I'm planning on it with USO or UCO.

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Communicated by my agency (employer) via email. Already communicated by the Team Lead in the old group that I used to work in by old co-workers. I have yet to hear from my new Team Lead.
"Feels like a little of history repeating". My dad took a 25% paycut in 1986. He was not happy but he had a job.

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Why would your team lead discuss your rate? The team lead doesn't inform their staff employees either.

As a contractor you work for someone else. he doesn't know what you make, only your billing rate.

That's not always the case. In a lot of cases the terms are actual cost + some fixed markups. It depends on the terms with the agency.

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That's not always the case. In a lot of cases the terms are actual cost + some fixed markups. It depends on the terms with the agency.

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That IS the case at RDS. The team lead does not negotiate with the individual for their rate. Their rate is between the billing agency the individual. If RDS asked for a rate reduction, whether or not that rate reduction is passed on to the individual is up to the agency.

Other companies may have their leads do that negotiation, but RDS is clear in terms of co-employment. If an individual team lead decides not to follow protocol, that's their decision.

Not taking about rate negotiation, just saying that in many cases it is transparent.

It concerns me a little that everyone is sitting here waiting for oil to break $40 so they can pile in. I'm right there with you guys, but the more people I hear say it the more I worry that there's something we're all missing. After all, if it were such an obvious good bet, the market would have priced it in and oil wouldn't be as low as it is. This may be a rough ride.

Caveat emptor: Beware of USO while there is contango in the oil futures market.

If you don't want to research what that means, then you deserve to lose your $$$.

Rig Count:



What is the lag between rig layoffs and production? I understand that summer demand is around the corner, but if we're still near current production levels in spring during turnaround season I imagine the builds will be staggering.

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What is the lag between rig layoffs and production?

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Drop in rig count is not directly correlated with decrease in production. Wells still coming online that were previously drilled.

It really depends how many wells have been drilled but not completed and how many operators are going to continue completing wells (and down to what price).

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What is the lag between rig layoffs and production?

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Drop in rig count is not directly correlated with decrease in production. Wells still coming online that were previously drilled.

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Not directly correlated to current production, but an an important indicator of future production. I'm interested in 3rd and 4th quarters of this year.

What other factors determine production? Drilling efficiency, production curves, infrastructure, backlogs...?

i think all four of those can, in some ways.

for shale plays, as mentioned above the decline curves certainly come into play. i think a few years ago infrastructure might have played a larger role but i think that is less of an issue now as some of the plays like eagle ford have developed.

ugly

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What is the lag between rig layoffs and production?

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Drop in rig count is not directly correlated with decrease in production. Wells still coming online that were previously drilled.

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Not directly correlated to current production, but an an important indicator of future production. I'm interested in 3rd and 4th quarters of this year.

What other factors determine production? Drilling efficiency, production curves, infrastructure, backlogs...?

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Agree completely that q3&Q4 will tell the tale

I can't speak for all plays/operators but im in completions in the eagleford and, if we don't drill any new holes (not looking like we will) we should be bringing the last of our new completions online @july.

Who are you with in the Eagleford that isn't drilling new wells? We're scheduled for about 280 new wells this year. That's after our capex reduction announcement.

I have a question, possibly a very stupid one, but I am very inexperienced in the stock market (just look at my profile pic).

Is this a stupid/ill-advised philosophy to subscribe to (I realize it is very simple, and the brain-measuring contestants on Texags hate simplicity, but is it stupid?):

Crude based ETF's like UCO and USO are at extreme lows. They will VERY likely recover at least to some extent over the next decade for a significant return. If they don't that means oil stayed at ultra-lows for years and years on end and that most of us will be screwed regardless. Houston will be devastated. Hashtag YOLO as I purchase these two funds at ultra-lows virtually knowing that O&G won't stay extremely depressed forever. Best not to over think things like this.

How am I wrong??? Hurry up, bc I am about to make a potentially stupid or very wise decision!

Those ETFs lose value when the following months crude costs more or less than the current month. It's something to do with rollover, but basically they aren't great long term investments. You'd be better off buying an ETF with an energy focus, and maybe even a very narrowly focused ETF.

Why haven't prices at the pump dipped as fast as they have the past few weeks?

I noticed when this bottom was hit the last time, it sunk below $2.00. Even with the recent swing, gas prices have only dipped marginally.

I'll never get that. Prices at the station by me have actually been going up recently.

Pump prices take forever to fall and spike back up way more quickly.

Mav,

I'm not on the drilling side, I'm just reading the tea leaves; the deals that would have us drilling more are still in negotiations.

No inside info, just my uneducated guess.

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Why haven't prices at the pump dipped as fast as they have the past few weeks?

I noticed when this bottom was hit the last time, it sunk below $2.00. Even with the recent swing, gas prices have only dipped marginally.

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Because demand for gasoline has risen.

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Why haven't prices at the pump dipped as fast as they have the past few weeks?

I noticed when this bottom was hit the last time, it sunk below $2.00. Even with the recent swing, gas prices have only dipped marginally.

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Because demand for gasoline has risen.

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But demand for gasoline increases the demand for oil which is factored into the price ber barrel. Thus, price per barrel should be the only indicator of price of gas (obviously assuming no rise in taxes on gasoline).

Don't disagree, but who says the market applies logic......

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Why haven't prices at the pump dipped as fast as they have the past few weeks?

I noticed when this bottom was hit the last time, it sunk below $2.00. Even with the recent swing, gas prices have only dipped marginally.

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Because demand for gasoline has risen.

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But demand for gasoline increases the demand for oil which is factored into the price ber barrel. Thus, price per barrel should be the only indicator of price of gas (obviously assuming no rise in taxes on gasoline).

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Only if there is no choke point between the supply of raw crude oil and refined gasoline. And only if the supply of oil isn't currently outpacing the ability of that refining choke point to convert the product.

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Why haven't prices at the pump dipped as fast as they have the past few weeks?

I noticed when this bottom was hit the last time, it sunk below $2.00. Even with the recent swing, gas prices have only dipped marginally.

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Because demand for gasoline has risen.

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But demand for gasoline increases the demand for oil which is factored into the price ber barrel. Thus, price per barrel should be the only indicator of price of gas (obviously assuming no rise in taxes on gasoline).

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Only if there is no choke point between the supply of raw crude oil and refined gasoline. And only if the supply of oil isn't currently outpacing the ability of that refining choke point to convert the product.

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Also note that there are hundreds of different grades of gasoline produced in the US. A small regional view of gas station prices has so much insulation from crude that they will trend together on a macro scale but not a micro scale. Local terminals could have had supply interruption, there could be a truck shortage, off spec product was identified prior to arriving to market, etc... are just a small fraction of things happening on a micro scale that could effect local pricing compared to a macro price of crude. Over the long run, they will be correlated. But they will never be 100% correlated.

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Thus, price per barrel should be the only indicator of price of gas (obviously assuming no rise in taxes on gasoline).

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Refining cost+profit and retail/distribution cost+profit are also priced into gasoline.

Crude price and refining are the two largest influencers. One is in glut and the other on strike.

Hardly arrogance. More like impatience. There is an abundance of information on this thread/forum detailing the dangers of ETF's, and there unsuitability as long term investments. The fact there is contango in the futures market makes USO even more unsuitable.

USO is based on front month contract. If there is contango, the fund loses money when they roll their holdings forward each month.

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Hardly arrogance. More like impatience. There is an abundance of information on this thread/forum detailing the dangers of ETF's, and there unsuitability as long term investments. The fact there is contango in the futures market makes USO even more unsuitable.

USO is based on front month contract. If there is contango, the fund loses money when they roll their holdings forward each month.

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Thanks! That is great info. I just didn't understand your tone as this thread hasn't called for it.

Apache is building out a nice new workout facility at their corporate office. Must not be all bad.

WTI at 42.68 for the record.

&

EURUSD = 1.059

Quicksilver - Chapter 11

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Comeby,
ROSE has a sweet inventory in the Delware Basin. Wolfbone/Camp combo was going fantastic up until the crash. Still waiting on a royalty check from them on 90,000 BOPD of flush production that will include some more favorable prices. Pretty excited to get that. Should take some of sting out of this downturn.

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I would venture to say most have a decent inventory at $80/oil. I haven't seen anyone make mention of their acreage position, contracts, hedges, etc. For all the talk about rose on here I would've expected more of analytical look. Not saying they won't do well, I haven't looks far into them myself. I am a Permian player and have not heard of them, through news or through vendors.