Ok, ok, ok. I almost never post investmne threads, but i just have a feeling that this collapse in oil might be an investment opportunity of a generation. So, i just have couple of question
What happens to Rigs once they go offline. How quickyl can company bring them back to operational?
Whats the break even price on deep sea exploration? How many of those rigs are in deep sea (in USA)
Whats the aggergate demand capacity for oil in the world right now, and how best to proxy/predict it?
Same as 3 for capacity of each country to produce?
What is your thesis? Just to make sure you are thinking this through, look how long oil stayed “low” last time a similiar situation happened (if you read commentary from the 80s, it sounds like they are describing today. very interesting to do)
That being said, I’m sure there is someone being thrown out with the industry unfairly. But I wouldn’t anchor my expectation to the price of the past few years to that is the “intrinisic value” of oil.
If you want to learn this industry, I’d email John Kemp @ Reuters and get on his daily energy newsletter and read some of his required reading. He is a really nice guy – you could email him these questions and ask for resources to read and he’d probably give you some in addition to his required reading list by topic. It’s the fastest way I know to get a digest of the most important stuff to read.
