Posted on 01/25/2016 10:08:32 PM PST by Citizen Zed
Edited on 01/26/2016 12:16:33 AM PST by Admin Moderator. [history]
Many smart people thought U.S. oil production would fall off a cliff along with the crash in crude prices.
In reality, it hasn't even come close to killing American production. The U.S. pumped 9.35 million barrels of oil a day in October, according to the latest government statistics available. That's up from 9.13 million barrels in October 2014.
What falling oil prices do not accomplish against Big Oil, the Hillary Clinton administration surely will.
The GOPe is doing its best to assure a Hillary victory in 2016.
“But you and I both know that with only 2% of the world’s oil reserves, we can’t just drill our way to lower gas prices...”
March 2012 by the Smartest Man in the World
Anyone have a favorite public company to own as an investment
There are a whole bunch of wells being drilled but not completed. Holes drilled, casings run and cemented just sitting there waiting for the price to come back up since a typical perforation and frac job cost 250k + and then there is other surface costs involved with putting it online.
Drilling costs right now are cheap compared to a couple of years ago and rigs are plentiful since most now are just sitting. The biggest contractor here has about 30 rigs sitting in their yard. Not enough space to store them laying down so they have them standing up. Looks like a forrest of rigs. Cost, about 20-25 million each just sitting there.
October? How about comparing this January to last January? Crude prices have crashed in the last 3 months, just like the stock market. Oh, I forgot. The Obama economy is wonderful, according to the MSM.
Give it time.
It isn't.
Someone, somewhere, is skimming off the top, La Cosa Nostra style.
Crude prices have crashed in the last 3 months, just like the stock market.
Stocks are likely headed to below 10,000. That is going to cause a lot of problems. Watch for Federal seizure of all IRAs and 401Ks if stocks really do have a historic crash. There is already a plan in place. All they have to do is execute.
CNN, the Clinton News Network, fails Economy 101.
This is a perfect time to refill the strategic oil reserve to the brim.
It helps keep US oil producers solvent, secures us in case of an Iran - Saudi war that kills supply and is a better use of money than buying up more federal land or failed business bailouts.
“The GOPe is doing its best to assure a Hillary victory in 2016.”
By providing years of subsidies for wind, solar in last year’s omnibus during a time of record low oil prices, the GOPe has forced Americans to pay more for energy.
Stealing my tax money to pay fatcats who make money off these is evil, but we have to thank Paul Ryan.
“Holes drilled, casings run and cemented just sitting there waiting for the price to come back up since a typical perforation and frac job cost 250k + “
Most of these wells are horizontal and will be stage fracced at costs exceeding $3million.
You are off by a factor of 10x.
Did you not see the plus???????
And no, they are not all horizontal.
My son right now is managing 4 horizontal frac jobs, nine days straight. Two pads w/2 wells each.
36 stages ea. well, 1.6 mil.
you also said ‘typical’. saying $250k + is not typical.
thanks for cost update. since I retired last year, guess I should have known some large reductions were in order.
when I left the bakken in 2014, our completion costs were averaging $5-6mm. I knew they came down, but they have come wayyyyy down.
Well, back when I was doing it there was no such thing as horizontal on land. 250k and honest cost for a simple straight hole then. Horizontal just amazes me.
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