USA Shale (Texas) Hitting Crisis

[Economy 52,861]

https://oilprice.com/Energy/Crude-Oil/A-Crisis-At-The-Heart-Of-US-Shale.html

 

While some shale fields like the Bakken, Eagle Ford and Marcellus will not grow significantly for much longer due to oil depletion in the sweet spots forcing companies to move into less productive areas...

 

The most oil rich shale field the Permian in Texas still has plenty of room to grow for at least a few more years (production currently at 3.2M barrels a day)

 

However The Permian in which the US is counting on for the bulk of US production growth is hitting bottle necks due to rapid growth that may force production growth to slow down to a much slower pace within the next few months because infrastructure and services has not kept up with the growth. Reasons include:

 

- shortage of frac sand

- pipelines are now full and until new ones come online more oil will be moved by trucks which is expensive

- shortages of trucks

- shortage of gridlocked roads

- labor shortage in oil industry

- shortage of equipment such as Oil Rig Drills

 

The cost of production of US shale is expected to rise 15% this year alone as the cost of services spike.

[Economy 52,861]

@Woolfsmck you need to stop growing so fast. I'm sure energy companies running away from investing in Canada with our $24/barrel discounts and redeploying it in US shale is helping you guys 

 

Your a truck driver right? Does the kind of truck you drive have the capacity to carry oil or is it just a merchandise truck? Cuz looks like a lot of business in Texas now