US rig count declining this year, positive cash flows increase

0
429

The first factor I want to look at is the curious case of the US rig count decline, even as oil prices have seen a dramatic increase since the beginning of the year. – via seekingalpha.com It remains to be seen whether this trend of declining rig activity, even as oil prices remain relatively firm.

Why? #Cash is King ,#Cashflow, Wallstreet has been pushing Oil companies to show more positive cash flow, and it’s working. Top 20 Oil Companies Improved Cash Flow By $34 Billion . Capital expenditures are the main reason that FCF went deeply negative for so many companies in recent years. When oil prices were $100 a barrel, oil companies invested every penny they could get their hands on into producing more oil. – It is true that capital expenditures are the main reason that FCF went deeply negative for so many companies in recent years. – Forbes.com In 2018 Only 10 of the 32 Fracking Companies secured positive cash flows towards the end of the year.

Previous articleCramer Hating on Buffet? Calls the Berkshire, Occidental’s Deal ill-advised
Next articleNatural gas fracking fleet : A look at Liberty Oilfield