Name:	MartiniMan -	Reply
Subject:	Will the fracking business collapse?
Date:	11/29/2014 8:45:36 AM

It's been an interesting few years with the U.S. oil production from fracking now up to about 1 million barrels per day.  It looks like OPEC for now is refusing to reduce production to prop up prices so crude is dropping like a rock.  Will be interesting to see how low OPEC will let prices drop before they curtail production or whether they will accomplish their goal of significantly reducing fracking production in the States. I have heard different numbers but the fracking break even is somewhere around $50 per barrel, although that varies widely with the reserve in question.  

If OPEC a holds firm watch for another blood letting in the oil industry like we saw in the mid to late 1980s. Would be a good time to pick up foreclosures in Houston.  We have lost several excellent employees to our oil company clients for more money, better benefits and no time sheet. The end could be near for them and as I told my leadership, we can't match the salaries or benefits of big oil but they will be back when the price drops......and it always drops. 

Now for those of you ignorant of history and natural resources prognosticators that claimed the price of oil would never go down, and you know who you are, all I can say is I told you so.  Every time we have a spike the chicken littles run around crying that oil will never go down ever again because of demand in China or India or reserves are drying up or whatever.  Trust me, when the economics work human ingenuity will get the 65 to 70 percent of oil locked up in known reserves out of the ground.......aka fracking and whatever the next technology will be to get what is left after fracking, unless hydrocarbons are replaced by some other form of energy that is reliable and cost effective. 

Name:	JTenn -	Reply
Subject:	Will the fracking business collapse?
Date:	11/29/2014 9:21:48 AM

As long as land owners can think they can make a lot of $, fracking and whatever comes next will not stop. There is not enough research as to what effects has on the area, or whatever.

Name:	GoneFishin -	Reply
Subject:	Will the fracking business collapse?
Date:	11/29/2014 11:37:11 AM

I believe that OPEC (.ie Saudi Arabia) will reduce poduction if oil falls below $60. I assume if that occurs the reduced production will keep oil from reaching $50. 

Watching the daily gas price is like waiting for the next best computer at a lower price. Should I fill uptoday or wait a day??? 

Name:	MartiniMan -	Reply
Subject:	Will the fracking business collapse?
Date:	11/29/2014 12:17:24 PM

Why do you think $60 a barrel?  I assume that's still way above their cost to produce.  Maybe they think they can knock back our production significantly at that price.  Will be interesting to watch as some OPEC members are already calling for production reductions. One thing for sure, lower energy prices will be a shot in the arm for the economy that is much needed. However, some of that will be offset by layoffs in the oil industry if prices fall too low. 

Name:	MartiniMan -	Reply
Subject:	Will the fracking business collapse?
Date:	11/29/2014 12:20:40 PM

There has been a lot of research into fracking. You are basically replacing hydrocarbons in the pore space with water. Biggest issue is dealing with the water that returns to the surface with the oil. It is mostly reused to frack with so it is recycled. Does seem to be a correlation with earthquake activity but even that is a good thing as it releases stresses in small amounts versus them building up and resulting in a more significant event. 

Name:	alahusker -	Reply
Subject:	Will the fracking business collapse?
Date:	11/29/2014 9:57:27 PM

you guys give me a fracking headache.  i like gas for my big old truck at $2.50/gal.