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Olduvai III: Catacylsm
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US Shale Production Just Hit A New All Time High

US Shale Production Just Hit A New All Time High One month ago, we reported that based on recent data, June oil output from shale producers would post the first double-digit production growth since July of 2015, when oil prices tumbled and a substantial portion of US production was briefly taken offline. While the final […]

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US Oil Rig Count Rises For 23rd Straight Week But High Costs Drive Investors Out Of The Permian

US Oil Rig Count Rises For 23rd Straight Week But High Costs Drive Investors Out Of The Permian The number of oil rigs in America has now risen for 23 straight weeks (and 50 of the last 52 weeks), up 11 to 758 in the last week – the highest since April 2015. “It’s becoming bearish […]

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Shale Hotspot Draws In Another Big Oil Player

Shale Hotspot Draws In Another Big Oil Player The oil price crash that destroyed a lot of smaller oil producers has not spared the finances of even the oldest and largest oil companies. Trying to keep the precious dividends intact and growing, Big Oil is focusing on cost control and cash preservation, and has effectively […]

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Why We Can Expect Cripplingly Higher Oil Prices In The Near Future

Why We Can Expect Cripplingly Higher Oil Prices In The Near Future The break-even price for Permian basin tight oil plays is about $61 per barrel (Table 1). That puts Permian plays among the lowest cost significant supply sources in the world. Although that is good news for U.S. tight oil plays, there is a […]

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Just About Every Part of the Permian Basin is Unprofitable at $30 Per Barrel

Just About Every Part of the Permian Basin is Unprofitable at $30 Per Barrel Less than 2 percent of Permian basin tight oil wells are commercial at $30 per barrel oil prices. Sorry about that. I know that many believe that U.S. shale and tight oil plays are commercial even at current low oil prices […]

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OPEC Production Cut May Not Be Needed After All

OPEC Production Cut May Not Be Needed After All U.S. tight oil production may fall 600,000 barrels per day by June 2015 based on reasonable projections of current rig counts. I compared the decrease in rig counts that began in late 2014 to the rig count decrease in 2008 and 2009 following the Financial Crisis. […]

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Olduvai IV: Courage
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Olduvai II: Exodus
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