NEWS  STUFF      

Shale Oil Passed Its Peak Without Making Money
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Russia Supports Deeper OPEC+
                            Output Cuts
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Energy Capital Pauses Pipeline Deals on Widening Shale Despair
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Investors Tightening the Screws on Oil, Gas Acquisitions
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RECENT POST STUFF

Cartoon Of the Week

February 23, 2020

Friday Night Lights

February 20, 2020

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CHART  STUFF

shaleprofile.com

 
Folks struggle with the concept that nothing in the oil business lasts forever, including shale oil.  That's likely  because of the abundance "hype" we hear from our own government, the number of drillable locations  that shale oil companies lie about all the time in their IP's and technically recoverable resource estimates made by outfits like the USGS and Rystad.
EOG is the irrefutable world's  heavyweight champion of shale oil development, and its home is the Eagle Ford shale play of S. Texas, particularly Gonzales County. The map on the left shows not  very many EF shale oil wells  were drilled
in Gonzales County in 2019 by EOG, because it is  likely running out of damn room,  and those wells that were drilled were lagging far
behind in terms of previous years' productivity, likely because of over drilling.
The shale oil industry is drilling itself out of business at an alarming rate and in the process driving the price of oil down. Even mighty EOG will be out of its locations soon and when they move away from their sweet spots, productivity will decline even more.
Then what? To hell with EOG; then what for America?  
 

   QUOTE  STUFF

"The report warns that global production growth may therefore soon stall due to the dodgy debt-driven economics of the US shale industry. While Saudi Arabia will no longer be able to ramp up production much, the US shale oil sector could be on the brink of unravelling due to massive unrepayable debts, declining production rates, and poor well quality. "
Government Agency Warns Global Oil Industry Is on the Brink of a Meltdown, click to view

POSTS

February 5, 2020

If you are a natural gas producer this cartoon does not need an explanation. The Williston Basin in North Dakota and the Delaware Basin in West Texas are quickly turning from oil to gas resource plays; gas prices at the WAHA Hub in W. Texas are now 50 cents an MMBTU an...

January 24, 2019

2018 was a banter year for media bullshit about the shale oil industry, about increased productivity per well, 'resilience,' new "discoveries" of shale oil in the Permian from the USGS and America surpassing Russia and OPEC in the big, daily production race. Here's a d...

January 13, 2019

Trump continues to tweet down the price of crude oil in America whenever he can squeeze it into his busy tweeting schedule. Oblivious to the real cost of extracting America's shale oil resources he continues to want to use America's light tight oil  as a foreign policy...

May 23, 2018

All of President Donald Trumps hydrocarbon policies are based on the gross misconception of unconventional shale oil abundance in America. Based on known proven shale oil reserves, however, in less than a decade the US shale oil industry will be drilling Tier II type u...

April 9, 2018

In 2017 the US shale oil industry raised another $60 billion dollars, just thru bonds. Equity swaps, Wall Street and private equity? Who knows.

No worries, you say; its not "my" debt. I'd rethink that. Oil prices better go up, and stay up, or we are all going to get sl...

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in the oilfields of

South Texas over

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