Transcript. Bannon’s War Room. Dave Walsh Gas Futures Internationally Continue to Skyrocket. September 10, 2022.
Topic: Gas Futures. Guest, Dave Walsh. September 10, 2022.
Transcripts from Bannon’s War Room on Rumble: Dave Walsh: Gas Futures Internationally Continue To Skyrocket.
Published September 10, 2022.
Steve Bannon:
The Swedes’ crime and the out-of-control immigration is number one, but the inflation in particularly energy where do we stand today? You saw where the last act of the queen, we're going to have Peter Mcilvenna, join us here in a moment, the last official act of the queen was to allow Liz Trust to put together a government right cause she's been voted to head of the conservative party. First thing she does is say, hey I'm going to freeze your electric bills. I'm going to freeze your energy bills for two years. What's the latest on the energy crisis in Europe, Sir?
Dave Walsh:
Well quickly Steve the scorecard on Liz thus far we get three things: A+ on 130 drilling permits in the North Sea, she wants to cut loose, that's great. Make fracking legal in the UK, deemed illegal two years ago and now make it legal. That's her agenda that's terrific. The price cap thing is it's out of the French playbook. EDF tried twice bankrupted EDF. Been tried in California and other leftist energy states, if you will, bankrupted PG&E on the same tactic.
Bankrupting utilities, that’s what winds up happening, when you set price caps on electricity and natural gas. It causes them to have difficulty funding and raising capital going forward and causes to lose a lot of money and can cause them to go bankrupt which then the state takes over and you've got then government running the problems they caused. So that's not a great thing.
Spot prices on gas still way high. They radically moved today between 202 bucks per dekatherm October futures and 220 in Holland. So still very very high. They're working away at the storage 85% of storage capacity supposedly full. Over here we got on this wealth crisis, the household wealth decline by over six big trillions in Q2. Gas demand, I said a month ago, was down 9% year on year. It's now down 11%, if you look at the period 15 to 19, gasoline demand.
So, 11% and worse than the pace than it was in August of 2020 when we had half the economy was shut down. Gasoline demand is back to that level. So, again I questioned a couple weeks ago U S Bureau of economic analysis GDP declined to .6%. I'm thinking it's far worse than that in reality. We've got aluminum smelters being shut down in the US now due to electricity cost. Steel plants curtailing activity over here, also not just Europe. So, we're way into a recession. There's no question about that and it is energy driven.
Steve Bannon:
You see the drop in demand, absolutely no doubt. People are changing their lifestyle. You see the drop in at $6 trillion in the house on that real quick before I go back to Tyrmand, and I want you to hang on. The guys in Sweden are saying, hey my bills are up five times not 50% five times. What relief is in it for him if he doesn't vote in a party like the Swedish Democrats that can do something along the lines of list trust is trying to do in the United Kingdom
Dave Walsh:
Well, no relief because you know price caps is a theory. By the way, the whole EU is evaluating this as a group. They're going to try to form an 18 nations consortium to cap prices of gas being imported from Russia and elsewhere.
And then have some relief on collateral rules on electricity trading, but the price cap thing is another activity that winds up stifling production and what is needed now is the opposite, North Sea production, conventional drilling in north England and in Sweden. Norway is all over this in a positive way, has been ramping up North Sea production even before this so-called crisis. They've got a big field coming into play here this fall.
Sweden’s got to catch on with that and the UK, raise production not price caps, get North Sea production elevated, get natural gas, frack in England, conventional drilling, move ahead with that. Get back to some mining, open up coal plants as Germany has done 10,000 gigs of coal have been reopened in Germany, 10 plants, that's a necessary, England’s got to do the same.
Steve Bannon:
Dave Walsh once again ca Europe, can the United States, can the Judeo-Christian West solve this economic crisis their elites have gotten into listening to a 12-year-old petulant preteen in Sweden named Greta Thunberg, can they get out of it, unless they as adults come to grips with energy Dave Walsh?
Dave Walsh:
Well Dave (Dave Brat) has done a great job of deliberating economic growth for religion. My religion is electricity and energy. That same point, we've showed indisputably economic growth is tide to electricity consumption in countries, high GDP, high electricity consumption, they tie together very tightly on a correlated basis.
For us to have the Secretary of the Treasury now advocating for the environment which she is doing when she singles out the abolition of our dependence rid ourselves of fossil fuels. 83% of our energy in the United States of America all in, is fossil fuel driven. So here we have the Secretary the Treasury joining the EPA, the Interior Department, and the SEC all on climate science, nothing to do with her scope of work, her scope of duties, her official duties, the duties of her department which is about fostering economic growth, fostering a healthy money supply, a healthy dollar, a healthy trade balance. We are the largest exporter of natural gas in the world, and she wants to kill fossil fuels. This this is senseless, utterly senseless.
Steve Bannon:
It's insane, it's insanity. It's a fantasy. Hang on one second right there Dave. Yes, destroy, basically destroy our industrial capacity that's what she's going to do.
Dave (Dave Brat) we've got we've got about 60 seconds…Let's talk about stability for a second….
I want to bring back to Dave Walsh. Dave, you see there could be a political earthquake on Sunday in Sweden, and they've actually gone to the bullpen as we say here in the United States and they brought in Greta Thunberg, the petulant teenager, that quite frankly that the European elites kowtow to right. They kind of used her but they kowtow to her and this one is reasons Germany, I was on with some German people early in the day, essentially kind of lighting them up, these are people in other parties that I don't think have been aggressive enough and giving alternatives particularly on energy policy. But I wanted to just make sure, is England right now is the middle of this transaction because you actually think Liz Trust a couple of her moves besides the price cap, hey you're not going to increase your electric bill which means taxpayers are going to be bailing out bankrupt British electrical companies. I want to go back for other two moves you talked about make sure people understand it what did she do and why do you see that as a positive sign?
Dave Walsh:
The UK has been held back on North Sea exploration and production consciously for 10 years based on the green movement pressure. She had announced prior to being selected that if she were selected, she would open up 130 permits for new drilling and exploration in the North Sea which is a very good thing. We had 10 million barrels a day being produced there about 20 years ago now 3.5-million-barrel, 65% reduction. The UK has been a far bigger part of that than Norway. Norway’s hung in there and continue to produce and explore. UK investment and exploration BP in their firm’s way down the last five years. So that's a very good sign. And now the fracking, the fact of making fracking legal in the UK, that's great. That's necessary, abundant natural gas in the UK in the ground anywhere you've got by two minutes coal in the UK still has plenty of that you've got natural gas both conventional and fracked. So hopefully she also pushes on the conventional up North which there's plenty of. Those are very good thing. The caps are usually a difficult thing on utilities, and you can wind up with the more government intervention later as they as they default, utilities with caps being forced on them.
Steve Bannon:
By the way, you’re also going to see this in the United States so there so you're going to see this out of a Newsom and this whole crowd. One last thing, in Sweden if Thunberg comes in late and they’re defeated actually the Swedish Democrats fight or draw or get close enough, do you believe other nations in Europe that saying hey this kid and what she represents right is leading us down a path of really economic collapse. Do you think that that could be the first domino could be in Sweden to start to reject which she's represented for the last ten years?
Dave Walsh:
My extremely close and high-level contacts in Italy tell me there's a 96% chance we're going to have a very conservative government in Italy very soon, same thing. Yeah, I think that's beginning of a wave that we're seeing.
Steve Bannon:
By the way Georgia Maloney who I know very well, the polling right now she's on fire. Salvini, if she did the two of them put together a government would be on fire.
Dave Walsh added people get to you also like brat you just got to get her but man you got to go to your account how do people find you
Steve Bannon:
I'm at Dave Walsh energy on GETTR, thank you Steve.
Dave Walsh:
Dave Walsh energy Dave thank you for hanging.
END
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