While U.S. oil production reached a new peak of 10.25 million barrels per day, the higher it goes, the more breathtaking will be the inevitable collapse. Thus, as the mainstream media touts the glorious new record in U.S. production that has both surpassed its previous peak in 1970 and Saudi Arabia’s current oil production, it’s a victory that will be bittersweet.
While the U.S. Shale Energy Industry continues to borrow money to produce uneconomical oil and gas, there is another important phenomenon that is not understood by the analyst community. The critical factor overlooked by the media is the fact that the U.S. shale industry is swindling and stealing energy from other areas to stay alive.
BHP Billiton, the world’s largest mining company, has finally decided to exit the shale energy industry entirely. BHP CEO is looking forward to getting rid of its shale assets (liabilities) which have been one of the biggest drains on his company’s balance sheet for decades…