Basically everyone depending on the oil industry directly or indirectly will get hurt, everybody else will benefit.
Nothing firm. Rumors abide...
I wouldn't say those not involved would benefit as much as it appears at the surface. With hundreds of thousands being layed off, the entire country will suffer to some extent. The energy industry is the main driver that has carried this country through Obamas administration. He has finally help wreck energy.
And we haven't seen anything yet. Wait until the industry consolidations gather steam. There is a major consolidation in the works now that will likely have a huge negative impact on Tulsa if it goes through.
I spent 20 some years in oil related businesses, my wife has over 40 years. We know the cyclic nature of the business, and prepared.
Its amazing how many top companies don't understand the nature of the business, and continue to ride the crest at the top spending like its going to last forever. They spend like the peak is going to be the norm with new Lear Jets, etc, and hiring people like crazy to only have to lay them off and sell the jets.
Its a crazy business, anybody getting it into the future needs to live low and save high.
Its amazing how many top companies don't understand the nature of the business, and continue to ride the crest at the top spending like its going to last forever. They spend like the peak is going to be the norm with new Lear Jets, etc, and hiring people like crazy to only have to lay them off and sell the jets.
Its a crazy business, anybody getting it into the future needs to live low and save high.
Kimray announced they offered buy outs for up to 700 employees.
I've also heard that, but it seems like they spent WAY too much money for a lot of that land, way more than it's worth so not sure if that'll help or hurt?
Definitely interesting times, seems like construction is going through the roof lately and they would move more resources in that direction?
The oil business has been controlled and monopolized, nowhere close to being a free enterprise.
A handful of companies and countries controlling the entire oil supply of the world.
In the US, the government controls production/price by allowing or not allowing drilling, just like the Saudis and the rest of the OPEC does.
Not that much different than the farm bill that pays the farmers not to grow to keep the prices too high and benefit the farmers and screw the consumers.
When fracking started the government tried to stop it and failed because it was done on State lands and lost control of production/price..
The US oil production went up, prices went down, trillions paid by the consumers to the companies/countries were lost.
A product that was never in short supply and was overpriced due to controls on production to rip off the consumer, dropped in price, still way too high thanks to government controls on production.
This may be a play by the Saudis to gain control of the prices by destroying the fracking industry, or Putin, or the natural result of some competition from fracking.
Eventually they will regain control and continue the rip off. Money talks BS walks.
In the mean time we are going through some bad times as things get readjusted. It is not the first time, I know that it will hurt us all, it already hurt me, hopefully the overall effect on the nation will be a positive one
with the consumers saving enough to help the economy.
There's too much oil supply on the world market for some of these companies to thrive?
Drill baby drill is the answer.
Drill baby drill is the answer.
As a Tulsan I have mixed feelings, the truth is that there is too much oil, there never has been a shortage, just manipulation of production and prices.
In a free enterprise situation where the government doesn't prevent companies from producing on federal lands and offshore (like the rest of the world does),
oil would find its proper price according to how hard and expensive it is to produce it not because it is artificially bloated to screw the consumer.
Considering that oil has vital strategic and economic value, the first priority should be to be fully independent from any foreign oil, no matter where it comes from,
even if we have to put tariffs on imports. Its stupid to import when we have so much.
Similar threads
