Latest / Shane Hewitt and The Nightshift / NEW Mr Global Unfiltered: Canada’s Oil Ambitions & Global Trade Realities
Transcript
- 0:01Shane Hewitt: Shane Hewitt and the Night Shift podcast. Do you ever
- 0:04Shane Hewitt: have your friends introduce you to somebody and then you're like, yeah,
- 0:08Shane Hewitt: I really like that. Well, that's a good friend to me,
- 0:09Shane Hewitt: a friend who goes, hey, I think you're really gonna
- 0:11Shane Hewitt: like this.
- 0:12Shane Hewitt: And you have to I said, I just returned when
- 0:15Shane Hewitt: we're having this conversation from Fort McMurray, Alberta, northern Alberta, uh,
- 0:20Shane Hewitt: it is a beautiful, beautiful place, and I, so many
- 0:23Shane Hewitt: people misunderstand that because of uh politics and agendas and
- 0:27Shane Hewitt: all those things, but, and it's also an economic engine
- 0:30Shane Hewitt: for all of Canada.
- 0:31Shane Hewitt: Now back to the guy who I got introduced to, uh,
- 0:34Shane Hewitt: he is Mr. Global, on TikTok, Mr. Global, uh, he's
- 0:38Shane Hewitt: on Instagram and YouTube. Actually, YouTube is a great place
- 0:40Shane Hewitt: to go, uh, at Mr. Global YouTube, even if you
- 0:44Shane Hewitt: do what I do, uh, which is Mr. Global Oil
- 0:47Shane Hewitt: and Gas Guy.
- 0:49Shane Hewitt: That's how I found him. Uh, Matt, how are you?
- 0:52Mr Global - Matt Randoph: I am great, how are you? It's probably best if
- 0:54Mr Global - Matt Randoph: you share what you do because you reveal um what's
- 0:59Mr Global - Matt Randoph: truly going on with oil and gas around the world,
- 1:02Mr Global - Matt Randoph: and this has just been your career and you're smart
- 1:05Mr Global - Matt Randoph: about it, and so you talk about it. I'm assuming
- 1:07Mr Global - Matt Randoph: you feel like people have been misled a little
- 1:09Shane Hewitt: bit.
- 1:09Mr Global - Matt Randoph: Yeah, so I've been in the oil.
- 1:11Mr Global - Matt Randoph: gas industry for going on 34 years now and um
- 1:15Mr Global - Matt Randoph: I've always been sort of a student or extremely curious
- 1:19Mr Global - Matt Randoph: about the industry. I've always researched it, how everything works.
- 1:23Mr Global - Matt Randoph: I'm a little bit of a different kind of person
- 1:25Mr Global - Matt Randoph: in that respect. I I don't just go to work
- 1:27Mr Global - Matt Randoph: to do a job, like I try to learn everything
- 1:29Mr Global - Matt Randoph: I can about it. Anyway, through my career I ended
- 1:32Mr Global - Matt Randoph: up with Big Oil. I worked with Shell for a
- 1:34Mr Global - Matt Randoph: lot of years.
- 1:35Mr Global - Matt Randoph: And I was able to study abroad and Shell really
- 1:38Mr Global - Matt Randoph: developed my skill set, uh, and that's where I got
- 1:40Mr Global - Matt Randoph: my formal appointment as an expert in the industry when
- 1:44Mr Global - Matt Randoph: I participating in it participated in writing the global standards
- 1:47Mr Global - Matt Randoph: for Shell. um, and since then, one thing at some
- 1:50Mr Global - Matt Randoph: point I realized that there's just so much misinformation about
- 1:54Mr Global - Matt Randoph: the industry that just goes everywhere and nobody really understands
- 1:57Mr Global - Matt Randoph: our industry.
- 1:59Mr Global - Matt Randoph: It's an industry that's due to its own fault, it's
- 2:02Mr Global - Matt Randoph: it's been largely secretive, uh, historically, they've they've they've tried
- 2:06Mr Global - Matt Randoph: to keep people from speaking about it, you know, for
- 2:08Mr Global - Matt Randoph: obvious reasons, it's a very litigious industry.
- 2:12Mr Global - Matt Randoph: And I just started talking about it just to debunk
- 2:14Mr Global - Matt Randoph: a lot of the information, a lot of the things
- 2:16Mr Global - Matt Randoph: that people believe that's just simply not true and um
- 2:20Mr Global - Matt Randoph: this whole thing is kind of blown up really big,
- 2:22Mr Global - Matt Randoph: a lot bigger than I ever thought it would be,
- 2:24Mr Global - Matt Randoph: but that's that's kind of my goal, um, I don't
- 2:27Mr Global - Matt Randoph: care about people's politics, I don't care who you voted for.
- 2:29Mr Global - Matt Randoph: I care about the industry and I care about people
- 2:32Mr Global - Matt Randoph: knowing and understanding what's happening and why things happen.
- 2:37Shane Hewitt: Uh, yeah, and largely I I've always said this as
- 2:39Shane Hewitt: a guy who grew up, you know, in in Fort
- 2:41Shane Hewitt: Macquarie being such an oil town is that oil and gas, generally,
- 2:44Shane Hewitt: at least in Canada, has done a terrible job sharing
- 2:48Shane Hewitt: all of the great things that that they've done and
- 2:52Shane Hewitt: one of the best things about it is, um,
- 2:54Shane Hewitt: Fort McMurray was the first city in Canada to ban
- 2:56Shane Hewitt: plastic grocery banks, did you know that? And, uh, on
- 2:59Shane Hewitt: top of that, um, they've reclaimed so much land that Buffalo, uh,
- 3:05Shane Hewitt: through the course of the course of history, uh, indigenous
- 3:08Shane Hewitt: groups had had the the the tribes of Buffalo had
- 3:11Shane Hewitt: all been gone.
- 3:13Shane Hewitt: They've actually repopulated that now, um, as they've closed off
- 3:17Shane Hewitt: some of the old mines, and if you ever fly
- 3:19Shane Hewitt: over that, it doesn't look like it used to. Some
- 3:21Shane Hewitt: parts of it do, and some parts of it are,
- 3:22Shane Hewitt: you know, ugly and dirty, um, but with SEGD and
- 3:24Shane Hewitt: all the different technologies that are out there now, it
- 3:26Shane Hewitt: is completely different than it used to be back in
- 3:29Shane Hewitt: the day, and people don't understand that. One of the
- 3:31Shane Hewitt: things that I've shared here on the show, especially with
- 3:34Shane Hewitt: what we're seeing in Canada with oil and gas, is
- 3:36Shane Hewitt: that the, the demand is going up and responsible, you know,
- 3:41Shane Hewitt: oil processing and mining.
- 3:42Shane Hewitt: is getting better and better and better, because I saw
- 3:44Shane Hewitt: it in the early 80s when I first moved there,
- 3:46Shane Hewitt: and let me tell you, that was ugly. There's no
- 3:49Shane Hewitt: doubt about it. Uh it's so different today. What do
- 3:52Shane Hewitt: you see as an American looking at Canadian oil? What,
- 3:57Shane Hewitt: what are we missing as Canadians?
- 3:58Mr Global - Matt Randoph: I don't think you're missing anything. I, I think, you know,
- 4:02Mr Global - Matt Randoph: politics always plays a role in this and and there's
- 4:04Mr Global - Matt Randoph: people that are gonna be for and against things.
- 4:06Mr Global - Matt Randoph: But, you know, Canada has one of the largest oil
- 4:09Mr Global - Matt Randoph: reserves in the world, and it's it's they have decades
- 4:13Mr Global - Matt Randoph: of projects that they can just go do, um, and
- 4:17Mr Global - Matt Randoph: Canada has really improved, you know, technology has changed the
- 4:21Mr Global - Matt Randoph: game completely. Uh, this industry does not look anything like
- 4:26Mr Global - Matt Randoph: it does when I started, or really 5, 10 years ago,
- 4:29Mr Global - Matt Randoph: it is, it is the technology is insane, we're doing
- 4:32Mr Global - Matt Randoph: things in weeks now that used to take 6 months.
- 4:35Mr Global - Matt Randoph: And I, that technology is, you know, it doesn't know
- 4:39Mr Global - Matt Randoph: any borders, it's in Canada just like it is in
- 4:42Mr Global - Matt Randoph: the United States, and, you know, they, they keep driving
- 4:47Mr Global - Matt Randoph: down their cost to produce and uh, you know, there's,
- 4:51Mr Global - Matt Randoph: but of course the politics muddies up everything, um.
- 4:56Mr Global - Matt Randoph: Oil and gas is Canada's largest economic driver. It's, it's just,
- 5:00Mr Global - Matt Randoph: it's insane. So, setting all the politics aside, I, I
- 5:04Mr Global - Matt Randoph: think it's personally, uh, I think it's very important for
- 5:07Mr Global - Matt Randoph: for Canada's future and, and getting open to more markets
- 5:10Mr Global - Matt Randoph: is a huge thing for Canada right now.
- 5:13Shane Hewitt: What does the rest of the world look like if
- 5:15Shane Hewitt: Canada does open up that metaphorical pipeline to, um, oil
- 5:19Shane Hewitt: and gas, both to the rest of the world, because
- 5:22Shane Hewitt: one of the arguments we heard a lot of in
- 5:23Shane Hewitt: Canada is, you know, we need to be responsible, we
- 5:26Shane Hewitt: need to be environmental, and all those things, and, and
- 5:29Shane Hewitt: you hear many Canadians argue the point that, well, if
- 5:31Shane Hewitt: we were to distribute Canadian
- 5:33Shane Hewitt: In oil and gas around the world, we're gonna stop
- 5:35Shane Hewitt: some of the dirtiest emitters from having a marketplace. Um,
- 5:38Shane Hewitt: I don't mean to put words in your mouth, but
- 5:39Shane Hewitt: what do you what happens to the rest of the
- 5:41Shane Hewitt: world if Canada were to turn up the
- 5:42Shane Hewitt: tap?
- 5:43Mr Global - Matt Randoph: So that is one thing that I agree with 100%,
- 5:46Mr Global - Matt Randoph: you know, the sort of the the thing that Americans
- 5:50Mr Global - Matt Randoph: have talked about with with US oil and gas production, um,
- 5:54Mr Global - Matt Randoph: is
- 5:54Mr Global - Matt Randoph: You know, everyone recognized that it's a fossil fuel, that
- 5:57Mr Global - Matt Randoph: it's dirty, but the extraction of it, the process of
- 6:01Mr Global - Matt Randoph: producing it is cleaner in the United States than anywhere
- 6:05Mr Global - Matt Randoph: in the world.
- 6:06Mr Global - Matt Randoph: Except for maybe Canada, right? So with everyone understanding that
- 6:11Mr Global - Matt Randoph: this oil is absolutely going to be produced no matter what,
- 6:15Mr Global - Matt Randoph: it seems to me like you would want it produced
- 6:17Mr Global - Matt Randoph: in in the in the most environmentally friendly way possible,
- 6:21Mr Global - Matt Randoph: and we see that in the United States, we see
- 6:23Mr Global - Matt Randoph: that in Canada, but with Canada opening up to more markets, that's,
- 6:26Mr Global - Matt Randoph: you know, that's gonna disrupt the apple cart, so to speak. Uh,
- 6:29Mr Global - Matt Randoph: we see that in the United States already. Today OPEC
- 6:32Mr Global - Matt Randoph: came out and they're talking about increasing production, they see weakness.
- 6:36Mr Global - Matt Randoph: In our administration with all the tariff stuff, so, so
- 6:39Mr Global - Matt Randoph: Trump blinks on tariffs, OPEC puts pressure on the United States, um,
- 6:43Mr Global - Matt Randoph: and those are the things, the challenges that Canada's gonna
- 6:46Mr Global - Matt Randoph: have to deal with if they broaden their markets to
- 6:49Mr Global - Matt Randoph: to the global market is dealing with you know, OPEC
- 6:52Mr Global - Matt Randoph: nations and because this is an economic driver for many.
- 6:56Mr Global - Matt Randoph: Uh, of the largest countries in the world, and there's
- 7:00Mr Global - Matt Randoph: there's sort of been a quiet war happening between all
- 7:03Mr Global - Matt Randoph: of these nations for decades, fighting over market share for
- 7:06Mr Global - Matt Randoph: oil and if Canada opens up to those markets, then
- 7:09Mr Global - Matt Randoph: they're gonna participate in that sort of quiet war as
- 7:12Mr Global - Matt Randoph: I call
- 7:12Mr Global - Matt Randoph: it.
- 7:14Shane Hewitt: Refining has never really been a thing in Canada, it
- 7:16Shane Hewitt: is in America, um, that could change, what does that
- 7:20Shane Hewitt: look like, um, you know, generally for the market because
- 7:22Shane Hewitt: that would
- 7:23Shane Hewitt: Uh, my understanding, I mean, refineries don't get built in
- 7:25Shane Hewitt: a weekend, but I mean it would grossly change the
- 7:28Shane Hewitt: landscape of what goes where, wouldn't it?
- 7:31Mr Global - Matt Randoph: Yeah, and there's actually a lot of misinformation about refining
- 7:34Mr Global - Matt Randoph: in Canada. Uh, Canada can refine a lot more oil
- 7:37Mr Global - Matt Randoph: than people realize. Uh, they probably need one more refinery
- 7:42Mr Global - Matt Randoph: to be able to fully sustain themselves with with their
- 7:45Mr Global - Matt Randoph: own oil. Um, there's no need to refine oil that
- 7:50Mr Global - Matt Randoph: you're gonna ship out of the country. You only need
- 7:52Mr Global - Matt Randoph: to be able to refine, uh, what you consume unless
- 7:55Mr Global - Matt Randoph: you want to ship refined products out of the country,
- 7:58Mr Global - Matt Randoph: and I personally don't think that's practical for Canada.
- 8:01Mr Global - Matt Randoph: Um, so the situation isn't as dire, uh, in Canada
- 8:04Mr Global - Matt Randoph: as far as refining goes as people think it is.
- 8:07Shane Hewitt: How do you, uh, how does your belly feel when
- 8:09Shane Hewitt: you hear Trump talk about, uh, trade deficits because of
- 8:12Shane Hewitt: energy in Canada when, you know, I think the numbers
- 8:15Shane Hewitt: are about $100 million going one way and then uh,
- 8:18Shane Hewitt: like a wholesale and then.
- 8:19Shane Hewitt: And then refining it and reselling it everywhere else at
- 8:22Shane Hewitt: a at a 200% margin. I mean, those numbers really
- 8:25Shane Hewitt: don't align for some of the messaging and as an
- 8:28Shane Hewitt: oil and gas guy, it must, it must get you
- 8:30Shane Hewitt: a little prickly.
- 8:31Mr Global - Matt Randoph: Well, I have a trade deficit with my grocery store.
- 8:34Mr Global - Matt Randoph: They have something I need and I go buy it
- 8:36Mr Global - Matt Randoph: and it's never a problem. But what Donald Trump doesn't
- 8:38Mr Global - Matt Randoph: realize is he literally created the trade deficit with Canada
- 8:41Mr Global - Matt Randoph: with the OPEC 2020 deal. The trade deficit with Canada
- 8:45Mr Global - Matt Randoph: is is solely predicated on oil and oil prices. There
- 8:48Mr Global - Matt Randoph: would be no trade deficit but for oil, and when
- 8:52Mr Global - Matt Randoph: Donald Trump did the OPEC 2020 deal with OPEC, that
- 8:54Mr Global - Matt Randoph: cost a two year spike in oil prices. That ballooned
- 8:58Mr Global - Matt Randoph: the trade deficit.
- 9:00Mr Global - Matt Randoph: That trade deficit he's so worried about was literally his
- 9:02Mr Global - Matt Randoph: doing and he doesn't even realize it, but you're right, um,
- 9:06Mr Global - Matt Randoph: and once Canada gets open to other markets, the price
- 9:09Mr Global - Matt Randoph: of that oil is only gonna go up, the value
- 9:12Mr Global - Matt Randoph: of it's only gonna go up, and the trade deficit
- 9:14Mr Global - Matt Randoph: with the United States is only going to increase because
- 9:18Mr Global - Matt Randoph: that is what's driving it, the price of oil and
- 9:20Mr Global - Matt Randoph: how much we import. Uh,
- 9:22Shane Hewitt: this is great, Matt, thank you for what you do.
- 9:24Shane Hewitt: I I think it's great. I'd love to invite you
- 9:25Shane Hewitt: to come back anytime, um, chat about all these things
- 9:28Shane Hewitt: as they come up and
- 9:29Shane Hewitt: I, you know, people are gonna make a decision that
- 9:31Shane Hewitt: they're not for oil. I mean, that's fine, but make
- 9:33Shane Hewitt: your decision based on accurate info. And I think that
- 9:36Shane Hewitt: that's really my ask of everybody. I mean, I grew
- 9:38Shane Hewitt: up in the place, I've seen how much it's changed, so, um,
- 9:41Shane Hewitt: that matters to me too, and, and, uh, Mr. Global YouTube,
- 9:44Shane Hewitt: you're gonna find him on there. Thanks, bud. Thanks a lot.
- 9:47Shane Hewitt: Shane Shane Hewitt and the Night Shift on the ieartRadio
- 9:52Shane Hewitt: Tat network.