gas-enomic indicators

I've got time on my hands so here goes.

Conoco is set to buy into into New Energy Standard's shale tenements in the Canning Basin WA. How much gas does Conoco want?

The answer is, all they can get. They've got interests in APLNG, Browse, Karoon, Greater Sunrise and now WA shale.

Why?

It's gas, its carbon light, it's in Australia and its near....Asia.

WA is floating on gas but still the domestic market looks tight. Spot gas $8-$10!

Deutsche Bank have been buying up BOW for months. You can see their purchases day by day (on the Substatntial holder notice) including substantial buying in late June and early July.

Maybe they didn't read the papers and missed the carbon tax thing.

BPT are feverishly trying to prove up shale reserves in the Cooper Basin. All the near sighted analysts quote the marginal economics at $4 per BTU.

ESG is floating on gas, big reserves upgrade on the way, emerging east domestic demand in the middle of the most populous state in Australia desparate to revive its economic fortunes.

But, but Julia, Bob and Christine aren't talking up gas. Why is that?

Several reasons and most importantly, they need to sell the Green renewable story, not the transitional carbon light fossil fueled one.

Why isn't the market all over the CSG shares like a fat kid with a packet of Smarties?

The market needs a lead and that lead will come from one of the big players.

Deutsche Bank's little foray into BOW might be the first sign. Seems strange to me that they've stuck their head above the parapet.

Little old CNPC via subsidiary HQCEC just confirmed their 20% stake in LNG Limited. Does anyone think they failed to read the papers as well?

Is there any sign of desperation from ESG or any other players in the CSG space. They all appear remarkably composed.

Almost all of the CSG players have advised the market they are getting plenty of interest from buyers. If only we had the News of the World phone tapping team at our disposal.

Origin's Grant King has signaled his doubts about renewables being able to step up to the mark in the new carbon light Australia. Origin has more fingers in the renewable assset pie than I care to mention. Not a good sign for the economics of renewable energy.

His main criticism concerns the carbon concessions offerred to the LNG industry.

Will bore you with more indicators later.

(Aknowledgement: Smartie line is not mine)