Silicon & Shale Podcast

About Silicon & Shale Podcast

Where the Oil Patch Meets the Algorithm. Weekly podcast covering the collision of AI and energy. siliconandshale.substack.com (https://siliconandshale.substack.com?utm_medium=podcast)

Publisher

Silicon & Shale

Category

business · technology

Language

en

Explicit

No

First episode

12 Mar 2026

Latest episode

21 Oct 2026

Latest episodes

20 episodes in the feed.

1. 

   21 Oct 2026

   Power Islands: The AI Boom Wants Its Own Grid, and the Oil Patch Is Selling the Islands

   Derrick and Packer follow the AI build-out as it stops asking the grid for power and starts buying private gas-fired grids, pipe and plant-floor models from the oil patch. The question all episode: what got signed, versus what is actually ordered, permitted or running. In this episode: * Venture Global’s power islands: frame agreements (Oct 15) with GE Vernova and Baker Hughes Energy Services for up to 16 new 720 MW power island units plus transformer equipment, and a “pathway” to up to 10 GW of new compute capacity by the end of 2034, subject to customer commitments. It builds on about 4.5 GW of existing island-mode generation (6 power islands ordered, in construction or operating). The first purchase order is expected by the end of 2026. No customer, site or price has been named. * Rigs and gas: Baker Hughes counts hit 2026 highs in the week ended Oct 9 (Permian 274, U.S. 603, the first U.S. count of 600+ since May 2024), then the Permian slipped to 272 with the U.S. flat at 603. RBN Energy puts Permian gas at a record ~23.9 Bcf/d (week ended Oct 12), with ~2.3 Bcf/d of new takeaway online this year and Blackcomb expected to add ~2.5 Bcf/d by year-end. * Texas: TCEQ’s Oct 19 letter to the governor says it has paused permits for infrastructure directly supporting data centers, is screening pending applications, and is suspending claimed authorizations “where possible.” Public Citizen says some data-center-related permits kept moving; TCEQ says those stormwater permits were suspended (per the Texas Tribune). The pause still reaches behind-the-meter generation, and ERCOT’s audit is expected around mid-December. * AI: Seeq and Applied Computing pair Orbital (which the company calls “the first foundation model built for energy operations”) with Seeq analytics, starting with KBR’s INSITE platform. No performance numbers were disclosed. SLB signs a 15-year DrillPlan well-planning agreement with TotalEnergies. Footnote: Cosmo Oil and GE Vernova sign an MoU to beta-test generative-AI asset performance management in refinery maintenance. * Collision Zone: Oracle’s Project Jupiter and Transwestern’s Green Chile line (FERC docket CP26-80). It covers 17.77 miles of 24-inch pipe and ~400 MMcf/d of firm service to fuel a fuel-cell microgrid. FERC staff’s EA recommends a finding of no significant impact with conditions, and there was no final order as of mid-October. When there’s no grid behind you, the gas chain is the uptime guarantee. * Field Report and Build List: read the docket, not the deck. Try a narrow docket watcher, and start documenting compression and gathering uptime now. Sources consulted for this episode: * Venture Global — New agreements to support expansion of grid-independent power network (2026-10-15) (https://ventureglobal.com/2026/10/15/venture-global-secures-new-agreements-to-support-expansion-of-existing-grid-independent-power-network/) * Oil & Gas 360 — Baker Hughes rig count (2026-10-16) (https://www.oilandgas360.com/baker-hughes-rig-count-10-16/) * PB Oil and Gas Magazine — Permian (274), U.S. (603) reach highest rig counts of 2026 (2026-10-13) (https://pboilandgasmagazine.com/permian-basin-274-u-s-603-reach-highest-rig-counts-of-2026/) * RBN Energy — Gas production high in the Permian and poised for more growth (2026-10-12) (https://rbnenergy.com/daily-posts/analyst-insight/gas-production-high-permian-and-poised-more-growth) * Office of the Texas Governor — Governor Abbott Directs TCEQ To Halt Data Center Permits (2026-09-21) (https://gov.texas.gov/news/post/governor-abbott-directs-tceq-to-halt-data-center-permits) * TCEQ — Response to Gov. Abbott Sept. 21 directive on data centers (PDF, 2026-10-19) (https://www.tceq.texas.gov/downloads/response/tceq-response-gov-abbott-dc-directive.pdf) * The Texas Tribune — Critics say some data center plans still moved forward (2026-10-20) (https://www.texastribune.org/2026/10/20/data-center-permits-tceq-abbott-texas-pause/) * The Texas Lawbook — Abbott orders statewide pause on Texas data center permits (2026-10-07) (https://texaslawbook.net/abbott-orders-statewide-pause-on-texas-data-center-permits/) * Seeq — Seeq and Applied Computing partner to advance industrial AI for energy operations (2026-10-13) (https://www.seeq.com/resources/press-releases/seeq-and-applied-computing-partner-to-advance-industrial-ai-for-energy-operations/) * SLB — SLB awarded digital drilling contract by TotalEnergies (2026-10-08) (https://www.slb.com/newsroom/press-release/2026/pr-2026-1008-total-energies-drillplan) * Cosmo Oil — MoU with GE Vernova on refinery asset maintenance (2026-10-08) (https://www.cosmo-energy.co.jp/en/information/press/2026/261008-01.html) * Pipeline & Gas Journal — Oracle renews push for expedited FERC order on Green Chile pipeline (2026-10-14) (https://pgjonline.com/news/2026/october/oracle-renews-push-for-expedited-ferc-order-on-transwestern-s-400-mmft3d-green-chile-pipeline) Commentary in the episode is Derrick and Packer’s read, and it’s labeled as such. The numbers come from the sources. We couldn’t confirm Venture Global’s first permit filings at recording time. If that changes, or if ERCOT’s audit changes the Texas picture, we’ll say so on the show. If this helped you tell a menu from an order, a rating or short review wherever you listen helps other folks in the patch find us. Silicon & Shale — where the oil patch meets the algorithm. siliconandshale@gmail.com This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit siliconandshale.substack.com (https://siliconandshale.substack.com?utm_medium=podcast&utm_campaign=CTA_1)

2. 

   15 Oct 2026

   Two Chevrons: Arena Joins the Table, Kilby Waits on Paper

   Recorded Oct 13, 2026. Derrick and Packer look at two Chevrons in the same news cycle. One joined an AI subsurface software collaboration at the speed of a signature. The other, Project Kilby, a roughly 2.67 GW gas power plant for a Microsoft data center, is waiting on Texas’s permit clock at the speed of a notary stamp. In this episode: * Project Kilby: Chevron’s 20-year power agreement with Microsoft for about 2.67 GW of behind-the-meter gas generation in West Texas, with GE Vernova and Solar Turbines equipment, FID expected by end-2026 “subject to conditions,” and first power targeted for 2028. A Chevron executive told Semafor the FID could slip to 2027. Chevron’s June release calls Energy Forge One wholly owned, while the project site now describes a 50/50 Chevron–Joulent joint venture; we flag that as unresolved. * The Texas permit calendar: the Sep 21 directive halting TCEQ data-center permits, ERCOT’s community-impact RFI with its notarized attestation due Oct 12, the TCEQ update due Oct 19, and the ERCOT/PUC report due by Dec 10. Whether a behind-the-meter plant is covered is an open question, and we say so. * Chevron joins Arena: Chevron Technical Center becomes the second global operator in the digital subsurface collaboration SLB and TotalEnergies started in 2024, bringing investment, IP and engineers embedded in SLB technology centers. No dollar figures or product dates were disclosed. * TGS × Galdor Exploration: a framework agreement giving the new AI-first Norwegian explorer access to TGS data and its Seismic Foundation Model. No money, licenses or acreage were disclosed. * Collision Zone, Field Report and Build List: why a better record can mean a faster stamp. Sources consulted for this episode: * Chevron — 20-year power agreement with Microsoft for West Texas data center (2026-06-22) (https://www.chevron.com/newsroom/2026/q2/chevron-signs-20-year-power-agreement-with-microsoft-for-west-texas-data-center) * Project Kilby — project site (https://kilby.com/project/) * Semafor — Texas politics could delay investment decision for huge Chevron data center (2026-10-01) (https://www.semafor.com/article/10/01/2026/texas-politics-could-delay-investment-decision-for-huge-chevron-data-center) * Office of the Texas Governor — Governor Abbott Directs TCEQ To Halt Data Center Permits (2026-09-21) (https://gov.texas.gov/news/post/governor-abbott-directs-tceq-to-halt-data-center-permits) * ERCOT — Market notice M-B091426-01 (2026-09-14) (https://www.ercot.com/services/comm/mkt_notices/M-B091426-01) * ERCOT — State and Community Impact RFI (https://www.ercot.com/about/legal/data-center-impact-rfi) * ERCOT — RFI question reference (PDF, 2026-09-18) (https://www.ercot.com/files/docs/2026/09/18/State-and-Community-Impact-RFI_Question-Reference-9.18.26.pdf) * SLB — Chevron joins digital subsurface collaboration (2026-10-06) (https://www.slb.com/newsroom/updates/2026/2026-1006-digital-subsurface-collaboration) * TGS — Strategic AI collaboration with Galdor Exploration (2026-10-12) (https://www.tgs.com/press-releases/tgs-enters-strategic-ai-collaboration-with-galdor-exploration) Commentary in the episode is Derrick and Packer’s read, labeled as such; the numbers are the sources’. If Chevron revises its FID timing, the Kilby ownership picture clears up, or TCEQ’s Oct 19 update changes the picture, we’ll say so on the show. If this helped you find the real verb in a press release, a rating or short review wherever you listen helps other folks in the patch find us. Silicon & Shale — where the oil patch meets the algorithm. siliconandshale@gmail.com This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit siliconandshale.substack.com (https://siliconandshale.substack.com?utm_medium=podcast&utm_campaign=CTA_1)

3. 

   7 Oct 2026

   Off, Manual, Auto: AI Gets a Hand on the Setpoint

   Derrick and Packer look at how far AI has gotten in the oil patch this week. The question has moved past "is the AI smart?" to "which rung of the ladder is it allowed on?" At the bottom it reads. In the middle it recommends and a person signs off. At the top it changes a setpoint on a live system, inside limits somebody set. In this episode: * PakEnergy's OnPing Plunger (Oct 1): AI that tunes plunger-lift setpoints (tubing differential, afterflow timing, pressure thresholds) with three modes: Off, Manual and Auto. Paper next to steel: "up to 30%" on wells set conservatively and left alone, versus 3.5–7% on wells that are already well optimized. Both numbers are in the release, and we read the smaller one first. * AIQ, which counts ADNOC as its largest customer and shareholder: Semafor's Oct 1 report on its Genesis agentic operating system, plus AIQ's own claims for RoboWell, closed-loop well control on 500+ wells with about a 5% production increase. * The Egyptian Refining Company's pilot agent that predicts equipment failures and builds the maintenance case for engineers to approve. The chairman says one outage costs about $35 million. * Wood Mackenzie research inside Microsoft Copilot through an MCP connector (Oct 5). Microsoft's documentation says write, update and delete actions for these connectors start rolling out in early October 2026, with "Allow once / Allow for conversation / Always allow." * Expand Energy picks Thoughtworks to take AI "beyond isolated pilots," with a production solution targeted by the end of 2026. * What operators, engineers, land and back-office teams, royalty owners and security folks should ask before anything goes to Auto. Sources consulted for this episode: * PakEnergy — New AI from PakEnergy Increases Plunger Lift Revenue Up to 30% Per Well While Reducing Lifting Costs (PR Newswire, 2026-10-01) (https://www.prnewswire.com/news-releases/new-ai-from-pakenergy-increases-plunger-lift-revenue-up-to-30-per-well-while-reducing-lifting-costs-302895936.html) * AIQ — RoboWell product page (https://aiq.ae/products/Production/robowell) * Semafor — AI firm AIQ pilots new tools for oil patch (2026-10-01) (https://www.semafor.com/article/10/01/2026/ai-firm-aiq-pilots-new-tools-for-oil-patch) * EnterpriseAM Egypt — ERC is piloting new AI agent to predict equipment failures (2026-10-06) (https://enterpriseam.com/egypt/2026/10/06/erc-is-piloting-new-ai-agent-to-predict-equipment-failures/) * Wood Mackenzie — Wood Mackenzie connects trusted energy intelligence with Microsoft Copilot (2026-10-05) (https://www.woodmac.com/press-releases/wood-mackenzie-connects-trusted-energy-intelligence-with-microsoft-copilot/) * Microsoft Learn — Federated connectors overview (Microsoft 365 Copilot connectors) (https://learn.microsoft.com/en-us/microsoft-365/copilot/connectors/federated-connectors-overview) * Thoughtworks — Expand Energy Selects Thoughtworks to Scale AI Across the Enterprise (2026-10-05) (https://www.thoughtworks.com/about-us/news/2026/expand-energy-selects-thoughtworks) * Upstream Oil and Gas (OGGN) — Ep 360 with Claudia Molina, SeguEN (2026-09-30) (https://feeds.oggn.com/why-curiosity-and-grit-are-the-real-edge-in-energy-innovation-with-claudia-molina-seguen-ep-360/) Commentary in the episode is Derrick and Packer's read, labeled as such. The numbers are the sources'. Vendor performance figures are the vendors' own claims. If PakEnergy's Oct 29 field results or Expand's first production solution change anything, we'll say so on the show. If this helped you tell a ceiling number from a floor number, a rating or short review wherever you listen helps other folks in the patch find us. Silicon & Shale — where the oil patch meets the algorithm. siliconandshale@gmail.com This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit siliconandshale.substack.com (https://siliconandshale.substack.com?utm_medium=podcast&utm_campaign=CTA_1)

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