NEWS  STUFF      

Shale Oil Passed Its Peak Without Making Money
thIOHFQ6Q5.jpg
Russia Supports Deeper OPEC+
                            Output Cuts
oilprice-logo.png
Energy Capital Pauses Pipeline Deals on Widening Shale Despair
bloomberg_edited.jpg
Investors Tightening the Screws on Oil, Gas Acquisitions
Rigzone.png

RECENT POST STUFF

Cartoon Of the Week

February 23, 2020

Friday Night Lights

February 20, 2020

1/15
Please reload

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

March 18, 2019

Last week in Houston Secretary of State, Mike Pompeo, made a remarkable keynote speech to a large audience at CERAWeek. You may read his speech, in its entirety, by clicking on the image above and I urge you to do so. 

"The Trump administration is working strongly,...

November 25, 2018

 With enough money we can turn this desert in Kuwait...

...into something like this.

Or this beautiful part of West Texas...

into this mess...

In the case of the US shale oil phenomena, low interest money from credit has mistakenly caused pundits and oil analysts to lewd i...

September 4, 2018

Above is a  2017 photo of cold-stacked drilling barges in Morgan City, Louisiana; innocent bystanders of the US LTO drive-by-shooting where overleveraged oversupply of shale oil drove the price of WTI  down from the low $90's to the high $30's in late 2014-2015. Over 2...

August 10, 2018

I am fond of Scotland; I sent some spit somewhere in a cup many years ago and damn if my old folks aren't from there. Once a year, in the summer, I like to watch weenie golfers suffer in the cold, sideways rain in the British Open on TV and Scotland  makes some delight...

Every country in the world in the business of producing oil wants high, stable oil prices.  President Trump needs high oil prices to "dominate" the rest of the globe with American LTO exports; the KSA has a pending IPO it needs to sell and other countries, like Venezue...

April 14, 2018

"The United States Energy Information Agency (EIA) disseminates its data products, analyses, reports, and services to customers and stakeholders primarily through its website and the customer contact center. Located in Washington, D.C., EIA has about 325 federal employ...

Please reload

Who's Stuff Is This?

" I was born and

raised, literally,

in the oilfields of

South Texas over

68 years ago.

I have pretty

much seen, and

done, it all."

 Reading Stuff
Follow "Oily Stuff" 
  • Twitter Social Icon
  • Vimeo Social Icon
  • LinkedIn Social Icon
  • Facebook Basic Black
Good Stuff You Might  Have Missed
The Perfect Oilfield
Shale Oil As a US Foreign Policy Tool
    NIGHT SHIFT        the video 

  "Mike Shellman at Oily Stuff pens

the  best blog on the oil business."  

                   https://www.berlinroyalties.com/

     Header Photography by

            Robert Flaherty