Results 1 to 7 of 7

Thread: Hold Back on BAKKEN/Williston North Dakota Ladies

  1. #1
    Moderator Optimist's Avatar
    Joined
    Feb 2004
    Location
    House of Aion
    Posts
    8,074
    Thanks
    7,881
    Thanked 5,705 Times in 2,127 Posts
    My Mood
    In Love

    Default Hold Back on BAKKEN/Williston North Dakota Ladies

    The price of oil is going down and staying down so demand for workers will be dampened. Pipeline projects that were in the works are being shelved. Hiring demands may go down sharply and the money there may get tighter as workers hold onto cash until they know what's coming. Maybe rethink those work trip plans.

    BTW I follow a cool little blog on doings in Bakkenland y'all might enjoy. http://bakkenshale.com/news/falling-...ken-producers/

    On the bright side cheaper gas means more custies hitting the road to their favorite vacation spots, cheaper flights, more trips....
    Last edited by Optimist; 12-12-2014 at 03:00 PM.
    “What a caterpillar calls the end of the world we call a butterfly.” - ECKHART TOLLE

  2. The Following 2 Users Say Thank You to Optimist For This Useful Post:


  3. #2
    Moderator Optimist's Avatar
    Joined
    Feb 2004
    Location
    House of Aion
    Posts
    8,074
    Thanks
    7,881
    Thanked 5,705 Times in 2,127 Posts
    My Mood
    In Love

    Default Re: Hold Back on BAKKEN/Williston North Dakota Ladies

    Here's some more info to chew! In every area getting oil can cost more or less. That affects whether the companies on site will go hard in pumping it out or will slow or stop for a bit an d wait for the price to rise to more favorable levels. Here's info on what price is the cutoff, beyond which it's not worth producing on these sites.

    http://www.reuters.com/article/2014/...0SH5N220141023

    Bernstein Research said this week that about a third of U.S.
    shale production would be uneconomical if oil prices were to
    fall to $80 per barrel.

    KLR GROUP (Oct. 22)"The U.S. E&P industry needs (more than) $90 NYMEX, about
    $100 Brent, oil prices to maintain the current oil rig count of
    1,500-1,600 rigs, which is intrinsic to our U.S. oil production
    outlook. A comparable NYMEX oil price is needed to maintain the
    projected pace of Canadian oil sands development."

    BERNSTEIN RESEARCH (Oct. 20)
    "We estimate that about a third of U.S. shale oil production
    is uneconomic at $80 per barrel WTI. We disagree with other
    estimates, including those cited by the IEA, which suggest the
    vast majority of shale oil production is robust at such prices.
    Our expectation is that (the) oil price will revert back to a
    level where a much smaller portion of production is uneconomic."

    ================================================== =============

    ROBERT W. BAIRD EQUITY RESEARCH (Oct. 14)
    "We estimate $73 as the weighted average breakeven point for
    U.S. supply."

    SHALE FIELD BREAKEVEN OIL
    PRICE PER BARREL
    Eagle Ford Liquids Rich $53
    Wolfcamp North Midland $57
    Bakken Core $61
    Niobrara Extension $64
    Eagle Ford Oil $65
    Niobrara Core $68
    Wolfcamp South Midland $75

    Bakken Non Core $75
    Texas Panhandle $81
    Mississippi Lime $84
    Barnett Combo $93
    “What a caterpillar calls the end of the world we call a butterfly.” - ECKHART TOLLE

  4. #3
    Moderator Optimist's Avatar
    Joined
    Feb 2004
    Location
    House of Aion
    Posts
    8,074
    Thanks
    7,881
    Thanked 5,705 Times in 2,127 Posts
    My Mood
    In Love

    Default Re: Hold Back on BAKKEN/Williston North Dakota Ladies

    One caveat to my advice, there may be a nice ramp up in production from those companies who have the cheapest production prices. Countries will want to stock up in the midst of these bargain prices. Companies with the highest overhead won't benefit. Keep an eye on it.
    “What a caterpillar calls the end of the world we call a butterfly.” - ECKHART TOLLE

  5. #4
    God/dess SnuffleUffleGrass's Avatar
    Joined
    Mar 2009
    Location
    HearstCastle, Rosebud
    Posts
    8,848
    Thanks
    22,676
    Thanked 17,513 Times in 6,696 Posts
    My Mood
    Angelic

    Default Re: Hold Back on BAKKEN/Williston North Dakota Ladies

    I live in the Bakken and can say people are being cautious but not panicking. A lot of lower level jobs will get axed (as they did in 2008 ) but those workers will either move on to another career or get work in another area.

    This is still a good region for strip clubs....when the locals allow the clubs to exist. 6 months of winter, bar/drinking culture, and a lack of single women made ND a great place for strippers for a long time.
    Last edited by SnuffleUffleGrass; 12-14-2014 at 12:36 PM.

  6. #5
    Banned Melonie's Avatar
    Joined
    Jul 2002
    Location
    way south of the border
    Posts
    25,932
    Thanks
    612
    Thanked 10,563 Times in 4,646 Posts
    Blog Entries
    3
    My Mood
    Cynical

    Default Re: Hold Back on BAKKEN/Williston North Dakota Ladies

    ^^^ again, not wanting to cause any undue alarm, but from what I'm seeing, the major issue with many of the Bakken ( and other state ) gas and oil drillers is the fact that these companies went into business by borrowing huge amounts of money to pay for property leases, drilling rigs, etc. At < $60 per barrel price levels, it's now questionable whether or not these indebted gas and oil drillers can continue to make their loan / bond payments thus allowing them to stay in business. However, this may take a few months to 'hit home'.

    And, indeed, those companies which have 'deep enough pockets' to survive losing money for a few months may very well wind up 'sitting pretty' next year, once oil prices rise again but weaker 'competitors' have been driven out of business.

    I should also probably point out that there are 'two ends' to this situation. Besides the 'high production cost' oil and gas drilling companies being at risk of losing money and defaulting on loan / bond payments, so are the big banks and 'rich' investors who loaned them the money and/or bought their bonds. As such, besides negative financial effects on oil and gas production areas, there could also be a large negative financial effect in Manhattan, in London etc., as oil related investment losses take a big 'bite' out of banking / investment industry year-end bonuses etc.
    Last edited by Melonie; 12-14-2014 at 08:16 AM.

  7. #6
    God/dess SnuffleUffleGrass's Avatar
    Joined
    Mar 2009
    Location
    HearstCastle, Rosebud
    Posts
    8,848
    Thanks
    22,676
    Thanked 17,513 Times in 6,696 Posts
    My Mood
    Angelic

    Default Re: Hold Back on BAKKEN/Williston North Dakota Ladies

    Quote Originally Posted by Melonie View Post
    ^^^ again, not wanting to cause any undue alarm, but from what I'm seeing, the major issue with many of the Bakken ( and other state ) gas and oil drillers is the fact that these companies went into business by borrowing huge amounts of money to pay for property leases, drilling rigs, etc. At < $60 per barrel price levels, it's now questionable whether or not these indebted gas and oil drillers can continue to make their loan / bond payments thus allowing them to stay in business. However, this may take a few months to 'hit home'.

    And, indeed, those companies which have 'deep enough pockets' to survive losing money for a few months may very well wind up 'sitting pretty' next year, once oil prices rise again but weaker 'competitors' have been driven out of business.

    I should also probably point out that there are 'two ends' to this situation. Besides the 'high production cost' oil and gas drilling companies being at risk of losing money and defaulting on loan / bond payments, so are the big banks and 'rich' investors who loaned them the money and/or bought their bonds. As such, besides negative financial effects on oil and gas production areas, there could also be a large negative financial effect in Manhattan, in London etc., as oil related investment losses take a big 'bite' out of banking / investment industry year-end bonuses etc.

    This is likely.

    Speaking as an "outsider" here in ND, I actually don't care if the boom levels off.... It would be good for the local scene in a bunch of ways AND I have reached the point of saturation with the local people. They exploited the boom predictably and stupidly. A small number of people have done positive things with the oil money but there is a lot of "trash with cash" fast living and money wasting. In other words, the fuck with them, lol...

  8. #7
    Moderator Optimist's Avatar
    Joined
    Feb 2004
    Location
    House of Aion
    Posts
    8,074
    Thanks
    7,881
    Thanked 5,705 Times in 2,127 Posts
    My Mood
    In Love

    Default Re: Hold Back on BAKKEN/Williston North Dakota Ladies

    http://finance.yahoo.com/blogs/talki...ZBUKgwAnqMPxQt.

    "Oil’s price drop has been so dramatic this past week that it is now testing a major long-term trend level. And a significant break below that could spell trouble for crude.

    A barrel of West Texas Intermediate crude settled below $58 on Friday, the lowest it has been in more than five years. But something else is happening with crude that has caught the attention of many technicians.

    Oil prices are now testing their 200-month moving average. This has only happened twice before this century, and each time crude eventually rebounded from that low.
    Should oil close the month below $64 per barrel, Gordon anticipates even larger declines ahead.

    “If support is broken, you should start seeing stop-loss selling go off,” he said, predicting that could mean oil prices falling to the $30 range.

    View gallery
    .
    Gordon, a CNBC contributor, said he believes what could drive oil prices lower is a rally in the U.S. dollar. “That’s going to keep crude under pressure for a long period of time,” he said. “Saudi [Arabia] can operate at a very low oil price—down into the teens—whereas the shale players and the oil sands players really need oil prices between $35 and $50 or even higher,” said Sanchez, a CNBC contributor. “If you can push [prices] down, you can take out those players and that’s what Saudi is trying to do.”"
    “What a caterpillar calls the end of the world we call a butterfly.” - ECKHART TOLLE

  9. The Following User Says Thank You to Optimist For This Useful Post:


Similar Threads

  1. Williston, North Dakota - Heartbreakers/Whispers
    By missmolly21 in forum Club Chat
    Replies: 19
    Last Post: 06-15-2015, 12:28 PM
  2. Williston, North Dakota
    By The Snark in forum Shop Talk
    Replies: 3
    Last Post: 11-30-2013, 10:48 PM
  3. Williston, north dakota
    By cometbus in forum Club Chat
    Replies: 7
    Last Post: 01-13-2013, 11:15 PM
  4. Seeking Adult Models in North Dakota and South Dakota !
    By addiejuniper in forum Other Work
    Replies: 0
    Last Post: 11-21-2012, 02:16 PM
  5. Replies: 14
    Last Post: 01-05-2010, 06:12 PM

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •