Saudi Arabia to lower oil prices, the houston boom is over

And hopefully they move back to were they all came from. The faster the bubble pops the better. Native Houstonians can't even afford to live here anymore for **** sake.

 

Actually once all the 2nd years at Darden and Gouizeta stopped reading Vault and Wall Street Oasis they realized slide decks and ratio analyses are more valuable if there's twenty years worth of physical product with all the extraction, processing and transport fees to go with it. Until they start looking at Product Manager jobs for ConAgra, take grain trading gigs for $40k or just re-direct and do Construction Management then Houston will keep growing.

 

Energy companies are the most labor and staff intensive industries in the country; and the technical and operational nature of the work actually creates unique professional opportunities for educated minorities and immigrants that other relationship-intensive salaried roles and industries wouldn't provide. This class resentment is strikingly misplaced.

 

You weren't around in 1984 were you?

 

Really good point, doesn't even take an education to learn a good craft and make a decent living. Boiler makers, welders, pipe fitters make dam good money. Guess I will just buy exxon stock while it's low for the next few years.

 

Barrels in the gulf are still higher margin than almost anywhere in the world, so hopefully this won't impact my job.

 

Saudi's costs are probably closer to 10 bucks a barrel. If they really wanted to they could drop it to 50 bucks a barrel just to disincentivise alternative gas production.

 

While this may not be good for the local economy, at least it will drive the yankees and California immigrants out of here and there will be a drop in the price for houses. These folks have raised housing prices like anything. You stand little chance to buy a house if at all it comes to auction thanks to these out of state people.

 

People this isn't 1985 Houston, where the energy industry was over 80% of the Houston economy. Today, that number is down to 40%, and lowering annually. The Port of Houston (and its expansion because of the Panama Canal), medical industry, increases in tourism, etc., are other industries. Not only that, but energy is not just oil. Technology nowadays is now finding cheaper and more efficient ways to extract oil. Alternative industry and natural gas is also growing.

 

Umm plenty of Houstonians work in O&G. There isn't one transplant in the group I work in. We're all from HOUSTON.

Who can't afford to live in Houston? You want to live in the heights, midtown, Rice military, etc...It's gonna cost you, but it's still cheaper than most big cities.


Carry on.

 

Actually, the medical field is the leading industry but I could be wrong.

But yeah I agree that it's also an O&G town. Rooting for lower oil prices so you can save 5 bucks on a tank is silly. SMH.

 

A billion people in India are ramping up to join the world of hydrocarbon consumption, much of the Russian production will be heading to China. The massive increase in production from the Eagle Ford and Bakken are very labor intensive (will take thousands and thousands of wells). The infrastructure to handle this production is just being built and the real money is in refined products.

Houston will be fine for a while yet, though if there is one thing I have learned over the last 30 years, everything that booms eventually busts.

If Houston is too expensive then evacuate to Katy.

 

My wife works in the survey division at Fugro Chance Inc. She puts together the project cost analyst for marine construction.

 

Agree with this 100%. The minute someone says "never" or "forever" is the minute to bet the other direction.

Wasn't very long ago when we were hearing think tank analysts telling us oil was heading for $200 and that we'd never see it below $100 again.

 

Also, as renewables like solar get cheaper the Saudi's will try to suppress the competition with cheaper oil.