Reply
Go Back   TexasBowhunter.com Community Discussion Forums > Topics > Around the Campfire
 
Thread Tools Display Modes
Old 12-01-2014, 03:40 PM   #301
bphillips
Pope & Young
 
bphillips's Avatar
 
Join Date: Aug 2010
Location: San Angelo, Tx
Hunt In: Schleicher, Tom Green Co.
Default

Quote:
Originally Posted by KR-oldmexico View Post
I believe this is common this time of year...........

Someone correct me if I'm wrong...
End of year cuts are normal but Im not sure 50% is normal.
bphillips is online now   Reply With Quote Back To The Top
Old 12-01-2014, 03:46 PM   #302
asttbe
Ten Point
 
asttbe's Avatar
 
Join Date: Feb 2008
Location: Comfort, TX
Hunt In: My yard
Default

More goodness from the office.

"As many of you are aware, we are carefully monitoring markets as our industry is showing indications of an O&G slowdown or downturn. Those of you that have worked in this business for any number of years would be familiar that this cycle tends to repeat itself every so many few years. As a result of oil prices being down to the mid to low $70’s, some oil companies are reducing capital expenditures across the globe causing postponement of projects."
asttbe is offline   Reply With Quote Back To The Top
Old 12-01-2014, 03:51 PM   #303
Dale
Six Point
 
Dale's Avatar
 
Join Date: Oct 2011
Location: Dayton TX
Hunt In: Liberty County
Default

Never Mind.

Last edited by Dale; 12-01-2014 at 04:09 PM..
Dale is offline   Reply With Quote Back To The Top
Old 12-01-2014, 03:57 PM   #304
Charles
Pope & Young
 
Join Date: Oct 2006
Default

Anybody else keeping an eye on O&G stock prices and ready to buy?

I'm thinking now would be a good time to buy and hold.
Charles is offline   Reply With Quote Back To The Top
Old 12-01-2014, 04:36 PM   #305
KR-oldmexico
Pope & Young
 
KR-oldmexico's Avatar
 
Join Date: Jan 2010
Location: Groesbeck, Tx
Hunt In: South Texas & Old Mexico
Default

Just got off the phone with 2 different M&A and Equity companies concerning a few projects we have going. I asked what Wall Street and the big banks thought about the Energy/Oil and Gas sector... The 2 largest sectors that they are/will be investing in are the Energy Sector and the medical fields......

Long term forecast look good for them!!
KR-oldmexico is offline   Reply With Quote Back To The Top
Old 12-01-2014, 04:58 PM   #306
txwhitetail
Ten Point
 
txwhitetail's Avatar
 
Join Date: Apr 2014
Location: San Angelo
Hunt In: Irion Co
Default

We have been working on contingency type plans for different oil prices since early summer. Companies that haven't been are WAY behind. This hasn't been happening overnight.
txwhitetail is offline   Reply With Quote Back To The Top
Old 12-01-2014, 05:25 PM   #307
hammer63
Ten Point
 
hammer63's Avatar
 
Join Date: Jul 2011
Location: El Campo, TX
Hunt In: Kinney Co.TX
Default

Quote:
Originally Posted by Charles View Post
Anybody else keeping an eye on O&G stock prices and ready to buy?

I'm thinking now would be a good time to buy and hold.
Uh, that would be a 10-4. Buying solid stocks with solid dividend at a good price is what it's all about. And being in a position to buy opportunistically doesn't hurt either
hammer63 is offline   Reply With Quote Back To The Top
Old 12-01-2014, 06:26 PM   #308
Hardware
Six Point
 
Hardware's Avatar
 
Join Date: Oct 2010
Location: Brazoria County
Hunt In: Texas, Western US & Argentina
Default

All I know is that the oil business has been great since the early 90's with a few slow downs but none as bad as the mid 80's. For all the people thinking a slow down like we had then would be good need to do a little reading about all the economic woes people had during the 80's. Oil is the biggest driver of our economy and will cause a slow down of all other businesses. I for one can remember the impact it had in the 80's and it's not one I want to repeat.
Hardware is offline   Reply With Quote Back To The Top
Old 12-01-2014, 11:59 PM   #309
Take Dead Aim
Ten Point
 
Join Date: Oct 2008
Location: Leander
Default

Quote:
Originally Posted by Hardware View Post
All I know is that the oil business has been great since the early 90's with a few slow downs but none as bad as the mid 80's. For all the people thinking a slow down like we had then would be good need to do a little reading about all the economic woes people had during the 80's. Oil is the biggest driver of our economy and will cause a slow down of all other businesses. I for one can remember the impact it had in the 80's and it's not one I want to repeat.
Its only a negative driver when it is high. Its is a positive driver when it is low. Most of you guys are spouting off statements that have zero facts PR past history backing them up. I have yet to see a single person post a factual and no something they heard or created showing any evidence of oil dropping and the market following. It's doesn't happen. Oil will drop after the market does but not the other way around. History doesn't lie.
Take Dead Aim is offline   Reply With Quote Back To The Top
Old 12-02-2014, 07:14 AM   #310
kyle1974
Pope & Young
 
kyle1974's Avatar
 
Join Date: Dec 2007
Location: The Bluff, America
Hunt In: McMullen / Refugio
Default Hey Oilfield Guys!!

Quote:
Originally Posted by Take Dead Aim View Post
Its only a negative driver when it is high. Its is a positive driver when it is low. Most of you guys are spouting off statements that have zero facts PR past history backing them up. I have yet to see a single person post a factual and no something they heard or created showing any evidence of oil dropping and the market following. It's doesn't happen. Oil will drop after the market does but not the other way around. History doesn't lie.


You seem to have a hard time understanding the difference between "the market" and "the Texas economy".

Since everyone else is saying... What profession are you in? Since you've identified that the potential loss of half the drilling rigs isn't a crash, just supply and demand... I'm curious what other factuals you know.

Last edited by kyle1974; 12-02-2014 at 07:31 AM..
kyle1974 is offline   Reply With Quote Back To The Top
Old 12-02-2014, 04:15 PM   #311
kgrutzmacher
Six Point
 
kgrutzmacher's Avatar
 
Join Date: Nov 2007
Location: Tomball
Hunt In: Crockett, TX / Rocksprings, TX / Public Land
Default

If anyone really wants to understand history, politics and the impact of hydrocarbons on the world economy, go read The Color of Oil. One of the 1st sentences reads - The color of oil is GREEN, and even if money throughout the world has all the colors of the rainbow, it is the greenback, both literally and figuratively, that has defined the value of oil....
kgrutzmacher is offline   Reply With Quote Back To The Top
Old 12-02-2014, 04:48 PM   #312
Take Dead Aim
Ten Point
 
Join Date: Oct 2008
Location: Leander
Default

Quote:
Originally Posted by kyle1974 View Post
You seem to have a hard time understanding the difference between "the market" and "the Texas economy".

Since everyone else is saying... What profession are you in? Since you've identified that the potential loss of half the drilling rigs isn't a crash, just supply and demand... I'm curious what other factuals you know.
You seem to have a hard time understanding the difference between "Texas Economy" and "Oil". Oil plays a part in the Texas economy, no doubt but it is not everything. This state builds or grow planes, cars, computers, cattle, crops, etc and all of those rely on the price of oil to set cost. Yes oil plays a part in Texas economy but not as big a part as everyone is making it out to be. Yes the drop in oil prices might crash the Oil Market but it will not crash the Texas Market. One of the great things about this state is that it is so diversified in its economy. The Texas economy today relies largely on information technology, oil and natural gas, aerospace, defense, biomedical research, fuel processing, electric power, agriculture, and manufacturing.

Yes people will be given pink slips. I am in construction and know the industry is looking for good people daily. Many of the guys that left me went to the oil field and I will be happy to take most of them back.

Lets look at the other side of the low oil prices.
Energy cost go down. Texas is the #1 user of energy in the Nation.
Transportation cost go down. Everything from food to fuel are cheaper.
Construction cost go down. Cheaper to build homes, road, etc.
Food cost go down. Cheaper food all around.
Farming and Ranch cost go down. Cheaper feed prices, deer corn, etc.

All of the above save everyone in the state money daily, weekly, and yearly. You are wanting to say that because of a small % hurt by the low oil prices things will go to H3LL in a hand basket. But what you are not accounting for is everyone in the state and country for that matter will gain something at the expense of that small %. I know that sounds bad but it is the truth and the great thing about capitalism.
Take Dead Aim is offline   Reply With Quote Back To The Top
Old 12-02-2014, 04:59 PM   #313
BrianL
Pope & Young
 
BrianL's Avatar
 
Join Date: Oct 2006
Location: Paris,TX
Hunt In: Lamar, Dickens
Default

Hope OP doesn't mind, but figured this is a good place to ask. If export of domestic oil is allowed again, how will this effect foreign oil speculators drilling over here? IE China becoming a huge player in Texas oil fields to ship back to China.
BrianL is offline   Reply With Quote Back To The Top
Old 12-02-2014, 05:06 PM   #314
kch73
Eight Point
 
kch73's Avatar
 
Join Date: Jan 2014
Location: Frisco
Hunt In: Navarro County
Default

WTI closed at 67 and change today...

I'm afraid 2015 will be a bad year for domestic energy...I hope I'm wrong but we are due for a financial crisis of some type...they occur about every 7 years or so it seems.
kch73 is offline   Reply With Quote Back To The Top
Old 12-02-2014, 05:15 PM   #315
bdog14
Ten Point
 
bdog14's Avatar
 
Join Date: Oct 2006
Location: Austin, TX
Default

Quote:
Originally Posted by BrianL View Post
Hope OP doesn't mind, but figured this is a good place to ask. If export of domestic oil is allowed again, how will this effect foreign oil speculators drilling over here? IE China becoming a huge player in Texas oil fields to ship back to China.
It's already happening. I had 3 chinese guys come in to my office last week looking for $200mm+ operating companies to buy or JV with. They seem difficult to deal with however
bdog14 is offline   Reply With Quote Back To The Top
Old 12-02-2014, 05:28 PM   #316
bloodtrailer28
Pope & Young
 
Join Date: Jul 2014
Location: Oatmeal, TX
Default

Quote:
Originally Posted by Take Dead Aim View Post
You seem to have a hard time understanding the difference between "Texas Economy" and "Oil". Oil plays a part in the Texas economy, no doubt but it is not everything. This state builds or grow planes, cars, computers, cattle, crops, etc and all of those rely on the price of oil to set cost. Yes oil plays a part in Texas economy but not as big a part as everyone is making it out to be. Yes the drop in oil prices might crash the Oil Market but it will not crash the Texas Market. One of the great things about this state is that it is so diversified in its economy. The Texas economy today relies largely on information technology, oil and natural gas, aerospace, defense, biomedical research, fuel processing, electric power, agriculture, and manufacturing.

Yes people will be given pink slips. I am in construction and know the industry is looking for good people daily. Many of the guys that left me went to the oil field and I will be happy to take most of them back.

Lets look at the other side of the low oil prices.
Energy cost go down. Texas is the #1 user of energy in the Nation.
Transportation cost go down. Everything from food to fuel are cheaper.
Construction cost go down. Cheaper to build homes, road, etc.
Food cost go down. Cheaper food all around.
Farming and Ranch cost go down. Cheaper feed prices, deer corn, etc.

All of the above save everyone in the state money daily, weekly, and yearly. You are wanting to say that because of a small % hurt by the low oil prices things will go to H3LL in a hand basket. But what you are not accounting for is everyone in the state and country for that matter will gain something at the expense of that small %. I know that sounds bad but it is the truth and the great thing about capitalism.
Don't bring common sense into this debate sir and don't you know oil is the ONLY thing that matters in the great state of Texas

without oil our whole state will shut down and become part of Mexico again
bloodtrailer28 is offline   Reply With Quote Back To The Top
Old 12-02-2014, 05:31 PM   #317
Skinny
Pope & Young
 
Skinny's Avatar
 
Join Date: Mar 2010
Location: Forestburg,Tx
Hunt In: Montague County
Default

What's crazy is that for every cent the oil price drops, American Airlines saves $100K on jet fuel.
Skinny is offline   Reply With Quote Back To The Top
Old 12-02-2014, 05:35 PM   #318
oktx
Pope & Young
 
oktx's Avatar
 
Join Date: Dec 2006
Location: Wise County
Hunt In: Wise County
Default

Quote:
Originally Posted by Take Dead Aim View Post
You seem to have a hard time understanding the difference between "Texas Economy" and "Oil". Oil plays a part in the Texas economy, no doubt but it is not everything. This state builds or grow planes, cars, computers, cattle, crops, etc and all of those rely on the price of oil to set cost. Yes oil plays a part in Texas economy but not as big a part as everyone is making it out to be. Yes the drop in oil prices might crash the Oil Market but it will not crash the Texas Market. One of the great things about this state is that it is so diversified in its economy. The Texas economy today relies largely on information technology, oil and natural gas, aerospace, defense, biomedical research, fuel processing, electric power, agriculture, and manufacturing.

Yes people will be given pink slips. I am in construction and know the industry is looking for good people daily. Many of the guys that left me went to the oil field and I will be happy to take most of them back.

Lets look at the other side of the low oil prices.
Energy cost go down. Texas is the #1 user of energy in the Nation.
Transportation cost go down. Everything from food to fuel are cheaper.Construction cost go down. Cheaper to build homes, road, etc.
Food cost go down. Cheaper food all around.
Farming and Ranch cost go down. Cheaper feed prices, deer corn, etc.

All of the above save everyone in the state money daily, weekly, and yearly. You are wanting to say that because of a small % hurt by the low oil prices things will go to H3LL in a hand basket. But what you are not accounting for is everyone in the state and country for that matter will gain something at the expense of that small %. I know that sounds bad but it is the truth and the great thing about capitalism.
When? I have not seen one thing drop in price but gasoline. I don't think the price of common goods will come down. I really doubt they will pass this savings on to the customer.
oktx is offline   Reply With Quote Back To The Top
Old 12-02-2014, 05:43 PM   #319
super_dave
Pope & Young
 
super_dave's Avatar
 
Join Date: Mar 2011
Location: Van
Hunt In: NW Smith County
Default

Quote:
Originally Posted by kch73 View Post
WTI closed at 67 and change today...



I'm afraid 2015 will be a bad year for domestic energy...I hope I'm wrong but we are due for a financial crisis of some type...they occur about every 7 years or so it seems.

Very very true. 1994, 2001, 2008, 2015?
super_dave is offline   Reply With Quote Back To The Top
Old 12-02-2014, 05:44 PM   #320
super_dave
Pope & Young
 
super_dave's Avatar
 
Join Date: Mar 2011
Location: Van
Hunt In: NW Smith County
Default

Quote:
Originally Posted by oktx View Post
When? I have not seen one thing drop in price but gasoline. I don't think the price of common goods will come down. I really doubt they will pass this savings on to the customer.

If it ever comes down, it won't be soon!
super_dave is offline   Reply With Quote Back To The Top
Old 12-02-2014, 05:46 PM   #321
M16
Pope & Young
 
M16's Avatar
 
Join Date: Dec 2009
Hunt In: Colorado, LaSalle, McCulloch,Menard Counties
Default

Quote:
Originally Posted by oktx View Post
When? I have not seen one thing drop in price but gasoline. I don't think the price of common goods will come down. I really doubt they will pass this savings on to the customer.
This, and when oil goes back up they will raise their prices again!
M16 is offline   Reply With Quote Back To The Top
Old 12-02-2014, 06:03 PM   #322
kyle1974
Pope & Young
 
kyle1974's Avatar
 
Join Date: Dec 2007
Location: The Bluff, America
Hunt In: McMullen / Refugio
Default Hey Oilfield Guys!!

Quote:
Originally Posted by Take Dead Aim View Post
You seem to have a hard time understanding the difference between "Texas Economy" and "Oil". Oil plays a part in the Texas economy, no doubt but it is not everything. This state builds or grow planes, cars, computers, cattle, crops, etc and all of those rely on the price of oil to set cost. Yes oil plays a part in Texas economy but not as big a part as everyone is making it out to be. Yes the drop in oil prices might crash the Oil Market but it will not crash the Texas Market. One of the great things about this state is that it is so diversified in its economy. The Texas economy today relies largely on information technology, oil and natural gas, aerospace, defense, biomedical research, fuel processing, electric power, agriculture, and manufacturing.



Yes people will be given pink slips. I am in construction and know the industry is looking for good people daily. Many of the guys that left me went to the oil field and I will be happy to take most of them back.



Lets look at the other side of the low oil prices.

Energy cost go down. Texas is the #1 user of energy in the Nation.

Transportation cost go down. Everything from food to fuel are cheaper.

Construction cost go down. Cheaper to build homes, road, etc.

Food cost go down. Cheaper food all around.

Farming and Ranch cost go down. Cheaper feed prices, deer corn, etc.



All of the above save everyone in the state money daily, weekly, and yearly. You are wanting to say that because of a small % hurt by the low oil prices things will go to H3LL in a hand basket. But what you are not accounting for is everyone in the state and country for that matter will gain something at the expense of that small %. I know that sounds bad but it is the truth and the great thing about capitalism.

Yes, you can pay people $10 an hour to hammer nails that were previously making $25 an hour in the oilfield. That is a tremendous bonus to our economy.

It's ironic that you mention vehicles and construction as the oilfield has pumped billions into both of those industries with its growth.

Whichever way, it's far out of our control. But I would like to revisit this again in a year or so to see all the positive impact from lower oil costs.

Last edited by kyle1974; 12-02-2014 at 06:28 PM..
kyle1974 is offline   Reply With Quote Back To The Top
Old 12-02-2014, 06:15 PM   #323
KR-oldmexico
Pope & Young
 
KR-oldmexico's Avatar
 
Join Date: Jan 2010
Location: Groesbeck, Tx
Hunt In: South Texas & Old Mexico
Default

Quote:
Originally Posted by super_dave View Post
Very very true. 1994, 2001, 2008, 2015?
Lord I hope you are wrong!!!
KR-oldmexico is offline   Reply With Quote Back To The Top
Old 12-02-2014, 06:16 PM   #324
super_dave
Pope & Young
 
super_dave's Avatar
 
Join Date: Mar 2011
Location: Van
Hunt In: NW Smith County
Default

Quote:
Originally Posted by KR-oldmexico View Post
Lord I hope you are wrong!!!

Read the Harbingers



Tell Brian that cutter bo said hi!
super_dave is offline   Reply With Quote Back To The Top
Old 12-02-2014, 06:18 PM   #325
KR-oldmexico
Pope & Young
 
KR-oldmexico's Avatar
 
Join Date: Jan 2010
Location: Groesbeck, Tx
Hunt In: South Texas & Old Mexico
Default

Quote:
Originally Posted by Take Dead Aim View Post
You seem to have a hard time understanding the difference between "Texas Economy" and "Oil". Oil plays a part in the Texas economy, no doubt but it is not everything. This state builds or grow planes, cars, computers, cattle, crops, etc and all of those rely on the price of oil to set cost. Yes oil plays a part in Texas economy but not as big a part as everyone is making it out to be. Yes the drop in oil prices might crash the Oil Market but it will not crash the Texas Market. One of the great things about this state is that it is so diversified in its economy. The Texas economy today relies largely on information technology, oil and natural gas, aerospace, defense, biomedical research, fuel processing, electric power, agriculture, and manufacturing.

Yes people will be given pink slips. I am in construction and know the industry is looking for good people daily. Many of the guys that left me went to the oil field and I will be happy to take most of them back.

Lets look at the other side of the low oil prices.
Energy cost go down. Texas is the #1 user of energy in the Nation.
Transportation cost go down. Everything from food to fuel are cheaper.
Construction cost go down. Cheaper to build homes, road, etc.
Food cost go down. Cheaper food all around.
Farming and Ranch cost go down. Cheaper feed prices, deer corn, etc.

All of the above save everyone in the state money daily, weekly, and yearly. You are wanting to say that because of a small % hurt by the low oil prices things will go to H3LL in a hand basket. But what you are not accounting for is everyone in the state and country for that matter will gain something at the expense of that small %. I know that sounds bad but it is the truth and the great thing about capitalism.
It would be nice if it was that simple and trickled down as you say!!

Oil/nat gas plays a much bigger part than you give it credit for! Its not the whole Texas economy but its more than the small % you speak of sir!
KR-oldmexico is offline   Reply With Quote Back To The Top
Old 12-02-2014, 06:38 PM   #326
Take Dead Aim
Ten Point
 
Join Date: Oct 2008
Location: Leander
Default

Quote:
Originally Posted by KR-oldmexico View Post
It would be nice if it was that simple and trickled down as you say!!

Oil/nat gas plays a much bigger part than you give it credit for! Its not the whole Texas economy but its more than the small % you speak of sir!
Again it is not that big of a %. Please back up your statement with proof and not just a statement. It will help with the discussion.


I attached a link since I can't get the spacing correct.
http://www.texastransparency.org/Sta...nue_by_Source/

Tax Collections by Major Tax

from 2012 Revenue in $ % of Total
Sales Tax $25,943,807,086 26.2%
Motor Vehicle Sales Taxes $3,878,379,684 3.9%
Motor Fuels Taxes $3,221,502,038 3.3%
Franchise Tax $4,798,699,188 4.8%
Insurance Taxes $1,764,153,450 1.8%
Natural Gas Production Tax $1,495,202,962 1.5%
Cigarette and Tobacco Tax $1,598,089,091 1.6%
Alcoholic Beverages Taxes $976,893,685 1.0%
Oil Production Tax $2,990,890,113 3.0%
Inheritance Tax ($10,293,450) 0.0
Utility Taxes $434,870,937 0.4%
Hotel Tax $441,131,849 0.4%
Other Taxes $247,719,032 0.3%
Total Taxes $47,781,045,666 48.2%

Last edited by Take Dead Aim; 12-02-2014 at 06:43 PM..
Take Dead Aim is offline   Reply With Quote Back To The Top
Old 12-02-2014, 06:46 PM   #327
Take Dead Aim
Ten Point
 
Join Date: Oct 2008
Location: Leander
Default

Quote:
Originally Posted by kyle1974 View Post
Yes, you can pay people $10 an hour to hammer nails that were previously making $25 an hour in the oilfield. That is a tremendous bonus to our economy.

It's ironic that you mention vehicles and construction as the oilfield has pumped billions into both of those industries with its growth.

Whichever way, it's far out of our control. But I would like to revisit this again in a year or so to see all the positive impact from lower oil costs.
I do not have anyone that swings a hammer. We are a heavy site and utility contractor. Most of my guys make between $15 to $25 per hour. So keep spilling empty words or change and actually provide some useful discussion by having some facts to back up your statement.
Take Dead Aim is offline   Reply With Quote Back To The Top
Old 12-02-2014, 06:46 PM   #328
asttbe
Ten Point
 
asttbe's Avatar
 
Join Date: Feb 2008
Location: Comfort, TX
Hunt In: My yard
Default

Oil and gas payroll accounts for 20% of the total in the state. That isn't a little bit to me

2011 numbers, and it is a fact
asttbe is offline   Reply With Quote Back To The Top
Old 12-02-2014, 06:50 PM   #329
Sparkles
Pope & Young
 
Sparkles's Avatar
 
Join Date: Oct 2009
Location: McKinney
Hunt In: Young County
Default

^^^ I get what you are trying to say and while oil and natural gas aren't as big of a contributor percentage wise as some people think, the energy sector including oil and natural gas are the biggest contributors to Texas' economy 13% I think I read last, followed by AG and technology
So yeah it's kind of big deal.
Unfortunately while the cost to produce things falls with the cost of oil it is rarely past on to the consumers. Usually because prices aren't low enough long enough and prices of goods would fluctuate greatly to keep up with oil trends.
Now if oil stayed around $80 I think we could all be happy. Goods would start to come down and the roughnecks can keep their jobs.
Sparkles is offline   Reply With Quote Back To The Top
Old 12-02-2014, 06:52 PM   #330
asttbe
Ten Point
 
asttbe's Avatar
 
Join Date: Feb 2008
Location: Comfort, TX
Hunt In: My yard
Default

More facts, not empty words for you. O&G are huge in Texas if you like it or not

http://www.forbes.com/sites/davidbla...ff-the-charts/

Texas Oil And Gas Numbers Fly Off The Charts
Comment Now Follow Comments

English: Seal of Texas
English: Seal of Texas (Photo credit: Wikipedia)

The growing scale of the oil and natural gas boom in Texas continues to stun most observers. We have discussed this phenomenon periodically (see prior pieces here and here) , but the newest developments are so off the charts that an update is warranted.

We’ve pointed out a couple of times that Texas’s oil production represents roughly 30% of the total US output, an amazing statistic, especially considering that the percentage was below 15% just a few years ago. In May, that statistic became even more amazing, as Texas accounted for 34.5% of total US oil production, thanks to continued production growth in the Eagle Ford Shale and in several shale plays in the Permian Basin region of West Texas.

As Dr. Mark J. Perry points out in his Carpe Diem blog, Texas’ daily oil output has doubled in just a little more than two years, averaging 2.525 million barrels per day in May, the highest daily output the state has experienced since April 1982. In February of this year, Texas – were it a nation in and of itself – would have ranked as the 14th largest oil producing nation on earth. In April – the most recent month global data is available – Texas would have ranked 12th among all nations, in this category, just ahead of Venezuela, and slightly behind Kuwait and Mexico.

By the end of the year, when Texas’s daily production is likely to exceed 3 million barrels per day, Texas would likely rank 9th on this list. Extraordinary.

Where natural gas is concerned, Texas accounted for just over 27% of all US production in May, and would still rank 3rd among all nations in natural gas production, behind Russia and the other 49 US states.

Facilitating all of this production growth is the fact that the latest rig count indicates Texas remains home to 832 drilling rigs, about 47% of all land rigs in the United States, and fully 25% of all the rigs working anywhere in the world. Again, extraordinary.

So now that we’ve got the numbers accounted for, let’s talk about the real-world impact of what this amazing growth means for Texans. One terrific example came to light late last week, when Texas State Comptroller Susan Combs was able to make the happy announcement that state receipts from oil and gas severance taxes had exceeded her projections for the first nine months of Fiscal Year 2013 by a whopping $900 million.

The Comptroller’s announcement came shortly after Texas Governor Rick Perry had called the Texas Legislature back for a 3rd straight special session, with the House and Senate deadlocked on how to produce more funding for maintenance and expansion of state highways. Each house had produced competing bills designed to dedicate excess funds from the state’s Rainy Day Fund in order to accomplish that task.

The good news for Texas is that the Rainy Day Fund is almost entirely funded by oil and gas severance tax collections, and the Comptroller’s announcement that the Fund would be much more flush with money than previously thought provided the impetus necessary to break the impasse. So on Monday, the Legislature was able to reach agreement on a mechanism directing an additional $1.2 billion from the Rainy Day Fund to highway construction and maintenance, and finally, at long last, adjourn the session so that members could return to their homes, families and jobs.

That’s great news in and of itself, but it’s not where this story ends.

During the regular session, the Legislature also passed a series of bills that will also tap surplus funds in the Rainy Day Fund to fund the State Water Plan, as well as other road, port and rail infrastructure projects desperately needed in the state’s rapidly growing economy. The legislation would create two funds:

The State Water Implementation Fund (SWIFT) that will contain $2.5 billion to fund projects in the State Water Plan; and
The State Water Implementation Revenue Fund of Texas (SWIRFT) that will contain $3.5 billion for road, port and rail infrastructure projects.
All told, the legislature was able to tap the almost exponential growth in the Rainy Day Fund for more than $7 billion to pay for a great variety of much-needed infrastructure projects. All of this is subject to voter approval on the November ballot, but success appears likely.

As an aside, The State Water Plan was conceptually approved by the Legislature in 1997, but not funded. For the last 16 years, proponents have tried in vain to devise a source of funding for the plan that does not involve an increase in taxes. As recently as two years ago, no one had the slightest idea how the Water Plan or any of these myriad other infrastructure needs could be paid for.

Today, thanks to the amazing growth in Texas oil and natural gas production since 2011, and the resulting windfall of tax revenues that has produced, the legislature was able to fund all of that, without any sort of tax increase, and still maintain a very healthy balance in the Rainy Day Fund.


The result is a great story that opponents of the oil and natural gas industry hate to hear, but it’s a story that is well worth telling. Good news of this magnitude – like rain, it seems – doesn’t just fall out of the Texas sky on a regular basis.

God Bless Texas.

Last edited by asttbe; 12-02-2014 at 06:55 PM..
asttbe is offline   Reply With Quote Back To The Top
Old 12-02-2014, 06:53 PM   #331
kyle1974
Pope & Young
 
kyle1974's Avatar
 
Join Date: Dec 2007
Location: The Bluff, America
Hunt In: McMullen / Refugio
Default

Quote:
Originally Posted by Sparkles View Post
Now if oil stayed around $80 I think we could all be happy. Goods would start to come down and the roughnecks can keep their jobs.

And their trucks with stacks!
kyle1974 is offline   Reply With Quote Back To The Top
Old 12-02-2014, 06:54 PM   #332
Sparkles
Pope & Young
 
Sparkles's Avatar
 
Join Date: Oct 2009
Location: McKinney
Hunt In: Young County
Default

Quote:
Originally Posted by kyle1974 View Post
And their trucks with stacks!

Hunting giraffes at King Ranch too

Hell yeah!!
Sparkles is offline   Reply With Quote Back To The Top
Old 12-02-2014, 06:58 PM   #333
Take Dead Aim
Ten Point
 
Join Date: Oct 2008
Location: Leander
Default

Quote:
Originally Posted by asttbe View Post
Oil and gas payroll accounts for 20% of the total in the state. That isn't a little bit to me

2011 numbers, and it is a fact
That number is deceiving. It accounts for every person that works in a gas station, propane store, etc. The 20% number is wrong to begin with and then you deduct gas station attendees and the like it drops even more. Yes is a big industry in Texas but Texas can survive if the oil industry in down. We are not Michigan or West Virginia and rely solely on one industry.
Take Dead Aim is offline   Reply With Quote Back To The Top
Old 12-02-2014, 07:03 PM   #334
Tx_Wader
Ten Point
 
Tx_Wader's Avatar
 
Join Date: Sep 2007
Location: Texas By God
Hunt In: Jackson County and Utopia
Default

Quote:
Quote:
Originally Posted by JMalin View Post
Falling prices are exactly what we need in order to fuel real economic growth.
Quote:
Originally Posted by JMalin View Post
Is there no other place where the billions and billions of dollars of capital tied up in producing oil could be put to better use?
Quote:
Originally Posted by JMalin View Post
You bet your *** I believe it. There are some major structural imbalances that the Fed's easy money policies along with Bush/Obama Keynesian stimulus have only masked.
Quote:
Originally Posted by JMalin View Post
It's not just what workers are being paid to sit around doing not much of anything. I've seen what we bill for the chemicals used on these jobs and know what they cost us. I don't know how we got any work charging what we did. It's like the whole frac service side is in cahoots. Wireline is a different story. It's cut throat out here.
Okay you probably voted as a Democrat...I get it.

To the OP...I worked for Halliburton during the 82 bust. I watched people lose their jobs, I watched companies shut their doors. Small towns lost enough families who had to move on that the schools were lowered in their class designation.

I saved but I didn't save enough and it was a hard struggle.

And those who think that lower prices at the pumps equals lower prices across the board? Tell me when that's happened.

Last edited by Tx_Wader; 12-02-2014 at 07:07 PM..
Tx_Wader is offline   Reply With Quote Back To The Top
Old 12-02-2014, 07:09 PM   #335
Take Dead Aim
Ten Point
 
Join Date: Oct 2008
Location: Leander
Smile

Quote:
Originally Posted by asttbe View Post
More facts, not empty words for you. O&G are huge in Texas if you like it or not
Look I am not saying Oil is not a great benefit to the Texas economy. It is. I am just saying it is not going to turn us into Michigan. WE are a well diversified state that has many things going its way even without Oil. Yes oil makes it better. We are the number one exporter of all goods for 7 or 8 years running. We grow more sheep, goats, cattle, and cotton. Dell makes and sells 12% of the computers in the World. Second fastest growing state in the Union(that is not a good thing to me).
Take Dead Aim is offline   Reply With Quote Back To The Top
Old 12-02-2014, 07:11 PM   #336
kyle1974
Pope & Young
 
kyle1974's Avatar
 
Join Date: Dec 2007
Location: The Bluff, America
Hunt In: McMullen / Refugio
Default Hey Oilfield Guys!!

Quote:
Originally Posted by Take Dead Aim View Post
That number is deceiving. It accounts for every person that works in a gas station, propane store, etc. The 20% number is wrong to begin with and then you deduct gas station attendees and the like it drops even more. Yes is a big industry in Texas but Texas can survive if the oil industry in down. We are not Michigan or West Virginia and rely solely on one industry.

We CERTAINLY don't want to include those types of high dollar jobs. LOL.

Gas station attendants need to be deducted. Grasping for straws much?

I wonder if that figure accounts for the construction jobs that have occurred as a result of the oil industry setting up new offices and facilities? Hmmmmm. What about these senseless roughnecks buying 70,000 trucks? What about people buying homes as a result of better income in the oilfield?

You're right. Strike the minimum wage gas station attendants from the record!

Could we at least throw in that little construction project Exxon is paying for south of The Woodlands? 3 million square feet of office space, 385 acre campus, 15,000 jobs..... New hospitals, new schools

Last edited by kyle1974; 12-02-2014 at 07:22 PM..
kyle1974 is offline   Reply With Quote Back To The Top
Old 12-02-2014, 07:14 PM   #337
Take Dead Aim
Ten Point
 
Join Date: Oct 2008
Location: Leander
Default

Quote:
Originally Posted by kyle1974 View Post
We CERTAINLY don't want to include those types of high dollar jobs. LOL.

I wonder if that figure accounts for the construction jobs that have occurred as a result of the oil industry setting up new offices and facilities? Hmmmmm.
My point was that those jobs wont go anywhere with the low price of Oil. They are not reflective of what most people call true oil and gas industry jobs.
Take Dead Aim is offline   Reply With Quote Back To The Top
Old 12-02-2014, 07:19 PM   #338
Take Dead Aim
Ten Point
 
Join Date: Oct 2008
Location: Leander
Default

Quote:
Originally Posted by kyle1974 View Post
We CERTAINLY don't want to include those types of high dollar jobs. LOL.

Gas station attendants need to be deducted. Grasping for straws much?

I wonder if that figure accounts for the construction jobs that have occurred as a result of the oil industry setting up new offices and facilities? Hmmmmm. What about these senseless roughnecks buying 70,000 trucks? What about people buying homes as a result of better income in the oilfield?

You're right. Strike the minimum wage gas station attendants from the record!
Again you are looking at only a portion(oil/gas jobs) and not as a whole state. Lets use your number for poops and giggles. What you are saying is that the 20% of the people that work in O/G jobs are more important than 100% of the people in the state that will or might benefit form lower prices at the pump. Cause those 20% will be saving at the pump also. Yes the might really need the savings if they a let go. I am not saying I want the O/G market to tank or do poorly. I am saying it is not as bad as everyone is making it out to be. Texas is not going down the toilet.
Take Dead Aim is offline   Reply With Quote Back To The Top
Old 12-02-2014, 07:21 PM   #339
kyle1974
Pope & Young
 
kyle1974's Avatar
 
Join Date: Dec 2007
Location: The Bluff, America
Hunt In: McMullen / Refugio
Default Hey Oilfield Guys!!

Go look up the coat of that Exxon project alone and tell me it doesn't matter. The ancillary impact of the oil industry is huge.

Last edited by kyle1974; 12-02-2014 at 07:28 PM..
kyle1974 is offline   Reply With Quote Back To The Top
Old 12-02-2014, 07:21 PM   #340
asttbe
Ten Point
 
asttbe's Avatar
 
Join Date: Feb 2008
Location: Comfort, TX
Hunt In: My yard
Default

This will give both direct and indirect impacts of Oil and Gas nationally and state by state. People can read it and take what they want out of it. Keep in mind they are 2011 numbers and It has grown in Texas exponentially since then.

http://www.api.org/~/media/Files/Pol...s_ong_2011.pdf
asttbe is offline   Reply With Quote Back To The Top
Old 12-02-2014, 07:45 PM   #341
JMalin
Banned!!!
 
Join Date: Feb 2014
Location: Texas
Hunt In: Gillespie and Edwards County
Default

Quote:
Originally Posted by Tx_Wader View Post
Okay you probably voted as a Democrat...I get it.

To the OP...I worked for Halliburton during the 82 bust. I watched people lose their jobs, I watched companies shut their doors. Small towns lost enough families who had to move on that the schools were lowered in their class designation.

I saved but I didn't save enough and it was a hard struggle.

And those who think that lower prices at the pumps equals lower prices across the board? Tell me when that's happened.
Not the first time I've been accused of being a Godless "liberal" here.
JMalin is offline   Reply With Quote Back To The Top
Old 12-02-2014, 08:59 PM   #342
jmeghunts
Ten Point
 
jmeghunts's Avatar
 
Join Date: Aug 2008
Location: Rockwall, TX
Hunt In: Runnells County
Default Hey Oilfield Guys!!

Quote:
Originally Posted by JMalin View Post
Not the first time I've been accused of being a Godless "liberal" here.
Edit: disregard, I was out of line.
jmeghunts is offline   Reply With Quote Back To The Top
Old 12-02-2014, 10:10 PM   #343
BrianL
Pope & Young
 
BrianL's Avatar
 
Join Date: Oct 2006
Location: Paris,TX
Hunt In: Lamar, Dickens
Default

Won't most jobs in the O/G industry still be there even if prices go down. What % of those numbers listed are crude oil exploration? How many of those will return to or go to NG? Production, refinery, generation will still be at same levels or higher, which i would guess is the largest percent of those jobs.

Prayers for all that are going to go thru rough times. I'm hoping technology will catch up, drive fracking cost down, and keep everyone working even at lower prices.

Last edited by BrianL; 12-02-2014 at 10:28 PM..
BrianL is offline   Reply With Quote Back To The Top
Old 12-02-2014, 10:20 PM   #344
pigstika1978
Pope & Young
 
pigstika1978's Avatar
 
Join Date: Oct 2012
Location: Smithville tx
Hunt In: Rosanky n Brady tx
Default Hey Oilfield Guys!!

I'm in the completion side and am just waiting for the call when they tell me to turn my truck tools and uniforms in not looking good for my family
pigstika1978 is offline   Reply With Quote Back To The Top
Old 12-02-2014, 10:28 PM   #345
Skinny
Pope & Young
 
Skinny's Avatar
 
Join Date: Mar 2010
Location: Forestburg,Tx
Hunt In: Montague County
Default Hey Oilfield Guys!!

I'm a pumper in a company position. I'll be around for a while...I hope. Lol.
Skinny is offline   Reply With Quote Back To The Top
Old 12-02-2014, 10:32 PM   #346
bphillips
Pope & Young
 
bphillips's Avatar
 
Join Date: Aug 2010
Location: San Angelo, Tx
Hunt In: Schleicher, Tom Green Co.
Default

Quote:
Originally Posted by Skinny View Post
I'm a pumper in a company position. I'll be around for a while...I hope. Lol.
Yep that's generally what I go do if it gets bad enough for me to not a have a rig
bphillips is online now   Reply With Quote Back To The Top
Old 12-02-2014, 10:35 PM   #347
KR-oldmexico
Pope & Young
 
KR-oldmexico's Avatar
 
Join Date: Jan 2010
Location: Groesbeck, Tx
Hunt In: South Texas & Old Mexico
Default

Quote:
Originally Posted by Take Dead Aim View Post
Again it is not that big of a %. Please back up your statement with proof and not just a statement. It will help with the discussion.


I attached a link since I can't get the spacing correct.
http://www.texastransparency.org/Sta...nue_by_Source/

Tax Collections by Major Tax

from 2012 Revenue in $ % of Total
Sales Tax $25,943,807,086 26.2%
Motor Vehicle Sales Taxes $3,878,379,684 3.9%
Motor Fuels Taxes $3,221,502,038 3.3%
Franchise Tax $4,798,699,188 4.8%
Insurance Taxes $1,764,153,450 1.8%
Natural Gas Production Tax $1,495,202,962 1.5%
Cigarette and Tobacco Tax $1,598,089,091 1.6%
Alcoholic Beverages Taxes $976,893,685 1.0%
Oil Production Tax $2,990,890,113 3.0%
Inheritance Tax ($10,293,450) 0.0
Utility Taxes $434,870,937 0.4%
Hotel Tax $441,131,849 0.4%
Other Taxes $247,719,032 0.3%
Total Taxes $47,781,045,666 48.2%
Why would you use numbers and stats from 2012??????????

No one is saying that Oil is the most important industry in Texas but rather that the economy will feel and take a big hit if oil goes bust as some say! I not know why you have such a hard on against the oil business.......... You have also yet to share exactly what you do for a living........

I obviously depend on the oil and gas industry! I have invested everything I own in the service company that I own and stand to loose a lot along with the 175 people that I employ........ So please excuse my biast views and hope that the oil business finds a balance of profitable market value and more affordable fuel for the end user. I certainly hope whatever business that you are in, construction or whatever holds strong and doesn't crash along with us!.....

Good luck and God bless!
KR-oldmexico is offline   Reply With Quote Back To The Top
Old 12-02-2014, 10:36 PM   #348
bphillips
Pope & Young
 
bphillips's Avatar
 
Join Date: Aug 2010
Location: San Angelo, Tx
Hunt In: Schleicher, Tom Green Co.
Default

Quote:
Originally Posted by BrianL View Post
Won't most jobs in the O/G industry still be there even if prices go down. What % of those numbers listed are crude oil exploration? How many of those will return to or go to NG? Production, refinery, generation will still be at same levels or higher, which i would guess is the largest percent of those jobs.

Prayers for all that are going to go thru rough times. I'm hoping technology will catch up, drive fracking cost down, and keep everyone working even at lower prices.
There would be layoffs across the board BUT that would take a crash not a slowdown. If the drilling stops though not longer after everything else will slow down. Drilling will be the first to go then on down the line in the order it takes to get to the coast. I don't see a "crash" coming just a pretty good slowdown. I could be happy with $70-$80 oil personally.

Fuel cost affects us all. My fuel bill in my truck alone is over 1k month.

Last edited by bphillips; 12-02-2014 at 10:39 PM..
bphillips is online now   Reply With Quote Back To The Top
Old 12-02-2014, 10:43 PM   #349
Skinny
Pope & Young
 
Skinny's Avatar
 
Join Date: Mar 2010
Location: Forestburg,Tx
Hunt In: Montague County
Default

Quote:
Originally Posted by bphillips View Post
Yep that's generally what I go do if it gets bad enough for me to not a have a rig

It pays my bills.
Skinny is offline   Reply With Quote Back To The Top
Old 12-02-2014, 10:44 PM   #350
bloodtrailer28
Pope & Young
 
Join Date: Jul 2014
Location: Oatmeal, TX
Default

Quote:
Originally Posted by KR-oldmexico View Post
Why would you use numbers and stats from 2012??????????

No one is saying that Oil is the most important industry in Texas but rather that the economy will feel and take a big hit if oil goes bust as some say! I not know why you have such a hard on against the oil business.......... You have also yet to share exactly what you do for a living........

I obviously depend on the oil and gas industry! I have invested everything I own in the service company that I own and stand to loose a lot along with the 175 people that I employ........ So please excuse my biast views and hope that the oil business finds a balance of profitable market value and more affordable fuel for the end user. I certainly hope whatever business that you are in, construction or whatever holds strong and doesn't crash along with us!.....

Good luck and God bless!
I havent taken part in this discussion but have kept up with it and read most of the comments and I have seen a few say its the most important industry in Texas and the whole economy will fall with it if it does tank. Also I havent seen one person say that they want the oil industry to bust....may have missed it but I dont think so. I think we would all be happy to find a haply medium.
bloodtrailer28 is offline   Reply With Quote Back To The Top
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump


All times are GMT -5. The time now is 02:36 AM.


Powered by vBulletin® Version 3.8.1
Copyright ©2000 - 2017, Jelsoft Enterprises Ltd.
Copyright 1999-2012, TexasBowhunter.com