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Coping Strategies for Operators
A recent article by John Kemp which was published in “Rigzone” included his tips for operators trying to maintain oil production now that they are faced with reduced prices and capital budgets. The least efficient rigs and crews can be sidelined and only the most proficient used for future projects. Since there will not be… Read More
Factors that Will Drive U. S. Production
In a recent article in “Rigzone”, author John Kemp points out that rig count is at best an imperfect indicator of future production rates. He then goes on to enumerate the most important factors influencing them. However, he concludes that rig count is readily available and timely. The more sophisticated indicators are difficult to obtain,… Read More
Saudi Arabia’s Motives
In a recent opinion piece in “Rigzone”, author Faraz Shams makes the case that Saudi Arabia’s recent efforts to crater the price of oil are driven by economic vs. political motives. He dismisses the opinions of those who think that the Saudis are primarily trying to punish Iran and Russia and put an end to… Read More
Onshore Well Count Could Drop 26%
According to a recent article in “Rigzone”, consulting firm Wood Mackenzie projects a 26% reduction in domestic onshore wells, down to 27,000. Oil and gas operators have reduced budgets for 2015 in response to falling oil prices. With drilling and completion expenditures projected to drop from $140 billion last year to $90 billion in 2015,… Read More
Oil’s Underappreciated Economic Role
John Kemp is an oil and gas market analyst who frequently writes opinion pieces for “Rigzone”. The following is a synopsis of one of his recent articles. It relies heavily on data from the U. S. Bureau of Economic Analysis (BEA) based on the decade from 2002 to 2013. Over the last decade the eight… Read More
