Free Republic
Browse · Search
Bloggers & Personal
Topics · Post Article

Skip to comments.

Harold Hamm: U.S. Shale Spending Binge Could Destroy Oil Market
Oilprice.com ^ | 09-03-2017 | Hamm

Posted on 03/09/2017 8:36:00 AM PST by bananaman22

In a rather unconventional warning, Continental Resources chief executive Harold Hamm said on Wednesday that should the U.S. oil industry embark on another spending spree, it could “kill” the market.

Speaking at the CERAWeek conference in Houston – one of the largest gatherings of oil executives and ministers, including this year Saudi Arabia’s oil minister Khalid Al-Falih – Hamm said that U.S. crude oil output “could go pretty high”.

But Hamm was quick to add, as quoted by Bloomberg:

“But it’s going to have to be done in a measured way, or else we kill the market.”

(Excerpt) Read more at oilprice.com ...


TOPICS: Business/Economy
KEYWORDS: drillbabydrill; haroldhamm; oil; oilmarkets; usshale
Navigation: use the links below to view more comments.
first 1-2021-23 next last

1 posted on 03/09/2017 8:36:00 AM PST by bananaman22
[ Post Reply | Private Reply | View Replies]

To: bananaman22

That’s the point. Who do we damage? Spreaders of radical Islam like Saudi Arabia and Iran; teetering socialist regimes like Venezuela, etc.

Sounds like a good thing.


2 posted on 03/09/2017 8:41:51 AM PST by PapaBear3625 (Big government is attractive to those who think that THEY will be in control of it.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: bananaman22

[“But it’s going to have to be done in a measured way, or else we kill the market.”]

Lower oil prices will help MAGA. Apparently they don’t want to miss out on gouging vacationing AMERICANS at the gas pump.


3 posted on 03/09/2017 8:44:47 AM PST by stars & stripes forever (Blessed is the nation whose God is the Lord. Psalm 33:12)
[ Post Reply | Private Reply | To 1 | View Replies]

To: bananaman22

The only thing it’s going to destroy is OPEC.

The upside is we finally become energy independent. We tell Saudi to go eff themselves!


4 posted on 03/09/2017 8:46:48 AM PST by unixfox (Abolish Slavery, Repeal the 16th Amendment)
[ Post Reply | Private Reply | To 1 | View Replies]

To: stars & stripes forever

I know lower oil prices help my economy. Seeing as the American economy is about 2/3 consumer spending...lower oil prices would have to be a plus.


5 posted on 03/09/2017 8:47:19 AM PST by servantboy777
[ Post Reply | Private Reply | To 3 | View Replies]

To: unixfox

Drill Baby, Drill!


6 posted on 03/09/2017 8:48:27 AM PST by KC_Lion ("We must put our citizens first. Only then will we Make America Great Again."- Donald Trump)
[ Post Reply | Private Reply | To 4 | View Replies]

To: bananaman22
low oil prices makes it harder to pay billionaires their billions.

But make it better for the rest of us. I believe Hamm set the record for a divorce settlement.

7 posted on 03/09/2017 8:55:24 AM PST by FatherofFive (Islam is EVIL and needs to be eradicated)
[ Post Reply | Private Reply | To 1 | View Replies]

To: KC_Lion

Anyone that thinks OPEC doesn’t exist to hurt us is naive. I say starve the beast. The Saudis kept the spigots running but they were rewarded for their U.S. friendship.


8 posted on 03/09/2017 8:55:33 AM PST by DIRTYSECRET (urope. Why do they put up with this.)
[ Post Reply | Private Reply | To 6 | View Replies]

To: PapaBear3625

It does kill the market for $80-$100/barrel crude oil, that is for sure.

But if the technology evolves to the point that crude oil can be produced profitably for less than $50/barrel (and we may already be at the stage), then the older methods of extraction are going to be bid out of the market, unless they, too, can streamline and update their technology to compete.

And the more that natural gas can displace petroleum as a fuel source, the longer the prices will be constrained on crude oil.

That elusive dream of the “social justice warriors”, that somehow solar power will magically replace all “fossil fuels”, remains just that, an elusive dream. We shall have Thorium-fueled Molten Salt nuclear reactors, or even fusion power generation, long before solar becomes as reliable as “fossil fuel” power generation today.


9 posted on 03/09/2017 8:58:27 AM PST by alloysteel (John Galt has chosen to take the job. This time, Atlas did NOT shrug.)
[ Post Reply | Private Reply | To 2 | View Replies]

To: bananaman22

Supply and demand fluctuate. Prices fluctuate. Profits fluctuate.

So nu?

I’ve lived through at least 8 oil boom/bust cycles. For some reason, journalists and the industry seem compelled to act as if either part of the cycle has never happened before and couldn’t have been expected to happen this time.


10 posted on 03/09/2017 9:08:10 AM PST by Tax-chick (Reality does not go away when we close our eyes. It only disappears from our view.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: alloysteel
We shall have Thorium-fueled Molten Salt nuclear reactors, or even fusion power generation, long before solar becomes as reliable as “fossil fuel” power generation today.

I agree.

11 posted on 03/09/2017 9:09:25 AM PST by Tax-chick (Reality does not go away when we close our eyes. It only disappears from our view.)
[ Post Reply | Private Reply | To 9 | View Replies]

To: unixfox

On top of our majority imports of petrol being Canada, making the final shafts to the Saudis would be a good thing.


12 posted on 03/09/2017 9:13:16 AM PST by Morpheus2009
[ Post Reply | Private Reply | To 4 | View Replies]

To: DIRTYSECRET

I want to see the entire Saudi royal family subjected to Sharia law.


13 posted on 03/09/2017 9:13:41 AM PST by freedomfiter2 (Lex rex)
[ Post Reply | Private Reply | To 8 | View Replies]

To: alloysteel

Refining fissile material from other sources sounds doable. But fusion? The absurd amount of pressure and heat guarantee that unless it is going on from a star, it is a net loss of energy. Maybe there could be a way to catalyze fusion to take less energy, but until then, figuring out how to do solar beamed from geosynchronous orbit is the best fusion technology out there.


14 posted on 03/09/2017 9:17:11 AM PST by Morpheus2009
[ Post Reply | Private Reply | To 9 | View Replies]

To: bananaman22

I really dislike these scare pieces.

The only way to destroy a market is to replace the technology of the market. In this case, it would require the replacement of the entire oil / petro chemical market - not going to happen.

What DOES happen is that the PLAYERS in a market can get destroyed by having an inverted cost to profit ratio. Generally speaking, the most inefficient players, those with the worst cost to profit ratios, will die first due to the drain on the capital and reserves. When those players get stripped out of the market, there is lower demand and the prices point will stabilize, at least temporarily.


15 posted on 03/09/2017 9:17:20 AM PST by taxcontrol
[ Post Reply | Private Reply | To 1 | View Replies]

To: Morpheus2009

True but we are making progress with fusion. http://www.livescience.com/43318-fusion-energy-reaches-milestone.html

There are several milestones along the road and this should only be interpreted as one of the first Q > 1 achievements. Many other achievements are required.

Just another 30 years or so .../joke


16 posted on 03/09/2017 9:23:35 AM PST by taxcontrol
[ Post Reply | Private Reply | To 14 | View Replies]

To: bananaman22

Oil price just dipped back under $50.

Bottom Line: “the head of the International Energy Agency (IEA), Fatih Birol, told Bloomberg:

“We are witnessing the start of a second wave of U.S. supply growth.””

Bad news for the Saudi budget, and the future funding prospects for global jihad. Good news for the USA.


17 posted on 03/09/2017 9:39:50 AM PST by BeauBo
[ Post Reply | Private Reply | To 1 | View Replies]

To: bananaman22

For my family and I, if the cost of regular unleaded stayed forever between $1.74.9 & $2.24.9/gallon, we’d be happy.


18 posted on 03/09/2017 10:06:14 AM PST by Valk Rider
[ Post Reply | Private Reply | To 1 | View Replies]

To: taxcontrol

***** Just another 30 years or so .../joke *****


That’s been the case with Fusion. It’s ALWAYS 10 to 25 years down the road.


19 posted on 03/09/2017 10:10:31 AM PST by Valk Rider
[ Post Reply | Private Reply | To 16 | View Replies]

To: bananaman22

BTT


20 posted on 03/09/2017 10:10:54 AM PST by Rumplemeyer (The GOP should stand its ground - and fix Bayonets)
[ Post Reply | Private Reply | To 1 | View Replies]


Navigation: use the links below to view more comments.
first 1-2021-23 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
Bloggers & Personal
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson