downturn of 2015

[Braveheart]

Our son works in the SK oil patch in the winter. He drives a winch truck mostly. It's not as gravy train as most of you imagine.

Fixing and maintaining trucks and equipment is expensive. There are labour shortages. Bad weather has as much impact on oilfield development as farming.

There is a lot of money generated in rural communities in western Canada. A big economic slowdown may not be good for those who have come to depend on the oil patch.

[foragefarmer]

Labour shortages in many rural areas are being caused by oil. Local business can not compete with oil, with the high wages and living allowances. They can not find employees. I have family who live in SE SK and they talk about all the time. Everything gets distorted because of the oil.

[MBgrower]

On the positive side, lower fuel prices could stimulate consumer spending and the economy. But big oil will cut output at their refineries, to keep fuel prices high. Harper is a big supporter of big oil, lets see if big oil is a supporter of harper, and try help keep harper's economy afloat..

[Hopalong]

Have heard there is shortage of refinery capacity in prairie provinces and adjacent states.
Rather than slow production might just mean not bringing in so much from outside.

[sumdumguy]

No need for immigrants?

[hobbyfrmr]

What is even more incredible is how large amounts of money erases young people's memory. A young student worked at a small town local garage/tire shop. He pulled wrenches after school and weekend for gas and beer money etc.
after graduating high school the young guy gets a job in oilfield in alberta. He starts making triple the money he was accustomed to.
I meet him in town and compliment his truck he has lifted himself because he is skilled. He then says I just got new tires and rims. I said good you are reciprocating with old boss. Young guy says no I bought from the new tire shop 2 blocks away. I said your old boss gave you employment and a paycheque for beer and stuff. Young guy says yeah but I got a deal from the other guy.
I explained it again about reciprocation, he still didn't get it, he only knew he "saved" a bunch of money for himself.

[ado089]

Calling the oil industry greedy is a bit rich when there are grain traders making $2k a day to make back to back trades and deal with a little bit of logistics now and then.

[parsley]

In the rural municipality we live in, 2/3 of the entire money gathered up as taxes is paid for by 'big oil'. Think about the total amount of tax dollars big oil pays in all of rural Saskatchewan. And guess who would be paying more if oil shut down? Yup. That's you forage and adobe et al. Pars

[errolanderson]

December WTI crude broke below $76.50 per barrel this morning. Believe these may be four (4) year lows.

Interesting, the financial crash of 2008, crude broke below $40 per barrel.

Not sure what will turn this pattern around as the Middle East has certainly lost influence in global pricing.

[Klause]

Horse I'd like to see you pull cemented off wet pipe when it's 3 am -40 and the windchill is up to -60 and your outside for 12 hours


Then I'll ask you if 35 bucks is too much.

[bucket]

Price of oil could go to 20 bucks a barrel and we would still be paying a buck a liter for gas.

What is the excuse for that?

Transportation costs.?

[SASKFARMER3]

I HAVE A QUESTION.
ON THE RECENT TRIP TO ALBERTA IS IT ME OR ARE THE PUMP JACKS JUST MOVING A LITTLE SLOWER.
CAN THEY SLOW THEM DOWN IS MY QUESTION.
WTF IS WRONG WITH THE PRICE OF DIESEL.
1.32 BY CROSSIRON MALL.