I opined a week or so ago that production targets will be missed this last calendar quarter due to the December snow storm. (Here's the link.)
But this is all one needs to know. Oil is at a two-year high ($91/bbl) and the number of active rigs in North Dakota has plummeted from a high of 166 a week or so ago to 156 today.
Just saying.
Could be a buying opportunity when earnings reports come out.
tonight thru friday another wave of al gore warming( Snow ) arrives with 30 + mph winds and actual air temps to -15 degrees below..So the Bakken will slow down again. here is the sunshine report.
ReplyDeletehttp://forecast.weather.gov/MapClick.php?CityName=Watford+City&state=ND&site=BIS&textField1=47.8023&textField2=-103.271&e=0
I have been waiting for a well to frack that was in Denbury's presentation for november. the weather or lack of crews seems to be slowing things down as no plugged and producing report has come out yet. Since oil has sneeked up 10 to 20 percent I'm actually thankful for those first runs being a little higher.
ReplyDeleteYou know, it's interesting. Somehow it all works out. The first two months of a Bakken well are often spectacular -- think of the difference between $75 oil and $90 oil and 1000 barrels/day for first few days.
ReplyDeleteFor newbies invested in some of these companies that will report missing their production targets, it could be unnerving. For others, an opportunity.
it has snowed 1 inch in the last hour here in bowman ND.
ReplyDeleteIt's gonna be an interesting winter. I wonder if Al Gore is going skiing on all the disappearing snow he was talking about several years ago?
ReplyDelete