoldCorp are the only two companies that have increased their production since 2005. Here are the details:

Change from 2005-2011

BARRICK = +2,216,000 oz

GOLDCORP = +1,378,000 oz

GOLD FIELDS = -734,000 oz

ANGLOGOLD = -1,835,000 oz

NEWMONT = -2,300,000 oz

If we start the data from 2006, even Barrick has less production by nearly 1 million oz. Furthermore, if I had chosen Harmony Gold instead of GoldCorp in the top 5 group, the overall declines would have been much worse. For instance, Harmony Gold produced 2.9 million oz in 2005, but only 1.3 mil oz in 2011. The reason why I selected GoldCorp over Harmony was due to two reasons. GoldCorp will be the larger producer in the future, and due to the fact that I was unable to obtain diesel consumption data from Harmony's website or through several email attempts to their management.

In researching the gold and silver mining industry there are a few terms that needs to be explained. There are average reserve ore grades (head grades), average processed (or milled) ore grade, and average yield. In the past, I may have misused these terms. I will clarify this in the material below.

Every year a gold or silver company lists their annual reserves and resources. I will only focus on reserves at this time. As the company mines their reserves and replaces it with new reserves (proven & probable), they state the new amount each year along with an average ore grade or head grade. Below are the top 4 gold producer's head grade based on year-end reserves:

If we calculate a simple average, we get a decline in overall head grade in the top 4 producers at 4% per year. I did not include GoldCorp in this chart because they do not list an average head grade in their annual reports. I decided to do a weighted average of reserves in from their 2006 annual report and found it to be 1.05 grams per tonne. For the life of me, I don't know why GoldCorp does not show their average annual head grade for their proven and probable reserves. They do list each of their mines' reserves and respective average head grade (and even a total amount of gold reserves at the bottom), but no overall annual average head grade.

So, all we need to take away from this chart is that the average head grades in their reserves are continuing to fall at the top gold producers in the world.

The next chart reveals the relationship between head grades and diesel consumption in the these gold producers. Here we can see that the lower the head grade in the mining companies reserves, the higher the amount of diesel is consumed. Newmont (shown in red in both charts) has the lowest head grade of the bunch, and it consumes the highest amount of diesel.

On the other hand, Gold Fields (purple) has the highest average head grade and consumes the least amount of diesel. If we assume that GoldCorp's reserve head grade is similar to Newmonts, and it was producing the same amount of gold as Newmont, its overall diesel consumption would be more than twice of what it is currently.

According to their 2011 Annual Report, GoldCorp forecasts a 70% increase in gold production (1.75 million oz) in the next five years. If they are successful in bringing on this new production, I would imagine they would have to increase their diesel consumption from 58 million gallons in 2011, to nearly 100 million gallons by 2016.

As I have mentioned before, as ore grades decline more diesel is consumed is the mining process. Furthermore as open-pit mines age, it takes more energy (diesel) to extract the same or even less metal. In the past five years, the top 5 gold companies have increased their diesel consumption 72% per ounce of gold produced.

In 2005, the top 5 only consumed 12.7 gallons of diesel to produce an ounce of gold, but by 2011 it took 21. 8 gallons to produce that same ounce. Here are the individual results:

Diesel Consumption from 2005-2011

GOLDCORP 2005/2011 = 8.5 gal oz / 23.2 gal oz

GOLD FIELDS 2005/2011 = 4.9 gal oz / 10.6 gal oz

ANGLOGOLD 2005/2011 = 8.1 gal oz / 15.2 gal oz (2005 estimated)

NEWMONT 2005/ 2011 = 18.9 gal oz / 28.7 gal oz

BARRICK 2005/ 2011 = 15.4 gal oz / 24.6 gal oz

We can definitely see the distinction between the five companies' diesel consumption. The South African miners Gold Fields and AngloGold consume the least because they are predominantly underground mines with higher average ore grades. However, this trend is changing due to the fact that good quality underground gold resources are becoming increasingly scarce.

I would like to clarify one aspect that is not represented in the charts. The total diesel consumption from Barrick includes the energy it uses in mining its copper projects. This is also true to a lesser extent for Newmont. Instead of going through the time and effort to try and figure out what amount of diesel is consumed at just its gold operations, I have lumped it all together. I believe if a primary gold mining company is going to dilute its primary status by getting into the mining of base metals such as copper, they deserve to have it impact their gold to diesel production ratio. We must remember, where there is copper, there is gold. So, I look at their copper mining projects as very low quality gold deposits.

The next chart shows the change in average gold yield in the top 5 producers. These miners list the average ore grade of the total processed ore (milled) in their annual reports, but this is does not reveal their true gold yield as they lose a certain amount of gold in the leaching and refining process. To get this average yield, we have to take their gold production and divide it by the total amount of processed ore (in tonnes).

In the past six years, the average yield in these top producers has declined 23% or 3.8% per year. Thus, in order for these top miners to keep production flat, they have to add nearly 1 million ounces of gold production (3.8% = 900,000 oz based on 2011 figures) each year to offset these loses. They can do this by adding new mines or ramping up the total amount of processed ore. Either way, it takes more diesel to do so.

WHAT ABOUT DIESEL CONSUMPTION IN PRIMARY SILVER MINES?

Let me tell you, the information on diesel consumption in primary silver mining is little to non-existent. I have just started to research this data and have only found sustainability reports for Pan American Silver and Hochschild Mining. There simply isn't that much data from these primary silver companies as they don't consume a great deal of energy or impact the environment as much as the larger gold and base metal counterparts.

Hochschild does not list their diesel consumption in a single amount, they list it in a ratio to their processed ore. Without a great deal of time and math calculations, I have decided to just list Pan American Silver's diesel consumption. Here it is:

Pan American Silver Diesel Consumption

2010 = 5.8 million gallons

2011 = 8.5 million gallons

Pan American produced 24.3 million ounces of silver in 2010 and 21. 8 million ounces of silver in 2011. Thus, we have a ratio of 0.25 gal. of diesel per ounce of silver in 2010 and 0.40 gal per oz of silver in 2011. Even though this figure is increasing we can see that mining silver from primary mines takes a hell of a lot less diesel than mining gold.

Pan American Silver had an average yield of silver in 2011 at 4.7 ounces a tonne, or 146 g/t (grams per tonne). To get an idea of how diesel consumption in primary silver mines compares with primary gold mining, below are the following figures:

TOP 5 GOLD MINERS 2011 AVG YIELD = 1.3 g/t

PAN AMERICAN SILVER 2011 AVG YIELD = 146 g/t

TOP 5 GOLD MINERS 2011 DIESEL CONSUMPTION = 21.8 gal/oz

PAN AMERICAN SILVER 2011 DIESEL CONSUMPTION = 0.4 gal/oz

RATIO of DIESEL CONSUMPTION = 21.8 / 0.4 = 54.5

Here we can see that the top gold miners use 54 times more diesel to produce an ounce of gold compared to an ounce of silver coming from Pan American Silver mines. As Primary Silver miners ore grades continue to decline, their diesel consumption will increase in the future.

Lastly, there is a reason why the market price of diesel is more than gasoline. In the refining of a barrel of oil, on average it produces 19.2 gallons of gasoline and 9.2 gallons of distillate fuel oil. Of that 9.2 gallons of distillate fuel oil, it consists of a portion of diesel fuel as well as heating oil. The world's demand for diesel continues to increase, but the supply has been relatively flat over the past several years.

There has been some advances in refining technology to produce more diesel from a barrel of oil, but this is not a huge amount. I still run across people who tell me that the price of diesel is manipulated because it is just a waste product from the refining of a barrel of oil. That may have been true back in the 1930's, but it is not true today... I can assure you of that.

THE POPPING OF THE SHALE ENERGY MIRACLE MEANS PEAK METALS SOONER THAN LATER

As I mentioned, the world has been closely watching the United States and its supposed success in its new SHALE ENERGY PARADIGM. According to the facts and data provided in the energy portion of this article, it looks as if shale gas & oil will not be able to supply our increasing demands for liquid energy in the future. Moreover, it may be difficult to just keep shale gas & oil production from falling in the next several years.

With the pathetically low price of Nat Gas (at least $4-5 below breakeven prices for the shale gas players), drilling rig numbers in this sector have been dropping like a rock over the past several years. The hype coming from the Shale Oil & Gas companies will come back to bite them very hard when the public and the world realizes they have been sold an horizontal pipe dream just to keep the HAMSTER SHALE ENERGY WHEEL TURNING.

As the world wakes up to the fact that these unconventional liquid energy sources will not be able to offset the ongoing depletion of conventional crude production, the world will have to survive on less in the coming years. And, that means less gold and silver.

So, the popping of the SHALE GAS MIRACLE just erased any remaining doubts that the world will be able to continue its delusion of maintaining business as usual... forever.

About the Author

Founder
tfmetalsreport [at] gmail [dot] com ()

  113 Comments

  Refresh
Zoltan
Sep 16, 2012 - 8:55pm

El Gordo's Lesson and the SDB

First off I'm sorry to hear of your loss. Sucks when people get victimized and it has always bothered me on a personal level.

I know some people hate Safety Deposit Boxes (SDB) but they have a role in diversifying your stack. Especially if your home situation is less than secure (and anyone in an apartment has an unsecure home situation). Not only could your landlord enter at any time "master keys" go missing and all kinds of things go wrong with keys. I am sure Short Stack could share some horror stories.

My SDB is with the branch of the bank I deal with for my borrowing needs so I like to think it is somewhat hedged (don't count on me making any payments if I suddenly lose access to my SDB). Also at some point in time I will probably repatriate it to home (probably about the same time I settle in at home watch the shit show unfold).

Z

silvergoldsilver
Sep 16, 2012 - 8:53pm

Nat gas

Good to see you sir. CAT and there management are obviously tied to the oil companies head suits-we get that they are part of the oil ponzi continuum. That being said, if there was a looming shortage of diesel, as this argument is now a supply issue, why would they not quickly develop alternative fuels to run these ie: nat gas. Also we have to remember that the demand for diesel will drop as the price increases as well.

I dont think we should be looking into a Saudi problem, but surely we should be eyeing the Iran problem. If Iran goes offline for a week, you will see $9/gal pump prices. You know who I blame when it happens....

TheGoodDoctor
Sep 16, 2012 - 8:52pm

We just need solar mining

We just need solar mining vehicles. That will solve everything! LOL.

Anyway, silverdoctors site has been down all day?

Does anyone think that the Fed might be the bank set to fail with all the MBS it is going to buy in perpetuity rather than Morgan Stanley?

Also, I forgot if this was posted or not, a chart that shows the gold/silver prices along with when QE was issued. Was that something Turd did? Thanks in advance.

SRSrocco
Sep 16, 2012 - 8:51pm

REPLY @ SGS

SGS.. good to see you. I am less concerned about the COST OF DIESEL, than I am about the supply of it. If the price of gold and silver rises as we think they will, the costs for diesel may not be all that much of a concern. However, if we see shortages, what does a CATERPILLAR HAUL TRUCK do with 400 tonnes of gold ore if it doesn't have diesel?

The mining industry consumes roughly 10% of the worlds energy. As the amount of liquid energy declines... so will the mining industries portion of it. I also believe when push comes to shove... politicians will fight over which industry gets what oil. When liquid energy does suffer shortages, we may see the farmers of the world getting the first DIBS on diesel.. who knows??

This baby gets 0.3 mpg. It consumes 65 gallons an hour, or 500,000 gallons a year. I am not saying we are going to see shortages this year or next, but they are coming. That being said, if Saudi Arabia goes down with the rest of the middle-east countries... it may happen sooner.

SRSrocco
Sep 16, 2012 - 8:36pm

REPLY @ ET AL....

Karankawa.... I have not yet listened to that interview.... but I plan on it. It reminds me of the BIG PEAK OIL DEBATE on Coast to Coast back in 2005 with Jerome Corsi & Mike Ruppert. Objectively, I thought Mike won the debate, but a poll taken after the debate was finished stated that Corsi won. I believe that is because Americans don't want reality... they want the delusion.

Battle Beagle... Because ramp up production was so quick at the Bakken, there isn't pipeline infrastructure to move the oil to market... so we have bottlenecks. The Canadian Tar Sands oil is also at a discount because their pipeline runs to Cushing Oklahoma... where there is also a glut. I hear there is big movement of truckers heading to North Dakota to move their oil by Semi-tractor trailer load. There is huge back-order for oil tankers. It is a modern day OIL BOOM... but as booms go.. so will a bust.

Flaunt... it will be PEAK SILVER & GOLD. Why? Let's first look at global oil production. This chart is from my last article:

Of the 1,160 Gb (billion barrels) of oil produced since the 1880's, 263 Gb or 23% was pumped between 2002-2011. That is just a staggering figure. For the world to continue to pump this amount of oil, progressive annual depletion rates keep rising... which means the world has to pump even more just to stay flat, much less grow production.

Currently, the approximate annual depletion rate of global oil production is about 4-5%. If we assume a 75 mbd figure (crude & condensate only), the world has to bring on an additional 3-4 mbd to just to keep production flat.

This holds true for GOLD & SILVER. The world produced 88 million oz of gold in 2011. If we assume a conservative 3% depletion rate (due to declining ore grades), the world has to add 2.5-3 million oz of gold just to keep production flat.

It doesn't matter if lower quality ore grades become commercially viable because gold and silver prices are higher. If there isn't enough DIESEL in the HAUL TRUCK TANK.. .the ore doesn't move. Thus, we have the same thing taking place in the Oil Market. The price of oil has risen 4-fold since 2004, but global production has been basically flat.

The AGE-OLD ECONOMIC PRINCIPLE that if the prices of a THING rises, the market will eventually bring on more supply. This may be true in a textbook, but does not hold true in a peak oil environment.

My gut tells me (from oil projects slated to come online), the world will peak in the next few years... and this doesn't even include the loss of NET OIL EXPORTS due to the Land Export Model.

It's bad news all the way around. However, it's great for those who own PHYSICAL GOLD & SILVER

silvergoldsilver
Sep 16, 2012 - 8:34pm

Hedging

I'm no master, but my first thoughts are that these companies will hedge against a rise in energy prices and this would be a complete wash.

Let me know why this would not be the case.

Short Stack
Sep 16, 2012 - 8:33pm

Thanks El G

Not too worried about theft of my precious. My safe is bigger than a hippos butt and it's on the third floor. Had to tip the movers double to get them to get it up there but no one is getting it down my stairway. I had it narrowed for that reason. The only way that safe's coming down is if the house does.

And being a locksmith I installed two additional tumblers making it a total of seven combination numbers in case someone thinks they can manipulate the combination.

I may not be rich, but I'm certainly not stupid.

SRSrocco
Sep 16, 2012 - 8:31pm

THE GREAT BALANCING....

HERE IS AN EYE-OPENER

EIA data for Alaska + North Dakota (C+C):

1/12: 1.15 mbpd
6/12: 1.15 mbpd

I picked up this nice little stat from Westexas on TOD.

ALASKA CRUDE JAN = 612,000 bd

NORTH DAKOTA JAN= 535,000 bd

ALASKA CRUDE JUN = 493,000 bd

NORTH DAKOTA JUN = 660,000

ROUNDS NICELY to equal = 1.15 md

So, here we see that declines in Alaska is being offset by a rise in North Dakota. Furthermore, the Gulf of Mexioc oil production will more than likely go into a rapid decline due to the fact that the majority of production is coming from DEEP WATER. Deep water oil is very expensive to produce and suffers very high depletion rates.

El Gordo
Sep 16, 2012 - 8:21pm

SS

Go for it. I just had to take a couple of my SSI checks to do repairs to my mother's house to keep the varmits from moving in to the attic for the winter. I highly suspect that many of us are just doing the best that we can and trying to do the next right thing most of the time. My goal in life is to get a stack of 500 oz silver at which time I will declare my mission accomplished - hope I live long enough to complete that task. Two years ago my apartment was burgled (twice, they couldn't haul it all in one load), and they took everything except my pots and pans. BTW, insurance doesn't cover cash, bullion, coin collections, or anything else of real value, a fact I found out the hard way. So I know a little about climbing back out of a hole. But, I try to hold on to my hat and not dig any deeper - that's life you know. Just keep on chugging.

FritzSilver Danny
Sep 16, 2012 - 8:20pm

lack of refining . . .

The refiners understand that they may not be able to build plant and purchase equipment for 30-50 year assumptions due to the difficulties that are pointed out in this research. It really is that simple.

Subscribe or login to read all comments.

Contribute

Donate Shop

Get Your Subscriber Benefits

Private iTunes feed for all TF Metals Report podcasts, and access to Vault member forum discussions!

Key Economic Events Week of 10/26

10/27 8:30 ET Durable Goods
10/27 10:00 ET Case-Shiller home prices
10/27 10:00 ET Consumer Confidence
10/27 10:00 ET Richmond Fed
10/28 8:30 ET Advance Trade in Goods
10/28 8:30 ET Wholesale Inventories
10/29 8:00 ET ECB monetary policy stmt
10/29 8:30 ET Q3 GDP first guess
10/30 8:30 ET Personal Income and Spending
10/30 8:30 ET Core Inflation
10/30 10:00 ET UMich Consmer Sentiment

Key Economic Events Week of 10/19

10/19 11:45 ET Goon Chlamydia
10/20 8:30 ET Housing Starts
10/20 1:00 pm ET Goon Evans
10/21 10:00 ET Goon Mester
10/21 2:00 pm ET Fed Beige Book
10/22 8:30 ET Initial Jobless Claims
10/23 9:45 ET Markit Oct flash PMIs

Key Economic Events Week of 10/12

10/13 8:30 ET CPI and Core CPI
10/14 8:30 ET PPI
10/14 9:00 ET Goon Chlamydia
10/15 8:30 ET Philly Fed
10/15 8:30 ET Empire State Idx
10/15 8:30 ET Import Price Idx
10/16 8:30 ET Retail Sales
10/16 9:15 ET Cap Ute & Ind Prod
10/16 10:00 ET Business Inv

Key Economic Events Week of 10/5

10/5 9:45 ET Markit Svc PMI
10/5 10:00 ET ISM Svc PMI
10/5 10:45 ET Goon Evans
10/6 8:30 ET Trade Deficit
10/6 10:00 ET JOLTS job openings
10/6 10:45 ET Chief Goon Powell
10/7 2:00 ET Sept FOMC minutes
10/7 3:00 ET Goon Williams
10/8 8:30 ET Initial jobless claims
10/9 10:00 ET Wholesale Inventories
10/9 12:10 ET Goon Rosengren

Key Economic Events Week of 9/28

9/29 8:30 ET Advance trade in goods
9/29 9:00 ET Case-Shiller home prices
9/29 10:00 ET Consumer Confidence
9/30 8:15 ET ADP employment report
9/30 9:45 ET Chicago PMI
10/1 8:30 ET Personal Income and Spending
10/1 8:30 ET Core Inflation
10/1 9:45 ET Markit Manu PMI
10/1 10:00 ET ISM Manu PMI
10/2 8:30 ET BLSBS
10/2 10:00 ET Factory Orders

Key Economic Events Week of 9/21

9/21 8:00 ET Goon Kaplan
9/21 10:00 ET Goon Evans
9/21 Noon ET Goon Brainard
9/21 6:00 pm ET Goon Williams & Goon Bostic
9/22 10:30 ET Chief Goon Powell on Capitol Hill
9/22 Noon ET Goon Barkin
9/22 3:00 pm ET Goon Bostic again
9/23 9:00 ET Goon Mester
9/23 9:45 ET Markit flash PMIs for September
9/23 10:00 ET Chief Goon Powell on Capitol Hill
9/23 11:00 ET Goon Evans again
9/23 Noon ET Goon Rosengren
9/24 1:00 pm ET Goon Bostic #3
9/24 2:00 pm ET Goon Quarles
9/24 10:00 ET Chief Goon Powell on Capitol Hill
9/24 Noon ET Goon Bullard
9/24 1:00 pm ET Goon Barkin again & Goon Evans #3
9/24 2:00 pm ET Goon Bostic #4
9/25 8:30 ET Durable Goods
9/25 11:00 ET Goon Evans #4
9/25 3:00 pm ET Goon Williams again

Key Economic Events Week of 9/14

9/15 8:30 ET Empire State and Import Price Idx
9/15 9:15 ET Cap Ute and Ind Prod
9/16 8:30 ET Retail Sales
9/16 10:00 ET Business Inventories
9/16 2:00 ET FOMC Fedlines
9/16 2:30 ET Powell Presser
9/17 8:30 ET Philly Fed
9/18 8:30 ET Current Acct Deficit

Key Economic Events Week of 9/7

9/9 10:00 ET JOLTS job openings
9/10 8:30 ET Initial jobless claims
9/10 8:30 ET PPI
9/10 10:00 ET Wholesale Inventories
9/11 8:30 ET CPI
9/11 9:45 ET Core CPI

Key Economic Events Week of 8/31

9/1 9:45 ET Markit Manu Index
9/1 10:00 ET ISM Manu Index
9/1 10:00 ET Construction Spending
9/2 8:15 ET ADP employment
9/2 10:00 ET Goon Williams
9/2 10:00 ET Factory Orders
9/3 8:30 ET Initial jobless claims
9/3 8:30 ET Trade Deficit
9/3 12:30 ET Goon Evans
9/4 8:30 ET BLSBS

Key Economic Events Week of 8/24

8/24 8:30 ET Chicago Fed Idx
8/25 10:00 ET Consumer Confidence
8/26 8:30 ET Durable Goods
8/27 8:30 ET Q2 GDP 2nd guess
8/27 9:10 ET Chief Goon Powell Jackson Hole
8/28 8:30 ET Pers Inc and Consumer Spend
8/28 8:30 ET Core Inflation
8/28 9:45 ET Chicago PMI

Forum Discussion

by FrankMUQAQ, 2 hours 41 min ago
by HappyNow, 11 hours 21 min ago
by 11IMIX, Oct 28, 2020 - 8:49pm
randomness