5 ms·
Why so gloomy? Something like 6-8 billion barrels in the Permian, we're talking at least 15-20 years out before it's even remotely an issue. Lot more short term
by kthejoker2 8y ago
Why so gloomy? Something like 6-8 billion barrels in the Permian, we're talking at least 15-20 years out before it's even remotely an issue. Lot more short term and medium them effects to consider before optimizing frack jobs.
- rcMgD2BwE72F 8y agohttps://assets.bwbx.io/images/users/iqjWHBFdfxIU/izx7rgFSlvyQ/v1/660x-1.png https://assets.bwbx.io/images/users/iqjWHBFdfxIU/izx7rgFSlvy... From https://www.bloomberg.com/news/articles/2017-08-08/shale-exploration-production-company-earnings-confidence-game https://www.bloomberg.com/news/articles/2017-08-08/shale-exp... >Here is the free cash flow after capital expenditure for a sample of 33 E&P companies, grouped by their main shale basin (all figures compiled by Bloomberg). >It doesn't require the closest examination of that chart to see fracking is very capital intensive, with E&P firms spending way beyond their means even in the relatively halcyon days of 2012 and 2013. The 14 Permian-exposed companies in that sample saw their cash burn accelerate over the past 12 months to a collective $11.5 billion.