Posted on 10/27/2014 7:49:15 AM PDT by SeekAndFind
This field has been operational since the 1930's. I suspect that all the loans have been paid off.
I have always noted that as the oil price drops, the number of operational pumps drops.
This is great news if Curie’s analysis is correct. Cheaper energy is one of the greatest economic stimuli we can have. Maybe Obama’s recession will end.
OTOH, energy prices also fall during bad economic times. Remember how cheap gas was in the 2008-2009 crash?
I don’t know if this is primarily demand driven or supply driven.
So uninformed it hurts.
The break even price and the price that investors will put money into in order to get a profit on their investment is two different things.
With a 73% lease average, payout at $80 and payout at $100 is a big difference.
Since you seem to be so uninformed, payout is when the cost of the well is covered and you start making a profit after operating cost.
Investors are after profit, not payout.
You are correct!! I checked CME and is dropped below $80 on Oct 14/15!
Ethel was 40 cents. She had to be one ugly looking woman! ;>)~
I remember paying 25.9 for "Ethel" in 1972.
LOL
**I remember paying 25.9 for “Ethel” in 1972. ***
Must have been during a “gas war” when Regular got down to 12 cents a gallon.
Wonder how many remember gas wars.
There is a certain point where you break even on a well and price of oil determines it. When it reaches the point that the energy required to lift it exceeds the profits from it you shut it down. Let me add this is one of the worst things you can do with a well due to corrosion and paraffin but when it hits that point you flip the switch.
I remember when regular gas was 22 cents a gallon and Ethel was 40 cents. 1971.”
We used to have gas price wars in Kansas City during the late 1970’s and wait to fill up when it was $.19 a gallon. Seems like Hudson Oil used to always start up the war at least once a month. Had two teenagers driving and used to be able to fill three cars every Monday morning for $20 total. My son also had a motorcycle which he could run to and from school for almost two weeks on just $.25 for gas.
Of course I also fed my family three meals a day for two weeks on $100 worth of groceries. Did a look back several months ago and our family net income then was greater than it is now.
Memories...there was a ‘gas war’ between Tiger and Workingman’s Friend in upstate NY back around 1971...it got down to 24.9. I had to take a trip up to the Adirondacks at the time, and remember screaming and bitching about having to pay 41.9 at the only station in the town I was visiting. Screw you, Mobil. Never forget. :-)
I remember gas wars...S&H Green Stamps...glassware...dinnerware...gas attendents who checked the oil, coolant, tire pressure and swept out the floorboards. And No-Nox gasoline which added lead to stop engine pinging and run-on engines after the ignition was turned off. Adding lead added to the price...then they switched back to unleaded and it...raised the price?
Or after they’ve sufficiently sent a message to Vlad.
If I were to call my Oil Co for a delivery next week, can anyone possibly give me an idea how much they should be charging per gallon? Since I pay cash per delivery, they keep NO records & charge me sales tax, which wont be happening after I found out about no records. I just don’t rust the co. to charge the same price I was paying last year, as I have no contract. Any help/answers mighty appreciated!
***Seems like Hudson Oil used to always start up the war at least once a month. ***
All our gas wars started in Kansas City ans spread out clear down into Arkansas and Oklahoma.
One day it would be 22 cents, the next day 20 cents, then 18 cents then 14 cents. The lowest I ever remember was 12 cents around 1970.
But then, we also had EIGHT full service gas stations in this small burg. Competition was tense! Now we have two self service convenience store stations.
***S&H Green Stamps...glassware...dinnerware***
Back in 1970, a local station offered a set of heavy duty drinking glasses with fill ups. I took the company trucks there and filled up. Got several sets before the company said “No More!”
I’ve still got those sets. Didn’t cost me a dime. ;-D
Do you have anything more recent than that?
Just imagine how low oil would go, if we had a president who cared about oil production and getting us off foreign energy, this is sad.
It won’t be long before obama begins to take credit, while at the same time planning to stifle the trend, probably using taxation.
This trend is happening in-spite of obama’s efforts to keep prices as high as possible, it is important to his mission of destruction of the American economy, which has been continuously successful, here’s hoping his damning of America begins to fail at every turn.
Good old Mary Hudson. Convicted of cheating the customers. As a teen I worked at an APCO station and remember the price wars. The highest it ever got while I was working there was 18.9.
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