Bust is sooner than you think....

Please quote a wrong statement that I've made and your argument as to why it's wrong!

 

Well at least I know who I'm dealing with now. Everyone has different reasons for using this forum. If your objective is to alienate other users by being a sarcastic know-it-all, you're off to a great start. Congratulations on achieving your goal!

 

You're really gonna be a big baby? Have a sense of humor...geesh!

 

http://fuelfix.com/blog/2013/12/02/large-oil-companies-pulling-up-stakes-in-kansas/

 

Good article ... Thank you daf for the find ...

 

Yes Daf, good article and thanks for the post....already knew about Shell tho.. things get out when they are your neighbor.

And like most have said here, there is no predicting...it's just gonna happen, when depends on many factors true enough but supply and demand is the biggest. I promise you they won't keep drilling and pumping if oil stays at $90 bbl and gas is exported. ( $3mcf ) It's a financial decision made in some board room on any given day based strictly on numbers. They players won't lose money either, they will pick up the phone, cease operations and go home. Seen it many times over my career and I'm not even in the business.

What some of you have missed is refining capacity. ( perhaps you're too young ) Currently we are operating in the 95% capacity category. There's no more capacity to handle more product and no one is building one anytime soon. There hasn't been a refinery built since '73 I think. (+/-) and why not? It will take almost 6 years and 6 billion dollars to bring one on line. 2 of those years are permitting and planning. So no takers for now, too many tree huggers and no crystal ball. The CEO wouldn't be a CEO very long if he spent this much money and time only to have it come on line in a glut or recession. Besides more capacity would drive the price of fuels down.

Did you folks know Delta Airlines owns a refinery? Sure do, Monroe Refining in PA ( I think that's where ) Bought it to hedge jet fuel prices. They keep what they make ( Jet ) and swap the rest to others for more jet fuel. Point being they are losing their arse too. Gooberment regs. on pollution , carbon credits and other B.S. I believe the article said they have lost 1.42 B to date. ( Guess who gets that tab ) So why build one???

The smartest advise I read here was to bank the cash.......or however you save. ( I know a redneck that has his in a Folgers can in the back yard ) $60k pickup indeed ! No such thing drivers! Oh sure the dealer can ask that......but it's still iron.....a fool and his money......and land is good, they aren't making anymore land....

JMO and good luck, stay warm.....

 

they are actually building some new refinerys in nd right now. they will be relitivly small but new refinery's none the less

yes defiantly hold onto your money. as far as buying land. don't buy land in the patch. land prices are so outrageously inflated its not funny. and when the bust does happen that same land will be worthless. if you plan on buying land somewhere else it would be a sound investment

 

Cost of Production for some areas can be as low as $65 a BBL and those companies have their crude price locked in at $105 so that can make a difference.

http://talk.newagtalk.com/forums/thread-view.asp?tid=436012&mid=3502758#M3502758

 

Wow 50 posts into this thread and nobody seems to get it. The article was showing declining production despite drilling like crazy as in a boom...not bust.

Oil will be drilled as long as the price stays up, World Bank forecast for oil is above $97 through 2025.