Would $7 per gal effect your RV lifestyle?

thomasmnile wrote:
What Reisender posts is right on the mark. When WTI prices fell below $50 a barrel, the endless prattle on financial media revolved around producers in the Bakken region of North Dakota and Permian Basin in Texas faced with the decision to continuing to sell for less than production cost and risk bankruptcy, or leave their oil in the ground and risk bankruptcy. Mostly "independent" producers, but lot of crude nonetheless.

we have some old wells still producing in the bakken field, when oil is below about $50/barrel we get about $25/quarter. when oil prices are up, we get about $100/month. Bakken field is expensive to pump from,
1) LOTS of salt water to get rid of
2) Limited/no pipeline to transport in, so it's usually rail
3) limited refineries that can handle the low sulfur light crude, a few in MT, and ND but not the ones in Texas processing high sulfur heavy crude from Saudi etc.
4) Fracked wells output drops like a rock after a few months, if you can't get your investment back in a few years, your dead, while conventional wells in that area have been producing for 60 years or more and high constant output for a few decades.
5) they have to drill about 10,000ft down then up to a mile out laterally in all four directions, pretty spendy
6) there is limited ability to capture the NG from the wells, again limited pipelines.

so, the bakken is a good field for oil, but only at when oil prices are high enough to recover the investment. And since the wells output drops fast, they have to keep drilling just to keep the total output flat.

In the past the Bakken field producers helped create their own downfall, when volume increased, prices decreased and the had a "make it up on volume" which drove prices down more, and endless death spriral. And I suspect that most of them are afraid that if prices rise way up, to many will drill, prices drop, back to the same old low profit problem.

ferndaleflyer wrote:
Went from energy independent to buying off shore with change of administration and limiting domestic production. We have the oil but current administration has restricted production. Maybe to make electric vehicles look better--maybe.

In my case since I own producing oil & gas leases the increased income from these will cover the increase at the pump. I will still travel.

Yes. The frackers went bankrupt when the oil prices dropped due to increased production from the big 3. Then the pandemic hit and pushed prices down again.

Now that prices are rising the frackers are coming back. Although most have measured increases closer to 10% compared to the previous maximum expansion.

Electric vehicles are reducing demand so they do benefit those that want energy independence and low gasoline prices. The EV effect will never be noticed as it will be spread over decades.

1320Fastback wrote:
Gas prices and Inflation will effect how I vote but not if I travel.

LOL

Lightning55 wrote:
I just filled my Duramax for $150 and it wasn't even full!

Wait, what?

What Reisender posts is right on the mark. When WTI prices fell below $50 a barrel, the endless prattle on financial media revolved around producers in the Bakken region of North Dakota and Permian Basin in Texas faced with the decision to continuing to sell for less than production cost and risk bankruptcy, or leave their oil in the ground and risk bankruptcy. Mostly "independent" producers, but lot of crude nonetheless.

ferndaleflyer wrote:
Went from energy independent to buying off shore with change of administration and limiting domestic production. We have the oil but current administration has restricted production. Maybe to make electric vehicles look better--maybe.

In my case since I own producing oil & gas leases the increased income from these will cover the increase at the pump. I will still travel.

I don’t know. Oil companies have to want to pump it as well.

https://www.bloomberg.com/news/articles/2022-02-18/shale-wildcatters-send-bullish-oil-price-signal-with-output-restraint

Went from energy independent to buying off shore with change of administration and limiting domestic production. We have the oil but current administration has restricted production. Maybe to make electric vehicles look better--maybe.

In my case since I own producing oil & gas leases the increased income from these will cover the increase at the pump. I will still travel.

I live fairly close to all my areas of interest for camping, kayak fishing and hiking so I will still do frequent trips for short stays. Cheers to the New Year.

Gas prices and Inflation will effect how I vote but not if I travel.

Were also on fixed income so yeah high fuel costs will effect distance from home and how often we travel.
Hopefully like the last 5 bucks a gallon it will slow the speeders down like last time we faced 5 bucks a gallon.