The Shale Revolution triggered the “The Domino Effect”, a cascading series of events that has profoundly transformed energy markets, reshaped major related industries and remodeled the global economic and geopolitical landscape.
WHAT DOES ALL OF THIS MEAN TO US?
Last month Rusty Braziel published a book “The Domino Effect” to help us figure it out.
I would encourage you to read it.
I would encourage you to read it.
SUMMARY
- Energy Markets will behave differently than before the shale revolution
- Over the past 10 years since, the multiple cause and effects, he calls them dominos , 30 of them, make sense
- There are 3 products that are produced from the well head, natural gas, NGL’s natural gas liquids, and crude oil. There are 10+ shale plays in the US, each one is different. It is important to understand the how the production and use of the products varies
- The logical reaction to lower gas and crude prices is occurring, a significant slow down in Shale drilling.
- The US probably has a 10 year window where it has a monopoly in major shale production.
CONCLUSION
We are in the very early years of the shale revolution.
The shale revolution is likely to spread around the world over the next decade or two.
The various price collapses of the first shale decade were neither booms or busts.
The time is now to begin a career in the energy business…opportunities are staggering.
The future offers high reward along with high risk.