Didn't even know you'd answered your own question, did ya.
Agree with @Clob here, under a normal administration we’d be going and blowing but to be honest we’re not. It’s still pretty suppressed. I can say in the EagleFord our company is running less than 5 drilling rigs whereas under a pro American administration we’d be running 10-12. We have other area we’re getting more active though but it’s nowhere like it should be given prices.
That POS in office is running this country right in the ground. 2024 election can't get here quick enough.
Curious what is holding it up? Is it the federal lands thing that he blocked or something else? Is something stopping everyone from drilling on private lands? I'm sure it's a stupid question but I'm not involved in oil and don't know how it works.
Federal lands aren’t what’s holding up Texas drilling, we’ve got plenty of prospects to drill. Inflation and unpredictability with an unstable President dead set on following the woke radical left agenda has a lot to do with it I’d have to say. Besides who wants energy independence right? Lol
Yep and our country seems to prefer to bring in heavy crude from elsewhere rather than ramp up and revamp our refining capabilities to handle the lighter shale crude.
I believe its simply hedging by Dems on their climate platform. They truly believe that the need for oil will be eliminated and thus is better to buy in the short and medium term with contracts that can be terminated than to create long-term investments that can't be unwound easily, and the O&G industry isn't committing additional investments without those long-term guarantees (nor should they).
The need for oil will never be eliminated. Literally everything we consume is derived from oil.
If you search further in Google you'll also discover how the Covid hoax pandemic led to a bust in the oil/energy sectors. Hell we don't even need Google to tell us that. Anyone with 2.5 brain cells knows that because we saw it ourselves. Oil demand suddenly dropped by over a 1/3 which cut the legs off private producers who were highly leveraged and riding high from the boom economy that Trump created. I still remember WAY BACK in 2020 when gasoline was $1.50/gallon. Today it is over $4 a gallon! Trump increased oil production and increased our oil exports unlike any other President. Simple economics - increase supply to drive down prices. Biden shut down the XL pipeline by executive order and we're no longer exporting our oil. Biden is also promoting and investing insane amounts of taxpayer dollars in Green renewable energy sources in an effort to drive demand away from fossil fuels - which leads to constrained supply and higher oil prices. Trump rejected the idea of spending taxpayer money on Green energy sources which helped to increase demand for our oil.
I work for a pretty good size exploration company with a large footprint especially in Texas and I can tell you since Covid hoax shutdowns and $-37 dollar oil our drilling budget/strategies have changed drastically. At $113 dollar oil we aren’t drilling wells that we’d drill at $70 oil pre-plandemic. The company I work for doesn’t borrow money to drill either. It’s not really as cut and dried as your Google research would indicate although I agree with your comments about federal leases to an extent. No new federal leases are being granted but as I stated in my comment above, that doesn’t really effect Texas drilling as much as say our Colorado division.
Yeah that’s just Biden acting like he’s doing something but won’t effect prices to speak of.
This is partly true. They did restrict any NEW permits for drilling NEW prospects on federal lands. And yes, production has increased but only because demand was down due to covid. We are no where near our record high of 18.375 million barrels in one day.
No. They have not limited production. You are correct. Once you complete a well and start producing, you can't make a well produce more than it can give up, but you can choke it back to slow production. Now, the reason there are more federal acres under production now is because in Dec of 2020, oil companies set a record for filed leasing permits on federal lands. And it was a record by like a few thousand. They knew what was coming down the pipe. Having that lease granted in 2020 allowed them to navigate any Biden legislation because that lease grandfathered them.
This is also true. See my comments above about the December 2020 leasing permits. Most of them were approved in late january-- AFTER Biden was sworn in. The wheels had already started in motion though.
This is not true. I can site dozens of O&G reporting studies that disprove this number. According to the WSJ, just over 9% of our oil comes from onshore federal lands. There are 96,000 wells on federal land with around 25,000 of them actively producing.
I can tell you why-- you are 100% correct on the Saudis and other OPEC kingdoms. Now, OPEC members like Angola and Algeria are scrambling to increase production despite OPECs stance on not increasing flow. I know this for a first hand fact because we are currently bidding our artificial lift system to both nations.
Some are. But wouldn't you? If you had a senile old man in office being led around by a bunch of people that think americans are too fvcking stupid to realize that we are DECADES away from a "cold fusion" style energy breakthrough, you'd protect your company stock holders as well. Couple that with the fact that every single wind mill, solar panel, battery, and every single piece of machinery used to build these clean energy boondoggles, as well as every component needed to be mined, is all made possible with what...?
Great job breaking it down for us. Here’s an opinion piece that reinforces much of what you outlined. Good read.
Nice job @clob94 and you're spot on about what a mad dash for the Federal Leases in 2020 but as you say it was because oil producers knew what was coming but to hear it from the Left, it's Biden promoting exploration "Just look at the numbers under Biden's watch" they'll claim. Kind of like Biden is claiming that he has created all of these new jobs, some going as far as to say it's the most created under a President in a certain time period but what they don't tell is the backstory about how many jobs his ridiculous policies cost in the last 2 years. And you left libtards ought to be ashamed as hell for the last 2 years in particuliar, how many long standing middle class businesses, restaurants etc. closed down all in the name of a gross overreaction to a plandemic and greed. Those businesses aren't coming back. Disgraceful. You all should be rounded up and put on the front lines in Ukraine imo.
good one Clob. Now I know why I will be paying $6 a gallon when I gas up tomorrow in San Fran.
Read my post above.
