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Oil Prices Unmoved By Oil Rig Count Decline Of Just 1
The total rig count dropped by just 3 last week - the smallest decline since December - to 885, tracking perfectly with the 4-month lagged oil price we have been showing for 4 months.
Oil rigs dropped just 1 on the week to just 659 - the lowest since August 2010. Oil prices are unch.
- *U.S. OIL RIG COUNT FALL 1 TO 659 ,BAKER HUGHES SAYS
Charts: Bloomberg
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peak fiat
More like maxed out lines of credit for the marginal shale drillers...
Oil is still following this track predicted months ago. The eventual bottom of oil prices is still a long way off...
http://www.globaldeflationnews.com/oil-light-sweet-crudeelliott-wave-upd...
The chart above should be for the S&P 500,but somehow Baker Hughes confused "rig count",wjth "counterfeit rigging"
Keep fucking that chicken!
Did I mention the 880 well backlog for fracking?
Why drill more when you cannot even frack what you have drilled? And to make matters worse, why frack a well that will result in negative net cash flow?
The shale "miracle" is being revealed as the mirage it always was. It is just like the stoner that scrapes his pipe for one last hit...
This is the second crash since fracking began in earnest. The first one was worse and it was survived. This one has been better handled by the operators and will be survived easily. Also, the cost of fracking has come down substantially and is still dropping. It's going to be around for another century, throwing off profits. Did you know that almost 30% of all oil use is non-fuel in nature?
Oil and gas in the ground is money in the bank. It is best produced at higher prices, and that's what the USA will do with excess reserves.
Let the Saudis pump and dump at low prices. They are going to have to invest heavily to keep that up, they don't have any banks of drilled wells and have not been investing enough for years.
It's a long-term game, and the Saudis are going to lose it.
All such changes have different knock-on effects. One good effect of this oil price decline is that it has priced dirty "green" energy out of the market.
Fill 'er up!
Rah, rah, rah...
you are cheerleading and are being blinded by "American Exceptionalism", that is so 1950s...
I don't care about cheerleading, that's just the way I see it after 40 years around the oil patch as a worker first and now an investor and mineral rights holder. If I thought the situation was bad I'd be the first to point that out as affordable energy is the only thing keeping us out of the stone age.
The most important thing...there's plenty of oil and nat gas and the USA has a lot of it.
If we don't do a 'Venezuela' things will be fine on the energy front.
What's your prediction of the next century as it relates to energy?
BTW, care to quantify "plenty"?
You are aware that the US is still a net importer of NG despite a self inflicted pin cushioning worthy of a junkie?
Not to mention that net oil imports still are at the level of ~7 MMBPD...
The only problem with Thatcherism is that you eventually run out of North Sea Oil
Flakmeister 2009
I'm touched that you dug that out...
Are you aware of the quote that motivated meto say that and what I implied by my interpretation of said quote?
PS The other quote that can be attributed to me is
There's 5000 drilled but uncompleted wells. If WTI hits $70 again, there will be a flood of oil coming online that will be of biblical propertions.
The 5000 number is pulled out of your ass...
Fracking is the bottleneck..
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