Posted on 03/09/2020 8:40:09 AM PDT by Hojczyk
You are so lucky in the USA. I live in the highest priced region in North America. We pay converted to US dollars basically $4.00 per gallon.
Oil sands perhaps. But aren’t there other crude sources in Alberta besides those involved with the sands?
So how much of Texas oil is delivered on higher hedged contract prices?
Majority is oil sands which then works out into the pipelines. One big pipeline for example does 80% of its business via the oil sands.
Right now - the contango is steep. Not sure how much Texas is doing it but I am sure they are doing it just like everyone else
But - that doesn’t pay the bills until that product is delivered.
If it stays under $2 a gallon that is a huge shot in the arm of the US economy. I suspect that the Saudi’s and Vlad will eventually come to an understanding shortly and stabilize the cost, but with the Kung Fu Flu there is going to be a drop in demand anyway. The Saudi’s did this to themselves by totally basing their economy on oil.
Well since we are an oil exporter now, why do we have to participate in the world market? We have enough run our country, who cares what the market does. The only reason oil sets the value of our money is Richard Nixon taking us off the gold standard and letting oil set the value of our currency.
I remember when inflation wasn't even on peoples minds, then Nixon put on price controls, remember that?
Plus production cost is low-- what will temporarily cease is new fracking, which is expensive. I suspect a big price rebound as Chinese production increases.
Snort!!
Now...very little drilling at all.
Just stripper wells around here now...
Some guy's a few years ago...were drilling for what the geo guy's said was big pockets of Helium..They wore out numerous bit's...and ran out of $$$..and stopped the operation.
Everything you said...was spot on. And I'm not in the biz.........
The really irritating part was every well I invested in hit. However, most stopped producing well before the break even point.
You can drill for strippers????
Another win for the Saudi’s if Iran Government falls.
That is what they want to destroy oil patch America with bank loans a being called. This is causing the bank liquidity issues.
Russia / Saudi is our enemy
Ha!!
A stripper well is a well..at least for around here...that produces less than 100 barrels a day.
Yep..it’s a tough biz.
Trudeau has already done a great job of killing that field.
Yes but it is also the victim of low oil prices.
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