coffeeguyzz wrote:Whiting just sold off off their holdings on the Fort Berthold reservation in efforts to keep afloat.
Despite a lot of 'waiting for the end' for these operators, assets holding billions of barrels of oil, hundreds of trillions of cubic feet of gas, still have value under the right conditions.
Defining "right" seems to be an ongoing exercise.
Absolutely right. Speaking of energy assets generally:
At the end of the day, the assets will still be there. When and if the technology and pricing structure looks like a "good" play for ECONOMIC recovery -- then stronger financial hands will acquire the assets (or be patiently holding the assets), and then those assets will be produced. (Assuming regulations permit. But if they're needed badly enough, regulations almost certainly can be compromised on to allow production).
The idea that a single bust cycle in a boom and bust (volatile) industry is the end of the world because some (or many) marginal players may go bankrupt is beyond silly.
Apparently with the world flush with oil, the trend for viable green energy and viable batteries coming on strong, economic catastrophe is the "play of the day" for the short term hard crash doomer crowd to get attention.