Are we selling? Moving jobs to BSCs? Low gas prices don't look like they'll be recovering anytime soon.
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I can tell you that a lot of engineers are looking for new jobs since they cut our cost of living adjustment to zero. The cost of living doesn't go down just because the price of oil does. People who made the decision should be forced to live out here and see how much they like the bait and switch treatment.
“OP. What do you mean by Gas prices? Is that natural gas or gasoline?”, said a person who actually works for the O&G industry.
“Uhhhh, is there a difference?”, said the OP.
“Begone you ignorant journo student at the local community college”, said the O&G expert.
Guess what! We are getting ready to sell it for $200 an acre again! Pecos county on the block.
XTO was able to coax big increases in profitable production out of fields taken over from Exxon in the 2000’s. Now those same fields are being starved of investment by ExxonMobil. You can guess where this inevitably leads.
Even Rex recognized XTO needed to be run different than rest of ExxonMobil or we would end up right where we were when we sold for $200 an acre. Sadly that seems to have been forgotten and now XTO is being forced to take on ExxonMobil practices resulting in uncompetitive costs. Those who challenge addition of new processes and costs they will add are punished.
Buy high sell low seems to be the pattern here. How is that “we will be a fast follower theory” working out for you?
XTO.. That garbage company?
XTO does not exist since 2018 basically. It is EM. EM left Permian in 2000s and sold acreage for about $200/acre. Then they bought XTO and Bass family for about $25k/acre....What a deal. Then they will sell it now for about $2k/acre. Then I dont know what the next step will be. You judge.
XTO is the new “Mobil”, Exxon will destroy the best thing about it, strong, independent company with loyal and proud employees and then they will spit out the pieces and only keep what the need.
Buying XTO was a huge mistake by Tillerson. Would not have happened under Raymond.
XTO does not exist anymore. @rwein was the Exxon instrument to disappear XTO, then Exxon shown the door to her. When I started to work at XTO, there were certain managers, real engineers, that they want to train young engineers to be real engineers and learn the business, not just management, they want to teach them the technical side as well and eliminate many layers of commands, like they were working before. For example: supervisor of the supervisor, manager of the manager, etc. etc., Exxon divided Permian in many areas, they found their mistake and they are making another reorganization now. Same thing that it was before.( One Permian and not Permian and Delaware). We are the brightness and the greatest! We are Exxon!
The "dry gas" XTO assets will be sold based on recent press releases.
ExxonMobil plans huge write-down of dry gas assets, extends spending cuts
Today's press release implies that there is additional OPEX efficiencies in 2021
https://www.nsenergybusiness.com/news/company-news/exxonmobil-write-down-2020/
The Texas-based oil giant will remove “less strategic” dry gas assets – based across the US, Canada and Argentina – as it focuses instead on high-value projects in Guyana, Brazil and the US Permian Basin.
It says the portfolio reshuffle – which will include offloading assets in the Appalachian and Rocky Mountains, Oklahoma, Texas, Louisiana and Arkansas – will result in a fourth-quarter impairment charge of around $17bn-$20bn....
Capital and exploration investments – already cut by 30% earlier this year to $23bn – will be reduced to $16bn-$19bn in 2021, and then set at $20bn-$25bn annually through to 2025.
Further cost savings are being targeted through “business line reorganisations and efficiencies” that will include a 15% reduction of the global workforce by the end of 2021, accounting for roughly 14,000 people.
XTO is no more. Very few heritage XTO left. ThOse of us who are still around are being sidelined and have learned to say as little as possible. Management doesn’t want to hear they are making bad choices and repeating mistakes of the past. Has Exxon learned nothing? They left Midland after making fields unprofitable years ago only to return and buy their way back in at the highest prices you can imagine. Those who don’t learn from history repeat it. Happening right now. XTO 2.0 is on the horizon once Exxon drives it into the ground again.
Wish management would listen to our ideas.
Can’t move field jobs to BTC. Engineers and techs who work in office are at risk.
@1hzl+18s444l2 Do you know which groups will be impacted?
Many jobs going to BSC
All of XTO is not created equal. Permian is oil producing and a good investment. Areas with only gas wells will likely be for sale.
XOM would love to sell but who is d-mb enough to buy?
All the above. Yes.