re: WTI Crude north of $72 today. Where is everybody?

quote:

---

That's why we're on the outside looking in. DW is still slow and there is still a ton of guys with shale experience looking.

---

such a true statement. especially when I'm trying to get back on land.

Pennsylvania here. Business picked up Q2 last year. Been pretty steady. They are always looking for service hands. Operators can be picky with the amount of people still looking.

quote:

---

Why are they still in hiding?

---

I can only speak about my company, but we are still in a cost-cutting mode. We recognized our fat and complacent attitude before 2014 and decided that we should be sustainable at $50. Obviously, we have slacked up on some things in the past 6+ months with the rising price, but we are very selective about hiring, and are doing much more moving own staff around the world rather than hiring and firing. We are still growing, but are being a lot more rigorous about spending control.

Note that we do not have any US assets...

I see cap ex budgeting in 18, hiring will pick up slowly while companies are trying to keep those personnel expenses down. Everyone was so bloated on personnel before it went bust. Now they are catching up on cap ex and stretching employees a little more.

Not everyone is so optimistic.

quote:

---

Barclays sees international benchmark Brent crude to average $68 a barrel in the second quarter, but sees crude prices falling into correction in the back half of 2018.

Geopolitical tension in Syria, Yemen and Iran will keep oil prices elevated over the short term.

Barclays' head of energy commodities research lays out four reasons price support could falter.

---

quote:

---

First, Barclays said the supply impact of renewed sanctions on Iran is being overstated and says the market has already priced in falling output from Venezuela.

Second, American oil production is consistently rising to record highs, despite U.S. drillers exercising more financial discipline.

Third, the supportive oil market backdrop in the first quarter of 2018 was partly due to one-off factors like severe weather that sidelined some U.S. oil supply.

Last and most importantly, Barclays said it expects the oil market will swing back into surplus in the final months of the year and remain oversupplied through 2019.

---

LINK

I dont see it getting up 80... we'll settle back into the lower to mid 60's which is good

quote:

---

I have only DW which might as well be zero experience when it comes to land.

---

Was a cold truth I found out as well. Luckily I survived the layoffs.

quote:

---

And Brent is over $73.50.

---

I've got trailing stops on my COP stock. My patience and long term holding has paid off.

I am curious. Do basic economics apply to the price of barrel of oil? When shale production becomes economical producers jump in, increase supply in the market, and cause another 2015 situation with a huge crash of the price/barrel

Been getting in-bounds in Houston from large cap operators interested in GoM acquisition opportunities. Will be interesting to see if private equity $ jumps back in. When the GoM is heating up that’s when you know we back baw.