Not only that, but Trump negotiating so the OPEC to flood the market to make gas cheaper, will backfire catastrophically once all these US oil companies fold because they can’t make a profit under $60 a barrel. So more job losses coming in the oil industry.
Once that happens, US production will drop, the supply will become constrained and OPEC will cut back on production and we will see $100+ a barrel again.
1900grs on
If you’ve worked in some facet of operations and production of manufacturing, energy, or raw materials in the past 20 years, you know very well how companies have cut positions. There is little redundancy built into systems as everyone pushes toward lean operating. Will the product or service suffer? Absolutely, but the customer will just have to suck it up and accept it.
These cuts aren’t always a result of efficiencies. Too often the cuts are made while greatly increasing risk. And when there is a massive failure, the person who originally made the cuts has taken their profits and moved on to greener pastures leaving a mess for someone else to deal with. Once companies cut those roles, they aren’t coming back.
Omegabrite on
A lot of the job loss is a function of longer laterals. A lot less added individual well bores are generating the same amount of annual production. Rigs and frac crews are way more efficient and faster. So you just don’t need the same number of people. It’s not the case that the job cuts are increasing risks or liabilities, if anything shale plays are much safer than they were 10 years ago and the TRIR numbers support it.
ThePensiveE on
Wait, so you mean to tell me the oil companies aren’t going to pay all of us Americans who lost our job to the MAGA billionaire AI’s high wages to go to Venezuela to steal their oil?
I was explicitly promised a high paying job that was coming back to America tomorrow so long as I voted for the kids on the island guy! Must be the immigrants fault.
/s
iSoLost on
hire in US, train US workers then bring them oversea to work on oil fineries and machineries. this way US companies is able to retain knowledge n talents instead hire in other countries. those foreign workers is unlikely to come to US to train Americans
perplexedparallax on
The oil field is being moved out of the country just like everything else. If the president wants $53 oil (oddly specific) it has to come from somewhere else. America first is an oxymoron at best and a lie at worst.
6 Comments
Not only that, but Trump negotiating so the OPEC to flood the market to make gas cheaper, will backfire catastrophically once all these US oil companies fold because they can’t make a profit under $60 a barrel. So more job losses coming in the oil industry.
Once that happens, US production will drop, the supply will become constrained and OPEC will cut back on production and we will see $100+ a barrel again.
If you’ve worked in some facet of operations and production of manufacturing, energy, or raw materials in the past 20 years, you know very well how companies have cut positions. There is little redundancy built into systems as everyone pushes toward lean operating. Will the product or service suffer? Absolutely, but the customer will just have to suck it up and accept it.
These cuts aren’t always a result of efficiencies. Too often the cuts are made while greatly increasing risk. And when there is a massive failure, the person who originally made the cuts has taken their profits and moved on to greener pastures leaving a mess for someone else to deal with. Once companies cut those roles, they aren’t coming back.
A lot of the job loss is a function of longer laterals. A lot less added individual well bores are generating the same amount of annual production. Rigs and frac crews are way more efficient and faster. So you just don’t need the same number of people. It’s not the case that the job cuts are increasing risks or liabilities, if anything shale plays are much safer than they were 10 years ago and the TRIR numbers support it.
Wait, so you mean to tell me the oil companies aren’t going to pay all of us Americans who lost our job to the MAGA billionaire AI’s high wages to go to Venezuela to steal their oil?
I was explicitly promised a high paying job that was coming back to America tomorrow so long as I voted for the kids on the island guy! Must be the immigrants fault.
/s
hire in US, train US workers then bring them oversea to work on oil fineries and machineries. this way US companies is able to retain knowledge n talents instead hire in other countries. those foreign workers is unlikely to come to US to train Americans
The oil field is being moved out of the country just like everything else. If the president wants $53 oil (oddly specific) it has to come from somewhere else. America first is an oxymoron at best and a lie at worst.