Dan Eberhart, CEO of Denver-based service company Canary LLC, spoke candidly with Hart Energy’s Jessica Morales about the role oilfield service providers can play as oil and gas producers work to manage the new price environment.
“To the extent [service providers] can get skinnier with our pricing, I think that helps [operators] keep drilling,” he said. “Also, I think us [service companies] just being around on the other side of this is going to be helpful.”
Overall, Eberhart said the industry will get through this, adding: “There will be an oil boom at some point. ... That’s the history of this industry. Service companies being around are what will make that possible for the oil companies on the other side.”
Additionally, Eberhart spoke on his decision to testify against prorations during a Texas Railroad Commission public hearing on April 14. “I think it's a bad idea,” he explained. “I understand where Commissioner Sitton was coming from but I am a big believer the free market will solve and the free market will frankly get there quicker.”
Texas Railroad Commissioners erred on the side of caution April 21, opting at the moment not to force oil companies to collectively cut 20% of their production. Instead, regulators said they will take time to consult legal counsel, get unanswered questions answered and meet with other oil-producing states and countries battling today’s oil market crisis.
Hess, which had about 1,770 employees as of Dec. 31, dismissed about 165 full-time workers this week and terminated an undisclosed number of contract employees, according to people familiar with the matter.
The Harold Hamm-led American Gulfcoast Select is the first new crude benchmark since 2010, designed to more accurately price U.S. liquids being exported by tanker. Will it provide the value uplift as hoped?
Petroleum Independent & Exploration has identified the first of many workover/recompletion programs to potentially uplift field production in Empire Petroleum’s Fort Trinidad Field asset in Houston and Madison counties, Texas.