Oil Market Optimism Downplays DUCs
It’s not surprising that shale players try to pep up the short term cash flow situation. Hardly strategic as those DUC’s would maybe give better value when oil prices are higher but then again, I don’t know if DUC’s have a shelf life or even if prices would dip once more. But we are always talking about shale. How about Enhanced Oil Recovery operations in OPEC countries. Those cost money too so the often cited very low breakeven prices are often bogus. What happens to an EOR field when EOR is discontinued for weeks or months?
