So with debate over, the arguments, as always, revert to the oil...

So with debate over, the arguments, as always, revert to the oil price and not the success of the well. Twin pointed out that oil prices don't stay high (I'll come back to that in a moment). For if you can't make money on the pre-drill price speculation you have to try and make it on the production, if it comes at all. Small exploratory oil companies need investment to drill and that puts them at the mercy of investors, whilst mid tiers have reached the long term production stage with own funds that gives their next well. Of course the scarity of oil drives the price.

So whatever the speculation, you need finds with high flow rates and low decrease in flow rates matched with good oil prices to see you through. A bit like the Blue Riband that the Titanic wanted to win if it arrived in New York in record time. The thing was that to race fast you had to be able to glide over the ocean swell by building boats longer than the distance between two swells. The boats had to get bigger. So the oil price comes like waves, up and down over time and recently horizontal wells are the technology that help. Just my analogy to keep in mind.

Only this time Dan points out that oil is already known making less specky drills with the tech to drill a horizontal well. Also the 3 income streams are important - it's not just oil. So since I am new to this I'm just generalising. He also points out that by getting the ground proved up, others will have less risk. Maybe BRK can make money on the real estate. Now Twin reverts back to the oil price not lasting, others know about this play and it doesn't smell right. (Sorry if I sound ungrateful Twin.)

My input in this: simply oil scarcity, AGW is BS, investment in oil is fractured by renewables and it is crazy cold in the North Hemisphere atm (wet in eastern Australia, snow has been recorded excessively in SW western Australia and Qld this year) , Gas is short across EU and coal power stations are reopening and omicron may eventuate to be covid end as a common cold (we may know in 3 weeks). We need oil.