[IanRTL]

I work for one of the largest energy companies in the world at one of their Appalachian business units where we drill for natural gas. It's a VERY tough time for the industry with thousands losing their jobs, small companies going bankrupt, large companies putting major capital projects on hold (or cancelling altogether) and the constant fight to keep the doors open. Oil is the lifeblood of major energy companies and will continue to be for quite a long time. The price of oil is very cyclical. It tends to go up and down in 12-18 year stints. It was extremely low in the late 90's and early 2000's, rose to record levels in the late 2000's and is now back down to record levels again. The economy of the United States follows a similar pattern. As goes oil, so goes the economy. "Experts" are predicting oil to be back up in the $50-55 range by the end of this year and to surpass $60 early in 2017. Nobody knows exactly what's going to happen, but I feel extremely fortunate to work for a large company who has the capital and ability to weather this storm.

 

[IanRTL]

I remember someone predicting that our President was in bed with some Energy company and he will be a major figure in that industry when he leaves the White House.
What say you about the suggested $10 tax per barrel of oil. So at $28 per barrel plus $10 = 35% Tax

This President has his head in the clouds thinking that "renewable" energy is the future. Fossil fuels are still accountable for over 80% of the energy production in this country and will remain that way for the foreseeable future. His constant opposition to such things as the Keystone Pipeline project and more exporting of our natural resources are unfounded when they could greatly help boost the economy and make this country less dependent on foreign products.

The $10/barrel tax is nothing more than an end-of-term distraction, backdoor type of thing that will never make it to the voting floor. It's ludicrous and comes at the WORST possible time. $10 on a $100 barrel is bad enough let alone on a $30 barrel. This tax would supposedly go towards funding investments in transportation technologies directed at reducing carbon emissions. What it would do is cripple an already reeling industry, raise gasoline prices considerably and make the economy even worse than it is now.

Without a doubt, this man is the worst president who has ever existed in my opinion. He's a left-wing radical who has taken this country several steps in the wrong direction. He makes Jimmy Carter look like a Reagan or Roosevelt. I hate the crop of upcoming Presidential candidates, too. Without delving into a political rant, let's just say that I hope January of 2017 bring us all something better than what we have to put up with now.

 

[IanRTL]

I'm happy for you Ian. But you might want to be knitting yourself a convenient safety net via networking & job prospect seeking outside of your industry; in case they take the BIG fall, like happened back in the early '80s. I used to be in the oil tool industry, and they cut back savagely.... I had just changed companies a year earlier for a huge pay raise, so had no seniority at my new company at all when the OPEC hammer hit. Fortunately, I was able to quickly land on my feet in the defense industry (my degree & skill set were versatile across industries). It turned out to be a very good move for me, luckily.
Bottom line.... it never hurts to have feelers out to help adapt quickly in that "worst case" scenario. And looking outside of the "hurting" industry amps up your prospects big time.... maybe even exposes you to opportunities you wouldn't even have realized existed. Good Luck either way.

I am a Land Representative for the company. They place a large significance on good Land people who can manage and retain their large assets. I have put six years into this company so far and have ingrained myself into its operation. The cuts being made in my business unit likely won't affect me, but I'm always keeping my options open. I have many friends in the industry at other companies and my experience and skill set can translate to several other things. I'm going through this year cautiously confident.

Yep, you got it Dnick. I always hear those on the left beaching and moaning about the subsidies that oil companies receive from the government and are always talking about eliminating them. I have no problem with that, as long as all the subsidies for wind/solar/etc. are eliminated also. All these wind farms popping up...would never be happening if they weren't subsidized, as much as %70, by taxpayer dollars. Those wind turbines are not economically viable without taxpayer support. If you have something that a private company/investor won't touch, even with a 10 foot pole, you know it is not a good deal.

As far as oil prices being at 12 year lows...I can feel for those who work in those industries...but then again, when I can fill my truck up for around $30, instead of $70+ I was paying not that long ago, it helps MY family bottom line. It's one of those cyclical things...demand is going to go up again, the price of oil will follow suit....and it won't be too long we're beaching about the high price of gas.

I don't understand how a reasonable human being could look at the stats and facts of solar, wind and hydroelectric energy generation and thing that they're the "future". Solar panels are extremely expensive and the amount of land it would take to generate the amount of energy this country demands is astronomical. For those giant wind turbines, it takes more energy to actually manufacture one than it would ever produce in its serviceable lifetime. Not to mention the inherent dangers to migratory birds during operation. Hydroelectric is the best of the three, but the scale of the equipment needed to create such large amounts of energy don't make sense.

The bottom line is that fossil fuels are king right now and will remain that way for a few more decades at the minimum. Until something truly revolutionary such as fusion on a small, sustainable, safe, consumer level comes along, our reliance on oil and gas will continue. These sorts of declines in oil prices are good for the consumer in the way of lower gasoline prices, but they're terrible for the majority of other aspects of the economy. I think if oil were to be pretty stable at about $70-80 a barrel and gas prices were $3 a gallon, we could all compromise at those rates.

 

[IanRTL]

Exactly. I have been telling that to people for years and it just falls on dead ears. The way I try to explain it to people is...If somebody asked to you to give them a $1000 to invest and your guaranteed return was going to be between $500 and $700...you'd tell them to go take a hike. That's exactly it with those wind turbines...building, erecting, and maintaining them...will cost more than they will every return in "energy savings". The whole wind turbine thing is a lie. That's why you will never see one of those turbines go up without MASSIVE government subsidies. NEVER! No private company in their right mind would touch that kind of "investment", because there is no money to be made. It is a lose, lose, lose, situation.

I'm not saying we should not be investing in the research for alternative energy sources, and be good stewards of the planet, but for our governments to put in place energy sources that are not reliable, and artificially drive up the price of energy, is just so obtuse, it's bordering on criminal. But, of course they gotta do something keep their granola crunching, pony tail wearing, sandal sporting, tree hugging, enviro-freak, voting block happy.

I'm glad there is someone else out there who understands the absurdity of giant wind mills. On a consumer level, there are small wind turbines that you can affix to your roof that will generate a portion of your electricity needs in your home. They're relatively expensive at $10,000 or more installed, but they do end up paying for themselves over time. That is, of course, as long as the wind blows constantly where you live.

AW Energy

That is an extremely cool idea although I'm not certain how viable it would be for such a large scale demand in the US. Installation is no doubt pretty difficult and maintenance would be very difficult being that it's A) underwater and B) constantly affected by the wave motion. You'd never be able to work on the thing unless you completely removed it and could make it stationary. Nonetheless, coastal cities could certainly benefit from something like that.