Drilling bust | Arkansas Blog

Saturday, March 14, 2009

Drilling bust

Posted By on Sat, Mar 14, 2009 at 4:16 PM

The big oil-and-gas exploration boom is over for the time being on account of slumping prices. But busts have their upside.

“The big bonanza is over,” said Jay Ewing, the completion and construction manager for Devon Energy in the Barnett Shale field here, where so far this year his company has brought its rig count from 35 to 8. “Everyone is really shocked how fast everything has turned.”

Energy experts and company executives warn that oil and gas companies now cutting back on investments will be unable to respond quickly to a future economic recovery. John Richels, Devon’s president, said that if the slump lasted two years, it could then take 18 to 24 months for companies to reassemble rig crews.

That means a glut could rapidly turn to scarcity, sending energy prices soaring again. Already, experts are predicting that lower domestic gas production by the end of the year will require increased imports of liquefied natural gas from places like Qatar.

From the ArkTimes store

Favorite

Comments (9)

Showing 1-9 of 9

Add a comment

 
Subscribe to this thread:
Showing 1-9 of 9

Add a comment

More by Max Brantley

  • Anybody around?

    The Thanksgiving open line.
    • Nov 23, 2017
  • Turkeys rescued in Yellville enjoy their Thanksgiving

    Farm Sanctuary, an animal protection organization, sends word that four turkeys rescued from the Yellville Turkey Trot after the annual drops from buildings and an airplane will enjoy Thanksgiving in friendlier places
    • Nov 23, 2017
  • The New Orleans charter school 'miracle'? It's a ruse

    The New Orleans Tribune has a devastating piece of editorial commentary, based on local reporting and test scores, that lays bare the depiction of the charterization of New Orleans public schools 12 years ago as a miracle of the "reform" movement.
    • Nov 23, 2017
  • More »

Readers also liked…

  • Judge anticipates punishment of lawyers in Fort Smith class action case

    Federal Judge P.K. Holmes of Fort Smith issued a 32-page ruling yesterday indicating he contemplates punishment of 16 lawyers who moved a class action lawsuit against an insurance company out of his court to a state court in Polk County after a settlement had been worked out.
    • Apr 15, 2016
  • Arkansas Supreme Court refuses to rehear invalidation of marijuana act

    The Arkansas Supreme Court today denied a request to rehear its decision invalidating Issue 7, the medical marijuana initiated act.
    • Nov 3, 2016
  • Kenneth Starr: A comment from Betsey Wright

    Betsey Wright, former President Bill Clinton's chief of staff when he was Arkansas governor, responds bitterly to a New York Times article today quoting Whitewater Prosecutor Kenneth Starr's warm words about Clinton. She can't forget the lives Starr ruined in Arkansas.
    • May 24, 2016

Most Recent Comments

Blogroll

 

© 2017 Arkansas Times | 201 East Markham, Suite 200, Little Rock, AR 72201
Powered by Foundation