Jump in the Oil game!

Yes when it comes to OIL, the /saudi royal family has the power. I have lived through the oil embargo, and every boom bust cycle since then, and watch people fail, who do not pay attention, who spend all their money thinking it will never end, because the US is so powerful...

And the US needs the Saudi's to continue to price their oil in US dollars.

Bitcoin...

[h=1]Almost Half a Billion Worth of Bitcoins Vanish[/h] [h=2]Mt. Gox Says It Lost 750,000 of Customers' Bitcoin to Fraud[/h]

 

A 40% drop in oil prices is NOT a short drop. The last time oil dropped 40% the rig count went to less than 500 rigs working, and stayed depressed for years.

 

These guys are trying to be brutally honest with you. Anything oilfield related is questionable at best for the foreseeable future. Huge price drops make huge impacts to corporate profits. If they stop drilling, you won't be able to pay them to haul their sand. It won't be about what truck you got, or trailer or who you know. It will be about parking your truck next to the other 5,000 trucks that don't have work any more either.

The hopeful side? You are in South TX. Supposedly they can still see a profit there at some pretty low numbers, so you might have a fighting chance. Problem is, if they shut down in other parts of the country, guess where all those trucks are headed? South TX is already known for low balling and rate cutting... but that will pale in comparison to what will happen if that's the only area still drilling in a few months.

If you have your truck paid for and you have the ability to survive a long period of little to no income while you wait it out if things do get bad, your fine. If not, you would be taking a pretty big gamble to bet on the oil fields right now.

There are plenty of threads on here discussing sand haulers and companies to lease to. Use the search function and search for frac sand.

Being new to the industry was not such a hurdle 6 months ago. For the next several months...could be a couple years even.... it could be a brutal financial lesson.

 

nothing to do with bitcoin for me... But the oil industry, which I do know, I make my money on the boom cycle, and live happy during the crash.

You are 5 years late getting in on the up swing... now you will be buying high and selling low.

 

Think the Saudis are more interested in ruining Argentina, Iran and Russia oil markets more than the US oil companies,
sure the US has increased production but the small players in Opec are like a bunch of little kid cry babies,,We will see but unless oil drops well below $50 for the next year or so I think there will still be a lot of activity in the US oil fields

 

Pay no attention to these doom and gloom drivers.
I'm in south Texas ( carrizo springs ) and I can tell you
we have been overrun with frac sand trucks the past 3 months.

I never seen so many.seems like every week they're
putting up a new drilling rig.