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You think OPEC can afford to keep gas at $2 a gallon for long?
Oil field cuts are starting to hit. They are stacking rigs in West Texas and several service companies have already sent out pay cut notices and are pruning payrolls. Sucks for those that thought that crazy money in the oilfield was going to last forever and didn't save.
You think OPEC can afford to keep gas at $2 a gallon for long?
Good time to invest in oil while it's still low? Can't keep this up forever...
It's not that easy anymore. Within OPEC there are the haves and the have nots and every country has it's own break even price. In the past, the "haves" with cheap production costs like Saudi Arabia and Kuwait have been willing to take the production hit but are tired of taking one for the team that really doesn't appreciate it. I think they are going to sit back this time and let low oil prices weed out the ones with high production costs...and that includes the shale boom in Texas, Iran, Venezuela, Russia, etc.
Saudi Arabia can't go forever with these prices because they distribute so much of their oil income to the general populace to buy complacent citizens so they can preserve the monarchy but they have huge cash reserves to live off of for several years if necessary.
so is it a good idea to invest in oil now that its low and hope the prices eventually drive back up?
Kind of short-sighted though, isn't it? Isn't their cheap to extract oil short-lived? So they drive demand through the roof with their cheap oil and run out in 15 years instead of 40?
the need for oil will always be there... a war with Iran should do it.
YES! If we all invest, we can drive the price up and then sell at the top. HUZZAH!
Not always.
Oil is like gold it can only lose a certain amount of value before it starts to gain it all back.
those recommending oil minding jobs to my Jacob
Just last week you were recommending we all give up out current jobs and start driving oil trucks for 70K a year....can you say class action suit?
Yeah we gotta couple guys out here whose families have been affected by the cuts in TX. Still, there's plenty of money to be made in oil/transportation, if you know where to look. BNSF is a good company (you're welcome) to look at...or you could just be a war profiteer like moi.
Big Oil killed the Electric car
Saudi set for tighter 2015 budget after oil price falls
http://www.reuters.com/article/2014/12/02/us-saudi-budget-idUSKCN0JG14F20141202
Saudis are in much better position to run with lower income than the high-production-cost countries.
This bull again?
Big oil didn't kill the EV1. It was an experiment by GM with no plans to sell it, but to test the viability. That's why they only leased them, and never sold them.
You really need to stop believing the lib propaganda.
You can't bury the truth for ever.
Maybe you didn't watch the film.Big oil didn't kill the EV1.
That's bull no one like GM is going to produce all those cars just for s and giggles why even bother your not making any sense.It was an experiment by GM with no plans to sell it
A GM spokes person said on film they spent a billion dollars to promote the market.
why? if they don't have plans to produced them?but to test the viability.
They leased them so no one would reverse engineer them or sell them to Japan they wanted to control the experiment. The lease agreement was very strict and had many rules about sharing the technology and traveling over seas. The experiment backfired the cars were very popular they were quiet fast and you could travel 100 miles using 2 dollars of electricity.That's why they only leased them, and never sold them.
The Big Oil exes started to put pressure on GM so they recalled the cars overnight they lied about what they were going to do to the cars and the film shows how some owners followed the repo trucks to the junk yard were they were crushed. one man was able to hide his car and has it still.
You don't just build 100 plus cars just to repo them overnight to crush them stop being so naive.
GM even made commercials to promote the car.
Why cant I believe what I want I don't live in north Korea you need to stop dictating to others and open your eyes it's not about Dems vs RepsYou really need to stop believing the lib propaganda.
its about waking up and not hiding under that bed of ignorance you sleep on every night.
Last edited by mouse; 01-02-2015 at 03:49 PM.
Would've been nice before I bought a new one. You can't hardly get one for less than the price of a new one. That's if you know how to negotiate. I got a 40,000 dollar truck for 27,000 and you can't even find a lightly used truck for less than 24
looking for one tbh hit me up son
you really are a dumb . That oil those trucks are hauling is coming from wells that are already drilled. Those jobs are safe. The jobs in jeopardy are all the subcontractors on the front drilling end.
do they just drive the oil around endlessly?
No, dumbass. They pick the oil up from wells that are not near pipelines and take it to terminals that store and ship it in pipelines they are connected to. Thanks for playing.
High demand (especially from China/India) in the last several years created high prices. High prices allowed many US O&G's to target plentiful but expensive assets like shale and tar sands. High production now meets high demand. Prices naturally start to fall a bit, and economic slowdowns in China helped drive demand down, creating a surplus and further decrease prices. OPEC allows prices to fall in hopes that US companies cannot afford to explore/produce the more expensive assets and thus retain (and possibly grow) their market share. Saudi is driving the OPEC price war in a short term gamble that they can withstand, but is hurting other OPEC countries like Venezuela, Angola and Nigeria who are heavily dependent on oil for their revenue. Additionally, non-OPEC/US countries such as Russia are being immensely hurt economically in this staredown. In the end, someone is going to blink and slow down production and reduce the surplus, which will flip the current supply-demand and drive prices back up. I expect it will happen in 2015 as Saudi does not have the long term ability to keep playing this game. But this is a game being played between foreign governments and US O&G companies, which don't have the leverage of the US government behind them. OPEC will cut production, but not before seeing the O&G's at least stop some of their exploration/new ventures, if not some outright production.
You're the one playing old man. If they're not drilling new wells, there is no need for new truck drivers. So why are you telling people to go get their CDL so they can go make $80k hauling oil?
Just admit you were talking out of your ass like you always do.
With a unemployed welder and helper sitting next him
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