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 Bulls Eye
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Location: Oklahoma | It is a very scary unknown. My husband got out of the oil field, but is a heavy duty mechanic and much of his work is for oil companies' trucks. There have been orders of new trucks cancelled, etc. I'm thankful he has a job, but it is the domino effect. I would gladly pay more for a tank of fuel if it meant other families could keep employment. |
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 Veteran
Posts: 239
| cheryl makofka - 2015-01-26 12:15 AM rodeomom3 - 2015-01-23 7:43 PM Vickie - 2015-01-23 7:34 PM I am sorry for those of you whose jobs are affected, but the rest of us are so relieved. The drop in diesel prices is a huge help. I am sure that there are many barrel racers who can go to a run this weekend that they couldn't afford a few months ago. While this is true, the drop in oil prices and loss of jobs is going to have a dominoe effect on our economy, all the satellite industries are going to be cutting jobs also. Many times this has led to another economic crash. This actually effects barrel racing in a negative way, you may be able to afford to go to the barrel race, but due to the oil prices plummeting and the trickle down effect, barrel races will be cancelled Due to lack of sponsorship This has already happened in Alberta a $22,000+ jackpot has been cancelled for 2015
The big reining "sister show" was also cancelled, most of the sponsors are the same as for the barrel race.
As well - as wages start going down (This is probably more true for our province as most of our economy depends on oil and gas.), people start spending less on hobbies like barrel racing. Despite fuel being cheaper, maintaining horses still costs $$$. Entries may drop yet. Less entries, less payout. |
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 A very grounded girl
Posts: 5052
Location: Moving soon..... | I've working in the industry since 2008. I went through the slow market back in 2009-10. It took about 18 months to recover back then. They are saying that probably the same this time. The company that I work for is worldwide. Our location laid off 12 people (out of 140). I still see rigs working around here, but the smaller companies need for oil to be at least $60 per barrel to make any money. It's going to recover, just going to take time. |
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  Fact Checker
Posts: 16575
Location: Displaced Iowegian | I just have an honest question......how did all of the people in the "oil field" industry survive when gas and diesel (both) were below $2/gallon ???? |
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 Expert
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| Karol - 2015-01-26 12:12 PM
I've working in the industry since 2008. I went through the slow market back in 2009-10. It took about 18 months to recover back then. They are saying that probably the same this time. The company that I work for is worldwide.  Our location laid off 12 people (out of 140). I still see rigs working around here, but the smaller companies need for oil to be at least $60 per barrel to make any money.  It's going to recover, just going to take time.Â
More than likely they are workover rigs, which will still be able to run, but I bet you will not find very many(if at all) drilling rigs.
Edited by FlyingJT 2015-01-26 12:29 PM
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Rad Dork
Posts: 5218
Location: Oklahoma | Just curious.... what other big players in this (horse) industry are closely related to the oilfield like Jud Little and the Schillers?? |
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 Semper Fi
Location: North Texas | As far as the 'why' for this current down turn...........Saudia Arabia is attempting to crush the U.S. Oil Field by releasing a surplus of its stored oil into the market. Even with their recent change in Leadership last week, this still holds true. It is a basic principle of Economics. Supply and Demand, the supply is currently greater than the demand, so therefore prices are lower. However, from what I understand many OF Outfits are much better position this time around than previous downturns.
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 Jr. Detective
Location: Beggs, OK | Vickie - 2015-01-23 7:34 PM I am sorry for those of you whose jobs are affected, but the rest of us are so relieved. The drop in diesel prices is a huge help. I am sure that there are many barrel racers who can go to a run this weekend that they couldn't afford a few months ago.
Perfect example of the simple minded thinking that you see on FB and everywhere else on a daily basis. This affects you I promise.
Glad that barrel racers can go make a run, when there are people who will be trying to pay for insurance and groceries for their families.
Those "big oil" companies that everyone wants to slam put billions of dollars into the economy...but, when they aren't making money, they sure won't be spending any. Good luck getting donations out of people who are unemployed. |
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Semper Fi
Location: North Texas | rachellyn80 - 2015-01-26 12:47 PM Vickie - 2015-01-23 7:34 PM I am sorry for those of you whose jobs are affected, but the rest of us are so relieved. The drop in diesel prices is a huge help. I am sure that there are many barrel racers who can go to a run this weekend that they couldn't afford a few months ago. Perfect example of the simple minded thinking that you see on FB and everywhere else on a daily basis. This affects you I promise.
Glad that barrel racers can go make a run, when there are people who will be trying to pay for insurance and groceries for their families.
Those "big oil" companies that everyone wants to slam put billions of dollars into the economy...but, when they aren't making money, they sure won't be spending any. Good luck getting donations out of people who are unemployed.
RL80,
You have just illustrated the 'double edged sword' to this equation. Lower oil prices on one side of the sword are good, however there is always 'the other side'. Which in this case means a cascading effect.
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 Half-Eaten Cookies
Posts: 2076
Location: Fort Worth / Springtown | NJJ - 2015-01-26 12:23 PM I just have an honest question......how did all of the people in the "oil field" industry survive when gas and diesel (both) were below $2/gallon ????
I don't have an answer, but in the last few years, it has been obvious in my area, who does work in the oil field -- you see outbuildings pop up on their property to hold their growing collection of ATV's, boats, big RV's, etc.
I hate for hard times to fall on ANYONE, but I sure am glad to see an extra $25 -$30 in my pocket when I fill up, because I've been pinching pennies for 3-4 years - and expensive hay, groceries, services,etc - all because they say gas prices were so high. 
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Jr. Detective
Location: Beggs, OK | NJJ - 2015-01-26 12:23 PM I just have an honest question......how did all of the people in the "oil field" industry survive when gas and diesel (both) were below $2/gallon ????
It's not the price of fuel that you look at. It's the price of NG and the price of Oil.
The area I grew up in was primarily dry gas, not oil. When natural gas was high drilling in our area was booming. It all fluctuates and is susceptible to inflation. How many years ago was that? I honestly don't remember. It's been extremely volatile since 9/11. Typically you're looking at a 5/6 year cycle. Things will pick back up in the next 6 months and then hit another boom....then start sliding back down. It's the hard crashes that hurt the working people of the industry the most.
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Expert
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| txbredbr - 2015-01-26 12:50 PM
NJJ - 2015-01-26 12:23 PM I just have an honest question......how did all of the people in the "oil field" industry survive when gas and diesel (both) were below $2/gallon ????Â
I don't have an answer, but in the last few years, it has been obvious in my area, who does work in the oil field -- you see outbuildings pop up on their property to hold their growing collection of ATV's, boats, big RV's, etc.
I hate for hard times to fall on ANYONE, but I sure am glad to see an extra $25 -$30 in my pocket when I fill up, because I've been pinching pennies for 3-4 years - and expensive hay, groceries, services,etc - all because they say gas prices were so high.   Â
you're not going to see the food prices fall just because the gas prices have fallen... that's wish full thinking!! Beef is up and is predicted to rise 5-6%, pork 2-3%, dairy 2.5-3.5%. so while your saving at the pump you better plan to dump that money into your grocery bill and you can't blame the high prices at the grocery store on the oil & gas this year!! |
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Fact Checker
Posts: 16575
Location: Displaced Iowegian | rachellyn80 - 2015-01-26 12:55 PM NJJ - 2015-01-26 12:23 PM I just have an honest question......how did all of the people in the "oil field" industry survive when gas and diesel (both) were below $2/gallon ???? It's not the price of fuel that you look at. It's the price of NG and the price of Oil.
The area I grew up in was primarily dry gas, not oil. When natural gas was high drilling in our area was booming. It all fluctuates and is susceptible to inflation. How many years ago was that? I honestly don't remember. It's been extremely volatile since 9/11. Typically you're looking at a 5/6 year cycle. Things will pick back up in the next 6 months and then hit another boom....then start sliding back down. It's the hard crashes that hurt the working people of the industry the most.
Thank you for your explanation. However, when the gas and diesel were below $2 that price per barrel had to be low too......I, like FH, thinks that it is truly a double edged sword......lower fuel prices mean lower transportion prices for goods delivered; lower prices on the goods means more money in the pocket of the every day consumer means more purchases, which puts more profits into those industries and they can hire...... and the world goes around.
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Half-Eaten Cookies
Posts: 2076
Location: Fort Worth / Springtown | FlyingJT - 2015-01-26 1:00 PM txbredbr - 2015-01-26 12:50 PM NJJ - 2015-01-26 12:23 PM I just have an honest question......how did all of the people in the "oil field" industry survive when gas and diesel (both) were below $2/gallon ???? I don't have an answer, but in the last few years, it has been obvious in my area, who does work in the oil field -- you see outbuildings pop up on their property to hold their growing collection of ATV's, boats, big RV's, etc.
I hate for hard times to fall on ANYONE, but I sure am glad to see an extra $25 -$30 in my pocket when I fill up, because I've been pinching pennies for 3-4 years - and expensive hay, groceries, services,etc - all because they say gas prices were so high. you're not going to see the food prices fall just because the gas prices have fallen... that's wish full thinking!! Beef is up and is predicted to rise 5-6%, pork 2-3%, dairy 2.5-3.5%. so while your saving at the pump you better plan to dump that money into your grocery bill and you can't blame the high prices at the grocery store on the oil & gas this year!!
Edited by txbredbr 2015-01-26 1:16 PM
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Fact Checker
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Location: Displaced Iowegian | FlyingJT - 2015-01-26 1:00 PM txbredbr - 2015-01-26 12:50 PM NJJ - 2015-01-26 12:23 PM I just have an honest question......how did all of the people in the "oil field" industry survive when gas and diesel (both) were below $2/gallon ???? I don't have an answer, but in the last few years, it has been obvious in my area, who does work in the oil field -- you see outbuildings pop up on their property to hold their growing collection of ATV's, boats, big RV's, etc.
I hate for hard times to fall on ANYONE, but I sure am glad to see an extra $25 -$30 in my pocket when I fill up, because I've been pinching pennies for 3-4 years - and expensive hay, groceries, services,etc - all because they say gas prices were so high.
you're not going to see the food prices fall just because the gas prices have fallen... that's wish full thinking!! Beef is up and is predicted to rise 5-6%, pork 2-3%, dairy 2.5-3.5%. so while your saving at the pump you better plan to dump that money into your grocery bill and you can't blame the high prices at the grocery store on the oil & gas this year!!
I think we are comparing apples to oranges here....beef price rose and are rising due to the sell off in the droughts....pork prices are rising because of a virus that killed 7 million pigs....."transportation" cost does have an effect on the price of "goods" (not just food) |
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 Texas Tenderheart
Posts: 6715
Location: Red Raiderland | It will be interesting to see what the Saudis have in store to plummet the price of a barrel of oil. Western production of oil could sustain maybe $35/barrel but anywhere below that it is just not cost prohibitive.
And for those that have been in the industry long enough it is a fact of life that it is very cyclical so it would be very wise to save, save, save when times are good so you can maintain when the times dip into those valleys like it will. |
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Expert
Posts: 1857
| NJJ - 2015-01-26 1:14 PM
FlyingJT - 2015-01-26 1:00 PM txbredbr - 2015-01-26 12:50 PM NJJ - 2015-01-26 12:23 PM I just have an honest question......how did all of the people in the "oil field" industry survive when gas and diesel (both) were below $2/gallon ???? I don't have an answer, but in the last few years, it has been obvious in my area, who does work in the oil field -- you see outbuildings pop up on their property to hold their growing collection of ATV's, boats, big RV's, etc.
I hate for hard times to fall on ANYONE, but I sure am glad to see an extra $25 -$30 in my pocket when I fill up, because I've been pinching pennies for 3-4 years - and expensive hay, groceries, services,etc - all because they say gas prices were so high.  Â
 you're not going to see the food prices fall just because the gas prices have fallen... that's wish full thinking!! Beef is up and is predicted to rise 5-6%, pork 2-3%, dairy 2.5-3.5%. so while your saving at the pump you better plan to dump that money into your grocery bill and you can't blame the high prices at the grocery store on the oil & gas this year!!
I'm not saying they don't, but i'm not expecting that this recent drop in oil prices is going to affect our cost of "goods" for the very reason you are stating. (I am aware not just food)
Edited by FlyingJT 2015-01-26 1:30 PM
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Expert
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| Any one near the gas line explosion in Mississippi? |
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Semper Fi
Location: North Texas | FlyingJT - 2015-01-26 1:23 PM Any one near the gas line explosion in Mississippi?
Elaborate please. |
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Expert
Posts: 1857
| foundation horse - 2015-01-26 1:32 PM
FlyingJT - 2015-01-26 1:23 PM Any one near the gas line explosion in Mississippi?
Elaborate please.
There was a natural gas line explosion just before noon in Smith county, Mississippi. What I heard was no injuries reported at this time. |
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