A message from the Permian Basin (Tx) oil producers

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CentralTexasCrude
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Re: A message from the Permian Basin (Tx) oil producers

#51

Post by CentralTexasCrude »

I just got home and man did I have an interesting last 2 days. The oil field I work in (Yates Field) was discovered almost 100 years ago. It's in really rugged semi-mountainous terrain. One of the first fields around here that was required to have spacing between wells (Think of the old time photos of fields where wells/ drilling derricks were side by side). Easy in flat country. Not so in this type country. Sometimes they had to blast well sites out of the sides of mesas. Every well like that there that has steep incline roads to reach can only be reached by driving up to it. Which is great because if it's been kind of washed out and you try to reach it in your work truck, your tires will spin, your truck will bottom out and you know "no go". A few every year. Then I drive a "Gang Truck" up to them later with higher clearance and I can put into low gear and do my job. There is this one odd duck well. It's got a steep road but it's only about 30 yards from the main dirt road but you have to drive "down" to it. Pretty iffy deciding if you can get back up from it (Think big trucks with chains). Visit it twice a year and usually no problem. Visited it several weeks ago and decided I needed a gang truck. Did that last week but hiked down aways first and realized "Holy Shit". Have a helper I take once a year on some wells I need extra help on. We hiked down to it yesterday to do my job and I finally realized what I was looking at. I thought at first a rock slide. I knew I was looking at a catastrophic collapse of almost a third of the entire well site including the well. The only thing that kept the well from collapsing down the side of mountain with a total blowout was the tons of steel casing going down 1,400 feet like an anchor. Took my boss out there this morning first light to show him and the bells whistles and alarms went off immediately. No telling how much stress that casing is going through. I am not a popular person down there right now because I just ruined a lot of people's weekend.
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CentralTexasCrude
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Re: A message from the Permian Basin (Tx) oil producers

#52

Post by CentralTexasCrude »

Due to increased production and, of course, decreased demand, oil fell below $100 today and some gas stations in San Antonio are selling below $4/gallon. Like I said before, if you cancelled Summer plans because of it, re-evaluate later this month. "The author of this post is not responsible for any Hurricanes or any other Acts of God".
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Animal
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Re: A message from the Permian Basin (Tx) oil producers

#53

Post by Animal »

Permian oil production is increasing around 1.6% per month. and that increase has been pretty steady. In April 2022 the Permian Basin was producing about 5 million barrels per day. Right now (July) they will produce about 5.32 million barrels per day.

https://ycharts.com/indicators/permian_ ... production
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CentralTexasCrude
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Re: A message from the Permian Basin (Tx) oil producers

#54

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Animal wrote: Fri Jul 08, 2022 1:12 am Permian oil production is increasing around 1.6% per month. and that increase has been pretty steady. In April 2022 the Permian Basin was producing about 5 million barrels per day. Right now (July) they will produce about 5.32 million barrels per day.

https://ycharts.com/indicators/permian_ ... production
And probably upper 5's by fall. It's a nice slow steady increase. Combined with crashing demand, should stanch the pain like I said when I started this. And yet we have a POTUS whose handlers seem to have no clue what is happening. That's the problem when you make your Energy Secretary some nobody whose only photo I've ever seen was at a wind farm groundbreaking back East earlier this year.
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