Good article. I believe US OFS is the place to be here in a very consolidated and bifurcated industry. Personally added a significant PTEN position on the last two days of the week. Did trade ACDC during the downturn but it has since covered. I prefer the drilling companies here. US LNG is ramping up and they need to increase activity levels going forward, that might not be apparent tomorrow but it should be in the coming months or year. Consolidation means less equipment available when the pendulum tilts. Margins still holding up despite reduced activity levels. I don't see much growth in Canada OFS wise but we also not seeing the declines...
Good overview. Persistent US supply via huge productivity improvements and disappointing demand in China seem to have been the biggest negative factors for oil the past couple of years.
That's a good point. I know that we are expected to see growth in our energy use due to AI. How much exactly, I'm not sure. But it will be more than today.
Good article. I believe US OFS is the place to be here in a very consolidated and bifurcated industry. Personally added a significant PTEN position on the last two days of the week. Did trade ACDC during the downturn but it has since covered. I prefer the drilling companies here. US LNG is ramping up and they need to increase activity levels going forward, that might not be apparent tomorrow but it should be in the coming months or year. Consolidation means less equipment available when the pendulum tilts. Margins still holding up despite reduced activity levels. I don't see much growth in Canada OFS wise but we also not seeing the declines...
Thanks for commenting. I agree that Canada is constrained here, especially relative to US.
Limited equipment today and the impact on supply chains with the tariffs, seems like it will keep supply tight. PTEN looks like a good bet.
Good overview. Persistent US supply via huge productivity improvements and disappointing demand in China seem to have been the biggest negative factors for oil the past couple of years.
Thanks Josh. I definitely have been amazed at how long us shale production has held on.
ai energy demand?
That's a good point. I know that we are expected to see growth in our energy use due to AI. How much exactly, I'm not sure. But it will be more than today.