The Drilldown: In-depth answers to oilfield questions
Richard & John Spears answer your questions & discuss the oilfield services industry. Got a question? Send it to firstname.lastname@example.org New episode every Monday!
info_outline Ep162: All For Naught 06/02/2020
Ep162: All For Naught Some oil companies have recently adopted the goal of reaching “net-zero” carbon emissions by 2050. John and Richard discuss when the net-zero target might start to affect decisions as to what types of exploration opportunities to pursue given the timeline for discovery and development. Other topics include: A brief history of the concept of zero
info_outline Ep161: Re-Discovering Exploration 05/26/2020
Ep161: Re-Discovering Exploration Exploratory activit has been hit hard by low commodity prices, but Richard & John make the case that it could stage a surprisingly strong recovery. Stranded assets vs profitable production Oil versus gas exploration R&D implications
info_outline Ep156: What Price Differentials Are Telling Us 04/20/2020
Ep156: What Price Differentials Are Telling Us Richard and John discuss what the current $16 price differential between WTI and Brent is telling us about the current oil market and what the current $17 price differential between the May and July futures prices is telling us about the future oil market. Other topics addressed include: How much oil is exported on a global basis? How much US production is likely to be shut-in? What type of US production will first come back into the market? Ernest Hemingway and Charles Mackay
info_outline Ep153: Does US Oilfield Spending Go to Zero? 03/30/2020
Ep153: Does US Oilfield Spending Go to Zero? No matter the price of oil, no matter the trend in drilling activity, the number is $150 frac dollars per reservoir foot drilled. The only real switch occurred in Q1 2015 when things collapsed the first time, but $150 is our number. It would take a change in industry behavior to take another step downward in Q2 2020…perhaps that happens, but do we predict it today? Not really.
info_outline 152: A Unified Theory of the Oilpatch 03/23/2020
152: A Unified Theory of the Oilpatch Global oil inventories are set to increase due to the drop in oil demand and the rise in OPEC+ output. Richard and John discuss how much inventories might rise, how long it will take before they are back to normal, and the implications for US oilfield activity, oil production and oil prices.
info_outline Ep151: $32 oil. What now? 03/16/2020
Ep151: $32 oil. What now? Richard and John discuss the near-term impact of $32 oil on drilling and completion activity and revenues for selected market segments and oil service companies. In addition, they consider how the drop in drilling and completion will impact US oil production and what that means for the long-term outlook for oil prices.
info_outline Ep150: An Oilfield Crime 03/09/2020
Ep150: An Oilfield Crime Richard and John discuss the “Killers of the Flower Moon”, a book (and soon to be a movie) about a 1920s conspiracy to murder Osage Indians for their oil royalties and what became one of the FBI’s first major homicide investigations.
info_outline Ep146: ESG Pt II 02/11/2020
Ep146: ESG Pt II In the second of a three-part series on ESG issues, Richard and John discuss social issues such as diversity, human rights and security that investors are increasingly using to evaluate operators and oilfield service firms. Other topics include: Total global value of stocks and bonds and the percent represented by sustainable investments. The absence of universally-accepted ESG standards The use and misuse of statistics
info_outline Ep145: ESG Part 1 02/03/2020
Ep145: ESG Part 1 ESG (Environmental, Social and Governance) issues play an increasing role in investors’ financial decisions regarding operators and oil service firms, which have begun to take action in response. Richard and John discuss whether these actions are happening fast enough relative to non-industry expectations.
info_outline Ep143: Which oilfield services sectors do we see growing in 2020? 01/21/2020
Ep143: Which oilfield services sectors do we see growing in 2020? We're talking market segments this week! Which oilfield services sectors do we see growing in 2020? We go through our Oilfield Market Report and take a look at where each market segment is headed.
info_outline Ep139- Did the oil & gas industry turn a corner these past few weeks? 12/09/2019
Ep139- Did the oil & gas industry turn a corner these past few weeks? Aramco going public, the switch from production growth to profit growth, and companies ability to deliver on profit growth.
info_outline Ep138: ‘Tis the Season: The Takings (not Santa) Clause 12/02/2019
Ep138: ‘Tis the Season: The Takings (not Santa) Clause Some presidential candidates have proposed to ban fracking, if elected. Richard and John discuss how such proposals would fare considering the Fifth Amendment and the impact on state governments.