And there was much rejoicing in the land.... Gas Prices

[Sean88gt]

Oil got pounded over the weekend, now under $45. I'll be surprised if we don't see a $39 handle on it this week. I think there will be some people freaking out when that happens too.

If prices hit $39, they'll kiss $30. I'm still praying that speculators kill themselves.

[Strychnine]

Oil got pounded over the weekend, now under $45. I'll be surprised if we don't see a $39 handle on it this week. I think there will be some people freaking out when that happens too.

Yeah this is going to suck for a while.

Rig declines are likely to continue for the next few months, and may not stabilize until the third quarter, according to an analysis by Bloomberg Intelligence. In three previous oil slumps, it took about 32 weeks for rigs to bottom out. In highly productive shale regions with big fracklogs, production could still climb for months even if rig counts fall to zero.

Also at the end of last week...

Basic Energy Services pre-announced an 1Q earnings miss this morning, revising the revenue guidance it provided just three weeks ago downwards. Basic now expects 1Q revenue to be 32-34% lower q/q vs. prior guidance of 21-26% lower.

Basic's headcount is now 14% under its November peak.

Basic said today that pricing concessions on stimulation services have increased to 25-30%, up from the 15-20% range experienced in January. Pricing concessions for other product service lines (PSLs) remain fairly consistent, suggesting that the frac market is weakening faster - a development consistent with prior cycles.

[samuel642000]

Truth be told, tripping pipe is the easiest part of the job. Physically demanding, but it makes the time go by quicker and you aren't having to find shit to do.

Oh I know that, I was just implying they would be tripping out for a few days instead of in/out over a tour.

[Strychnine]

On this day in 1949, in Stephens County, Oklahoma, Halliburton completed the first successful commercial application of hydraulic fracturing.




Also,

Iran-US Deal Could Wreak Further Havoc On Oil Market

As the US and Iran resumed negotiations, Iranian Oil Minister Bijan Zanganeh said Monday that Iran could increase oil exports by 1 M/bpd without US sanctions. “If sanctions are lifted, we can raise our exports by one million barrels per day within a few months," he said. With WTI hitting a 6-year nadir on Monday, a deal unleashing oil exports from Iran could send the prices even lower. Iranian negotiators addressed concerns with US Secretary of State John Kerry on Monday regarding the letter written by 47 Republican US senators saying that they or a future presidential administration could repeal any agreement made by President Barack Obama, according to a US official who spoke to Bloomberg.

Mehdi Hosseini, head of Iran’s Oil Contracts Revision Committee, said in an interview published Tuesday in Shargh newspaper, “Given that the nuclear talks have reached a sensitive point, if US oil companies take a position against this letter and oppose it, then we will reward them."

Iranian oil production has fallen sharply due to pressure from Western sanctions targeting foreign investment in the nation's oil and gas fields. Before mid-2012, when the US and EU tightened sanctions, Iran exported 2.5 M/bpd. In the IEA's February monthly report, the agency said exports have dropped by an average of 1.2 M/bpd. Barclays said Monday research note that Iran could increase oil and condensate exports by 300,000 bpd by June, regarless of the results of the ongoing nuclear negotiations. This boost would be the result of lower domestic demand and rising condensate exports from the nation's largest field, South Pars. Barclays said the potential increase in shipments from February’s level would be offset by lower stockpiling requirements in Asia as refineries there undergo maintenance work. "If the market is looking for a trigger for its next fundamental move downward, the perception of sanctions relief could pave the way," Barclays wrote in the Monday note. Barclays said there are now 12 specific provisos in place per the sanctions that target Iran's energy sector, including a ban on the purchase of Iranian oil. This stipulation is supposed to prevent crude shipments from Iran. Further, there are 20 sanctions that target Iran's financial sector. These render it very cumbersome to engage in any transactions with Iran.

and...

Moody's - NAM E&Ps To Cut Capex By 41% In 2015
In a report released Tuesday, Moody's Investors Service provided further color to these trends, projecting that its rated NAM E&P companies will cut capital spending by 41% in the aggregate this year.
Prateek Reddy, Associate Analyst with Moody's, said in a statement, "We expect Moody's-rated E&P companies to reduce capital spending by 41% in aggregate this year, with investment-grade issuers cutting spending by 36% and speculative-grade firms by 47%."
He added, "Investment-grade companies are generally able to access the capital markets, even when commodity prices are weak, but speculative-grade firms today have more limited financial flexibility."
While 21% of Moody's-rated E&P companies will cut their capex by more than 60% in 2015, more than half will reduce spending by at least 40%, and 77% by at least 20%, Reddy said.

[Sean88gt]

Oil down, retail gas down, price at the pumps up...The motherfuck?!

[Denny]

Oil down, retail gas down, price at the pumps up...The motherfuck?!

Spring/summer blend, Foo !!!!

[Broncojohnny]

Oil under $43 in the after hours, I expect some volatility after the Fed statement tomorrow.

[Strychnine]

Quicksilver filed for bankruptcy protection.

Quicksilver Resources to restructure via Chapter 11 filing
3/17/2015

FORT WORTH -- Quicksilver Resources has announced that the company and its U.S. subsidiaries have each filed a voluntary petition under chapter 11 as the first step in a financial restructuring.

Quicksilver's Canadian subsidiaries were not included in the chapter 11 filing and will not be subject to the U.S. requirements.

Quicksilver Resources Canada Inc. ("QRCI") has reached an agreement with its first lien secured lenders regarding a forbearance for a period up to and including June 16, 2015 of any default under QRCI's first lien credit agreement arising due to the chapter 11 filing. The company does not anticipate that U.S. and Canadian operations will be interrupted as a result of the chapter 11 filing.

Glenn Darden, Quicksilver's Chief Executive Officer said, "Quicksilver's strategic marketing process has not produced viable options for asset sales or other alternatives to fully address the company's liquidity and capital structure issues. We believe that chapter 11 provides the flexibility to accomplish an effective restructuring of Quicksilver for its stakeholders."

Quicksilver has filed a series of motions with the Court to ensure the continuation of normal operations, including requesting Court approval to continue paying employee wages and salaries and providing employee benefits without interruption. The Company has also asked for authority to continue honoring royalty obligations, working interest obligations, and other obligations related to oil and gas leases.

[Denny]

And if you see my reflection in the snow covered hills
Well the landslide will bring it down

[Ruffdaddy]

I've made it through a lot of layoffs in my (relatively) short professional career. This is the first time I've been worried. My company has already cut deep, but I don't see this ending soon.

Im not worried about a new gig, but anew gig at my current salary is rare.

[slow99]

Im not worried about a new gig, but anew gig at my current salary is rare.

$$$$$$$$$$$$$$$$$$$$$

[Denny]

$$$$$$$$$$$$$$$$$$$$$

$$$$$$VO

[racrguy]

$$$$$$VO

LOL

Man, this shit is getting tight in the pants. One of my main accounts is Basic Energy and they've cut their orders for parts down tremendously.

[Ruffdaddy]

$$$$$$$$$$$$$$$$$$$$$

Finish him!

$$$$$$VO

Flawless victory!!!!




Yall have a great way of making me forget about the possibility of financial collapse.

[Trip McNeely]

Oil under $43 in the after hours, I expect some volatility after the Fed statement tomorrow.

We've got about $11 to go before we hit 2008 numbers.