Lincoln Posted December 3, 2014 Share Posted December 3, 2014 Just saw on NBC News that some US energy folks feel that OPEC might be low balling the price to try to drive some US producers out of the market. And after that they will have more power. IOW - enjoy it while you can. J D Rockefeller would be proud as that was one of his early tricks in the oil game...... ....and Canadian producers. If oil goes even lower, the tar sands in Alberta won't make money. It's quite expensive to extract/refine the oil there. Quote Link to comment Share on other sites More sharing options...
Lincoln Posted December 3, 2014 Share Posted December 3, 2014 Sorry Lincoln, I've come to trust the sources I read because I've been weeding out crap for 30 years. So, yes, I believe we're going to see SIGNIFICANT reductions in tour fuel costs over the next several years and, well, for many, many more. So, I'm personally convinced it bears discussion. Corps are about to get a pay raise for touring. What impact might those numbers have on the activity? Each corps? I guess time will tell. However, as has been shown in the past, it sometimes takes one additional conflict to start for prices to spike and I think there are a few that are simmering. Quote Link to comment Share on other sites More sharing options...
vanguard87 Posted December 3, 2014 Share Posted December 3, 2014 Most corps would be much better off paying down debt and otherwise shoring up their balance sheets than reducing tour fees or splurging on new equipment. It's not the nice option (cut tour fees) or the sexy option (new stuff), but its the smart option. 5 Quote Link to comment Share on other sites More sharing options...
garfield Posted December 3, 2014 Author Share Posted December 3, 2014 As JimBari hinted, not all drum corps communities are in agreement. Denton, Texas is often host to the Cavaliers' Texas contest but http://www.nbcnews.com/business/energy/texas-towns-fracking-ban-takes-effect-amid-challenges-n259681 I opened this link anticipating that it was a serious report. Quote Link to comment Share on other sites More sharing options...
garfield Posted December 3, 2014 Author Share Posted December 3, 2014 ....and Canadian producers. If oil goes even lower, the tar sands in Alberta won't make money. It's quite expensive to extract/refine the oil there. And the tar sands are the most expensive to produce on the planet, far exceeding the cost to produce OPEC oil. Disruptive technologies are difficult for some. Quote Link to comment Share on other sites More sharing options...
garfield Posted December 3, 2014 Author Share Posted December 3, 2014 (edited) Just saw on NBC News that some US energy folks feel that OPEC might be low balling the price to try to drive some US producers out of the market. And after that they will have more power. IOW - enjoy it while you can. J D Rockefeller would be proud as that was one of his early tricks in the oil game...... PS - PA governor who is a real buddy to the fracking industry lost his election (first gov in decades not to be re-elected) so things might change in one of the big fracking states. Jim, you and I sit on Marcellus, I sit on Utica. If drum corps were smart, they'd figure out a way to serenade the rich land owners who stand to make millions. Oh, and never mind if PA shuts down fracking. Wells in eastern Ohio can easily tap the same reservoir without using horizontal. Bluecoats camp in Morgan county, Ohio? "Hill country"? They'z gonna be bazzillionaires. 'Coats (and others) better pay attention... Edited December 3, 2014 by garfield Quote Link to comment Share on other sites More sharing options...
garfield Posted December 3, 2014 Author Share Posted December 3, 2014 I guess time will tell. However, as has been shown in the past, it sometimes takes one additional conflict to start for prices to spike and I think there are a few that are simmering. I truly hope you see that having our own source insulates us to a great degree from those spikes. But let's keep this pertinent and on topic. Humor us and play along. Corps may have a windfall in tour fuel costs like not seen since 2008 or before. What's the impact? Quote Link to comment Share on other sites More sharing options...
Lincoln Posted December 3, 2014 Share Posted December 3, 2014 I truly hope you see that having our own source insulates us to a great degree from those spikes. But let's keep this pertinent and on topic. Humor us and play along. Corps may have a windfall in tour fuel costs like not seen since 2008 or before. What's the impact? I agree with vanguard87 about paying off debt. Quote Link to comment Share on other sites More sharing options...
JimF-LowBari Posted December 3, 2014 Share Posted December 3, 2014 (edited) We'll see Garfield, but my Western PA history still reminds me that one of the by products of the early oil industry was snake oil.... .... and vasoline.... Seriously and lot more recently (70s?) was how small natural gas wells were supposed to pay a lot of bills for local land owners. Still waiting for a refund on my college tuition from their well. OK on topic... pay off debt and/or nest egg to fall back on if crap hits the fan for any reason. Edited December 3, 2014 by JimF-LowBari Quote Link to comment Share on other sites More sharing options...
ranintothedoor Posted December 3, 2014 Share Posted December 3, 2014 Most corps would be much better off paying down debt and otherwise shoring up their balance sheets than reducing tour fees or splurging on new equipment. It's not the nice option (cut tour fees) or the sexy option (new stuff), but its the smart option. I like this option the best!! Budget like the gas price stays at 2014 levels, then put a bit in savings and the rest on the credit cards! Quote Link to comment Share on other sites More sharing options...
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