Lost in the heady stock market news

[Popeer]

Is the equally heady upward climb of oil prices -- 10 percent in the last 30 days and 50 percent since this time last year. Of course this means that gasoline prices also continue to climb and we can expect them to be near $3.00 at the pump again by Memorial Day, giving us a good idea of where all that tax break money will go for working people.

 

[moe]

Is the equally heady upward climb of oil prices -- 10 percent in the last 30 days and 50 percent since this time last year. Of course this means that gasoline prices also continue to climb and we can expect them to be near $3.00 at the pump again by Memorial Day, giving us a good idea of where all that tax break money will go for working people.

It will be a roller coaster going forward. As prices go up so will (U.S.) production until they have another glut and prices go back down. The U.S. will be the production X factor as long as OPEC is disciplined or some OPEC countries (or other non-OPEC) will all cheat and get to the surplus quicker.

 

[MountaineerWV]

But......but......that's good for the economy, right?

 

[BoremanSouth]

Who cares. We can say "Merry Christmas" for the first time since that Muslim took office.

 

[dave]

But......but......that's good for the economy, right?

It is for WV.

 

[dave]

Is the equally heady upward climb of oil prices -- 10 percent in the last 30 days and 50 percent since this time last year. Of course this means that gasoline prices also continue to climb and we can expect them to be near $3.00 at the pump again by Memorial Day, giving us a good idea of where all that tax break money will go for working people.

But until this time last year the prices were incredibly low and had been since Dec 2014. Or maybe it was Dec. 2015. Whenever it was they crashed.

 

[WVUCOOPER]

But......but......that's good for the economy, right?

It's not necessarily bad. In fact it could even be good for the economy. Extremes and uncertainties are what is really bad.

 

[dave]

It's not necessarily bad. In fact it could even be good for the economy. Extremes and uncertainties are what is really bad.

It definitely means that O&G operators in our region will hurry to open up the spigots on the vast amount of drilled reserves they have drilled and ready to sell. That is good for the local economy and should be good for the state budget .

 

[Popeer]

It is for WV.

How do you figure? People in places like West Virginia who have to drive to get to their jobs are going to be paying more just to get to their jobs, and not every company is offering raises out of their corporate windfall.

 

[dave]

How do you figure? People in places like West Virginia who have to drive to get to their jobs are going to be paying more just to get to their jobs, and not every company is offering raises out of their corporate windfall.

Severence taxes go up so our budget is better and people pay lower taxes. People get jobs and suppliers to the gas companies make more. The WV economy is pretty good right now compared to 2 years ago. Jobs are available.

 

[WVUCOOPER]

Jobs are available.

Unfortunately our workforce is horrendous.

 

[dave]

Unfortunately our workforce is horrendous.

We have to ship a lot of work out because we cant find engineers, surveyors, construction inspectors. etc. It sucks.

 

[DvlDog4WVU]

We have to ship a lot of work out because we cant find engineers, surveyors, construction inspectors. etc. It sucks.

How would you know, Engineer Tech

 

[Airport]

Is the equally heady upward climb of oil prices -- 10 percent in the last 30 days and 50 percent since this time last year. Of course this means that gasoline prices also continue to climb and we can expect them to be near $3.00 at the pump again by Memorial Day, giving us a good idea of where all that tax break money will go for working people.

Let the market place figure it out. Govt does a lousy job at most everything. If prices go up, people will get after it to make money, it there's too much, the price goes down.My son says one of the reasons that there was an oil glut is because we were fracking natural gas and not oil. He's a chemical engineer and says that OPEC flooded the market with cheaper oil to try and get back a bigger share.

 

[dave]

Let the market place figure it out. Govt does a lousy job at most everything. If prices go up, people will get after it to make money, it there's too much, the price goes down.My son says one of the reasons that there was an oil glut is because we were fracking natural gas and not oil. He's a chemical engineer and says that OPEC flooded the market with cheaper oil to try and get back a bigger share.

That is pretty much what happened. OPEC knew that US Shale was able to frac both oil and gas and they didnt want the US in that market. I am not sure what the actual number was but for instance if OPEC countries could produce oil at a profit at 35 dollars a gallon US Shale could not make money unless the price was above 45. Those are just random numbers. Whe Shale oil is frac'd you get a lot of other marketable products like natural gas, and several other byproducts but getting the natural gas and other byproduct to market was still slow to simply not ready but there was a market for the oil. Shale operators were selling the oil to help fund their bigger plans for oil, gas and other products. The OPEC countries flooded the market to get the price so low that US Shale companies could not sell their product at a profit hoping to crush the Shale industry before it fully blossemed so they could keep competition from the market.

 

[DvlDog4WVU]

That is pretty much what happened. OPEC knew that US Shale was able to frac both oil and gas and they didnt want the US in that market. I am not sure what the actual number was but for instance if OPEC countries could produce oil at a profit at 35 dollars a gallon US Shale could not make money unless the price was above 45. Those are just random numbers. Whe Shale oil is frac'd you get a lot of other marketable products like natural gas, and several other byproducts but getting the natural gas and other byproduct to market was still slow to simply not ready but there was a market for the oil. Shale operators were selling the oil to help fund their bigger plans for oil, gas and other products. The OPEC countries flooded the market to get the price so low that US Shale companies could not sell their product at a profit hoping to crush the Shale industry before it fully blossemed so they could keep competition from the market.

That’s also my understanding. You know who we should ask? @WVPATX , I believe he worked in O&G.

Regardless, adding ANWR to the mix will be nice. Drill it until it’s gone!

 

[dave]

That’s also my understanding. You know who we should ask? @WVPATX , I believe he worked in O&G.

Regardless, adding ANWR to the mix will be nice. Drill it until it’s gone!

That was the story as told by one of the top guys at what is now after mergers EQT.