Imran Khan and Jeremy Pate, Swan Energy, react to the recent news of Chevron purchasing Nobel Energy and how that will impact the oil and gas industry.
Jason Spiess: Excellent, thank you for joining us today here. And I’ll tell you guys, I’m on the road here, coming back from, uh, Living the Crude Life live recording session in Greeley, Colorado, trying to get my piecemeal news. You know, I got Steve Harvey giving me news at the gas pumps, and so I’m getting bombarded with so much noise I don’t know which way is left. But I did see a headline – “Chevron Buys Noble,” and they’re going to lay off something 70, 75, 80 percent of their employees. Depends on which headline you read. Guys, I-I’m sure you guys are into this because you guys have so much happening where you’re being an extremely aggressive American company right now and it seems like this global— I don’t know what we want to call it if it’s from the top down or what, but it’s happening, guys, it’s happening. Talk to me about your reactions to the Chevron-Noble news.
Jeremy Pate: Well, it was definitely an eye-opener. Um, I-I anticipated Noble was one company that was a prime candidate to get, uh, bought out or acquired or merged with somebody else. I did not see it being Chevron, but I do love the transaction from a Chevron point of view. It gives them a foothold in the DJ where they can rival their biggest, uh, um, nemesis Oxy, uh, so they offset that. Um, in-in addition, uh, Noble has some very good assets and acreage positions in Colorado and they’ve, they’ve done very well. The DNC costs are low there. They have hot— they have very good wells that are, you know, anywhere from eight hundred thousand to them, uh, one million EUR. Um, so I love that on-on from the Chevron perspective. Um, Noble, they just did what they had to do to kind of get out from under everything. Um, you know, they weren’t going anywhere. They needed— uh, they were kind of spinning their wheels with their stuff in Israel and some of their overseas stuff. Um, this is a great deal for Chevron and all stock transactions.
Jason Spiess: Trying to keep up with a lot of this is-is, um, pretty, pretty difficult, you know, with these mergers that happen because these are big, big mergers, you know. And I saw another one and I-I didn’t have time to make notes. Like I said, I’ve been in the car traveling, and I got my dog with me and trying to keep, you know, everything going. And it was an acronym company. It was a couple billion dollars. I don’t know, it’s time for a game show to see if either one of you know which I’m talking about because it was— it was, honestly, it was like a secondary headline news after the Chevron one, but it was, um. I don’t know. It wasn’t PNG or PRG because I know I saw a bareback rodeo guy and that’s where I got PRG from, and I’ve been doing some photoshop work and I know that’s why I got PNG from. Does either one of you know what I’m talking about? There was a kind of another big merger in the last week.
Imran Khan: I think you’re talking about NRG, right?
Jason Spiess: That’s it, NRG. All right, NRG. At least what Meatloaf said, “Two out of three ain’t bad.” I got two out of the three acronyms.
Imran Khan: Two letters, man, that was good. That’s very good.
Jason Spiess: Uh, talk to me about your reactions on that.
Imran Khan: Well, they’re, they’re, uh, a little bit different, uh,
