Tuesday, December 7, 2010

Another Industry Shut Down in the US -- Not a Bakken Story

CNBC guest (James "Jim" Tisch, Chairman, Diamond Offshore Drilling; CEO, Loews Corporation) is saying exactly what I've been saying: drilling in the Gulf of Mexico is done. Over. Gone. The moratorium has been lifted, but the administration has implemented a de facto moratorium.



It's Over, Roy Orbison


Diamond has already moved three rigs out of the Gulf; five more rigs are sitting idly. Because it costs $10 million to move them, they will not move them until they get a contract / a job off Europe or off Africa.

How many workers could be employed: 450 workers laid off and then another 500 for direct support, and then thousands more that support them. It's called a multiplier effect, a term that politicians who are not business friendly do not understand.

Tisch says that the administration has effectively shut down one huge industry.



Crying, Roy Orbison
 

Any further talk of American energy independence is simply that: talk.

Any further talk about increasing jobs in America is simply that: talk.

Unemployment insurance: up to $310/week.  Deepwater drilling roughneck: $310/day. 
 

2 comments:

  1. embraceyourinnerhillbillyDecember 8, 2010 at 7:01 PM

    Bruce, You posted 'Crying', not 'It's Over'.
    Either song, you can't go wrong playing Roy.

    ReplyDelete
  2. Thank you for catching that; I corrected that up above. The videos were correct: I labeled the second one incorrectly. Thank you for catching that; wow, you look at my blog closely. Thank you, especially your kind comments about Roy Orbison.

    ReplyDelete

Note: Only a member of this blog may post a comment.