Heard that in 2015 and here we are 5 years later. You can blame China, Russia, the Saudis, etc. However, you should blame yourself.
That’s a hard truth to hear. I know. I feel it too.
After putting my house on the market – a house that I hardly ever actually “lived in.” Three weeks after accepting the relocation package I was in the Permian. Beyond excited. It was my dream job that I had sacrificed so much for.
Nine months later Halliburton, the company where I slaved for 5 years (100 hours a week with Sperry) brought me into the conference room. An HR rep from HQ slid over a red folder and said “due to recent unexpected economic events you are hereby let go.” They had no idea that they had given me a relocation package 9 months ago. That was 2015.
I was followed like a criminal to box up my belongings and marched out the Midland Corporate office.
Because I refused to be a 60-year-old company man with 3 ex-wives and 6 kids on child support, I learned very quickly. Save, invest, don’t buy the toys until you have a real emergency fund.
Promise this blog isn’t to chastise my fellow oilfield hands. It’s not to make a person feel worse.
It’s a call to action. It’s time to change our ways. From the office to the field: We Can Do Better.
We Can Do Better
Let’s be honest here. $100 WTI isn’t coming and we shouldn’t want it to. The number one reason so many citizens HATE oil and gas is for the same reason we secretly do too – price volatility.
Low prices are job losses for us.
High prices are job losses for everyone else.
So why don’t we all strive to find a middle ground that is…….“SUSTAINABLE.”
Talking about being able to produce a barrel of oil PROFITABLY @ $35 WTI.
That will take change. Bringing on software, automation, artificial intelligence, drones, eliminating waste and inefficiency, and executing a unified goal of process execution.
It means having the right hands in the field and office. It means exposing BFI (brother, friends/favor, and in-law) deals. Simply - It’s Not Your Daddy’s Oilfield.
It’s Not Your Daddy’s Oilfield
Now those are some hard words to swallow. I get a lot of push back on it. I understand.
Change is hard. But if we want to break this cycle of boom/bust, and stop accepting that it must happen; we have to stop running it like our daddy’s did.
Why are we still using paper, excel, and stamps?
Why are we waiting 30 days + to invoice and collect (if we’re lucky enough to get it)?
Why do we take the long route to a job site?
Why don’t we have all the tools on the truck the first time?
Why do we need fresh water for fracs when we can’t stop building SWDs?
Why do we spend millions on diesel fuel for rig operations and fracs when we can tap into a well and generate our own energy?
Why not create micro-grids and sale the excess power back to the grid? Or work with those in energy poverty to give it to them for free?
Why can’t we fix the job the first time and always need to “get another callout?”
Why do we mark up billables because we know that we will be asked to give back 1/3 in credit?
Why can’t we know in a matter of few clicks EVERYTHING that is going on with drills, frac, production, sales, etc?
Why can’t we have 100% transparency, cradle to grave, for continuous improvement between operator and service company?
The solutions are here. They’re in play right now and just need picked up.
But here we are. Another bust. Massive layoffs.
Remember you’re not alone.
Remember you have value.
Remember you are not your job.
The future is bright if WE choose to CHANGE.
We can be profitable at $35 WTI
Together #wecandobetter #itsnotyourdaddysoilfield