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A conversation with Manjula Martin about her new book The Last Fire Season.

When Manjula Martin was growing up in Northern California in the 1980s, wildfires weren’t something she thought about much. She knew about disaster — the magnitude 6.9 Loma Prieta earthquake of 1989, which killed 63 people and injured thousands, hit when she was a teenager — but fire, she thought, was just something that happened up in the mountains in the summer.
Things are different now. In 2017, Martin left the high prices of San Francisco for the redwoods of Sonoma County. The night of their housewarming party, a firestorm swept through Santa Rosa and Sonoma and Napa counties. The next year — 5 years ago this week — the Camp Fire, the deadliest and most destructive fire in the state’s history, destroyed the town of Paradise and killed 85 people.
In her new book, The Last Fire Season (out on January 16 next year), Martin writes about the fires that swept through California in 2020, weaving her personal story with that of fire in California writ large. It’s a beautiful book, and I called her up to talk about her relationship with fire and how we can learn to live with the changing world. Our conversation has been edited for length and clarity.
The book opens in 2020, which was a year of multiple fire complexes. Was that the first time fire made itself known in the immediate vicinity of your home?
No, it wasn’t. But it was the first time that I realized that it wasn’t an anomaly.
We had horrible fires near my area in 2017. In 2018, the Camp Fire happened in Northern California, which was like a four-hour drive away, but the smoke from that fire lingered in the Bay Area for weeks. And then in 2019, the Kincade fire was a huge fire up here in Sonoma, and the entire west of the county was evacuated in basically the course of a night, including ourselves.
Then in 2020, the Lightning Complex fires happened in late August, which is what the book starts with. And that was the moment where I personally was like, “oh, this is going to keep happening.”
Before that a natural disaster to me felt like a thing that happened once and then that’s it, right? It wasn’t connected to larger things for me. But the fact is that the new wildfires that we’re having are bigger and hotter and far more destructive than the previous wildfires we’ve had, and 2020, which is probably far too late, was the year that I personally put that all together under the name of climate change. It wasn’t the first year I knew about fire, but it was the moment I realized that I was going to be living with fire for the rest of my life.
I was struck by your description of the 2020 fires and the ways that COVID complicated your experience of them. It reminded me of the concept of cascading events; it was striking to read about how your go bag was filled with these N95 masks that were there for the sake of the fires, but also, of course, turned out to have utility for this other thing that you’re dealing with at the same time.
That was one of the reasons why I chose to center the book around 2020. I think that was a moment where it became clear for a lot of people that disasters don’t take their turn. When it was happening, I felt it was a historic moment.
You named your book The Last Fire Season. But, of course, it wasn’t the last.
Unfortunately not. The book began as an essay, and since I was writing it in 2021 I thought I was writing about the last fire season I had experienced. But then I realized that it was actually a really great title for a book. It’s pretty commonly acknowledged now that in the North American West, fire season isn’t really a thing anymore. Now fire authorities talk about having a fire year.
That is directly linked to the changing of the weather and the climate. But for me, the deeper meaning of it is this idea that fire being seasonal also sort of implies that it’s temporary, and that it’s going to go away. But really it’s not seasonal, it’s part of this land. And we’re going to be living with it forever.
There’s a point in your book where you write that the California ecosystem was fire-adapted, but also that fire is changing. What do you mean by that?
Since time immemorial, California’s ecosystems — from oak woodlands to redwood forests to grasslands and chaparral — evolved with fire as part of their natural cycle. Fire is actually something that helps the cycle of the landscape reset and continue.
And this was something that Indigenous people knew and really sort of harnessed and used in the way that they tended the lands. But the genocide of Indigenous people in California really sort of stopped that cycle, as is the case with colonialism in most places.
Right, you have a chapter about the Indigenous history of fire in California and the suppression of fire both through violence against Indigenous communities and also a long history of policies against fire.
Yeah, the colonial policies of managing the land in California had been what they call ”total fire exclusion,” which is basically the idea that all fire is bad and we need to extinguish fires right away. There was a policy in place called the 10 AM policy that actually said every new forest fire needs to be extinguished by 10 AM the next morning. And, you know, there are a lot of reasons why that happened, including profits and fear and prioritizing human habitat and recreation over the landscape. But the result is that the landscapes here are actually neglected at this point, 150 years after colonization.
You wrote at one point about going to prescribed burns and there was a section that really stood out to me:
Fire is exuberant. It’s joyous. It dances. I can see why people joke that all firefighters are secret pyros. It’s so much fun.
I fully relate to this feeling. Has going to prescribed burns changed your own relationship with fire?
Good fire and cultural fire, which is generally the term we use when we’re talking about Indigenous use of fire, have radically changed my feelings about fire. Humans have evolved with fire, and the more I engage with fire, the more I learn about it, the more I understand its role in both the land and the history of this place, the less afraid I feel.
You write about your own experience with getting a hysterectomy and how that affected your life afterwards, and I thought that was an interesting choice. You could have written a book that was just about fire, and we could have never learned about your hysterectomy. But you chose to include it. Can you tell me a little bit about how that came to happen?
I could have written a straight journalistic look at wildfire right now or at the 2020 fire season specifically. And that was something I toyed with. But I ultimately realized, in thinking about this idea of cascading disasters, that they’re all happening while people are living their lives. Climate change, wars, economic ruin are all happening on top of whatever else is going on in your life. So I thought this part of my life was worth including.
The hysterectomy, and many associated health crises, led me to having chronic pain. And one of the only things that helped me with that was gardening. For me, the physical act of literally touching the land, being in this dialogue with the environment and the ecosystem around me, was the thing that helped me recover from this health crisis. I wasn’t quite well. And more importantly, nature wasn’t quite well. And gardening in this environment is what really made it click for me that this environment is going through a crisis as well.
That garden was partly how you knew about the oncoming fires in 2020, right?
Yeah, when the Lightning Complex fires started, I was out in my garden watering the roses. I saw this little black object on the ground, and when I leaned down and picked it up I saw it was a leaf of a California bay laurel tree. And it was burned black, but it was still whole. It had been blown on the wind and landed in my garden. It was sort of like a messenger, telling me that a few miles away these trees were burning.
Bay trees are a natural part of the forest understory here, but they are highly flammable. They’re basically made of oil, and they serve as what’s called a ladder fuel; if fire gets in that tree, it will shoot up it and then can get into the crowns of taller trees like redwoods or oaks that would normally be more fire resistant. It’s literally a fire spreader. Anyone who lives in the area will tell you that when there’s a fire nearby it rains burnt leaves.
Parts of the book are unexpectedly written in the past tense. You write, for example, that “Northern California was a very large place,” but the depictions of events in the past or future are written in the present tense. Was that intentional? Did you mean to contract the idea of Northern California?
I absolutely did. The convention in nonfiction is to write events in the past tense, but to phrase facts, or things that are still true, in the present tense. I felt like it was important to acknowledge that the things we take as granted, these truths about the way the environment works, might not always remain that way. It was also partly a pragmatic decision, because I didn’t know what would happen before the book came out. What if my house burned down before that, or if I have to move? Things are just so chaotic right now.
The other time I break with convention is when I write about Indigenous nations and Indigenous management practices. I intentionally used the present tense there as a way to push back against the trope of a lot of non-Indigenous writers portraying Indigenous people and worldviews as extinct when in fact they’re very, very alive.
Throughout the book you’re constantly talking to your partner about whether to stay in your home or move away to a “safer” area. I think it can be really hard for people who don’t live in areas under threat to grasp just how hard the concept of migrating really is.
Right, that’s such a common binary: to stay or go. And the reality is actually a lot messier. I’m fortunate to even have the choice of whether to stay or go; I am a person who has a lot of different privileges. I have resources, I have friends, I’m educated, I’m white.
Most people don’t willingly leave their homes unless things are really bad. But it’s never really all bad: Sometimes there’s extreme weather and disasters, and then there isn’t. It’s up and down. There’s a lot of talk around what the perfect solution is, where the safe places are. And the truth is that nowhere is safe because of climate change.
For me, the point of living at this moment on this planet is that it’s messy. It’s full of grief, it’s full of joy and beauty, and it’s also dangerous. There may be a time when I leave this place, for a variety of reasons. But I think the idea that you can run away from climate change is false.
Something I’ve learned a lot from talking with people who are deeply connected to the land here and who work with fire is that you have a responsibility to the place where you live. If I love this place so much, what do I owe it? The idea of tending a place for its overall health, not just for my personal survival, is very powerful.
Right, at one point you write about you and your partner thinking about doing prescribed burns in the woods near you to help reduce the risk of more fires.
We have thought a lot about the idea of reintroducing good fire where we live. Our neighborhood has been getting together and doing work days where we clear fuels from the forest floor together. And it’s really proof of how much work is needed, because you can clear brush and cut dead limbs off trees for a day with a group of 15 people, and then you look at this tiny quarter acre that you’ve worked on, and it still needs so much more work.
Stewardship is a constant act.
Absolutely. And it might not be perfect, and honestly it might not make a difference. These woods might still burn. But if and when they do burn, they are going to be healthier afterwards because the fire is going to be healthier.
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Deep Fission says that building small reactors underground is both safer and cheaper. Others have their doubts.
In 1981, two years after the accident at Three Mile Island sent fears over the potential risks of atomic energy skyrocketing, Westinghouse looked into what it would take to build a reactor 2,100 feet underground, insulating its radioactive material in an envelope of dirt. The United States’ leading reactor developer wasn’t responsible for the plant that partially melted down in Pennsylvania, but the company was grappling with new regulations that came as a result of the incident. The concept went nowhere.
More than a decade later, the esteemed nuclear physicist Edward Teller resurfaced the idea in a 1995 paper that once again attracted little actual interest from the industry — that is, until 2006, when Lowell Wood, a physicist at the Lawrence Livermore National Laboratory, proposed building an underground reactor to Bill Gates, who considered but ultimately abandoned the design at his nuclear startup, TerraPower.
Now, at last, one company is working to make buried reactors a reality.
Deep Fission proposes digging boreholes 30 inches in diameter and about a mile deep to house each of its 15-megawatt reactors. And it’s making progress. In August, the Department of Energy selected Deep Fission as one of the 10 companies enrolled in the agency’s new reactor pilot program, meant to help next-generation startups split their first atoms by July. In September, the company announced a $30 million reverse merger deal with a blank check firm to make its stock market debut on the lesser-known exchange OTCQB. Last month, Deep Fission chose an industrial park in a rural stretch of southeastern Kansas as the site of its first power plant.
Based in Berkeley, California, the one-time hub of the West Coast’s fading anti-nuclear movement, the company says its design is meant to save money on above-ground infrastructure by letting geology do the work to add “layers of natural containment” to “enhance safety.” By eliminating much of that expensive concrete and steel dome that encases the reactor on the surface, the startup estimates “that our approach removes up to 80% of the construction cost, one of the biggest barriers for nuclear, and enables operation within six months of breaking ground.”
“The primary benefit of placing a reactor a mile deep is cost and speed,” Chloe Frader, Deep Fission’s vice president of strategic affairs, told me. “By using the natural pressure and containment of the Earth, we eliminate the need for the massive, above-ground structures that make traditional nuclear expensive and slow to build.”
“Nuclear power is already the safest energy source in the world. Period,” she said. “Our underground design doesn’t exist because nuclear is unsafe, it exists because we can make something that is already extremely safe even safer, simpler, and more affordable.”
But gaining government recognition, going public, and picking a location for a first power plant may prove the easy part. Convincing others in the industry that its concept is a radical plan to cut construction costs rather than allay the public’s often-outsize fear of a meltdown has turned out to be difficult, to say nothing of what actually building its reactors will entail.
Despite the company’s recent progress, I struggled to find anyone who didn’t have a financial stake in Deep Fission willing to make the case for its buried reactors.
Deep Fission is “solving a problem that doesn't actually exist,” Seth Grae, the chief executive of the nuclear fuel company Lightbridge, told me. In the nearly seven decades since fission started producing commercial electrons on the U.S. grid, no confirmed death has ever come from radiation at a nuclear power station.
“You’re trying to solve a political problem that has literally never hurt anyone in the entire history of our country since this industry started,” he said. “You’re also making your reactors more expensive. In nuclear, as in a lot of other projects, when you build tall or dig deep or lift big and heavy, those steps make the projects much more expensive.”
Frader told me that subterranean rock structures would serve “as natural containment, which also enhances safety.” That’s true to some extent. Making use of existing formations “could simplify surface infrastructure and streamline construction,” Leslie Dewan, a nuclear engineer who previously led a next-generation small modular reactor startup, told IEEE Spectrum.
If everything pans out, that could justify Deep Fission’s estimate that its levelized cost of electricity — not the most dependable metric, but one frequently used by solar and wind advocates — would be between $50 and $70 per megawatt-hour, lower than other SMR developers’ projections. But that’s only if a lot of things go right.
“A design that relies on the surrounding geology for safety and containment needs to demonstrate a deep understanding of subsurface behavior, including the stability of the rock formations, groundwater movement, heat transfer, and long-term site stability,” Dewan said. “There are also operational considerations around monitoring, access, and decommissioning. But none of these are necessarily showstoppers: They’re all areas that can be addressed through rigorous engineering and thoughtful planning.”
As anyone in the geothermal industry can tell you, digging a borehole costs a lot of money. Drilling equipment comes at a high price. Underground geology complicates a route going down one mile straight. And not every hole that’s started ends up panning out, meaning the process must be repeated over and over again.
For Deep Fission, drilling lots of holes is part of the process. Given the size of its reactor, to reach a gigawatt — the output of one of Westinghouse’s flagship AP1000s, the only new type of commercial reactor successfully built from scratch in the U.S. this century — Deep Fission would need to build 67 of its own microreactors. That’s a lot of digging, considering that the diameters of the company’s boreholes are on average nearly three times wider than those drilled for harvesting natural gas or geothermal.
The company isn’t just distinguished by its unique approach. Deep Fission has a sister company, Deep Isolation, that proposes burying spent nuclear fuel in boreholes. In April, the two startups officially partnered in a deal that “enables Deep Fission to offer an end-to-end solution that includes both energy generation and long-term waste management.”
In theory, that combination could offer the company a greater social license among environmental skeptics who take issue with the waste generated from a nuclear plant.
In 1982, Congress passed a landmark law making the federal government responsible for the disposal of all spent fuel and high-level radioactive waste in the country. The plan centered on building a giant repository to permanently entomb the material where it could remain undisturbed for thousands of years. The law designated Yucca Mountain, a rural site in southwestern Nevada near the California border, as the exclusive location for the debut repository.
Construction took years to start. After initial work got underway during the Bush administration, Obama took office and promptly slashed all funding for the effort, which was opposed by then-Senate Majority Leader Harry Reid of Nevada; the nonpartisan Government Accountability Office clocked the move as a purely political decision. Regardless of the motivation, the cancellation threw the U.S. waste disposal strategy into limbo because the law requires the federal government to complete Yucca Mountain before moving on to other potential storage sites. Until that law changes, the U.S. effort to find a permanent solution to nuclear waste remains in limbo, with virtually all the spent fuel accumulated over the years kept in intermediate storage vessels on site at power plants.
Finland finished work on the world’s first such repository in 2024. Sweden and Canada are considering similar facilities. But in the U.S., the industry is moving beyond seeing its spent fuel as waste, as more companies look to start up a recycling industry akin to those in Russia, Japan, and France to reprocess old uranium into new pellets for new reactors. President Donald Trump has backed the effort. The energy still stored in nuclear waste just in this country is sufficient to power the U.S. for more than a century.
Even if Americans want an answer to the nuclear waste problem, there isn’t much evidence to suggest they want to see the material stored near their homes. New Mexico, for example, passed a law barring construction of an intermediate storage site in 2023. Texas attempted to do the same, but the Supreme Court found the state’s legislation to be in violation of the federal jurisdiction over waste.
While Deep Fission’s reactors would be “so far removed from the biosphere” that the company seems to think the NRC will just “hand out licenses and the public won’t worry,” said Nick Touran, a veteran engineer whose consultancy, What Is Nuclear, catalogs reactor designs and documents from the industry’s history.
“The assumption that it’ll be easy and cheap to site and license this kind of facility is going to be found to be mistaken,” he told me.
The problem with nuclear power isn’t the technology, Brett Rampal, a nuclear expert at the consultancy Veriten, told me. “Nuclear has not been suffering from a technological issue. The technology works great. People do amazing things with it, from curing cancer to all kinds of almost magical energy production,” he told me. “What we need is business models and deployment models.”
Digging a 30-inch borehole a mile deep would be expensive enough, but Rampal also pointed out that lining those shafts with nuclear-grade steel and equipping them with cables would likely pencil out to a higher price than building an AP1000 — but with one one-hundredth of the power output.
Deep Fission insists that isn’t the case, and that the natural geology “removes the need for complex, costly pressure vessels and large engineered structures” on the surface.
“We still use steel and engineered components where necessary, but the total material requirements are a fraction of those used in a traditional large-scale plant,” Frader said.
Ultimately, burying reactors is about quieting concerns that should be debunked head on, Emmet Penney, a historian of the industry and a senior fellow at the Foundation for American Innovation, a right-leaning think tank that advocates building more reactors in the U.S., told me.
“Investors need to wake up and realize that nuclear is one of the safest power sources on the planet,” Penney said. “Otherwise, goofy companies will continue to snow them with slick slide decks about solving non-issues.”
On energy efficiency rules, Chinese nuclear, and Japan’s first offshore wind
Current conditions: Warm air headed northward up the East Coast is set to collide with cold air headed southward over the Great Lakes and Northeast, bringing snowfall followed by higher temperatures later in the week • A cold front is stirring up a dense fog in northwest India • Unusually frigid Arctic air in Europe is causing temperatures across northwest Africa to plunge to double-digit degrees below seasonal norms, with Algiers at just over 50 degrees Fahrenheit this week.

Oil prices largely fell throughout 2025, capping off December at their lowest level all year. Spot market prices for Brent crude, the leading global benchmark for oil, dropped to $63 per barrel last month. The reason, according to the latest analysis of the full year by the Energy Information Administration, is oversupply in the market. China’s push to fill its storage tanks kept prices from declining further. Israel’s June 13 strikes on Iran and attacks on oil infrastructure between Russia and Ukraine briefly raised prices throughout the year. But the year-end average price still came in at $69 per barrel, the lowest since 2020, even when adjusted for inflation.

The price drop bodes poorly for reviving Venezuela’s oil industry in the wake of the U.S. raid on Caracas and arrest of the South American country’s President Nicolás Maduro. At such low levels, investments in new infrastructure are difficult to justify. “This is a moment where there’s oversupply,” oil analyst Rory Johnston told my colleague Matthew Zeitlin yesterday. “Prices are down. It’s not the moment that you’re like, I’m going to go on a lark and invest in Venezuela.”
The Energy Department granted a Texas company known for recycling defunct tools from oil and gas drilling an $11.5 million grant to fund an expansion of its existing facility in a rural county between San Antonio and Dallas. The company, Amermin, said the funding will allow it to increase its output of tungsten carbide by 300%, “reducing our reliance on foreign nations like China, which produces 83%” of the world’s supply of the metal used in all kinds of defense, energy, and hardware applications. “Our country cannot afford to rely on our adversaries for the resources that power our energy industry,” Representative August Pfluger, a Texas Republican, said in a statement. “This investment strengthens our district’s role in American energy leadership while providing good paying jobs to Texas families.”
That wasn’t the agency’s only big funding announcement. The Energy Department gave out $2.7 billion in contracts for enriched uranium, with $900 million each to Maryland-based Centrus Energy, the French producer Orano, and the California-headquartered General Matter. “President Trump is catalyzing a resurgence in the nation’s nuclear energy sector to strengthen American security and prosperity,” Secretary of Energy Chris Wright said in a press release. “Today’s awards show that this Administration is committed to restoring a secure domestic nuclear fuel supply chain capable of producing the nuclear fuels needed to power the reactors of today and the advanced reactors of tomorrow.”
Low-income households in the United States pay roughly 30% more for energy per square foot than households who haven’t faced trouble paying for electricity and heat in the past, federal data shows. Part of the problem is that the national efficiency standards for one of the most affordable types of housing in the nation, manufactured homes, haven’t been updated since 1994. Congress finally passed a law in 2007 directing the Department of Energy to raise standards for insulation, and in 2022, the Biden administration proposed new rules to increase insulation and reduce air leaks. But the regulations had yet to take effect when President Donald Trump returned to office last year. Now the House of Representatives is prepared to vote on legislation to nullify the rules outright, preserving the standards set more than three decades ago. The House Committee on Rules is set to vote on advancing the bill as early as Tuesday night, with a full floor vote likely later in the week. “You’re just locking in higher bills for years to come if you give manufacturers this green light to build the homes with minimal insulation,” Mark Kresowik, senior policy director of the American Council for an Energy-Efficient Economy, told me.
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The newest reactor at the Zhangzhou nuclear station in Fujian Province has officially started up commercial operation as China’s buildout of new atomic power infrastructure picks up pace this year. The 1,136-megawatt Hualong One represents China’s leading indigenous reactor design. Where once Beijing preferred the top U.S. technology for large-scale reactors, the Westinghouse AP1000, the Hualong One’s entirely domestic supply chain and design that borrows from the American standard has made China’s own model the new leader.
In a sign of just how many reactors China is building — at least 35 underway nationwide, as I noted in yesterday’s newsletter — the country started construction on two more the same week the latest Hualong One came online. World Nuclear News reported that first concrete has been poured for a pair of CAP1000 reactors, the official Chinese version of the Westinghouse AP1000, at two separate plants in southern China.
Back in October, when Japan elected Sanae Takaichi as its first female prime minister, I told you about how the arch-conservative leader of the Liberal Democratic Party planned to refocus the country’s energy plans on reviving the nuclear industry. But don’t count out offshore wind. Unlike Europe’s North Sea or the American East Coast, the sharp continental drop in Japan’s ocean makes rooting giant turbines to the sea floor impossible along much of its shoreline. But the Goto Floating Wind Farm — employing floating technology under consideration on the U.S. West Coast, too — announced the start of commercial operations this week, pumping nearly 17 megawatts of power onto the Japanese grid. Japanese officials last year raised the country’s goal for installed capacity of offshore wind to 10 gigawatts by 2030 and 45 gigawatts by 2040, Power magazine noted, so the industry still has a long way to go.
Beavers may be the trick to heal nature’s burn scars after a wildfire. A team of scientists at the U.S. Forest Service and Colorado State University are building fake beaver dams in scorched areas to study how wetlands created by the dams impact the restoration of the ecosystem and water quality after a blaze. “It’s kind of a brave new world for us with this type of work,” Tim Fegel, a doctoral candidate at Colorado State, who led the research, said in a press release.
Rob talks about the removal of Venezuela’s Nicolás Maduro with Commodity Context’s Rory Johnston.
Over the weekend, the U.S. military entered Venezuela and captured its president, Nicolás Maduro, and his wife. Maduro will now face drug and gun charges in New York, and some members of the Trump administration have described the operation as a law enforcement mission.
President Donald Trump has taken a different tack. He has justified the operation by asserting that America is going to “take over” Venezuela’s oil reserves, even suggesting that oil companies might foot the bill for the broader occupation and rebuilding effort. Trump officials have told oil companies that the U.S. might not help them recover lost assets unless they fund the American effort now, according to Politico.
Such a move seems openly imperialistic, ill-advised, and unethical — to say the least. But is it even possible? On this week’s episode of Shift Key, Rob talks to Rory Johnston, a Toronto-based oil markets analyst and the founder of Commodity Context. They discuss the current status of the Venezuelan oil industry, what a rebuilding effort would cost, and whether a reopened Venezuelan oil industry could change U.S. energy politics — or even, as some fear, bring about a new age of cheap fossil fuels.
Shift Key is hosted by Robinson Meyer, the founding executive editor of Heatmap, and Jesse Jenkins, a professor of energy systems engineering at Princeton University. Jesse is off this week.
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Here is an excerpt from our conversation:
Robinson Meyer: First of all, does Venezuela have the world’s largest hydrocarbon reserves — like, proven hydrocarbon reserves? And number two, let’s say that Trump has made some backdoor deal with the existing regime, that these existing issues are ironed ou to actually use those reserves. What kind of investment are we talking about on that end?
Rory Johnston: The mucky answer to this largest reserve question is, there’s lots of debate. I will say there’s a reasonable claim that at one point Venezuela — Venezuela has a lot of oil. Let’s just say it that way: Venezuela has a lot of oil, particularly the Orinoco Belt, which, again, similar to the oil sands we’re talking about —
Meyer: This is the Orinoco flow. We’re going to call this the Orinoco flow question.
Johnston: Yeah, exactly, that. Similar to the Canadian oil sands, we’re talking about more than a trillion barrels of oil in place, the actual resource in the ground. But then from there you get to this question of what is technically recoverable. Then from there, what is economically recoverable? The explosion in, again, both Venezuelan and Canadian reserve estimates occurred during that massive boom in oil prices in the mid-2000s. And that created the justification for booking those as reserves rather than just resources.
So I think that there is ample — in the same way, like, Russia and the United States don’t actually have super impressive-looking reserves on paper, but they do a lot with them, and I think in actuality that matters a lot more than the amount of technical reserves you have in the ground. Because as we’ve seen, Venezuela hasn’t been able to do much with those reserves.
So in order to, how to actually get that operating, this is where we get back to the — we’re talking tens, hundreds of billions of dollars, and a lot of time. And these companies are not going to do that without seeing a track record of whatever government replaces the current. The current vice president, his acting president — which I should also note, vice president and oil minister, which I think is particularly relevant here — so I think there’s lots that needs to happen. But companies are not going to trip over themselves to expose themselves to this risk. We still don’t know what the future is going to look like for Venezuela.
Mentioned:
The 4 Things Standing Between the U.S. and Venezuela’s Oil
Trump admin sends tough private message to oil companies on Venezuela
Previously on Shift Key: The Trump Policy That Would Be Really Bad for Oil Companies
This episode of Shift Key is sponsored by …
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Music for Shift Key is by Adam Kromelow.