Oklahoma business energy news

[Bellaboo]

Ou48a,

Tom Ward and George Kaiser disagree with you.

FWIW, Tom Ward doesn't drill in Oklahoma....

[ou48A]

Ou48a,

Tom Ward and George Kaiser disagree with you.

It’s just not that simple……What you’re not recognizing is that people such as Ward and Kiser along with others have their own agenda’s… Slowing down a drilling boom and lowering leasing prices could benefit some of these people…. Since there are so many other more lucrative drilling locations in the USA right now, some may not have the available capital to drill in Oklahoma right now….. but they might in a few years…. People in this position and there are plenty of people and companies in that boat right now would be for anything that would slow down our states drilling boom.... for now.

The people with the capitol to drill in our state want to maximize their own opportunities and since it’s such a thin margin of difference taxing at 7% would send many of our rigs and their employees to other state who have better geology….. I don’t think we can afford to see that happen.

[onthestrip]

It’s just not that simple……What you’re not recognizing is that people such as Ward and Kiser along with others have their own agenda’s… Slowing down a drilling boom and lowering leasing prices could benefit some of these people…. Since there are so many other more lucrative drilling locations in the USA right now, some may not have the available capital to drill in Oklahoma right now….. but they might in a few years…. People in this position and there are plenty of people and companies in that boat right now would be for anything that would slow down our states drilling boom.... for now.

The people with the capitol to drill in our state want to maximize their own opportunities and since it’s such a thin margin of difference taxing at 7% would send many of our rigs and their employees to other state who have better geology….. I don’t think we can afford to see that happen.

And Hamm, Lawler, and Nichols dont have an agenda either? Its easy to see Kaisers agenda, he would like to invest in our state, education and health mainly. How crazy of him, huh?

[Bellaboo]

And Hamm, Lawler, and Nichols dont have an agenda either? Its easy to see Kaisers agenda, he would like to invest in our state, education and health mainly. How crazy of him, huh?

He's got plenty of money, not sure what's stopping him ?

[gopokes88]

First, I realize that there are variables in drilling in different states. However, that loses a bit of importance when the same people that are telling the governor that "we dont have good rock" turn around and tell outside investors that certain new plays are stong and look as good or even favorable to ND plays.

Also, its hard to call this a tax increase. It was always 7% until they reduced it temporarily for horizontal drilling. It was set to go back to 7%. So they decided to permanently set it at 2%. How is that a big tax increase? Fact is it isnt, a huge tax decrease only became slightly less of a tax decrease.

I hope those drillers can spend some of their savings on public education.

They have the potential to be bigger then ND not the performance. That's a massive difference.

I have the potential in my lifetime to make a billion dollars.
Harold Hamm has had the performance in his lifetime to make a billion.

By your logic I should already be in Hamm's tax bracket.

They were paying 1% now they are going to pay 2%. Is that not a tax increase?

There is no link between public education spending and performance. Saying we should spend more on schools is an intellectually dishonest position that sounds great, but is nothing more then doubling down on an already broken theory. It's things politicians say to get votes and stay in power without having to actually address a problem. Just throw more money that isn't yours at something and hope it works.
http://object.cato.org/sites/cato.or.../pdf/pa746.pdf

https://www.youtube.com/watch?v=RybNI0KB1bg

Oh don't miss the nugget in that report that say private schools are able to educate a student at 66% the cost of public. Go figure. So shocked.

[ou48A]

He's got plenty of money, not sure what's stopping him ?

People might think that, but the reality is that nobody has enough money for everything.

The oil industry is an extremely capital intensive industry where smart people don’t over expose themselves to the boom and bust cycles…And like anywhere else these people and their money seek the highest rates of return on their money and at acceptable risk.

[onthestrip]

They have the potential to be bigger then ND not the performance. That's a massive difference.

I have the potential in my lifetime to make a billion dollars.
Harold Hamm has had the performance in his lifetime to make a billion.

By your logic I should already be in Hamm's tax bracket.

They were paying 1% now they are going to pay 2%. Is that not a tax increase?

There is no link between public education spending and performance. Saying we should spend more on schools is an intellectually dishonest position that sounds great, but is nothing more then doubling down on an already broken theory. It's things politicians say to get votes and stay in power without having to actually address a problem. Just throw more money that isn't yours at something and hope it works.
http://object.cato.org/sites/cato.or.../pdf/pa746.pdf

https://www.youtube.com/watch?v=RybNI0KB1bg

Oh don't miss the nugget in that report that say private schools are able to educate a student at 66% the cost of public. Go figure. So shocked.

The potential? Or is it more of a certainty? Just read that CLR plans to spend hundreds of millions on their SCOOP play. Doubt they would do that if they didnt know with pretty good certainty that it was going to be fruitful. Here is a bit more info about it, taken from an OKPolicy.org article. These CEOs clearly show they cant be trusted with what they were saying to the state.

This argument is a red herring, because these same energy companies say something very different when talking to their investors. They calculate a “rate of return” for wells in different areas, which incorporates all issues of drilling cost and profitability. Continental, for example, shows expected rates of return of 74 percent in the SCOOP oil play in Southern Oklahoma, compared to 47 percent for the Bakken wells in North Dakota. Newfield shows Oklahoma wells generating rates of return over 50 percent compared to 30 – 50 percent for plays in North Dakota (Bakken and Three Forks).

Regarding schools, there are many variables that go into performance. But you can rest assure that if you are at the bottom of funding, you will be at or near the bottom in performance. Which is what Oklahoma is on both counts. Large class sizes and making college more expensive (meaning fewer college grads) are two giant negatives that come from under-funding schools.

[PhiAlpha]

The potential? Or is it more of a certainty? Just read that CLR plans to spend hundreds of millions on their SCOOP play. Doubt they would do that if they didnt know with pretty good certainty that it was going to be fruitful. Here is a bit more info about it, taken from an OKPolicy.org article. These CEOs clearly show they cant be trusted with what they were saying to the state.


Regarding schools, there are many variables that go into performance. But you can rest assure that if you are at the bottom of funding, you will be at or near the bottom in performance. Which is what Oklahoma is on both counts. Large class sizes and making college more expensive (meaning fewer college grads) are two giant negatives that come from under-funding schools.

A well's performance is never a certainty until it's producing and a play's performance is not a certainty until many successful wells have been drilled...no matter what anyone tells the papers or investors about it. I've been a part of several wells that looked great on paper in several plays that looked great but didn't preform any where near as well as our analysis predicted they would. Look no further than the Mississippi Lime play in Kansas, look back to how much everyone, especially Sandridge, CHK, Apache, and Shell, was hyping it back in 2010-2011 with a few good results and some geology to back it up...didn't work out anywhere near as well as it was supposed to. Companies spent millions leasing up the majority of southern and western Kansas and allocated many more millions to drill it and build infrastructure there. Now there are very few companies there actively pursuing the Miss in Kansas and Sandridge, the biggest cheerleader for the Kansas Extension of the Miss, let the vast majority of their acreage expire. Potential is nothing more than just that without repeatable results.

[Bellaboo]

People might think that, but the reality is that nobody has enough money for everything.

The oil industry is an extremely capital intensive industry where smart people don’t over expose themselves to the boom and bust cycles…And like anywhere else these people and their money seek the highest rates of return on their money and at acceptable risk.

I think George Kaiser makes more from Bank of Oklahoma than Kaiser Francis....not for sure about that, but i'd think so. Nothing is stopping him from his philanthropy though, and i know he does give a lot.

[ou48A]

The potential? Or is it more of a certainty? Just read that CLR plans to spend hundreds of millions on their SCOOP play. Doubt they would do that if they didnt know with pretty good certainty that it was going to be fruitful. .

CLR has a different economic equation than do many others because they understood the SCOOP opportunity well before most others. They capitalized on this opportunity with generally much cheaper acreage positions that are a very significant part of doing business….. This is when local knowledge and experience really helps and it’s why drillers stay so quite about their prospects…. It’s part of why CLR’s rate of return on its wells is probably the best in this play.
As a small CLR stock owner since 2008 I know they have a great track record on developing their prospects.

[ou48A]

I think George Kaiser makes more from Bank of Oklahoma than Kaiser Francis....not for sure about that, but i'd think so. Nothing is stopping him from his philanthropy though, and i know he does give a lot.

I believe you are correct

[bradh]

onthestrip, I know it's not the type of education investment you are looking for since it's geared towards educating youth on the science and technogy behind the industry itself, but check out what the OERB does for education. I have heard straight from many teacher's mouths that some of they work they do for science classrooms K-12 in Oklahoma is greatly appreciated.

[Plutonic Panda]

Oklahoma hits Bureau of Economic Analysis list as one of fastest growing economies in nation | News OK

[ou48A]

This really is a good DOK article and update on the ongoing OIL boom in Oklahoma that’s already pumped billions into the state’s economy and given the tax base a huge boost. Virtually all Oklahoma’s are helped by this boom……. It’s good to see the DOK covering the topic like this.

Horizontal drilling fuels Oklahoma's latest oil boom | News OK

[ou48A]

This will help and it can’t be blocked.

http://finance.yahoo.com/news/enterp...163223544.html

BISMARCK, North Dakota, June 24 (Reuters) - Enterprise Products Partners LP said on Tuesday it would build a 1,200-mile pipeline from North Dakota's Bakken oil fields to Cushing, Oklahoma.

The pipeline, Enterprise's first in North Dakota, would help transport more of the state's crude oil to Cushing, a key gathering and distribution hub for oil produced around the United States.

The pipeline would originate in Stanley, North Dakota, and be 30 inches in diameter. It will have a daily capacity of 340,000 barrels of oil and should be online by the end of 2016, said Brent Secrest, vice president of onshore crude oil, pipelines and terminals for Enterprise.

"Our business right now is focused on Texas and Oklahoma," Secrest said when announcing the project at a pipeline summit hosted by North Dakota's governor. "The goal is we go further north." (Reporting by Ernest Scheyder)

[Edgar]

Following Chavismo, his own political ideology of Bolivarianism and Socialism of the 21st Century, he focused on implementing social reforms in the country as a part of a social project known as the Bolivarian Revolution. He implemented the 1999 Venezuelan Constitution, participatory democratic councils, the nationalization of several key industries, and increased government funding of health care and education and made significant reductions in poverty with oil revenues.[1][2] According to the ECLAC, from 1999 to 2012, Venezuela achieved the second highest rate of poverty reduction in the region; with World Bank data showing that the poverty rate dropped from 49.4% to 25.6%.[3][4] The Bolivarian Missions have entailed the construction of thousands of free medical clinics for the poor,[5] the institution of educational campaigns that have made about 1.5 million adult Venezuelans literate[6] (although this claim has been subject of scholarly debate),[7][8] and the enactment of food[9] and housing subsidies.[10]

Okies could use a hero like Chavez to step in and put an end to the exploitation of their natural resources treasure.

[Dubya61]

Okies could use a hero like Chavez to step in and put an end to the exploitation of their natural resources treasure.

Just to clarify, you want to see a Hugo Chavez-esque leader to come in to Oklahoma and "nationalize" our natural resources?

[PhiAlpha]

Following Chavismo, his own political ideology of Bolivarianism and Socialism of the 21st Century, he focused on implementing social reforms in the country as a part of a social project known as the Bolivarian Revolution. He implemented the 1999 Venezuelan Constitution, participatory democratic councils, the nationalization of several key industries, and increased government funding of health care and education and made significant reductions in poverty with oil revenues.[1][2] According to the ECLAC, from 1999 to 2012, Venezuela achieved the second highest rate of poverty reduction in the region; with World Bank data showing that the poverty rate dropped from 49.4% to 25.6%.[3][4] The Bolivarian Missions have entailed the construction of thousands of free medical clinics for the poor,[5] the institution of educational campaigns that have made about 1.5 million adult Venezuelans literate[6] (although this claim has been subject of scholarly debate),[7][8] and the enactment of food[9] and housing subsidies.[10]

Okies could use a hero like Chavez to step in and put an end to the exploitation of their natural resources treasure.

I'm trying to decide if it's even worth my time to read this when I already realize that it is likely just a longer version of the typical lunacy Edgar posts....


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[Edgar]

Just to clarify, you want to see a Hugo Chavez-esque leader to come in to Oklahoma and "nationalize" our natural resources?

No but Hugo would have made damm sure got at least 7% on our state's natural treasure.

[warreng88]

Following Chavismo, his own political ideology of Bolivarianism and Socialism of the 21st Century, he focused on implementing social reforms in the country as a part of a social project known as the Bolivarian Revolution. He implemented the 1999 Venezuelan Constitution, participatory democratic councils, the nationalization of several key industries, and increased government funding of health care and education and made significant reductions in poverty with oil revenues.[1][2] According to the ECLAC, from 1999 to 2012, Venezuela achieved the second highest rate of poverty reduction in the region; with World Bank data showing that the poverty rate dropped from 49.4% to 25.6%.[3][4] The Bolivarian Missions have entailed the construction of thousands of free medical clinics for the poor,[5] the institution of educational campaigns that have made about 1.5 million adult Venezuelans literate[6] (although this claim has been subject of scholarly debate),[7][8] and the enactment of food[9] and housing subsidies.[10]

Okies could use a hero like Chavez to step in and put an end to the exploitation of their natural resources treasure.

If anyone was curious, the whole first paragraph came from the Hugo Chavez' wikipedia page. So, none of that was Edgar original idea...

[PhiAlpha]

If anyone was curious, the whole first paragraph came from the Hugo Chavez' wikipedia page. So, none of that was Edgar original idea...

I'm trying to decide if it's even worth my time to read this when I already realize that it is likely just a longer version of the typical lunacy Edgar posts....

Guess you just made my decision easier haha.

[Edgar]

Take away the massive federal spending in Oklahoma and we have a 3rd world economy of energy and agriculture like Venezuela. we're a poor state that struggles just to have proper core societal functions, and Bloody Mary and the collection of tea party ninnies just gave away our natural treasure to disingenuous Oilies with little in return. Where is the Okie Hugo Chavez?

[warreng88]

Take away the massive federal spending in Oklahoma and we have a 3rd world economy of energy and agriculture like Venezuela. we're a poor state that struggles just to have proper core societal functions, and Bloody Mary and the collection of tea party ninnies just gave away our natural treasure to disingenuous Oilies with little in return. Where is the Okie Hugo Chavez?

So, if you hate it so much, why do you live here?

[onthestrip]

Take away the massive federal spending in Oklahoma and we have a 3rd world economy of energy and agriculture like Venezuela. we're a poor state that struggles just to have proper core societal functions, and Bloody Mary and the collection of tea party ninnies just gave away our natural treasure to disingenuous Oilies with little in return. Where is the Okie Hugo Chavez?

While you may take it to a bit extreme, I find it hard to argue with the fact that we are giving away our natural resources for little in return. Some investment in our state's education, health and infrastructure would be nice. If we cant do it when there is an oil boom, when we will ever do it?

[Bunty]

Take away the massive federal spending in Oklahoma and we have a 3rd world economy of energy and agriculture like Venezuela. we're a poor state that struggles just to have proper core societal functions, and Bloody Mary and the collection of tea party ninnies just gave away our natural treasure to disingenuous Oilies with little in return. Where is the Okie Hugo Chavez?

I would imagine the middle class of Oklahoma identify with the needs and values of the rich more so than those of the poor. So not too many middle class people minded it when legislators and Gov. Fallin signed a bill that banned cities from raising their own minimum wage.