Gas prices

["W"]

Originally Posted by Goooh

http://www.usatoday.com/story/money/...gulf/20752155/


Sent

The Gulf will always be safe for "production"

As long as we can sell oil and gas we will be fine , but I flew over 12 stacked rigs yesterday and that is the most there since 2011 oil spill

Chevron / Exxon / shell can still pay drilling cost vs lifting cost


All this land drilling cost lots and is mostly done by small company's that can not afforded low oil prices vs the cost to drill

[Goooh]

Originally Posted by "W"

The Gulf will always be safe for "production"



As long as we can sell oil and gas we will be fine , but I flew over 12 stacked rigs yesterday and that is the most there since 2011 oil spill



Chevron / Exxon / shell can still pay drilling cost vs lifting cost





All this land drilling cost lots and is mostly done by small company's that can not afforded low oil prices vs the cost to drill

I understand that, my focus was more on future projects and the development of these fields.

Land drilling has, and always will be volatile. Anyone involved in it has been laid off at some point, come very very close to it, had pay cut, or been shifted to another position - all due to dips in oil... And those that supply the industry have had their cheeks pucker up as a domino effect.

I feel bad for the families that have to go through a job loss like that, and pray I never do. But, I'm not sure why all this seems like a surprise and we are acting like we just discovered a unicorn..


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[I make oil]

I'm traveling and typing on my phone so this will be short.

As the USA article said Major projects are planned over many years. But the major projects are only a small part of the industry. The biggest deep water platforms are completely automated. The crews that operate them are small. They don't utilize the services of many companies. They are important as far as total volume contributed to the oil produced but not as much as far as the number of people employed. Marginal players on mature properties do not contribute as much volume wise to the big picture but they employ 50x more people. Utilize more service companies and have higher lifting expenses. This is where the economy will be hurt. It's not about what is made its about spreading it around the industry.

The super majors are protected from lower prices the same way the OPEC producers are. They spread the losses over a bigger foot print. I'm all about free market and capitalism but neither of these things help the nation. That is what this is about not a few majors loosing some money.

[Goooh]

Originally Posted by I make oil

I'm traveling and typing on my phone so this will be short.



As the USA article said Major projects are planned over many years. But the major projects are only a small part of the industry. The biggest deep water platforms are completely automated. The crews that operate them are small. They don't utilize the services of many companies. They are important as far as total volume contributed to the oil produced but not as much as far as the number of people employed. Marginal players on mature properties do not contribute as much volume wise to the big picture but they employ 50x more people. Utilize more service companies and have higher lifting expenses. This is where the economy will be hurt. It's not about what is made its about spreading it around the industry.



The super majors are protected from lower prices the same way the OPEC producers are. They spread the losses over a bigger foot print. I'm all about free market and capitalism but neither of these things help the nation. That is what this is about not a few majors loosing some money.

I think you may be surprised at how much is tied to the construction, development, FEED, etc... for these major long term projects. Yea, once online it's minimal, but 5-10 years of design, testing, development and implementation keeps countless people employed - hell, we stay busy just picking up crumbs from various sectors on ONE major project selling products to 5 different companies involved with 5 stages of the project (I.e. Olympus and Big Foot).


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[I make oil]

http://www.worldoil.com/Oil-glut-cou...ster-says.html

The wording here says it all. They are looking to teach US producers a lesson.

[Goooh]

#WayUpStream


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[Mako19]

http://oilpro.com/post/9729/oil-serv...-just-got-real

"Oil Service Leader Schlumberger Cuts 9,000 Jobs - It Just Got Real."

**** Just got Real! A coworker of mine sent me this link right after i picked up my daughter after i left the office this afternoon. Schlumberger is the first major company in the O&G industry to make a huge layoff. Tensions are going to be thick at the office the next few weeks....I hope that I am still around when things return to normal.

This is the first major downturn since I started my career in this industry. I knew that by being in the oilfield there is always a chance of being layed off during a downturn. I was just hoping that it wouldn't happen the same year that my wife and I brought a child into this world.

All there is to do is keep showing up and giving 100% and hope that the decision makers don't call my number. Good luck to everyone who makes their living in the O &G industry. Everyone in my household will be praying that this thing goes back up as fast as it fell.