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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: Jim P. who wrote (186910)	12/4/2014 9:24:09 PM
From: elmatador	1 Recommendation Recommended By Ben Smith Respond to of 206338

Why successful US shale boom is not being replicated all over the world? Land available Legal Frame work. Entrepeneurship culture to invest capital and technology, This is a Small Oil thing that only the US can develop cannot be replicate in most countres in the world. Perhaps China and Russia could impose that top bottom. While Big Oil slept in the belief that oil was ending and prices were here to stay. The higher oil prices enabled the entrepreneurs to perfect existing technologies and develop methodologies to economically explore shale oil.

To: Jim P. who wrote (186910)	12/4/2014 9:45:58 PM
From: Biomaven	Read Replies (1) \| Respond to of 206338

I think you described the situation very well - an unexpected influx of extra supply followed by a decision by the Saudis to do what they can to put a damper on short- and perhaps medium-term future supply. Peter

To: Jim P. who wrote (186910)	12/5/2014 7:00:29 AM
From: dvdw©	Read Replies (1) \| Respond to of 206338

You said" Until recently most oil companies did not believe or were skeptical of the sustainable profitable growth in light crude via shale." Largely true. most oil companies are staffed with folks educated to the belief oil is a fossil fuel. We could not expect them to go against their sustainable education platform that guaranteed their existence....could we? One of the very best examples of counterprogramming entrenched inertia, was the early willingness of Statoil to buy Brigham and get into the differences in mining particulate versus the old school. They paid 4.4 billion to take over the company, a cursory analysis is that they have cash flowed 12.5 billion at a minimum from that action. Further they are now positioned with the understanding about the product which they did not have when the risk was taken. We will see them make better investment decisions as a result of their willingness to get in the trenches in the laboratory that is the Bakken. Mexico looms large so don't be surprised if they become smart money. Capital will continue to flow to better methods and practice.... knowledge is a phenomena of mind and those hoping for a sustainable future, within this space, are not going to sustain much at all. Beliefs based on mythology lead to mal investments, assumptions and concepts like sustainability....locks in conditions of inertia as primary features of the organization holding onto them.. sustainability is the key word in the vocabulary of those who wish to remain" Only Fully Prepared for the Past." whenever the word is used....consider the user, a mouthpiece of a bought and paid for matrix.

To: Jim P. who wrote (186910)	12/5/2014 8:51:21 AM
From: elmatador	Respond to of 206338

Riyadh may offer deeper crude supply discounts to Asia 'to maintain the group’s output target amid a global battle for market share.´ PUBLISHED: 4:02 AM, DECEMBER 5, 2014 TOKYO — Saudi Arabia will probably deepen discounts for crude supplies to Asia after leading the Organization of the Petroleum Exporting Countries (OPEC) to maintain the group’s output target amid a global battle for market share. The world’s biggest oil exporter will announce January official selling prices to buyers in Asia this week, after lifting its Arab Light grade from the lowest level in almost six years a month ago. The largest producer in the OPEC may offer bigger discounts, said 12 of 13 respondents in a Bloomberg News survey of traders. Riyadh is discounting its crude as OPEC’s decision to maintain production quotas prompts speculation that the group is prepared to let prices fall to defend its market share against more expensive American shale output. Benchmark futures contracts have collapsed almost 40 per cent from a June peak, as competition among suppliers rose amid slowing demand. “There’s no question that the Saudis want to maintain market share,” said industry consultant IHS’ vice-president Victor Shum. “They may cut prices in an environment that seems to be under a lot of downward pressure.” Arab Light, the largest Saudi oil stream, will sell in Asia next month at US$2 (S$2.63) a barrel below the average of Oman and Dubai grades, said Mr Masahi Nakayama from Japanese refiner Cosmo Oil last week. However, hedge fund Elements Capital’s CEO Takashi Hayashida warned of potential conflict among OPEC nations if Saudi Arabia sells too aggressively. “It may create a discounting battle among OPEC countries and that may end up causing political unrest.” BLOOMBERG