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

No, I am saying when they do things on purpose to hurt our economy, or to stop alternative energies, respond in kind.

DD

 

read this!

 

Thats a long winded article that says very little and then came to a wrong conclusion.

 

Take your beautiful wife to dinner. Go to the movies.

 

Bang a hooker.

 

Of course it's more complicated than that. Optimally, we would enact better vehicle and building efficiency standards along with using more nuclear energy on top of allowing more exports. Remember, Mexico is also very rich in oil and gas but just doesn't have good investment/good management/govt to capitalize on it.

Personally, I'm betting on natural gas to become more widespread as more and more countries take climate change/air pollution seriously and it slowly takes coal's spot or at least a lot of its market share. Hopefully, they'll buy gas from any number of the American companies in my nat gas index fund.

 

Heck, I've been pumping pricey Exxon Supreme in the Dallas area for $2.28/gallon.

 

Feel free to rebut.

I was most interested in the quick ramp up times for shale drilling and the predicted short life span for shale in the US, the examination of the steep drop in per barrel prices confounding the oil trading war rooms , reasoning behind Saudi strategy and the cyclical price variations in the future.

He may be proved wrong on shale production , by the massive acreage available and the promise of re- tracking, but I'm just an interested layman.

 

You just summarized half of that 5 page story in 2 paragraphs. The other half can be said in 2 more and none of it is new.

 

What was the 'wrong conclusion'?

Oil majors like Royal Dutch Shell, Chevron, BP fail to find reserves to counter falling output
http://articles.economictimes.india..._oil-prices-oil-and-gas-production-oil-majors

...Four of the world's six biggest oil firms by market value - Royal Dutch Shell, Chevron, BP and ConocoPhillips - released provisional figures showing together they replaced only two-thirds of the hydrocarbons they extracted in 2014 with new reserves....

 

I wonder what this market looks like in 20-30 years

 

Well it has happened at my company, we were hit incredibly hard. Thursday and Friday all day long people getting walked out. It was extremely hard for the entire company, you could hear a pin drop those two days. Everyone could feel it whether or not it was you getting laid off. It felt like we were losing family members.

Friday we were addressed by the president and you could tell he didn't want to do it. This was mandated by our parent company so he had no choice. Funny thing is, we are the only division making the company money right now, being a manufacturing company, while our parent comapny is stacking all of their rigs. Our spare parts and repair business Is still booming.

So I'm safe, my duties have actually increased and they are expecting me to make significant changes/improvement in certain areas. Still, those two days were very dark and difficult. i had some great people crying on my shoulder thinking me for being there for them. On the flip of that, our president promised everyone of them their jobs back when it turns around if they want it back. Yeah I know, why would you, but I still like that it was offered.

If I stay in this business, I'm sure I'll go through this again, but hope not. Hope all is well with everyone else.

 

I don't think you can project invention and innovation out that far. You couldn't predict the growth of renewables, battery technology, fusion, nuclear development, economic development especially in the third world or even the chances of finding a lot of oil somewhere like south America.

If I were the world energy czar, I would save the Tar sands for the possibility that they are the last great reserves on Earth, but I am really conservative :grin:

 

Calling them the "tar sands" really shows your hand.

Oil sands bro

 

Gooey dirty gummy caustic bitumen







better?

 

Feel bad for everyone going through this.

I worked for AIG in 2008. It was a lot of fun to wake up with no power because of Hurricane Ike, turn on a battery operated transistor radio and find out that my company was just bailed out by the government, everyone now hated us, and I (with my pregnant wife) might not have a job to go back to. Good times!

 

This is why moving off of the Middle East's TEET is so important.

Hydrogen, Natural Gas, renewable energies, Nuclear - we need to convert ASAP.

DD

 

Great news! Keep your head up brother, and know that your in good hands.

 

That article claims:
1) Low oil price slowers the economy.
A lot of people gave reasons for the opposite, I don't think I need to repeat.
2) If Saudi lowers its production, it could have made the same $ by selling half of the oil. That is so wrong. See 1985 oil crash.
3) By letting the price crash, Saudi may cause world/ regional instability. I fail to see how that is the responsibility of Saudi alone. Plus who knows the oil producers may even gain if there is another war breaks out.

 

Crude is showing price action that indicates it will see fresh lows within the next 10 days.