william schmaltz
WKR
“Lots” may be subjective. As of October, we were at only 10 frac crews operating in the whole state. A whole lot of pump jacks are chained down. Oil companies aren’t rushing to run tools on even finished wells at sub $60 oil. There’s a casing/services company I drive by daily with 40 bays. I haven’t seen a single overhead bay door up or piece of machinery there since July.
I’m sure the OP is familiar with the ups and downs of the patch. I wouldn’t leave any contracted work right now. Trump seems dead set on sub $2 gas which I guess is what he campaigned on so fair enough. What does that put oil at - sub $40? American oil towns are going to be hurting if that’s the case. The current gas prices are because of OPEC and foreign oil and certainly not from “drill baby drill” here in the US. Break even for new wells is around $65, at some point even the largest oil companies will have to pull the plug completely.
