The top oil regulator in North Dakota recently told lawmakers that there’s certainly some gloom on the horizon, but that it is a “little bit of gloom but no doom”, hoping to assuage their fears regarding the petroleum industry in the state. Even though the low oil prices might be causing some concern currently, everyone knows the importance of this natural resource. The need for natural gas and oil is not going to vanish, and the prices will again return to their normal levels. There could be some short-term belt tightening, but things will eventually turn around again. The industry and the state merely need to make a few adjustments now to deal with the changes.
ND Responsible for Huge Surplus
Over the past couple of years, North Dakota has been the top producer when it comes to natural gas. They are the state responsible for a large amount of the surplus that now exists in the country. This is excellent news for the country as a whole. One of the biggest benefits to this – and the drilling done by all of the states that are a part of this surplus – is the elimination of dependence on foreign countries for gas and oil. Those nations that once had us “over a barrel”, so to speak, now hold no power thanks to this surplus.
Finding Better Ways
One of the things that many companies are doing right now is simply scaling back on some of the exploration they were planning. This is not a bad thing. They still have plenty of active drills and sites that they can use to continue adding to this surplus without risking any further expenditure from mere exploration. Companies across the country should also take this slower time to examine the equipment they are using. Are they using the best quality pieces that will provide them with the greatest overall efficiency? Better equipment often means better results at less cost. It also ensures items aren’t breaking down and causing problems. Look at the procedures as well to make sure that every aspect of the company is working as efficiently as possible.
One of the big questions that so many ask is how long before things go back to normal. It is very difficult to make an accurate prediction here since so many different variables are at play. Continue to watch the news, and keep an eye on the rest of the globe – not just what’s happening in the United States – to get an idea of what’s really happening in the world of gas and oil.
About Oil Works Inc.
Oil Works, Inc. is a complete drilling rig equipment manufacturer and service provider based in the Permian Basin for over 20 years. OWI’s product and service offerings include Derricks, Substructures, Drawworks, Mud Systems, Rig Walking Systems, Power Generation, Drill Control Systems, Iron Roughneck Service and Upgrades and complete Customized Rig Solutions built to API and ISO standards. OWI is also proud to offer 24/7 Service and Support.