Overshadowed by the pandemic, an oil production and price war waged between the Saudi Arabian-led OPEC, Russia, the U.S. and other nations has landed a body blow upon the already weakened global economy. With billions worldwide now sheltering in place, oil usage has dropped by over 30%. But production hasn’t. The massive oversupply has crashed market prices lower than at any point in almost 20 years. To stop the bleeding, OPEC and other producers as well as the G20 have seemingly come to an historic deal that will slash global production across the boards. But the damage to the underlying fossil-fuel based economy means that Corona’s economic wreckage will ripple out just as we start to emerge into a brave new social-distance demanding world. L. Michael Buchsbaum examines the origins and implications of the Corona oil crash.
All posts tagged: Oil
Wind energy is starting to spill off the shore of Trump’s America
Although Trump keeps pushing lumps of coal and tankers full of freedom gas down the world’s collective throats, his industry-friendly administration hasn’t prevented America’s coal industry from dying or its fracking companies from losing piles of money. Nor has he stopped wind from gaining even more traction. After setting growth records last year, another breakthrough is forecast for 2020 as investors pour resources into new waters: offshore wind energy. But fearing its tremendous potential energy capacity, Trump’s minions are ramping up efforts to hold it back. As election fever grips the nation, L. Michael Buchsbaum looks at the state of offshore wind in Part 3 of his series on America’s energy transition.
Fracking chaos: As debt-ridden gas producers go bankrupt, who’ll be left to clean up their mess?
Though fracking enabled the U.S. to finally re-achieve the long held conservative dream of energy independence, the ever-increasing volume of fracked fossil gas flowing out of the U.S., has led to an international glut as prices continue to fall. Now neck-deep in debt and historically unprofitable, pure play gas frackers are starting to struggle. Mass bankruptcies, shut-ins, and layoffs are likely. But Trump’s evisceration of environmental protection laws combined with ludicrously low liability bonds virtually ensures the public will be stuck with the clean up bill. Michael Buchsbaum explains.
Ecuador: Where David slew Goliath
Latin America has a long and bloody history of extractivism. The rivalry over natural resources, such as sugar, copper and oil has for many years pitted large multinational corporations – usually backed by state authorities – against local communities, often indigenous groups. It is not difficult to guess who won most of these struggles. That is why it is so newsworthy that an oil drilling project in the Amazon was recently abandoned due to indigenous protests. Rebecca Bertram reports
New English edition of Plastic Atlas spotlights humanity’s toxic addiction
Published jointly by Break Free From Plastic, the Heinrich Böll Foundation, and the German Association for the Environment and Nature (BUND), the new report portrays a startling window into the toxic deluge fouling our planet. In just 60 years over 8.3 billion tons of petroleum-based plastics have been produced worldwide – more than one ton per person living on earth today. But only 10% has been recycled. As new production rates are accelerated by cheap fracked gas, the only solution is to drastically reduce our dependency. Buchsbaum reviews the Atlas’ findings.
Gagging on America’s freedom gas
As utilities across Europe make the switch from coal to gas, CO2 emissions there are falling. But on the other side of the Atlantic, ever-rising fracking production deteriorates air and water quality, impacting public health. Buchsbaum reports from Colorado where ozone and other industry associated pollutants regularly makes outdoor exercise dangerous.
The Norwegian dilemma: fossil-funded energy transition
In 2017, Canadian Prime Minister Justin Trudeau said “’No country would find 173 billion barrels of oil in the ground and just leave them there.” And yet, that’s what needs to happen: leave it in the ground. The situation in Norway is illustrative of the challenge. Craig Morris explains.
Will fracking be banned in Mexico?
The Mexican president let fracking opponents hope for the abolition of the environmentally harmful procedure. Rebecca Bertram explains to what extent this promise has been fulfilled.
Gas wars part one: let’s be honest about Germany’s growing dependence on fossil gas
With the ink barely dry on Germany’s Coal Commission report recommending a phase out by 2038, the oil and gas industry is breaking out the champagne. While environmentalists criticize the plan’s particulars, the other side is celebrating the slaying of their strongest competitor. And they’re translating that joy into furious lobbying aimed at ensuring that renewables don’t fill the majority of the void as coal plants are shuttered. L. Michael Buchsbaum explains.
Violation of democratic rights at the behest of mining in Colombia
On February 13th, the Colombian Constitutional Court decided to abolish local referendums on land use in Colombia. Kathrin Meyer elaborates on the consequences of this development and whether the international community should act.