ie in 4 to 6 weeks of his Jan 12 call made public - is he going to be right - his reputation and Goldman Sachs is on the line now
if oil bottom is indeed confirmed , history has repeated itself every time for a V shape recovery
and then the madness of M&A starts , as buy them when they are cheap and do not develop from scratch will be big Oils only strategy to succeed
BP needs to develop an onshore oil and gas unit - they didn't hire Lawler from SD to have him sit and do nothing - only way to get to that goal is buy and explore and develop IMHO
it makes perfect sense to execute on that kind of a strategy to buy an onshore unit already developed vs exploring and building one now which is cost prohibitive when things are cost prohibitive you buy when things are still cheap before the V shaped recovery in oil
David Lawler previous COO of SD is now BPs CEO of onshore OIl &GAS unit if Lawler is to expand BP presence in onshore SD then becomes BPs target
your theory on BP is actually plausible since Lawler moved from SD to be the CEO of BP onshore oil and natural gas Division:
BP plc has named David Lawler, now COO of onshore operator SandRidge Energy Inc., as the CEO for the soon-to-be separate Lower 48 onshore operations. Lawler, coincidentally, is the younger brother of Chesapeake Energy Corp. CEO Doug Lawler.
David Lawler, 46, is to begin Sept. 15 and would report to BP's Upstream Segment CEO Lamar McKay. Lawler would take over the new unit, which is expected to have a new name, after BP formally establishes the onshore oil and natural gas business in the continental United States .
be water , as the current shifts don't fight the uptrend
the turtle always win, be water be in SD for the long rebound trend back up
smart money continues to move back into SD - the herd mentality can change swiftly up and the momentum will be hard to stop
be patient the profit taking will be brief and the uptrend will continue, the current has changed up and the new course has been set
the unsustainability of low priced oil was a given,the V shaped recovery of oil to $60s is a given, how it will get to $80 a barrel and when it will get to $80 is the million dollar question , but it will get there , if not this year certainly by next year
Saudi Arabia and Russia have had numerous discussions over the past several months that have yet to produce a significant breakthrough, according to American and Saudi officials. It is unclear how explicitly Saudi officials have linked oil to the issue of Syria during the talks, but Saudi officials say — and they have told the United States — that they think they have some leverage over Mr. Putin because of their ability to reduce the supply of oil and possibly drive up prices.
“If oil can serve to bring peace in Syria, I don’t see how Saudi Arabia would back away from trying to reach a deal,” a Saudi diplomat said. An array of diplomatic, intelligence and political officials from the United States and the Middle East spoke on the condition of anonymity to adhere to protocols of diplomacy.
history will show this was the shortest oil crash & fastest recovery ever, demand never went away. Oil Sands of Canada will go away 1st, then the very small marginal shale players, while bigger more established players like SD will drive costs down further and grow EBITA and gain market share as oil sands and smaller shale players disappear , when oil rebounds and sustains the oil recovery as it will, people will say "what oil surplus"
and SD surprisingly will come out of this better then before amidst less competition and higher oil prices with lower costs and share prices will indeed surge
sometimes what appears to be a bad thing becomes the turnaround turning point for SD who will be way more then just a marginal player soon
oil prices will stage a major sustainable recovery this year and smart money is at SD's door already and will be ready to take the plunge soon as the short term panic turns into the buying opportunity that turnaround hedge funds have been quietly waiting for
when the current changes and gains force it will be too late to change directions and a lot of players will be caught on the wrong direction of the trade back up and be swept away
the current upstream is starting to build in another month or two - the upward force could become significant
wall street will be ahead of the game - this is a very tactical play that smart investors will be rewarded handsomely, don't be surprised with SD gain in both oil and natural gas production and way higher earnings in 4th qtr to be reported - IMHO my estimates have concluded this is a very likely scenario
and SD earnings surprise beat q4 IMHO position yourself for the highly likely earnings beat
they are true shrewd business people, they forced Non-Opec world oil producers to cut oil production first and now they will be planning to target the time to cut OPEC production next as they watch the rig counts drop further - to send world oil prices higher again when they believe cap-ex and rig counts are dropped enough - we are getting closer and closer to that date which is IMHO March and no later then June this year.
oil will rebound significantly its not a matter of if this year but when this year - and it will rebound way faster then anyone believed it could because of the panic up syndrome of oil futures traders
people that have money believe they can buy loyalty, but that never lasts very long and it cant because eventually the money runs out or people that want the same they have will invade to get it
the Saudi's are in a catch 22, they have created enemies all around them and inside the empire
if they don't start playing politics soon and make the right decisions , it will be like the fall of the Roman Empire in the middle east
and if that happens oil WILL be over $120 again
Saudi Arabia will have to secretly lower their production Iran is at Yemen and Saudi Arabia's doorstep
you will not see the Saudis mumbling about how much lower oil prices can go anymore
although Obama and the Saudis are behind the lower oil prices to try to topple Iran and Russia thru oil they can see that as far as Iran is concerned they only have put Saudi Arabia in Peril and Russia is so desperate they are willing to start World War III
oil rigs are way down and with instability in Yemen at crisis stage as well as Iraq oil at ISIS doorsteps - oil will be well on its way to $80 by year end
it will be two steps up one step down rebound process, we will soon see significant rebound sustainability up process forwards very soon