The ROV work boom is drawing to a close!

[James McLauchlan]

Look where oil is today, look where it’s headed.

The boom we have seen of late is drawing to a close. You can try to convince yourself otherwise, but you’d be a bit like one of those in a recent UK SKY TV ad, where they have their heads buried the ground ignoring all the signs.

If have any plans that involve great personal expenditure I’d reconsider and put the money away.. in €Euros maybe. With the value of the pound dropping through the floor the UK will probably be switching to the Euro soon anyway, so no worries about the exchange rate when swapping it back later 🙂

The culling of jobs will hit all and sundry so for those of you on contract don’t think that you are sitting pretty. Check your contract. How little notice can they give you?

Doom and gloom merchant maybe? I think not. We’ve been here so many times before. The signs are no different than in the past, except this time we have a very noticeable downturn in the world economy to help the bust bit along.

best regards
James Mc

[mind-when-this-was-fields]

Well i think a blind man could see the state the worlds in that the oil industry would be affected, but the amount a price of oil has declined in such a short time means there may be some lean times ahead.
You can guarantee there will be a oil production cut in December from OPEC as they need the price of oil to be around $70-$80 per barrel…not $45.
Lets hope it has an affect but it doesn’t look too good just now.
However, the oil companies have had it good for a few years and have surplus billions so construction work might slow but there is other avenues to keep the wolf from the door.
Not all dooom and glooooooooooom
Theres always west africa:-)))))
Funny thing is when oil companies are making huge profits you hear from the press about taxing them more and more.
Now the banks are up sh*t creek without a paddle they get(our) money thrown at them to bail them out.
So I guess the government is going to need those oil company taxes even more now!!!!!!!

[Savante]

I hope those who tried to make a fortune last year on 12 month futures contracts are going to have a good xmas ! The collapse in stock prices is their just desserts and I hope they are hurting now!! 😈

[James McLauchlan]

Assuming they went long on the contracts. If they shorted then they will have a stunning Christmas.

[Savante]

had another thought as soon as I wrote that….

we should probably toast them anyway, they’ve kept oil high and that’s always been good for aberdeen !! 😆

[Theblackfingernail]

Just think of all the decomishioning work when all these old money spinner in the north sea start to become unprofitable ( unsafe ) even for the smaller companies to run 🙄

seasons greeting to you all

The finger

[Scott Beveridge]

Hello all and sundry,

To some, the industry may be getting quiet. It is. To the new guys whom have been in the industry for a relatively short time (5 yrs. or less) be prepared….!! As in my previous posts, I’ve stated that this industry has been cyclic. This time, as James rightly states, it is going to be accelerated by the large farqups by the financial whiz kids MAJOR mistakes exacerbated with the decrease of the black gold barrel prices (I thought it looked like a very large bubble… glad I sold all my shares 3 + + months ago!!!!).

Yes, Finger, there will always be plenty of de-commisioning and plenty of cleanups after typhoons and hurricanes. Also, the insp. jobs….

[chen]

The problem is that it’s not necessarily the new guys who will go. When the bean counters get involved they look at the overall cost of manning so there will be more and more of the crews with 1 experienced (and expensive guy) surrounded by cheap newbies.

Give us a call when doing your own laundry seems not so bad after all.

[Scott Beveridge]

Chen,

As you’re familiar with the region I’m in you’ll see (and admit) that it’s been that way for years (re: one experienced guy (High $$$) & one or 2 newbies). Don’t approve it but can handle it….

Sentiments seem to be US $70 / bbl… Realistic price I think.

[Author]

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