When working for a particular industry there are always different risks that are taken. When working for a commodity that risk is centered around the product you are working to obtain. I am in the Oilfield, and so my “poison” is oil and natural gas. Here in Western Oklahoma it is predominantly natural Gas with Crude oil being a secondary product.
As you know looking at the price of fuel it has dropped to about half of what it was this time last year. The reason is not because of a benevolent energy company. It is not because the Government has deemed it so. It is because there are two countries that can product insane amounts of that product. You have The Middle East, mainly Saudi Arabia. and the USA. The price were very high for several years because of a group of people, in the US who were told that drilling is bad and that it creates a barren wastelands for miles around each well that is drilled. It chokes the birds out of the air, turns the water in to poison and will kill the earth as we know it.
The other producer was able to control the price as much as they wanted. If they wanted to they would produce more oil and make the price lower or slow down production and raise the price. But the will of the people of the United States was more than the environmentalists desire to keep everyone in the dark. So oil and natural gas production took off. Places like the Dakotas were transformed over night, as people looking for work and overnight success flooded into the areas rich in These natural resources. One of these places is Western Oklahoma and it drew me to the area because of the money and it was close to where I was at one time living.
Work at that time was plentiful and helped many people in the area produce a good living. Yet there is always the problem of the power of that commodity. There was a slow up on 2008 and it shook people for about 6 months soon everything picked back up and people were going again. There were deals that changed and different events that happened so that soon your part of the industry would have other slow ups while others were going great. All of these stops and gos, booms and busts are part of working for a commodity.
This latest adjustment where the price of oil has dropped 50% is because of both countries producing as much as they can. The plus side? $2.00 gas. It is nice to be able to fill up the gas tank with only $30. Then again energy companies do not wan tot spend money on producing and so they hold back and you have companies like Chesapeake who are not going to produce anymore wells for the next year. With out new wells there is not as much need for fac jobs lack of frac jobs sand hauling slows way down. So yes I am experiencing the drawback of working for a commodity.
Am I goign to look somewhere else? I am going to try to hold on just a little longer. See if the estimate of 6 months is correct. with the most of the fly by night companies gone we will be in a good spot to be very busy and ask for higher pay.
But this whole post is to say I have created a new category or oilfield that will talk about what is happening in the oilfield and with this slow up. To those in this field hang in there it has to get better. but who know we may be in the 80’s again.