What’s bad about ultra low oil prices?

Thousands of oil workers will be laid off, tho.

I read that most of US oil production can go on at 30 dollars a barrel these days. In the past thet need 50-60 dollars, but now with new tech, production costs are lower and there are these 0% loans to get them through low oil price periods,

Its just the free market. Its funny how mutts dont like the freemarket when it doesnt go their way.

No: There may be a hiring freeze and work hour cuts, but I doubt there will be a big effect pn unemployment.

So why does gasoline cost so fucking much?

HOYEAH

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They can learn to code.

There is a lack between oil price drops and gasoline price drops. But you should see prices come down if this low oil price persists for weeks and months.

It will go to 25 tho. Some boomer from goldman sachs said it might hit 20.

Bad for me when the next debt crisis hits and I can't put your distressed real estate on my credit card. Fucking Canadian petrodollar.

This, trump will not be reelected its ogre

Problem with that is companies are legally obligated to continue growth due to a court ruling in favor of shareholders sueing a company for not doing so, forget the name, the quickest and easiest way to increase profit margins has always been "half of you are laid off/fired, good luck."
Welcome to burgerland.

It's awsome now i can finally start pump in 91 and get some real power.
>btw not my car.

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Gas is constantly under 2 dollar where I live. Must be hard being a europoor

The times when companies just lay off half their workforce outside of bankruptcy are long over.

Every last oil production company in the US has put tons of cash to the side to get through rough times. They havd plans to lower production without killing their companies.

Oil worker here, not worried.

in 2019 the USA came close to breaking even on exports and imports with roughly 9 million barrels per day imported and 8.5 million barrels per day exported.
However not all oil is equal, which is why we still import those 9 mbbd instead of just keeping our 8.5 mbbd and importing .5 mil to cover the difference.

US shale is very light grade oil and good for making gasoline but not great for diesel and terrible for things that require heavier oils, mostly industrial processes or things like road paving tar, so we still import a great deal of different types of oil from other sources to fill our total needs.

Lol. Just parroting what you here ay user. What does that matter if you cant sell it. Ill explain it it mutt terms. Say USA is mcdonalds and wants to sell burgers for 5 dollars. The saudis open up up their burger place for 4 dollaroos. So the mutts lower theirs to 4 as well. Now the russians sell their burgers at 2. But the mutts can only sell at 3 because thats how much it costs to make em in muttland. So the saudis join the fray and they can also sell at 2. So even less customers buy less burgers from the mutts.and since the mutts attached everything from stock market to energy production mutts find themselves in a pickle.

>pump fuel prices go down when oil prices go down

Sorry to break it to you bro but with Jews you lose no matter what happens.

Gas is expensive here because of taxes. We compensate with good fuel economy smaller cars. Norway already sells 2/3rds of its cars as electric or plug in hybrids.

LEARN TO CODE

It's awesome for plastics and synthetics. Dunno what people are complaining about.
Oil is a multi-use commodity. Lower crude prices doesn't necessarily mean lower production, especially when there's a massive infrastructure renewal project on the way, regardless who wins 2020.

Allot of offshore drilling vessels or semi submersible rigs cost 300 000 dollars a day to run and if you are spending 300 000 dollars a day to produce a quantity of oil which you can buy of the Saudis for 200 000 dollars a day your business becomes unsustainable.

The last time the market was flooded companies like transocean had to cold stack half its vessels and scrap a dozen of them.

It is a direct attack on american and european offshore drilling operations

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no, saudi arabia should get nuked for doing this

I would like to see your source on that claim.
The shale industry has been desperate to cut costs and try to find a solid bottom for production price break even but i highly doubt they've managed $30/bbl.
Furthermore shale has basically been a giant black hole for investors since prices collapsed in late 2014. The CAPEX requirements are huge, and the industry was extremely leveraged prior to 2015 expexcting $80+ bbl oil for many years to come. After the first downturn, shale has been desperate to stay afloat and attract new investment, which hasnt been forthcoming because it clearly doesnt pay out.
This latest market crash will completely wipe out many shale companies. My prediction is consolidation under the super majors but that will still result in huge layoffs of redundant workforces.

Its the free market. Go be commie elsewhere.

>Buys cuck car
>Still gets raped by kike tax code
>Gets jewed twice by greedy fast charging stations.
Must suck being a Eurocuck.

So it’s natural.
Then when they DO stop putting out (or sit on their supply) then the excesses won’t exist to cause such a “low” price in foreign markets, where oil and gas can’t be tapped. Those places will feel it hardest. Exxon and the likes will get hurt when the employees hardball them for more money before they fall apart. They’ll need to be pumping more oil that they can use to exchange at a greater rate than the naturally lowered prices when the process goes through its stages. The higher ups will have to do some real work in deciding this, so they’ll either fold or show people why they get paid the big bucks.
It’s natural. The only thing that will stop anyone from benefitting is how long the other guy thinks they can absorb the short term loss. Like Walmart’s “low prices” aside from volume when they try to price local/smaller grocery stores out of the market.
Happeningfags are just the most bipolar schizos on the board.
Simple as.

Offshore has been completely FUCKED since December 2014. Like 70% of the gulf of mexico oil rig service vessel fleet has been laid up for 5 years now. The costs of offshore are so fucking high that it cant compete outside of the pre-2015 market conditions.

Electricity prices will tumble because low production. Bitcoin will be cheaper to mine. Bitcoin halves soon. Yes, BTC and the alts will BTFO the dollar. This is not, boys. Saddle upp

oh no, a bunch of white men are going to become unemployed, since they make their money working a job that literally kills the planet (by sucking the oil out)

i hope they kill themselves

if they are too stupid to learn a job that doesn't hurt the environment, they should fucking die

>Go be commie elsewhere.

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Tfw your pets bite you
Ok boomers

petrodollar

Yup. I personally witnessed guys who had been working on the same rig for 14 years get fired. Some of the guys were not even told and ended up finding out at the airport waiting to go to work that they no longer had a job.

I was part of the team cold stacking the rigs so I got my money. lol.

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thats nice sweatie

yes, unless you base your shale oil industrys winning on at least a price of 50 per barrel

It's just a smart move from Arabs and Russians, using the already bad context with coronavirus to drag a little bit further down the price, push US shale companies over the edge of bankruptcy , and make the shale bubble blow in their fat mutt face.

As for whether it's good that we have such low price, it really just means that all economies are shutting down around the world.

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WERE GONNA MAKE THE SUBPRIME MORTGAGE CRISIS LOOK LIKE A LITTLE GIRLS LEMONADE STAND GOING OUT OF BUSINESS

WERE GONNA MAKE THE BRONZE AGE COLLAPSE LOOK LIKE A MARKET CORRECTION

>nuke sandtown
Hold on bro, he’s on to something

Fuck em

sums it up quite noicely

did someone say oil?

>long term implications
Probably won't last too long.
And even if it does, US shale oil is of long-term strategic importance. The US will do what needs to be done to save it.
The US has been actively trying to keep supply high these last decades. It will eventually switch to doing the opposite if it has too.

It means oil generates less revenue, which means oil companies produce less barrels to contain costs, which means the supply of oil decreases, which means the price of oil goes up,
which means there's less of it to go around and it's more expensive until the supply increases again.

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Russia vs Saudis would be good.. Slavs and sand niggers destroy each other and Trump will do business with whoever is left.

But something tells me Israel is breaking down the oil negotiations.

It's an indication that there is low demand. No one is driving. There's no new construction. Everything is grinding to a halt.

The layoffs were already coming, I am set to close my office out end of the next month anyway. I am expecting the announcement to cut 243 people loose this week in about 3 hours.

Everything.
Low is one thing. At 50$/barrel everyone is happy.

But suicidal crash is entirely another. If the oil companies fail that workforce goes with it and there goes all of your federal revenue generation as well as the economic power these people have.

And it gets worse. If it goes too low or too big of an energy company fails it undermines the US dollar spontaneously.
Which causes the dollar to become worthless.

Which would cause the happening.

>And it gets worse. If it goes too low or too big of an energy company fails it undermines the US dollar spontaneously.
>Which causes the dollar to become worthless.

I believe this was Russia's plan all along and the Saudis fell on their trap and doubled down on their efforts and are indirectly helping Russia's maneuver, because now the oil prices will go rock bottom and likely kill other OPEC members as well.