Replies to post #273064 on Simply Politics & News (GOV)

[Long2Retire]

https://www.linkedin.com/today/post/article/20141124234334-79760909-eog-plans-to-double-rig-count

Final thoughts EOG Resources has made big strides in the Delaware portion of the Wolfcamp play. By improving its economics, EOG will be able to shield its cash flow from lower commodity prices. Generating triple-digit returns at $80 WTI means EOG doesn’t have to significantly sacrifice production growth for financial stability. If you want to keep reading about EOG Resources’ operations in the Delaware Basin (Second Bone Spring and Leonard shales), take a look at EOG Resources Earnings Review: Delaware Basin Is EOG’s Second Wind.

This quarter highlighted EOG Resources’ bullish growth story. Management’s comments around the current pricing environment points towards EOG being able to do just fine in the face of lower oil prices, another bullish sign.

http://www.roselandoilandgas.com/web/wolfcamp-triple-digit-play/

Even if crude prices fall to $40 a barrel, EOG will still make a 10% ATROR from the Wolfcamp Oil Window.

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I think the Zerohedge article is skewed. There are areas that will be profitable below $70.

[shermann7]

I am not sure that Saudi Arabia is trying to kill shale oil, but it is a very necessary part of our economy. The reserves will be there whether they are active of not, and the price of oil will eventually go back up.

Shermann