128,000 Jobs Could Be Lost By June

[OnePercenter]

128,000 by June? That means a quarter of a million by the end of the year. At least.

The hydrocarbon industries are extremely capital intensive and full of risk. The rapid and dramatic fall in oil prices has an effect on these businesses that is swift and drastic.

Keep in mind that the vast majority of oil and gas companies operating in the "Lower 48" (or is that "Lower 55"?) are Independents and not the multi-national concerns such as BP, etc.

For those companies that manage to survive, their operating expenses will remain constant while their revenues plunge. And they have no way in which to pass along expenses to consumers, such as a pizza chain does.

Drilling rigs are being stacked, workers are being laid off, and wells are being shut in as they are too expensive to keep pumping.

I've seen this shit time and time again in my 60 years in the business.

Really? Gasoline prices here in Vegas for a gallon of regular unleaded are $1.93 to $2.45, so it seems that oil companies ARE passing it along.

 

[NYcarbineer]

The forecasts are grim for the oil workers nationwide, if the price of a barrel doesn't rise to over $50 a barrel.

These aren't high corporate people, these are the hard working people that have moved to find work. These are the working middle class.

Of course we laugh and thank Obama, but now what do we do with 128,000 oil workers. North Dakota is saying 20,000 jobs are leaving. Sad, turn of events.

I like the low gas prices, however as with everything has a consequence.

At $50.00bbl oil producers are making a $40.00bbl profit. Why the layoffs?

Wrong. Nobody is extracting oil in the US for 10 bucks a barrel.

 

[OnePercenter]

I'm seeing good workers losing jobs and income daily as a result of this manipulated, economic attack on the American economy. What will happen is this: many small companies who've been able to capitalize on energy independence will go belly up then the big boys (Shell, BP, Exxon-Mobil, etc) will take over and take the cake. Americans will lose and the Globalists will win.

Remember in 1999 when oil prices dropped dramatically? They all had to close their doors. <sarcasm>

 

[BULLDOG]

128,000 by June? That means a quarter of a million by the end of the year. At least.

The hydrocarbon industries are extremely capital intensive and full of risk. The rapid and dramatic fall in oil prices has an effect on these businesses that is swift and drastic.

Keep in mind that the vast majority of oil and gas companies operating in the "Lower 48" (or is that "Lower 55"?) are Independents and not the multi-national concerns such as BP, etc.

For those companies that manage to survive, their operating expenses will remain constant while their revenues plunge. And they have no way in which to pass along expenses to consumers, such as a pizza chain does.

Drilling rigs are being stacked, workers are being laid off, and wells are being shut in as they are too expensive to keep pumping.

I've seen this shit time and time again in my 60 years in the business.

Really? Gasoline prices here in Vegas for a gallon of regular unleaded are $1.93 to $2.45, so it seems that oil companies ARE passing it along.

Prices might stay that low for several months, or even a year, but not longer than that. Enjoy it while you can. It will go back at least as high as it was, and perhaps a little higher.

 

[OnePercenter]

Wrong. Nobody is extracting oil in the US for 10 bucks a barrel.

Keep thinking that and you'll die ignorant.

 

[OnePercenter]

Prices might stay that low for several months, or even a year, but not longer than that. Enjoy it while you can. It will go back at least as high as it was, and perhaps a little higher.

I have a Tesla here in Vegas. Why would I care, other then the oil companies are attempting to pull one over on you.

 

[NYcarbineer]

Wrong. Nobody is extracting oil in the US for 10 bucks a barrel.

Keep thinking that and you'll die ignorant.

Shale Basin Breakeven Prices - Business Insider

 

[Agit8r]

it is all Obama's fault for letting them complete the original Keystone pipeline, all the way to the Gulf Coast.

Right?

 

[JakeStarkey]

The drop in price per barrel this drastic has happened 5 times since in the last forty years. Each time it rightened itself within six months.

 

[OnePercenter]

Shale Basin Breakeven Prices - Business Insider

The price includes additional equipment needed to produce shale oil when the equipment is new. It doesn't factor in that the price will go down year after year as the equipment is used; unless you want to buy new every six months.

 

[OnePercenter]

The drop in price per barrel this drastic has happened 5 times since in the last forty years. Each time it rightened itself within six months.

It will go up after Putin is dead. Hopefully Obama will take executive action to cap the price.

 

[Fugazi]

While it truly sucks for those that will lose their jobs because of this, there is also a benefit for everyone who pays for fuel. Seems like americans saved $14 billion on gasoline in 2014, where prices only plumetted in the final few months, it is projected to be $50-$75 billion in 2015, if prices remain similar. I do not know if that includes industry (rail, planes, boats, etc..). If we take $50 billion for 250,000 jobs, that's $200,000/job. Not sure how much of that money will create jobs or how many, but I think it needs to be considered.

Americans Saved 14 Billion on Gasoline this Year AAA s Daily Fuel Gauge Report

 

[edthecynic]

all the RW have been crying for dirt cheap oil ... here ya go, get ya some

MOron.

drill baby brill
open ANWR
Complete Keystone

lets get this damn oil down to FREE..

changing your tiny little mind? Or do you agree with Obama when he said he wanted higher gas prices ...

you git u sum Hboy.

You forgot Gingrich's:
"Drill here, drill now, pay less."

 

[edthecynic]

Wrong. Nobody is extracting oil in the US for 10 bucks a barrel.

Keep thinking that and you'll die ignorant.

How much does it cost to produce crude oil and natural gas - FAQ - U.S. Energy Information Administration EIA

 

[edthecynic]

Shale Basin Breakeven Prices - Business Insider

The price includes additional equipment needed to produce shale oil when the equipment is new. It doesn't factor in that the price will go down year after year as the equipment is used; unless you want to buy new every six months.

Right, because equipment never wears out or needs maintenance.

 

[RKMBrown]

Gotta feel sad for these leftists who try to take credit for the oil prices going down, then scream and blame conservatives for bringing it down when they see the other side of the coin. They'll be back to take credit again later on in another thread. Bunch of morons.

 

[Moonglow]

The forecasts are grim for the oil workers nationwide, if the price of a barrel doesn't rise to over $50 a barrel.

These aren't high corporate people, these are the hard working people that have moved to find work. These are the working middle class.

Of course we laugh and thank Obama, but now what do we do with 128,000 oil workers. North Dakota is saying 20,000 jobs are leaving. Sad, turn of events.

I like the low gas prices, however as with everything has a consequence.

Damn that Oblama, when is he going to do something?

 

[Moonglow]

It's interesting to see how things are developing in the face of cheaper oil. In Alaska, the government is finally facing the fact that they cannot simply go on spending like there is no tomorrow. Our new governor has put the kibosh on several "infrastructure" projects, as well as other expenditures. Perhaps they will learn that the strings attached to federal monies are too expensive to allow them to continue to suck off that government tit. We have to make ourselves independent of federal subsidies and govern within our means. That chicken is coming home to roost here, where we are so very dependent on both big oil and federal subsidies.

Oklahoma had just recovered from the great depression, now they will have to go back to wearing a barrel for clothing...

 

[RKMBrown]

The forecasts are grim for the oil workers nationwide, if the price of a barrel doesn't rise to over $50 a barrel.

These aren't high corporate people, these are the hard working people that have moved to find work. These are the working middle class.

Of course we laugh and thank Obama, but now what do we do with 128,000 oil workers. North Dakota is saying 20,000 jobs are leaving. Sad, turn of events.

I like the low gas prices, however as with everything has a consequence.

Damn that Oblama, when is he going to do something?

Ayup 6years where's the beef?

 

[Roadrunner]

The forecasts are grim for the oil workers nationwide, if the price of a barrel doesn't rise to over $50 a barrel.

These aren't high corporate people, these are the hard working people that have moved to find work. These are the working middle class.

Of course we laugh and thank Obama, but now what do we do with 128,000 oil workers. North Dakota is saying 20,000 jobs are leaving. Sad, turn of events.

I like the low gas prices, however as with everything has a consequence.

I know a lot of young oilfield workers used to making $10,000 a month and spending $15,000 a month.

Do you think any listened when we tried to tell them to save?