What The Funk?

0:00 What's up, Funkers? We are back been a couple weeks without a recording and Finally back on the microphone and busy Really busy this year and I know people like to just say that but it feels like

0:13 one day I'm in Oklahoma next day I'm in Dallas shout out JSX Airlines

0:20 and

0:22 Really excited about this one today, nudge I've got Nigel gorbold who I met sort of randomly when he signed up for the funk futures golf tournament a couple years ago And I had no idea who he was so

0:34 we decided to get together grab some lunch in his backyard and Boulder and I've built a pretty nice friendship since Nigel's repping East daily and we'll get to all of that stuff, but Before we do

0:45 that Nigel, you know what we do here on what the funk you've heard a few episodes Who are you man? Who is Nigel

0:53 gorbold? That's a pretty loaded question. That's how we do it. Yeah, you know, I'm I'm a father of four and two dogs living in Colorado, enjoying life, living with my family here in Colorado.

1:08 And I'm a proud Olin and Gasps guy, right?

1:14 It's a little unique to

1:18 be based in Boulder, Colorado and being an Olin and Gasps guy, but also shout out to JSX, do a lot of traveling for work down to Houston

1:28 and Dallas And I'll say, you know, just my one little plug, you know, I'm not sponsored by JSX, but if JSX could get a Denver to Houston leg, then I wouldn't need to fly commercial ever again.

1:41 Ever, ever. It's a game changer, it's a game changer. They need to sponsor this podcast. I've been talking about them on here a little bit, like we've been plugging them. I'm finally flying on

1:53 them for the first time next week, but the word's getting out there. That's great. The fact that they do broom fields, right? you're going to be, you're going to be runts. You're going to be

2:02 runs. So

2:05 for anybody who doesn't know JSX flies, I'm going to hop on hop off semi private, like charter flights. And if you're, if any listeners are at Dallas, like you have to use JSX to go to Houston.

2:18 So anyway, plug over. So there's not a sponsored segment, but so, you know, been in the oil and gas industry for about 14 years. So I went to, went to school out here at sea boulder,

2:33 mechanical engineering, and yeah, it's go bus, prime time. And, you know, after that, first job was actually working for DOD company, doing RD on flight simulators and like training systems,

2:48 like big, big motion based video games for our own offense. And a buddy of mine was working for Smith bits of the time, so a bit manufacturer. and ask me to come in and interview for a job. And

3:02 that kind of triggered a whole career of traveling. I was lucky enough to kind of go around the world

3:11 and meet a lot of incredible people. I would say that's the biggest thing, that the biggest benefit of working in the long ass industry is the people that work at it. The best. And the people that

3:21 you interact with is second in that So you just started out here in Denver, Colorado

3:29 was a field engineer for Smith Bitts. So I was working the Western Rockies. So traveling Utah, Western slope of Colorado into Wyoming is North Dakota. So it was kind of a pickup truck going into a

3:46 product development for Bitts. And then the downturn happened in 2009 and it was offered a job to go overseas with Smith-Bitts, who was later acquired by Summer J. So spent 12 years with Smith

4:02 Smith International in summer day on the internationalism So I was starting it starting in Aberdeen did three years in West Africa so did Angola and a year in Romania so Eastern Europe and then back

4:17 to Aberdeen and then back here to Denver So it kind of did a big kind of world world tour circuit and then back here and along the way is just you know The projects but also the people that you get to

4:28 be just incredible So wow, I guess I didn't realize that that you'd spent so much time Internationally obviously, I know you're with which slumber's a huge company, right? But that is that's

4:39 fascinating and I want to lean into that a little bit like what is it like being in American? You're from New York, right originally upstate

4:49 Yeah, upstate New York just outside of Rochester, right? Same kind of latitude as me. Yeah

4:58 Exactly, got out of the Northeast winters and came out here where the weather's just great. Every season, all right? Oh yeah, well, I mean, a little bit of rain right now, a little bit of a

5:09 cold winter. We don't need to encourage people to move here. We can encourage people to fly JSX. We don't need to encourage more people to move here in Nigel. So I'm gonna have to overrule you

5:18 there. But I wanna talk

5:21 about the international stuff. So you said Aberdeen and then West Africa for three years.

5:31 Correct, yeah. So we're based in La Wanda. What, that's amazing. What's that like? Yeah,

5:38 it was great. It was great. So West Africa has a lot of the same geology that like Brazil has. So when those two continents split, so there's actually a lot of deep water exploration and a lot of

5:56 deep water drilling, which means, you know, high tier, high technology, you know, like, in a leading technology. um, you know, deep water, offshore, you know, drill ships and drilling

6:01 rigs. So the projects were exciting. Um, they were, uh, you know, very large, very large projects, but like technically, uh, very, very tough, uh, projects. And then also the people,

6:16 you know, the people that you work with, and when you're in the act of that community, kind of very, it's a very close knit community and it's people from all the world. So it's not just, you

6:24 know, Americans, not just Brits Um, it's every, you know, every, every group from around the world is kind of, you know, brought in and you kind of live together as well as work together. So

6:33 you're living in these compounds. Um, and Angola is a beautiful country. It's like, you know, it has, as the history of civil war and kind of war torn. So there's a lot of, there's a lot of,

6:44 uh, lot of that country still has active minefields. So people like kind of flocked into the city. So the city is really overcrowded, but the beaches are beautiful. We went camping on the beach

6:55 and like saw sea turtles hatching, and he was like some crazy experiences that you'd never expect, you know, just on a random kind of weekend with a bunch of friends that we met, you know, in the,

7:08 in the expat compound. So the work was very hard. The, you know, you'd wake up and you'd get in the car, like 445 in the morning just to beat traffic So it was 12 miles from, from like the

7:23 residence to the office and that 12 miles could take 3 12 hours. No. So you leave early. Yeah. I was, I was training for a half marathon and there was a time when I would run home and I would

7:36 beat like the car. Like beat, beat the bus that would take everybody back, back to the compound. So you'd do like 12 mile run in what two hours, two and a half hours and the car would be like an

7:48 hour behind you So it's like you have these, it's not all smooth sailing, right? It's you're living in a third world country with a family. You still have to be grocery shopping stuff. Schools

7:60 like all the normal family life and good life is the same, right? So it's not all rosy. And you're also picking up everything you own and like moving it to do a different country. So there's a lot

8:14 of transition. But, you know, I think you kind of lose sight of all the hardship and what you remember is like all the really fun times. And so, you know, you start really early in the morning,

8:27 you probably won't get back home until about 6 pm. And it was, you know, we were working six or seven days a week just because the project were 24 hours over there. Sure. So, really, really

8:37 hard job. You know, really, really difficult to kind of navigate like that work-life balance when it's like, you're pretty much working, you know, you're on a call 24 hours a day. But when you

8:51 do have the time off, it's just exceptional. and the kids love it as well, the kids just, they always remember that time from Africa was like the best time. Yeah, yeah, that's cool. And I

9:01 think it offers a good perspective into, yeah, it's not just a vacation, right? You're actually there to work. Yes, you get to enjoy some of the really cool things like seeing sea turtles hatch,

9:13 but you're on call 247 and you're working what, 12, 13 hour days with maybe a couple of those hours or more in a vehicle, right? Just going from one place to the next for work. Did you go

9:28 offshore? Were you taking like helicopters to go out to the rigs and stuff like that?

9:34 Yeah, we saw we had a couple of trips offshore and you

9:40 have to do your helicopter survival training. And that's pretty interesting to do that. You know, at a training facility in Angola. Yeah, I remember she was this, there's a kind of grizzly old

9:50 North Sea like Scottish guy And he, uh, he had a very sick abradony and accent. Come on, do it, do it. You know, he's training like, no, no, no, I'm going to scow his wife. So I, I can't,

10:04 you know, I'd be skewered for the rest of the day. If she heard me trying to imitate it. So, but yeah, you, you know, basically have to get training, you know, to go out, um, you know, on

10:14 the helicopter or go it out, yeah, I would offshore, you know, I was a really on the operational team. There's more on the management, um, side for the business unit So it wasn't really

10:22 necessary for me to be out on the rigs with more of, um, just going on field visits and kind of, you know, QC with the, with the clients. Um, you know, it's just, it's such a, you know,

10:34 it's a little bit of a brush with a kicker because it's such a high tier, high expense, um, operation that, uh, it's not a lot of room for mistakes, right? So you may have to make sure that

10:43 everything is, uh, you know, double and triple check. And I would say that's the, that's the hardest part of any operation down there is really logistics. things show up on time at the right

10:54 place and the right piece of equipment or the right personnel. That was the hardest thing. If you could be good at that, you could do really well in those operations.

11:06 So you were with Smith bit slash slumber J for 12 years. And that by my account took you to what? 2021.

11:17 Is that right?

11:20 2020. So yeah, right around the pandemic. So the pandemic started early 2020. I left slumber J in May and then had took about six or seven months off to kind of refer to home. So we bought this

11:38 old kind of a fixer upper, right? Like in all, you know, like 100 year old house that kind of needed a lot of love. And so kind of spent, yeah, six, six months during the pandemic, during

11:50 that summer. Working on the house and else to spend time with kids, you know, everybody's everybody's oh, so you know, we weren't traveling anywhere

11:59 and Even kind of making the most of that that time kind of with everybody

12:04 So then you spent time refurbing right and and chillin out and in Boulder at this old home that you're fixing up Yeah, and then what?

12:16 So and then now I was like well, it's probably time to start looking for a job, right? You know had had my fun kind of had had that relax that six months off And then really started looking into

12:28 you know getting back into the oil and gas industry and no one did it get into more of a You know looking at you know, I really enjoyed you know the kind of data and analytics side You know

12:40 previously in my roles and so I was looking for roles that where I could kind of leverage both right, you know Experienced in the oil and gas fields but also looking at kind of data analytics and

12:51 like where we could, you know, roll it on a fit for optimization and how we could leverage data. And that's where we found East daily. So East daily analytics was, you know, it's a, you know,

13:06 still startup. So we're a small team, we're about 25 people. We're based down in Greenwood Village, so tech center down in Denver. And, you know, focus on data analytics for the midstream space

13:19 But, you know, really, it's pipeline data all over North America. So it covers, you know, Canada and then into Mexico as well. And I think that was eye opening for me, right? To go from an

13:31 upstream, very, very energy, you know, exploration and production size or like EP focused to understanding and really getting a full picture of the entire infrastructure picture in North America.

13:45 It's like, it is, it's overwhelming. how many molecules move on pipes and

13:54 how critical that infrastructure piece is. No, I kind of took it for granted before you kind of see that the mid change phase. It really connects the upstream and the downstream. And as soon as

14:03 that connection is either constrained or broken, it is a very large impact. So kind of getting that appreciation for that. And then the amount of data that we leverage on a daily basis for all

14:18 infrastructure is pretty impressive.

14:24 So this is something where people listen to this podcast that are both in the industry. I'd say that's large majority. But there are some folks in New England or other places in New York that, to

14:36 them, oil and gas as a whole is just sort of this thing. And they don't really differentiate as much between upstream, midstream, and downstream. Those of us in the industry know these very

14:47 specific. niches, right, and the way I've sort of looked at it is upstream is extremely complex. It's more boomer bust. Midstream is a little bit more simple, but it's very stable. Tell me

15:00 about how maybe some of your assumptions were broken once you got into the midstream space after spending a dozen years on the upstream side.

15:10 Yeah, you know, it's a great question. It's, you know, and it's still learning every day, right? I think that's, that's the greatest thing about the oil gas. Like every day you can kind of

15:18 learn a new subsegment of the oil and gas industry. Like there's, you know, some new technology or it's like, you know, how they, you know, do coring, you know, for, for geological analysis

15:30 and subsurface and seismic and like, and all the way down to the refinery and all the crackers and, and, and fractionation. So every day is learning day, right? And every day you kind of see a

15:40 new little subsetment. So I have segment or this little sliver of the oil and gas industry. And I would say that either the biggest thing for me is when you go from upstream to midstream, you're

15:51 like, okay, well, you know, getting on a pipe or getting to market, you know, really consider it, you know, especially if you're on the drilling and drilling and well construction side, you

15:59 know, by the time you're done and you're you're moving on to the next project, kind of who cares how it gets to market, right? You were thinking about the next well and the next path. And from

16:10 for me is just kind of the really understanding how critical it is, you know, like, so Macass, right? Now, natural gas has to be constrained from the minute it comes from the wellhead to the

16:23 burner chip, right? So you could have a well in the Northeast, you know, in Pennsylvania, and Macass could be going almost all the way to the West Coast,

16:35 right? So, so the entire network, you know, if you're, you know, just Google, you know, like pipeline infrastructure, just to see a map of it. And it's, it's all encompassing. And you know,

16:49 Knack-Ass especially is it a sponge or I, so it moves around the entire, entire country. And how it moves throughout the country is, when you actually kind of see it, when you kind of peer behind

17:00 the curtain, it's amazing that it actually works. You know, it's amazing that it actually works reliably. So much so that the normal users just like, yeah, you just, you know, turn it on your

17:11 stove, you're firmness. And,

17:14 but all the little pieces that kind of add up to get it from that wellhead to the burner chip is, it's really impressive, really impressive when you see it. Yeah, that's like, that's definitely

17:26 something, and I'm sure where you grew up in upstate New York, where I grew up in central New Hampshire, you just don't think about, right? Because you don't see these wells, you don't see the

17:35 pipelines, it just shows up, right? And then you get involved in the space and you're like, oh man, there's a lot that goes into this. How is there not more gas leaks, right? How is there not

17:44 more like environmental issues? And of course there are some, but. large percentage, you know, oil and gas is transported very safely. And that's definitely something that we have better in this

17:57 country than anywhere else in the world. On East daily. So you guys really first hit my radar about three years ago, I was at W Energy Software. And I was doing work with Pemp and a pipeline up in

18:12 Canada. And doing like significant business for them was doing some account planning for 2021. And my boss at the time said, Hey, why don't you go download some analysis on the company? And I did

18:26 some Googling and I came across East Daily. And there was like a 34 page kind of research and analysis piece on Pemp and a pipeline. And it was incredible. Like the amount of detail, the broken

18:38 down spend between, this is where they're going to invest their money in the future. These are company priorities. I don't know where East Daily got all this information. There was something like

18:47 500 bucks. Oh my God, like the amount of material and information that was there was robust and it was impressive and it would be awesome for both an investor and of course a salesperson that was

18:60 looking to sell into that company just because of all the information that you guys had aggregated. And I was like, wow, this company knows the shit. And then sort of disappeared at least from my

19:11 radar until you guys came in and I forced them registers all of a sudden for my golf thing And I'm like, oh, yeah, I know East daily. And realized there's so much more than just the research and

19:22 analysis. And take me a little bit to the evolution of where East daily is gone. Because clearly you guys are solid at research, right? You understand where to get the data. And now you're

19:33 helping kind of visualize that data, which is valuable both for mid-stream companies as well as upstream companies. So I'm curious, where does the company kind of come from? And where is it going?

19:46 That there's a there's a great point he touched on Your journey for East daily is down in common, right? Yeah, most people are like, yeah, I've heard of you guys, right? But I don't really know

19:55 what you do, right? Yeah, if I if I put it very simply we we pull in every scrap of publicly available data on pipelines and we make sense. Yeah, right. We I read it organized a bite an asset

20:11 and then my asset could be like a gathering processing System in the Permian. It could be a long haul pipe in the Northeast. It could be a crude terminal in the Gulf Coast So every asset there's

20:24 actually a Significant amount of information that's publicly available But it's messy. It's messy and it's Sometimes, you know that we have spelling mistakes. Sometimes you have you know these old

20:37 archaic federally, you know, supported databases like you know For for datasets or not friendly to work work within so that's the you know, that's the fact every every pipe that moves across the

20:48 state line is has a, it's basically interstate commerce, right? So it is, it's federally regulated and it's federally reported. And then you have all your state data. So you have Texas Railroad,

20:58 you have Colorado, North Dakota. So at all your state data in your federal data, this shed load of data out there, but organizing it and then having it repeatedly updated as new data comes in is

21:12 really hard. So we have a dedicated data team that are like, they're magicians when, you know, pulling all the data in and that really you've seen it and making sense of it. So, so East Data was

21:23 born from leveraging that data to look at a particular asset and identify operational risk for the investors. So let's say a pipeline company has multiple different assets and different basins and

21:38 you have contracts on pipes. So you have contracts that whether you flow molecules or not, you have to pay. And then when those contracts roll off, if there's no actual volume flowing, then

21:49 that's a risk to the investors that were signing up or investing in a pipe or company. So that's really where East Ailey started. It was building up one model, one company, and identifying, okay,

22:00 what's actually happening with this company? So what molecules are they flowing? What contracts do they have? What's their cap expanded? What are the margins? And you can paint a very pretty

22:12 complete picture with a lot of public available data, and then you build sophisticated tools that kind of model and bridge the gap between two known data sets, you kind of bridge the gap, like the

22:23 white space in between. So if there's a simple examples of pipeline company owns, four different assets, and three of them are federally regulated, and they have public data out there, well, the

22:35 last one, you can kind of back into the missing piece. And we've just done that at scale, and repeatedly on a continually updated basis So if somebody needs to get access.

22:48 Or, you know, get up to speed on an asset, or even a basin, or really understanding like, you know, how to move gas out of the basin to a market. I haven't seen anybody else out in the market,

23:00 out in the space, do it as completely as we have. You know, looking at it from how molecules move, but also the financials of a company that can support like their growth, their cap expense,

23:12 their maintenance expenses So we, you know, we provide the financial models, the investors, but it's also, you know, private equity companies that want to get up to speed on a particular asset

23:24 or investment banks that have, maybe there's debt that's, they're, you know, kind of shopping around debt for a particular asset. But then even mid-stream companies and producers as well, ENPs,

23:37 what we find is that a lot of people are like, I don't really know what you guys do As soon as we show them, they're like, we try to do that, or we build them up, and we build And we really don't

23:47 want to update it again. Like, it's like, it is great. We could just subscribe to you guys and you provide us the model and you do all the heavy lift of aggregating the data together. So I think

23:57 that's the journey of, we were like, yeah, seeing your stuff, kind of seeing some of your posts or some of your free content or, you know, we've gotten a report, but I don't really actually

24:06 know what you guys do. And to be fair, we haven't been very good historically about telling people what we do. We're getting really focused on like data, like building the company, but not, you

24:18 know, marketing wasn't really a big focus for us really until probably about a year ago a, year and a half ago. It really kind of going out to market and say, Hey, I think we can help people.

24:28 Yeah, that's really helpful for me. And I've heard you now explain it a few times and I've spent enough time with you guys and we've done some recruiting for you and helped place people that it does

24:37 make sense to me now. But if I were to put you guys in a bucket, like, so you're sort of like what drilling info or, you know, in various or IHS or. or well database, what they do, but for

24:50 midstream pipelines and gathering, right? You're going in, you're scraping all the public datasets, you're cleansing it, you're making sense of it, and then you're providing this valuable

24:59 information to operators, transporters, midstream companies, and then of course the capital markets, right? 'Cause investors want this information as well, they wanna get any advantage that they

25:09 possibly can and get ahead of where other potential investors would be But what really put East Daily on the larger scale radar, I think happened about a year ago, where you guys effectively

25:23 predicted, based I think on the data that you had, that natural gas prices were going to drop. A year ago right now, I think natural gas was like in the sixes per MCF range and people were

25:35 incredibly bullish on it and you guys said, not so fast, my friend, but potentially this could be an issue that there's flow issues, there's data. that's telling us that natural gas prices is

25:49 gonna go down and people are like, Shut the fuck up! And you're like, Well, let's see what happens. So tell me, how do these daily do it? You guys kind of predicted a little bit of a price

26:00 decrease in natural gas and then all of a sudden people were like, Wait a sec, who are these guys?

26:07 Yeah, no, that's a really good point. And it's, I would say, going back to your analogy of like who we are, like the different kind of companies you mentioned, I would say you add all those and

26:18 then add a Bloomberg Journal for all the financials. That's who we are.

26:23 And the net gas call, yeah, about 14 months ago, so over a year ago, we started calling out that we were gonna be oversupplied net gas. And again, like it has to be constrained, it has to be in

26:35 a pipeline. So we are, you know, we are not like a top down, you know, global fundamentals company or a bottoms up supply, like piece by piece looking at you. every little individual pipeline.

26:49 But we roll it up to like a macro view. And when we did that a year ago, we set a whole of all our IP rates that we're seeing in the gas basin. So you have an interesting dynamic happening in the

27:01 US now

27:03 that is different from the last 20 years. So you have the Permian Basin that is a

27:10 gas basin, right? It has an associated gas that's a by-product, relevant for oil. Sure It's driven off of the WTI price. So you have this associated gas that's been steadily growing and then you

27:22 have gas prices recovering. So

27:26 Permian, associated gas doesn't respond to gas price that we pay here at the price rate. That's right, that's right. So you have a Ray ad with oil price but then you also have additional gas.

27:39 There's a gas basins like the Haynesville into the mid-con, parts of the Eagleford and the northeast, you know, the biggest one. and they are very susceptible to gas prices or Henry however, nine

27:50 X prices. So what we started seeing is that these gas basins were ramping up with the higher commodity pricing. And we said, you know, for every rig with the new well that's coming online. And

28:01 again, like very granular, like the details matter and we were kind of building it up and then we can build it up over time and we started saying, okay, not this year, this year we are under

28:11 supplied natural gas but into next year, into 23 We see that we're building this kind of momentum of natural gas and it's, you know, gas is difficult to do something with it other than put it into

28:26 storage. So we have this huge underground storage capacity here. So, you know, we produce about 100 BCF a day of gas and we can store about 41 to 44 TCF. So that's another 1000 ECF and that,

28:46 that. underground storage is like the damper of supply and demand because we use a lot of net gas in the winter when it's cold. Sure. But our production is kind of, see you have production going

28:60 up and down, then you have demand going up and down, and that storage is kind of a balance of, it takes off additional supply, and it provides it when the demand goes up. And we just saw this

29:10 kind of dynamic happening, and kind of seeing a little bit of a car crash kind of starting to happen, you know, further down, you know, into the distance, right? And we started, you know,

29:22 commenting on it, you know, kind of making this call. And I know, I would say, your way of pointing it was, you know, it was very apt, right? It was like, it wasn't received very well. It

29:35 was a lot of skepticism. Yeah, who are you? We presented it to a number of - Tell me this. Yeah, we presented like three different NACAS training conferences. and we presented in Huse's, I tell

29:47 this story quite a bit because it's very indicative of what happened. So in October time, we're in Huse and presented at this conference laid out. Like we were like, Hey, we believe we're gonna

29:60 be overspygasin' and

30:03 we're basically building it. Like this moment, like the train is leaving the station. And at the time, I wanna say Henry Hub was like 758, which for anybody who doesn't follow Henry Hub, it's

30:15 probably three times the price of what it normally was. Like 3350 was coming on the normal rate and it spiked up to like 10, 12. So it was like eight or nine bucks. Very good time for Knack-ass

30:28 producers. And that was our entire audience. Our entire audience was DP's. And our analyst at the time got up and said, You know, just lay it out. And he was like, What were you saying? and

30:40 the panel moderator came up to him afterwards. If for a QA session and what somebody got from Mike and they said Hey, and he was like you haven't talked about pricing. You've just said you were

30:51 oversupplied, right? So for me as an EP is like pricing matters So you haven't called for a price and and keep my eyes eight dollars and he was like well probably gonna be below three dollars And

31:01 maybe found it like two there was like

31:04 this And we're basically saying like hey, you're you're pricing is going to your road in like four months and And then the moderator came back out up afterwards like hey, could you go up and

31:15 apologize because Like we got some really upset people you're basically talking like they're pricing is gonna go away like melt away and So yeah, there was a lot of skeptics those um a lot of You

31:26 know a lot of people didn't believe and but you know, we don't have a skinning it. We're not hedging company We're not a bank and You know, we just said hey, we're just we're just just looking at

31:37 the data like just the facts, right and And then. November, December comes and then into January. So I think I've just done my ninth trip to Houston. And we've been very busy with a lot of people

31:52 calling us up and be like, Hey, we saw your presentation or we've seen stuff you put out and what else do you guys do over there? I'm like,

32:02 We've heard of these daily. We've heard of these daily. We've seen one of your fours. But what do you guys do over there? So it's been very busy and we're kind of looking at how this plays out,

32:12 because it's an oversupply now, but we have a very large stack of projects that are coming to the Gulf Coast for LNG. So that's liquefied after gas.

32:25 So we could very quickly become a very interval part of the world's market. So now our WTI, like our crude is connected to an international market Gas, not so much.

32:44 But now there's a horizon, there's kind of a runway for NACAS to be tied to an international market as well. And that would be a big shift for domestic, and it's a huge opportunity for US. NACAS

32:58 producers. Yeah, absolutely. I would say, what do we do? We find the signal from all the noise of all the data out there, and we say, I think this is going to be over-splite or over-splite And

33:09 for gas, we are very directionally accurate historically. Well, where is it going now? I mean, you guys made the right call 14 months ago, and you sort of beat that drum. Here we are, mid-2023.

33:22 Knack gas prices have not recovered from where they were last year. What are we looking at now for the next 12 months?

33:29 Or do you need to subscribe to EAS daily to get that information?

33:34 Yeah, that's going to be behind the paywall

33:37 I think we have We have. We have a view that we're still oversupplies for the remainder of this year. If you look at the kind of the forward strip, like how gas is trading towards the end of the

33:50 year, we still think we're oversupplied. So I think we're still in it for a pretty tough next 12 to 14 months. Into 24 and into 25, we're gonna start to see those, you know, when those projects

34:01 come out of mine. You know, we kind of track, we track updates every month. So we have a revised kind of forecast every month So it does change. We're starting to see, you know, producers react

34:15 to that lower pricing, which we, you know, haven't seen in January and February and then even in March, but now we're starting to see, you know, producers guide to lower activity, lower, lower

34:27 frack careers. So I think that there's, you know, the market is adjusting, but there's always a delay, right? You have, you have great plans, you have kind of frack career plans And so there's,

34:38 you know, it's like,

34:41 swing, there's always a pendulum effect of supply and demand. And it isn't like a direct one for one as far as, oh, we were oversupplied, then you shut in all your walls and you can't really do

34:50 that. So I think we're in four of the

34:55 hard 12 months on gas pricing. Now, that said, it could be a really hot summer. That could take off a lot of that nap gas oversupply because we use nap gas for running power jet and for running

35:11 air conditioners. There's a lot of toggles. There's a lot of levers. I think the value of, if I could distill down the value of what East Daily does, is it looks at all the supply demand, not

35:26 for a producer and the two bookends of what our producers are doing and what our power gen doing, but it looks like the different lenses, the midstream, like the connectivity. So keeping our

35:38 finger on the pulse of like what's actually happening between the two. And I would see that, what helps us identify dynamics that the market misses. I think that's, if I really distill down the

35:48 value, is like, that's it. It's like, we're using midstream lens to say, okay, this is what's happening upstream, and this is happening downstream, and this is what is the oversupply or

35:59 undersupplyed, and we have a very good directional understanding of that balance, like our horizon, and how our forecast meet with constraint or oversupply, it's just been, yeah, directionally

36:13 correct, more often than that. So yeah, next 12 to 14 months, still gonna be tough, could be, you know, one of the levers that you can pull is a really cold winter next winter, right? So

36:26 that's the things we're kinda monitoring month to

36:30 month, and every month when we put out new forecast, we're kinda looking okay. Here's the lens of where we think back-ass is gonna go,

36:38 And then what the outer years. doing the reality has set in for how many projects are in place, just from an infrastructure side and how to get that much net gas to the Gulf Coast, if we're going

36:50 to ship it overseas. Sure. I see how you could really geek out on this, because even just listening to you like plays to my mathematical, nerdy brain. And I've been in analytics, but on the

37:03 upstream side for the past 10 plus years, and I love it. The fact that oil and gas companies are primarily siloed in terms of how they operate, but then when you bring all that data together,

37:15 you're combining profitability with production versus forecast versus downtime versus let me show you the invoices. That kind of stuff makes me nerd out, because just taking that holistic picture

37:29 that sometimes even oil and gas companies don't do or don't do well is something where I'm like, okay, you pull this lever here, this is how it changes here. If prices go here, this drops here,

37:41 right? So there's a lot of different ways to sort of look at and analyze the data. And I think you guys are doing a fantastic job within the midstream space. I wanna pivot a little bit here to food

37:53 'cause you and I both love food. And specifically, we both love pizza. So I wanna talk a little bit, Mr. Nigel, about what are your favorite pizza places in Colorado? Yeah, you know, pizza.

38:12 I would say during the pandemic and the lockdown, I kinda went deep, deep down the pizza rabbit hole, right? You know, I said it was like, you know, my wife won't let me talk about pizza dough.

38:23 At like - Pizza dough, we're gonna - Yeah, not allowed to talk about pizza dough at like dinner parties. But, you know, got one of those uni pizza ovens at home. Oh, he's like - Yeah, and then

38:35 - like the like the wood fired ones like it being

38:40 being, you know, built in a big one would be awesome, but I like that we've taken a camping with us, right? It's just, you fire it up and threaten it in 20 minutes. But, um, but yeah, it's

38:49 something that we share, or like we both love pizza, right? It's like coming from the Northeast, um, it's kind of a staple. And, uh, and it was, um, yeah, there's some good, there's some

39:00 really great pizza places around here, right? That they were lucky enough to kind of have in around here. I think I told you about the place of in Ireland, right? They tell you about that cross

39:11 cross cut. Cross cut. Yeah. That's one of your favorites. Yeah. I would say I, my house, I make the second best pizza in Boulder County. The first best place it. Yeah. Yeah. And first place

39:25 is cross cut. They, those, and they're not sponsoring the segment either, but they, they make exceptional pizza. I need to, I need to go up there. I, let's so I've followed them on Instagram

39:35 for the last like two and a have to have to un-follow them. because my mouth was watering too much and I don't live close enough to Nederland to be able to get there.

39:45 But I have spots in Denver that I like personally. I mentioned Famous J's to you, which is outstanding. It's the same guys that have Rosenberg's bagels and they just roll the dough down when

39:55 Rosenberg's closes and make pizza with it. That's good. I like Marcos, 22nd Larimer over there, right across from Mexico City or right next door to Mexico City. It's so good The Apolitan style,

40:07 but Lafayette has like - Yeah, what's your favorite style? That's like a pretty inflammatory, that's a loaded question, but.

40:17 Traditional New York style, I think is my favorite. I'd put that number one. And then probably the Apolitan would go next with like the classic mozzarella chunks, right? Very saucy, love a good

40:22 like salty and savory tomato sauce tomato sauce, right? I'm on the pizza.

40:37 And then this Chicago style doesn't do anything for me, but of course, like the buttery Detroit style pizza is pretty badass. And this water style like in the pan. Yeah. Yeah.

40:51 That's, you know, I think it's a, there's a whole journey that you can do in pizza, right? And have you watched like Netflix, that Netflix show, Chef's Table, where they go through,

41:05 absolutely worth it Just a cinematography of like, it's a document, is a food documentary that even if you're full, at the end of it, you're like, Let's order up some pizza. It is incredible.

41:16 And it goes through what they say is the best pizza place in the States. And

41:24 it's a place down at Phoenix. Really? It's like,

41:31 yeah. So, and it kind of goes through the whole history of the guy who's kind of started it It's really good, so yeah. definitely worth checking out. It's chef's day one on this. It's the first

41:41 episode. It's just like, it's a banger as far as a documentary. We're coming up on lunchtime and I'm so hungry right now. I think I know what I'm having for lunch. But to add on to that, right?

41:54 I was in San Francisco about a year and a half ago and was just walking around. I'm like, Yeah, where should I go? Kind of wants pizza, of course. And I went to this place called Tony's in North

42:09 Beach and sat down and, you know, everybody says, We have award-winning pizza. This one's some sort of award at blah blah blah. And I got a Neapolitan pizza there. I'm like, Pam, that was

42:21 really good. And they're like, Yeah, I just want some award. I'm like, Yeah. Everybody says that, no big deal. I was home shortly after that. And just like this Instagram thing came up and

42:32 it's like, You, you know, here are the top pizza place is the United States. And that was number one on this particular list. I'm like, Oh, okay, all right. And

42:43 you just tripped and fell into that place for lunch, right? So you're just like,

42:48 landed there by mistake. And you're like, That's pretty good. Pretty good mistake to show up there. Yeah, well, next time I go to San Francisco, I know where I'm going. And also on that list

42:58 was number 14, a place in Portland, where I went for a bachelor party about five, six years ago, that was really, really good. And I'm like, yeah, this is, okay, this is validating that I

43:10 know pizza because these are like all my top places also. And there weren't a lot of Colorado places out there, to be honest. There's one in Colorado Springs that I want to hit up, but I was like

43:21 number 15 or something like that, but I don't know. I think the pizza out here is just okay. It's my take. It's okay. I think it's getting better though. I think there's some really good kind of

43:31 upcoming places, right? And it's a. You know, I think there's the Greenwich that's down in Denver, also has a really good pizza. So I think we're kind of getting there, but I would say in

43:43 general, and I'm probably gonna get skewered by all my kind of color-out natives and Denver buddies, but I don't think Denver has the best food scene, collectively, compared to like Houston. Like

43:56 I'm going to Houston all the time. The place has incredible restaurants at like every different price point from every different corner of the world. Absolutely. And everybody roll their eyes when

44:09 I say this, but I think Houston has some of the best food scene from just sheer variety and value. Like, you can get a very awesome like breakfast burrito for like five or six bucks or you can go

44:23 for like high-tier steak dinners and it's just

44:29 the entire

44:32 spectrum of restaurants that they have is. is the best that I've seen. And yeah, it's not very - I agree. It's not very, yeah. Yeah, a lot of the guys that I travel with for work were just like

44:46 kind of roll their eyes when I say, No, man, we're gonna have some great meals. And then after we get back from Houston, they're like, You're right. I'm like, I wanna tell you. Wait a second.

44:54 I mean, Houston, Houston, not a huge fan of the traffic. The weather, most of the year, whatever, take it or leave it. The food though, I will not take any Houston food slander It's the best

45:05 food city that I've been to and I've spent time in New York and San Francisco and others. Okay, we gotta wrap up here, Nigel. Where can people find you? Where can they find your company?

45:17 Yeah, so you can find, go to our website, size EastDailycom. They can find me on LinkedIn. And yeah, we put up a lot of good free content through our website as well. It's all surgery. So

45:24 through our website, we're on LinkedIn, we're on Twitter look us up and we.

45:35 put on a lot of really good kind of commodity supply demand, a lot of free content as well. So we have a daily note that goes out, it's not daily, it's Tuesday to Friday, but it goes out Tuesday

45:46 to Friday and then we have a Nat gas, a Nat gas weekly that does come out every week and we're just about to roll out a crude one as well in the next couple of weeks. So we're just, you know,

45:56 talking about more interesting dynamics that we see in the basins and especially on the commodity side So definitely go and check that out as we put out a ton of really good stuff out there. Yeah,

46:08 it's great. It's great stuff. Nigel, the nudge, appreciate you coming on. My man representing Boulder County with me. He's daily doing some big things. I'm a fan of the newsletter. I read it

46:19 every day or, you know, every day that it comes out and appreciate your brother. We'll keep, keep banging the drum and telling people what's going to happen, not playing into the hype. So thanks,

46:30 brother. Absolutely Thanks for having us on. This is great. a podcast is such a such a great, great kind of vehicle for this. And you do such a great job. So this is a really fun to be here.

46:45 Appreciate it, man.