Sounds about right for our company.
2010 is going to be ugly.
And we are going to have big supply problems when things recover economically... driving another boom.
Hopefully by 2011 we see this.Originally posted by badatusrnames
And we are going to have big supply problems when things recover economically... driving another boom.
Sounds about right. My company employs 14 drilling engineers, and starting next week, we'll have one rig running.
Last December we has about 30 going, and at current staffing levels, I'd say we could handle 40 rigs at least.
I'm stoked for the next boom though. I'm heavily invested in Natural gas stocks, both through my employer and in my self-directed investments. If 2012 or 2013 are big years, it could really set me up.
Last edited by ExtraSlow; 03-31-2009 at 12:54 PM.
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I think we can thank Ed Stelmach for this, remember when he introduced the Royalty Tax? Notice how BC drilling is still steady as she goes. Hmmm, I wonder why....
Should we start investing in O&G? I mean the demand for gas is still there , prices must go up in a few years?
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From what I hear its because the shale plays there are high producers and spring breakup isn't as big of a factor. Could be wrong though.Originally posted by 89coupe
I think we can thank Ed Stelmach for this, remember when he introduced the Royalty Tax? Notice how BC drilling is still steady as she goes. Hmmm, I wonder why....
I also think Natural Gas will stay low for quite a while. Pretty huge inventory buildup right now. They dont even have a place to put a large portion of the gas thats coming out of the ground. I guess we'll just have to hop for a really hot summer.
I think you can stop looking for scapegoats and look at the global economy. Drilling has slowed down everywhere.Originally posted by 89coupe
I think we can thank Ed Stelmach for this, remember when he introduced the Royalty Tax? Notice how BC drilling is still steady as she goes. Hmmm, I wonder why....
Original Post NAZI Moderated
Originally posted by r3cc0s
Felon or Mistermeiner
Drilling has slowed in all provinces, not just AB. The Bakken play in Sask and the shale gas in BC are unusual new plays, and they are keeping activity levels somewhat higher, although both ahve slowed down significantly.
As much as I'd like to blame Ed, I don't think that's fair in this case.
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The Shale plays in NE BC are going to be gushers, but spring break-up is a HUGE issue. It's muskeg up there and equipment sinks.Originally posted by Rstar
From what I hear its because the shale plays there are high producers and spring breakup isn't as big of a factor. Could be wrong though.
I also think Natural Gas will stay low for quite a while. Pretty huge inventory buildup right now. They dont even have a place to put a large portion of the gas thats coming out of the ground. I guess we'll just have to hop for a really hot summer.
I'm not sure supply will be a big issue for a while, until demand starts to rise, as most companies seem to be drilling to meet current hedged contracts and supply maintenance. The years of 15-20% production growth year-over-year are gone for a while, but when the economy picks back up and demand finally rebounds, we are going to see another monster boom.
And we promise not to piss it all away this time.
I'd be investing in natural gas, personally. It's been so devalued for such a long time, I have a feeling she'll start going up soon enough.
Interestingly, crude has gone back up in the past couple months by about $15 a barrel (currently sitting around $50/barrel).
-James
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Last edited by 01RedDX; 10-17-2020 at 02:43 PM.
Then the time to invest in crude is now.
-James
Current beast: E550 Coupe (M278)
Previous beasts: AM Vantage, E90 335i (modded + JB4 Map2), E39 M5
And natural gas. Sub-$4 NYMEX? That can't and won't last.Originally posted by TorqueDog
Then the time to invest in crude is now.
Originally posted by JAYMEZ
Should we start investing in O&G? I mean the demand for gas is still there , prices must go up in a few years?
Not in the short term and probably not while Obama is in office.
Too peaceful. We need another Bush to screw the world over in order to have high energy prices again.
Without those shenanigans, all we get is normal growth which isn't enough to save everyone in this city.
next big thing that is going to be a good profit in Alberta is Carbon Capture storage and Natural Gas is still going to kill it in Alberta. Most Unconventional plays are going to do well in the near future is my guess. I think the large companies will be the ones that suffer with their current Oil plays. Your going to see alot of the small caps being eaten alive and a ton of cheap assets being picked up by mids
^^ CCS has a looooong way to go. There aren't even any existing profit mechanisms for it. Not to mention there are going to need to be huge infrastructure investments involving capturing it from point sources, billions in transmission pipelines to transport it and then infrastructure to inject it into reservoirs. It's going to be a while until a company drops a big sum of cash into that stuff, they need to be assured that there is a way to profit from it first. Right now, no way to profit from it exists.
Most of the CCS talk you hear is all PR/propaganda to appease the masses that talk about wanting governments and companies to reduce CO2 emissions, but at the same time don't want to see their electricity or energy bills increase...
EDIT: I'm also talking about actual carbon sequestration, not CO2 EOR floods, which are different things IMO.
Last edited by badatusrnames; 03-31-2009 at 08:02 PM.
Enbridge has already started investing in their CC programs. I agree with not seeing huge amounts of money being invested in the near future, but I do believe once companies start earning ridiculous profits that CC will be a huge asset for Alberta's oil sands. Given our extraction methods already.Originally posted by badatusrnames
^^ CCS has a looooong way to go. There aren't even any existing profit mechanisms for it. Not to mention there are going to need to be huge infrastructure investments involving capturing it from point sources, transmission pipelines to transport and then injecting it into reservoirs. It's going to be a while until a company drops a big sum of cash into that stuff, they need to be assured that there is a way to profit from it first.
Most of the CCS talk you hear is all PR/propaganda to appease the masses that talk about wanting governments and companies to reduce CO2 emissions, but at the same time don't want to see their electricity or energy bills increase...