"The number of rigs drilling for oil and natural gas in the United States continues to drop, as oil prices remain under pressure from Saudi Arabia. In the past few weeks, nearly 150 rigs stopped working, or have “been laid down”, as the industry term implies.
One thing to consider is how many jobs each non-working rig affects. While the Industry doesn’t keep tabs specifically on how many staff is employed on each rig, there are some projections that provide clues. For each drilling rig, there are about 20 core people who keep things running, while the oil company employing the rig is investing in the drilling of the well.
However, it is estimated that another 50 people directly support the drilling efforts, although they are not on the pad-site. On top of that, about another 50 people indirectly support the rig’s operation. So bottom line, when a rig stops operating and is sent back to its owner, there are up to 130 people directly and indirectly affected."
Continue listening to the Podcast here or you can visit Crude.com to read the full transcript:http://www.crude.com/media/ogir-rig-c...
For more Podcasts filled with industry insider news discussing oil and gas investing visit our website: http://www.crude.com/podcasts/
One thing to consider is how many jobs each non-working rig affects. While the Industry doesn’t keep tabs specifically on how many staff is employed on each rig, there are some projections that provide clues. For each drilling rig, there are about 20 core people who keep things running, while the oil company employing the rig is investing in the drilling of the well.
However, it is estimated that another 50 people directly support the drilling efforts, although they are not on the pad-site. On top of that, about another 50 people indirectly support the rig’s operation. So bottom line, when a rig stops operating and is sent back to its owner, there are up to 130 people directly and indirectly affected."
Continue listening to the Podcast here or you can visit Crude.com to read the full transcript:http://www.crude.com/media/ogir-rig-c...
For more Podcasts filled with industry insider news discussing oil and gas investing visit our website: http://www.crude.com/podcasts/
It is a very interesting point you are making about the 150 rigs going out of business, affecting tons of jobs. Also, you pointed out that for each drilling rig at least 20 people are keeping main things running at a time. I would like to know how much these rigs affect the economy. water well drilling
ReplyDeleteI had no idea that it took that many people to run just one rig. It does make sense, as those things are pretty big. How much of a difference are there between oil rigs, and water drilling rigs? Would it really be that hard to use an oil rig to drill for water? Obviously you would have to make sure that all the oil was washed off of the rig. Otherwise, you would have water that tastes like oil. http://www.betterwaterwells.com
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