I.D.I.O.T. First half talks about how expensive it is to develop infrastructure, skipped to the parts we mainly care to remember. I'd watch the remaining 8 mins on 1.5x+....15:36 if you don't fracking care bout fracking. A side argument is that the oil industry "didn't prep enough" while knowing how long it takes to increase infra and logistics. Some folks like Jeff Snyder says the oil industry doesn't listen to the Fed or their economic forecasts anymore. Been burned too many times on recovery-not-recoveries that hosed their investments when expected reflationary demand didn't show up.
⁵ I've said this several times since prices have risen because of Russia invading Ukraine. Thus is a temporary blip. It's not lack of investment, it's fracking has taken out all of the cost extras like middle east instability and have made oil prices a true function of supply and demand. If the war ends tomorrow, Russia will be selling its oil, and if US oil companies have made a huge investment based on Russia not being able to sell, everyone will lose including Russia because of a supply glut.
BTW, it is the war. Yes infrastructure to respond isn't there, but infrastructure is sufficient without a madman running the country with the most oil Like I used to say about Saddam, he would die one day, we all will. Oil companies are doing right by themselves not reacting to this stupidity
