o here we are and oil is at $37.46; it could dip even lower. Are we headed for $20? It’s just as likely to go back up to $45. The industry has realized the worst possible outcomes. Producers and service companies have gone bankrupt, layoffs have been huge and half a decade of full tilt drilling and fracking just keeps pumping that oil. OPEC is confused. Putin is flogging Russia's oil resources, determined to out-produce Saudi Arabia in 2015, with no sign of slowing down in 2016. The U.S. production is slowing, but there is a lot of momentum. Plus, the export ban is history. "If you want to succeed, you should strike out on new paths, rather than travel the worn paths of accepted success." This Rockefeller quote, like the man, embodies the spirit that winds through the men and women of the American oilfield. Well, here we are, John, looking down a new path.
What are we going to do? The Big Crew Change has arrived, Climate Change Agreements and clueless leaders, cheap gas and a defunct medieval cartel struggling to remain ligament. It's an impossible situation to navigate, but that's where the oilfield specializes; accomplishing the impossible. Ten years ago producing oil and gas from unconventional plays was impossible and now because of American Oil, it is possible. My experience in the Oilfield has taught me one thing, no matter how bad it looks or how tough it gets, drill ahead. 2015 is capped. In 2016, Optimism Rules.