Talking down the Rig count and well completions....Faster they drop the shorter the time frame to inevitable Higher prices..
The DOE and it's statistical arm, the EIA has been publishing Weekly,Monthly Energy Info and Quarterly and ANNUAL FORCASTS for about 40 years !!
Your post is factually incorrect. (1) Clean water isn't used,Brackish water is.(2) Yes they can leak but ground water leaks don't rise."Fracking" usually occurs 6000 -10000 feet below any Aquifer containing " CLEAN" (drinking) water
They made major mistakes. Choose to play the spot market rather than doing long term contracts..Their founder JF sold out in high $50's..Now selling assets to their MLP to get cash to pay Dividends.
Too much Bakken Pipeline capacity under construction(about 1mmb/d) which combined with Rail Contracts and slower production growth makes it difficult. This is the 3rd project that I know of that could not get enough volume to go to Cushing or the Gulf Coast.The other 2 failed when WTI was $100..More volume will switch FROM Rail as we move forward because it's $10/bbl more expensive..BTW Wellhead price of Bakken crude moving by Rail is about $45/bbl
Beaumont project is more attractive now than then.Crude price decline has caused U,S,Petroleum product demand to begin to grow again (effect of lower product prices) and volumes,not price, is the key to the Midstream.Also as Shale growth slows or reverses IT will be replaced by Imports.In either case Storage demand on the Gulf Coast will increase......IMO.
It's unfortunately apparent that you don't have to have Oil price exposure to get hammered by a Market that doesn't understand your Business. Energy is Energy I guess.
They only have 2 uncontracted between now and 2017..Several new projects with contracted volumes without firm transport arrangements..Should get favorable terms.
Shell doesn't have any direct investment in Russia and BP'S 19.7% interest in Rostneff would be insignificant within the context of a combined company in my opinion.But I agree it's a long shot although former Shell alumni that I know don't dismiss it .
Focus on Rail Transport which costs the producer $10-$15/bbl depending on Destination....Those guys should be flocking to the Pipes chasing capacity