Husky Oil

[6V53]

Sign of the Times 600 layoffs this morning.


https://calgary.ctvnews.ca/husky-energy-layoffs-underway-in-downtown-calgary-1.4650072 https://calgary.ctvnews.ca/husky-energy-layoffs-underway-in-downtown-calgary-1.4650072

[blackpowder]

Local carpenter had cancellations this am.

[Taiga]

From BOE Report, clearly a political statement. Expect more to come.
“
The layoffs come a day after Canada’s federal election, in which Liberal Prime Minister Justin Trudeau failed to secure an outright majority of seats, leaving him in need of support from left-leaning parties that are opposed to new oil pipelines.

That was the worst-case scenario for the energy sector, which fears the result could further delay the Trans Mountain pipeline expansion and deter investment in the oil and gas industry.
“

[sofa.king]

We can thank ont voters and that big vagina trudeau.

[walterm]

From BOE Report, clearly a political statement. Expect more to come.
“
The layoffs come a day after Canada’s federal election, in which Liberal Prime Minister Justin Trudeau failed to secure an outright majority of seats, leaving him in need of support from left-leaning parties that are opposed to new oil pipelines.

That was the worst-case scenario for the energy sector, which fears the result could further delay the Trans Mountain pipeline expansion and deter investment in the oil and gas industry.
“

Are you saying that the conservatives won't support him in getting the pipeline built? Cons and Libs should be a walk in dark to get it through if they work together. I don't understand how lefts can stop them. I would think oil companies should be excited.

[WiltonRanch]

There’s more to these layoffs than meets the eye. Husky at least what I see in my area is expanding its thermal oil production. A lot of cold wells have been shut in. The RM’s charge oil companies the higher tax rate on each lease like it was pumping if so much as anything more than the well head is on the lease. Big project this fall is husky and other players have been pulling everything off leases and hauling it off. The lift cost for thermal projects is so much less than the cold wells and it requires far less labour. Husky I feel is probably one of the most successful players in the heavy oil and when they start cutting back on certain things you know there’s no money in it in the future.

[furrowtickler]

There’s more to these layoffs than meets the eye. Husky at least what I see in my area is expanding its thermal oil production. A lot of cold wells have been shut in. The RM’s charge oil companies the higher tax rate on each lease like it was pumping if so much as anything more than the well head is on the lease. Big project this fall is husky and other players have been pulling everything off leases and hauling it off. The lift cost for thermal projects is so much less than the cold wells and it requires far less labour. Husky I feel is probably one of the most successful players in the heavy oil and when they start cutting back on certain things you know there’s no money in it in the future.

Husky and Sarafina very busy NW of here , those steam plants are popping up in many areas.
I think you are very correct Wilton

[grassfarmer]

A commentary from North Dakota, June 2019.

"As crude prices plunged in recent weeks, outlook for the drillers in North Dakota have darkened. Per Lynn Helms, Director of Mineral Resources, crude is trading at just over $40 a barrel in North Dakota, close to the break-even level of new wells. There are concerns that a further deterioration in prices or lower prices for an extended period might render well economics unsupportive for most producers in the state."

Let's stop the pretence that the oil price decline is only a Canadian thing, or something caused by Trudeau. Right there in N Dakota, under the mighty Trump regime that most of you admire, the economics of oil are also very poor.

[TASFarms]

A commentary from North Dakota, June 2019.

"As crude prices plunged in recent weeks, outlook for the drillers in North Dakota have darkened. Per Lynn Helms, Director of Mineral Resources, crude is trading at just over $40 a barrel in North Dakota, close to the break-even level of new wells. There are concerns that a further deterioration in prices or lower prices for an extended period might render well economics unsupportive for most producers in the state."

Let's stop the pretence that the oil price decline is only a Canadian thing, or something caused by Trudeau. Right there in N Dakota, under the mighty Trump regime that most of you admire, the economics of oil are also very poor.

$40 a barrel is like getting $8 a bushel for wheat.

[Oliver88]

Are you saying that the conservatives won't support him in getting the pipeline built? Cons and Libs should be a walk in dark to get it through if they work together. I don't understand how lefts can stop them. I would think oil companies should be excited.

Except Trudeau is still PM.....Bill C-48, C-69, carbon tax, etc.

[macdon02]

$40 a barrel is like getting $8 a bushel for wheat.

Last i heard, breakeven at fort mac is $16

[WiltonRanch]

Last i heard, breakeven at fort mac is $16

It’s about like a thermal play. Large initial investment but a sure bet compared to cold wells.

[stubblejumper]

Husky Oil says layoffs are a result of the provincial government not federal

[furrowtickler]

Husky Oil says layoffs are a result of the provincial government not federal

Just like the tariffs on canola and pulses ??

[Oliver88]

Encana is now leaving the country.

Congratulations go out to Justin Trudeau, Jagmeet Singh, Elizabeth May, Rockefeller group.